Income Taxes (Tables)

12 Months Ended

Jan. 01, 2017

Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block]

Income from continuing operations before income taxes is set forth below:



	Year Ended
	2016		2015		2014
Domestic	$	192,082	$	208,827	$	173,143
Foreign	9,608		25,301		19,397
	$	201,690	$	234,128	$	192,540

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

The (provision for) benefit from income taxes from continuing operations is set forth below:



	Year Ended
	2016			2015			2014
Current:
U.S. Federal	$	(75,167	)	$	(12,414	)	$	6,673
State	(5,805		)	3,346			(7,863		)
Foreign	(5,307		)	(10,778		)	(8,093		)
Current tax provision	(86,279		)	(19,846		)	(9,283		)
Deferred:
U.S. Federal	7,975			(53,916		)	(67,977		)
State	6,733			(21,375		)	671
Foreign	(495		)	988			473
Deferred tax benefit (provision)	14,213			(74,303		)	(66,833		)
Income tax provision	$	(72,066	)	$	(94,149	)	$	(76,116	)

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

Deferred tax assets (liabilities) are set forth below:



	Year End
	January 1, 2017			January 3, 2016
Deferred tax assets:
Unfavorable leases	$	50,771		$	40,084
Net operating loss and credit carryforwards	44,733			51,782
Accrued compensation and related benefits	31,994			35,963
Deferred rent	19,552			17,661
Accrued expenses and reserves	16,486			18,156
Other	9,293			9,157
Valuation allowances	(11,400		)	(17,097		)
Total deferred tax assets	161,429			155,706
Deferred tax liabilities:
Intangible assets	(495,505		)	(499,467		)
Owned and leased fixed assets net of related obligations	(89,251		)	(95,619		)
Other	(23,186		)	(20,333		)
Total deferred tax liabilities	(607,942		)	(615,419		)
	$	(446,513	)	$	(459,713	)

Summary of Net Operating Loss and Tax Credit Carryforwards [Table Text Block]

The amounts and expiration dates of net operating loss and tax credit carryforwards are as follows:



	Amount		Expiration
Tax credit carryforwards:
U.S. federal foreign tax credits	$	18,911	2021-2024
State tax credits	457		2020-2023
Foreign tax credits of non-U.S. subsidiaries	2,770		2021-2025
Total	$	22,138

Net operating loss carryforwards:
State net operating loss carryforwards	$	779,841	2017-2035

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

The reconciliation of income tax computed at the U.S. Federal statutory rate to reported income tax is set forth below:



	Year Ended
	2016			2015			2014
Income tax provision at the U.S. Federal statutory rate	$	(70,592	)	$	(81,945	)	$	(67,389	)
State income tax provision, net of U.S. Federal income tax effect	(3,767		)	(7,234		)	(4,747		)
Non-deductible goodwill (a)	(6,409		)	(7,435		)	(9,389		)
Valuation allowances (b)	4,915			(6,075		)	(665		)
Foreign and U.S. tax effects of foreign operations	2,278			4,389			4,089
Non-deductible expenses and other	1,509			4,151			1,985
	$	(72,066	)	$	(94,149	)	$	(76,116	)

_______________

(a)

Substantially all of the goodwill included in the gain on sales of restaurants in 2016, 2015 and 2014 under our system optimization initiative was non-deductible for tax purposes. See Notes 2 and 9 for further information. Included in the 2016 amount is a $3,837 federal benefit related to the correction to a prior year identified and recorded in the second quarter of 2016. The corresponding state benefit correction of $398 is included in the state income tax provision amount above.

(b)

Includes changes for deferred tax assets generated or utilized during the current year and changes in our judgment regarding the likelihood of the utilization of deferred tax assets. 2016 and 2015 primarily relate to changes in the likelihood of the utilization of deferred tax assets related to state net operating loss carryforwards. Included in the 2016 amount is a $2,878 benefit related to the correction to a prior year identified and recorded in the first quarter of 2016.

Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block]

As of January 1, 2017, the Company had unrecognized tax benefits of $19,545, which, if resolved favorably would reduce income tax expense by $14,752. A reconciliation of the beginning and ending amount of unrecognized tax benefits follows:



	Year End
	January 1, 2017			January 3, 2016			December 28, 2014
Beginning balance	$	21,224		$	25,715		$	23,897
Additions:
Tax positions of current year	306			927			—
Tax positions of prior years	440			476			2,678
Reductions:
Tax positions of prior years	(2,126		)	(5,182		)	(582		)
Settlements	(42		)	(251		)	—
Lapse of statute of limitations	(257		)	(461		)	(278		)
Ending balance	$	19,545		$	21,224		$	25,715