Impairments, Exit Costs and Disposals

3 Months Ended

Mar. 29, 2020

Impairments, Exit Costs and Disposals [Abstract]

Impairments, Exit Costs and Disposals

Impairments, Exit Costs and Disposals

The components of Provision for impaired assets and restaurant closings are as follows for the periods indicated:

	THIRTEEN WEEKS ENDED
(dollars in thousands)	MARCH 29, 2020		MARCH 31, 2019
Impairment losses
U.S.	$	30,972	$	3,464
International (1)	3,172		18
Corporate	6,280		—
Total impairment losses	$	40,424	$	3,482
Restaurant closure expenses
U.S.	$	721	$	87
International	173		17
Total restaurant closure expenses	$	894	$	104
Provision for impaired assets and restaurant closings	$	41,318	$	3,586

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(1) Includes goodwill impairment charges of $2.0 million during the thirteen weeks ended March 29, 2020. See Note 8 - Goodwill and Intangible Assets, Net for details regarding impairment of goodwill.

During the thirteen weeks ended March 29, 2020, the Company recognized asset impairment and closure charges related to the COVID-19 pandemic of $31.3 million in the U.S. segment and $3.3 million in the international segment. The Company also recognized asset impairment charges related to transformational initiatives of $6.3 million, which were not allocated to its operating segments.

The remaining impairment and closing charges for the periods presented resulted primarily from locations identified for remodel, relocation or closure and certain other assets.

Accrued Facility Closure and Other Costs Rollforward - The following table summarizes the Company’s accrual activity related to facility closure and other costs, associated with certain closure initiatives, for the period indicated:

	THIRTEEN WEEKS ENDED
(dollars in thousands)	MARCH 29, 2020
Balance, beginning of the period	$	14,542
Cash payments	(925		)
Accretion	281
Adjustments	428
Balance, end of the period (1)	$	14,326

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(1) As of March 29, 2020, the Company had exit-related accruals related to certain closure initiatives of $3.2 million recorded in Accrued and other current liabilities and $11.1 million recorded in Non-current operating lease liabilities on its Consolidated Balance Sheet.

Refranchising - During the thirteen weeks ended March 31, 2019, the Company completed the sale of 18 of its existing U.S. Company-owned Carrabba’s Italian Grill locations to an existing franchisee for cash proceeds of $3.6 million, net of certain purchase price adjustments.