Leases (Tables)

3 Months Ended

Mar. 29, 2020

Leases [Abstract]

Lease, Cost

The components of lease cost are as follows:

	Three Months Ended
	March 29, 2020		March 31, 2019
Finance lease cost:
Amortization of finance lease assets	$	3,186	$	3,117
Interest on finance lease liabilities	10,058		6,753
	13,244		9,870
Operating lease cost	21,165		24,643
Variable lease cost (a)	14,370		14,104
Short-term lease cost	1,330		1,126
Total operating lease cost (b)	36,865		39,873
Total lease cost	$	50,109	$	49,743

_______________

(a) Includes expenses for executory costs of $9,743 and $9,524 for the three months ended March 29, 2020 and March 31, 2019, respectively, for which the Company is reimbursed by sublessees.

(b)

The three months ended March 29, 2020 and March 31, 2019 include $29,291 and $32,451, respectively, recorded to “Franchise rental expense” for leased properties that are subsequently leased to franchisees and $6,833 and $6,593, respectively, recorded to “Cost of sales” for leases for Company-operated restaurants.

Operating Lease, Lease Income

The components of lease income are as follows:

	Three Months Ended
	March 29, 2020		March 31, 2019
Sales-type and direct-financing leases:
Selling profit	$	628	$	1,934
Interest income	7,248		4,733
Operating lease income	$	43,952	$	45,205
Variable lease income	13,904		13,247
Franchise rental income (a)	$	57,856	$	58,452

_______________

(a)

The three months ended March 29, 2020 and March 31, 2019 include sublease income of $42,042 and $43,021, respectively, of which $9,709 and $9,432, respectively, represents lessees’ variable payments to the Company for executory costs.