LEASES (Tables)

12 Months Ended

Jun. 28, 2023

Leases [Abstract]

Consolidated Balance Sheet Disclosure of Lease Amounts

The following table includes a detail of lease assets and liabilities included in the Consolidated Balance Sheets:

	June 28, 2023
	Finance Leases(1)		Operating Leases(2)		Total Leases
Lease assets	$	51.3	$	1,134.9	$	1,186.2
Current lease liabilities	10.2		112.4		122.6
Long-term lease liabilities	57.6		1,125.8		1,183.4
Total lease liabilities	$	67.8	$	1,238.2	$	1,306.0

	June 29, 2022
	Finance Leases(1)		Operating Leases(2)		Total Leases
Lease assets	$	71.1	$	1,160.5	$	1,231.6
Current lease liabilities	20.3		112.7		133.0
Long-term lease liabilities	69.9		1,151.1		1,221.0
Total lease liabilities	$	90.2	$	1,263.8	$	1,354.0

(1)Finance lease assets are recorded in Property and equipment, at cost, and the related current and long-term lease liabilities are recorded within Other accrued liabilities and Long-term debt and finance leases, less current installments, respectively.

(2)Operating lease assets are recorded in Operating lease assets and the related current and long-term lease liabilities are recorded within Operating lease liabilities and Long-term operating lease liabilities, less current portion, respectively.

Consolidated Statement of Comprehensive Income Disclosure of Lease Amounts

The components of lease expenses, including variable lease costs primarily consisting of rent based on a percentage of sales, common area maintenance and real estate tax charges, and short-term lease expenses for leases with lease terms less than twelve months are included in the Consolidated Statements of Comprehensive Income as follows:

	Fiscal Years Ended
	June 28, 2023		June 29, 2022		June 30, 2021
Operating lease cost	$	181.0	$	173.7	$	167.2
Finance lease amortization	19.7		21.9		17.3
Finance lease interest	4.1		5.5		5.9
Short-term lease cost	0.3		0.6		0.5
Variable lease cost	63.5		60.5		57.9
Sublease income	(2.8)		(4.2)		(4.4)
Total lease costs, net	$	265.8	$	258.0	$	244.4

Consolidated Statement of Cash Flows Disclosure of Lease Amounts

Supplemental cash flow information related to leases recorded in the Consolidated Statements of Cash Flows is as follows:

	Fiscal Years Ended
	June 28, 2023		June 29, 2022		June 30, 2021
Cash flows from operating activities
Cash paid related to lease liabilities
Operating leases(1)	$	184.3	$	171.1	$	195.5
Finance leases	4.1		5.5		5.9
Cash flows from financing activities
Cash paid related to lease liabilities
Finance leases	22.1		23.7		20.0
Non-cash lease assets obtained in exchange for lease liabilities
Operating leases(2)	101.7		255.4		60.6
Finance leases	0.3		13.4		29.8

(1)Cash paid related to lease liabilities for Operating leases were higher in fiscal 2021 primarily due to the lease payments made during fiscal 2021 for rents that were deferred in fiscal 2020 due to the impacts of the COVID-19 pandemic.

(2)Non-cash operating lease assets obtained in exchange for operating lease liabilities were higher in fiscal 2022 primarily due to the new and assumed operating lease additions associated with the 68 restaurants purchased from three former franchisees, including sale leaseback transactions on six of the acquired restaurants. The combined transactions resulted in increased operating lease assets of $86.8 million as of the end of fiscal 2022, and cash proceeds of $20.5 million were received from the sale leaseback transactions. Additionally, the modifications of 25 leases in fiscal 2022 from finance leases to operating leases, resulted in increased operating lease assets of $47.9 million.

Weighted Average Lease Term and Discount Rate

Other information related to leases is as follows:

	Fiscal Years Ended
	June 28, 2023				June 29, 2022
	Finance Leases		Operating Leases		Finance Leases		Operating Leases
Weighted average remaining lease term	9.9 years		11.8 years		9.1 years		12.0 years
Weighted average discount rate	5.5	%	5.8	%	5.1	%	5.5	%

Lease Maturity Analysis

As of June 28, 2023, the future minimum lease payments on finance and operating leases, as well as sublease income were as follows:

	June 28, 2023
Fiscal Year	Finance Leases		Operating Leases		Sublease Income
2024	$	13.7	$	179.4	$	0.8
2025	12.3		177.6		0.7
2026	8.1		164.8		0.6
2027	7.6		147.7		0.5
2028	7.5		129.3		0.3
Thereafter	40.1		944.5		0.1
Total future lease payments	89.3		1,743.3		$	3.0
Less: Imputed interest	21.5		505.1
Present value of lease liability	$	67.8	$	1,238.2