Revenue Recognition

3 Months Ended

Apr. 01, 2018

4. Revenue Recognition

Disaggregation of Revenue

In the following table (in thousands), revenue is disaggregated by major product line. The table also includes a reconciliation of the disaggregated revenue with the reportable segments.


		Reportable Segments
		Quarter Ended April 1, 2018
Major Products/Services Lines		Domestic Company-owned restaurants		North America commissaries		North America franchising		International		All others		Total
Company-owned restaurant sales	$	190,242	$	-	$	-	$	3,453	$	-	$	193,695
Commissary sales		-		217,587		-		17,679		-		235,266
Franchise royalties and fees		-		-		25,825		8,982		-		34,807
Other revenues		-		-		-		5,488		23,150		28,638
Eliminations		-		(55,874)		(1,019)		(70)		(8,074)		(65,037)
Total	$	190,242	$	161,713	$	24,806	$	35,532	$	15,076	$	427,369

The revenue summarized above is described in Note 2 under the heading “Significant Accounting Policies – Revenue Recognition.”

Contract Balances

The following table (in thousands) provides information about contract liabilities.


		April 1,		January 1,
		2018		2018		Change
Deferred revenue	$	16,071	$	15,850	$	220
Customer loyalty program		15,022		14,724		298
Total contract liabilities	$	31,093	$	30,574	$	518

The contract liabilities primarily relate to franchise fees which we classify as “Deferred revenue” and customer loyalty program obligations which are classified with “Accrued expenses and other current liabilities.” During the first quarter of 2018, the Company recognized $3.9 million in revenue related to deferred revenue and customer loyalty program.