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Leases
 12 Months Ended
Dec. 29, 2024
Leases [Abstract]  
Leases, Company as Lessee Leases
Nature of Leases

The Company operates restaurants that are located on sites owned by us and sites leased by us from third parties. In addition, the Company owns sites and leases sites from third parties, which it leases and/or subleases to franchisees. The Company also leases restaurant, office and transportation equipment. As of December 29, 2024, the nature of restaurants operated by the Company and its franchisees was as follows:
Year End
December 29, 2024
Company-operated restaurants:
Owned land and building151
Owned building and held long-term land leases136
Leased land and building107
Total Company-operated restaurants394
Franchisee-operated restaurants:
Company-owned properties leased to franchisees486
Company-leased properties subleased to franchisees1,155
Other franchisee-operated restaurants5,205
Total franchisee-operated restaurants6,846
Total Company-operated and franchisee-operated restaurants7,240

Company as Lessee

The components of lease cost for 2024, 2023 and 2022 are as follows:
Year Ended
202420232022
Finance lease cost:
Amortization of finance lease assets$13,877 $16,061 $15,440 
Interest on finance lease liabilities43,051 42,624 42,918 
56,928 58,685 58,358 
Operating lease cost84,382 85,138 86,050 
Variable lease cost (a)66,977 66,859 64,473 
Short-term lease cost5,420 5,864 5,439 
Total operating lease cost (b)156,779 157,861 155,962 
Total lease cost$213,707 $216,546 $214,320 
_______________

(a)Includes expenses for executory costs of $39,754, $39,456, and $38,749 for 2024, 2023 and 2022, respectively, for which the Company is reimbursed by sublessees.

(b)Includes $127,228, $125,180 and $123,924 for 2024, 2023 and 2022, respectively, recorded to “Franchise rental expense” for leased properties that are subsequently leased to franchisees. Also includes $27,633, $30,538 and $29,648 for 2024, 2023 and 2022, respectively, recorded to “Cost of sales” for leases for Company-operated restaurants.
The following table includes supplemental cash flow and non-cash information related to leases:
Year Ended
202420232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from finance leases$43,050 $42,624 $42,979 
Operating cash flows from operating leases86,664 86,972 88,372 
Financing cash flows from finance leases20,404 21,588 17,312 
Right-of-use assets obtained in exchange for lease obligations:
Finance lease liabilities47,014 20,243 34,478 
Operating lease liabilities41,423 12,659 24,742 

The following table includes supplemental information related to leases:
Year End
December 29, 2024December 31,
2023
Weighted-average remaining lease term (years):
Finance leases14.014.3
Operating leases11.912.6
Weighted average discount rate:
Finance leases8.09 %8.52 %
Operating leases4.98 %4.93 %
Supplemental balance sheet information:
Finance lease assets, gross$349,212 $318,951 
Accumulated amortization(104,258)(90,015)
Finance lease assets244,954 228,936 
Operating lease assets679,777 705,615 
The following table illustrates the Company’s future minimum rental payments for non-cancelable leases as of December 29, 2024:
Finance
Leases		Operating
Leases
Fiscal YearCompany-OperatedFranchise
and Other		Company-OperatedFranchise
and Other
2025$7,717 $56,538 $19,800 $64,320 
20267,877 58,284 21,630 65,071 
20277,924 59,312 21,539 65,278 
20287,986 60,494 21,373 65,586 
20298,185 61,928 21,385 64,867 
Thereafter81,102 538,098 154,084 437,968 
Total minimum payments$120,791 $834,654 $259,811 $763,090 
Less interest
(38,201)(319,372)(66,637)(201,863)
Present value of minimum lease payments (a) (b)$82,590 $515,282 $193,174 $561,227 
_______________

(a)The present value of minimum finance lease payments of $22,509 and $575,363 are included in “Current portion of finance lease liabilities” and “Long-term finance lease liabilities,” respectively.

(b)The present value of minimum operating lease payments of $50,068 and $704,333 are included in “Current portion of operating lease liabilities” and “Long-term operating lease liabilities,” respectively.
Leases, Company as Lessor
Company as Lessor

The components of lease income for 2024, 2023 and 2022 are as follows:
Year Ended
202420232022
Sales-type and direct-financing leases:
Selling profit$474 $2,466 $2,981 
Interest income (a)29,187 31,412 31,298 
Operating lease income168,497 163,927 170,633 
Variable lease income67,996 66,241 63,832 
Franchise rental income (b)$236,493 $230,168 $234,465 
_______________

(a)Included in “Interest expense, net.”

(b)Includes sublease income of $174,478, $170,112 and $175,053 recognized during 2024, 2023 and 2022, respectively. Sublease income includes lessees’ variable payments to the Company for executory costs of $39,793, $39,350 and $38,733 for 2024, 2023 and 2022, respectively.
The following table illustrates the Company’s future minimum rental receipts for non-cancelable leases and subleases as of December 29, 2024:
Sales-Type and
Direct Financing Leases		Operating
Leases
Fiscal YearSubleasesOwned PropertiesSubleasesOwned Properties
2025$35,495 $1,129 $108,540 $57,306 
202636,747 1,157 108,841 59,098 
202737,304 1,292 109,624 58,835 
202838,200 1,047 110,555 58,642 
202938,471 1,052 110,177 59,382 
Thereafter349,099 9,366 729,374 500,209 
Total future minimum receipts535,316 15,043 $1,277,111 $793,472 
Unearned interest income(247,224)(5,710)
Net investment in sales-type and direct financing leases (a)$288,092 $9,333 
_______________

(a)The present value of minimum sales-type and direct financing rental receipts of $9,377 and $288,048 are included in “Accounts and notes receivable, net” and “Net investment in sales-type and direct financing leases,” respectively. The present value of minimum sales-type and direct financing rental receipts includes a net investment in unguaranteed residual assets of $125.

Properties owned by the Company and leased to franchisees and other third parties under operating leases include:
Year End
December 29, 2024December 31, 2023
Land$261,131 $260,125 
Buildings and improvements303,521 296,242 
Restaurant equipment1,943 1,701 
566,595 558,068 
Accumulated depreciation and amortization(207,923)(198,429)
$358,672 $359,639