XML 40 R23.htm IDEA: XBRL DOCUMENT v3.20.4
Impairment of Long-Lived Assets
 12 Months Ended
Jan. 03, 2021
Asset Impairment Charges [Abstract]  
Impairment of Long-Lived Assets Impairment of Long-Lived Assets
The Company records impairment charges as a result of (1) the deterioration in operating performance of certain Company-operated restaurants, (2) the Company’s decision to lease and/or sublease properties to franchisees in connection with the sale or anticipated sale of Company-operated restaurants, including any subsequent lease modifications, and (3) closing Company-operated restaurants and classifying such surplus properties as held for sale. Impairment charges during 2020 were primarily due to the deterioration in operating performance of certain Company-operated restaurants as a result of the COVID-19 pandemic. Additional impairment charges may be recognized by the Company in the event of further deterioration in operating performance of Company-operated restaurants.

The following is a summary of impairment losses recorded, which represent the excess of the carrying amount over the fair value of the affected assets and are included in “Impairment of long-lived assets:”
Year Ended
202020192018
Company-operated restaurants$7,586 $294 $4,060 
Restaurants leased or subleased to franchisees— 5,308 283 
Surplus properties451 1,397 354 
$8,037 $6,999 $4,697