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(14) Retention and Other Transaction Costs
6 Months Ended
Jul. 03, 2011
Retention and Other Transaction Costs [Abstract]  
Retention and Other Transaction Costs
Retention Program and Other Transaction Related Costs


During the three months and six months ended July 3, 2011, Wendy’s Restaurants incurred “Retention program and other transaction related costs” of $4,692 and $5,971, which are included in the total $5,039 and $6,923, both respectively, incurred by The Wendy’s Company for an employee retention program resulting from our strategic alternatives announcement regarding Arby’s, the elimination of a senior executive position and certain other professional fees. During the third quarter of 2011, the Companies will incur additional costs of approximately $5,100 under the retention program which were contingent upon the closing of the sale of Arby’s. Additional retention payments aggregating $700 to two corporate executives will be incurred in the third quarter of 2011 and will be expensed over the related service periods of six and nine months.


In the third quarter of 2011, the Companies will incur $1,780 in bonus costs upon the closing of the sale of Arby’s and will recognize $1,073 in compensation costs for accelerated vesting of stock options and restricted stock ($683 of such bonus costs and $891 of such compensation costs will be included in discontinued operations). In addition, we anticipate we will incur (i) employee relocation costs of approximately $2,400 related to the relocation of our corporate offices during the second half of 2011 and (ii) compensation costs of $1,500 due to the relocation of a corporate executive anticipated to take place during the third quarter of 2011 which, in accordance with its terms, will be expensed over the three year period following this executive’s relocation.