Impairment of Long-Lived Assets

3 Months Ended

Apr. 02, 2023

Asset Impairment Charges [Abstract]

Impairment of Long-Lived Assets

Impairment of Long-Lived Assets

The Company records impairment charges as a result of (1) the deterioration in operating performance of certain Company-operated restaurants, (2) the Company’s decision to lease and/or sublease properties to franchisees in connection with the sale or anticipated sale of Company-operated restaurants, including any subsequent lease modifications, and (3) closing Company-operated restaurants and classifying such surplus properties as held for sale.

The following is a summary of impairment losses recorded, which represent the excess of the carrying amount over the fair value of the affected assets and are included in “Impairment of long-lived assets:”

	Three Months Ended
	April 2, 2023		April 3, 2022
Company-operated restaurants	$	350	$	367
Restaurants leased or subleased to franchisees	—		194
Surplus properties	26		55
	$	376	$	616