
6.	IMPAIRMENT AND OTHER CHARGES, NET

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



	Quarter				Year-to-date
	April 16, 2017		April 10, 2016		April 16, 2017		April 10, 2016
Restructuring costs	$	2,196	$	—	$	4,244	$	—
Costs of closed restaurants (primarily lease obligations) and other	1,193		1,015		3,190		1,575
Losses on disposition of property and equipment, net	535		995		1,234		1,646
Accelerated depreciation	407		412		720		858
	$	4,331	$	2,422	$	9,388	$	4,079

Restructuring costs — Restructuring charges in 2017 are the result of a plan that management initiated in fiscal 2016 to reduce our general and administrative costs. This plan includes cost saving initiatives from workforce reductions, relocation and consolidation of our Qdoba corporate support center, refranchising initiatives, and the consolidation of information technology across both brands.

The following is a summary of our 2017 restructuring costs (in thousands):



	Quarter		Year-to-date
Facility closing costs (1)	$	1,742	$	2,945
Employee severance and related costs	65		542
Other (2)	389		757
	$	2,196	$	4,244

(1)

Facility closing costs during the quarter and year-to-date includes $2.9 million in costs for the accrual of the future lease commitment and expected ancillary costs, net of anticipated sublease rental, for our Qdoba corporate support center which was offset by $0.9 million due to the reversal of the related tenant improvement allowance, and $0.3 million due to the reversal of the related straight-line rent expense. Year-to-date, facility closing costs also includes $1.2 million of accelerated depreciation related to the relocation of our Qdoba corporate support center.


(2)	Other primarily represents employee relocation costs and moving expenses related to the relocation of our Qdoba corporate support center.

The following is a summary of our 2017 restructuring costs by operating segment (in thousands):



	Quarter		Year-to-date
Qdoba restaurant operations	$	1,949	$	3,814
Jack in the Box restaurant operations	104		159
Shared services (1)	143		271
	$	2,196	$	4,244


(1)	Shared service functions consist primarily of accounting/finance, information technology, human resources, audit services, legal, tax and treasury.

At this time, we are unable to estimate additional charges to be incurred subsequent to 2017, but they are not expected to be material.

Total accrued facility closing costs related to our restructuring activities, which are comprised of the future lease commitment and expected ancillary costs, net of anticipated sublease rental, are included in accrued liabilities and other long-term liabilities, and changed as follows during 2017 (in thousands):



Balance as of October 2, 2016	$	—
Additions	2,927
Interest expense	1
Cash payments	(85		)
Balance as of April 16, 2017	$	2,843

Total accrued severance costs related to our restructuring activities are included in accrued liabilities and changed as follows during 2017 (in thousands):



Balance as of October 2, 2016	$	4,198
Additions	542
Cash payments	(4,251		)
Balance as of April 16, 2017	$	489

Restaurant closing costs — Costs of closed restaurants primarily consist of future lease commitments and expected ancillary costs, net of anticipated sublease rentals. Accrued restaurant closing costs, included in accrued liabilities and other long-term liabilities, changed as follows during 2017 (in thousands):



Balance as of October 2, 2016	$	7,231
Adjustments (1)	760
Interest expense	746
Cash payments	(2,219		)
Balance as of April 16, 2017 (2) (3)	$	6,518

___________________________


(1)	Adjustments relate primarily to revisions of certain sublease and cost assumptions. Our estimates related to our future lease obligations, primarily the sublease income we anticipate, are subject to a high degree of judgment and may differ from actual sublease income due to changes in economic conditions, desirability of the sites and other factors.


(2)	The weighted average remaining lease term related to these commitments is approximately five years.


(3)	This balance excludes $2.4 million of restaurant closing costs that are included in accrued liabilities and other long-term liabilities, which were initially recorded as losses on the sale of company-operated restaurants upon sale to Jack in the Box franchisees in prior years.

Accelerated depreciation — When a long-lived asset will be replaced or otherwise disposed of prior to the end of its estimated useful life, the useful life of the asset is adjusted based on the estimated disposal date and accelerated depreciation is recognized. In 2017, accelerated depreciation primarily relates to Jack in the Box and Qdoba restaurant remodels, as well as the anticipated closure of two Jack in the Box and three Qdoba company-operated restaurants. In 2016, accelerated depreciation was primarily related to expenses at Jack in the Box company-operated restaurants for exterior facility enhancements and the replacement of technology equipment.