IMPAIRMENT, DISPOSITION OF PROPERTY AND EQUIPMENT, RESTAURANT CLOSING COSTS AND RESTRUCTURING

Impairment and other charges, net in the accompanying condensed consolidated statements of earnings is comprised of the following (in thousands):



	2012		2011		2010
Impairment charges	$	3,112	$	1,367	$	12,970
Losses on disposition of property and equipment, net	6,027		7,561		10,734
Costs of closed restaurants (primarily lease obligations) and other	8,332		3,655		25,160
Restructuring costs	15,461		—		—
	$	32,932	$	12,583	$	48,864

Impairment — When events and circumstances indicate that our long-lived assets might be impaired and their carrying amount is greater than the undiscounted cash flows we expect to generate from such assets, we recognize an impairment loss as the amount by which the carrying value exceeds the fair value of the assets. Impairment charges in 2012 primarily represent charges to write down the carrying value of underperforming Jack in the Box restaurants and Jack in the Box restaurants we intend to or have closed. Impairment charges in 2011 and 2010 primarily represent charges to write-down the carrying value of certain underperforming Jack in the Box restaurants, including in 2010, property and equipment impairment charges of $8.4 million related to the closure of 40 underperforming Jack in the Box restaurants.

Disposition of property and equipment — We also recognize accelerated depreciation and other costs on the disposition of property and equipment. When we decide to dispose of a long-lived asset, depreciable lives are adjusted based on the estimated disposal date and accelerated depreciation is recorded. Other disposal costs primarily relate to gains or losses recognized upon the sale of closed restaurant properties, and charges from our ongoing re-image and logo program and normal capital maintenance activities.

Restaurant closing costs consist of future lease commitments, net of anticipated sublease rentals and expected ancillary costs, and are included in impairment and other charges, net in the accompanying consolidated statements of earnings. Total accrued restaurant closing costs, included in accrued liabilities and other long-term liabilities, changed as follows (in thousands):



	2012			2011
Balance at beginning of year	$	21,657		$	25,020
Additions and adjustments	5,787			3,499
Cash payments	(6,767		)	(6,862		)
Balance at end of year	$	20,677		$	21,657

Additions and adjustments primarily relate to revisions to certain sublease and cost assumptions in both 2012 and 2011.

The future minimum lease payment and receipts for the next five fiscal years and thereafter are included in the amounts disclosed in Note 8, Leases. Our obligations under the leases included in the above table expire at various dates between 2014 and 2029.

Restructuring costs — During fiscal 2012, we engaged in a comprehensive review of our organization structure, including evaluating opportunities for outsourcing, restructuring of certain functions and workforce reductions. As part of these cost-saving initiatives, we offered a voluntary early retirement program (“VERP”) to eligible employees and initiated workforce reductions. The following is a summary of the costs incurred in connection with these activities during fiscal 2012 (in thousands):



Enhanced pension benefits (Note 11)	$	6,167
Severance costs	6,987
Other	2,307
	$	15,461

Refer to Note 11, Retirement Plans, for additional information regarding the costs associated with enhanced pension benefits. Total accrued severance costs related to our restructuring activities are included in accrued liabilities and changed as follows during fiscal 2012 (in thousands):



Balance at beginning of year	$	—
Additions	6,987
Cash payments	(5,229		)
Balance at end of the year	$	1,758

As part of the ongoing review of our organization structure, we expect to incur additional charges related to this activity; however, we are unable to reasonably estimate the additional costs at this time.