General (Tables)

6 Months Ended

Jun. 28, 2018

Schedule of Accumulated Other Comprehensive Income (Loss)

Accumulated other comprehensive loss presented in the accompanying consolidated balance sheets consists of the following, all presented net of tax:

	Interest Rate Swaps			Available for Sale Investments		Pension Obligation		Accumulated Other Comprehensive Loss
	(in thousands)
Balance at December 28, 2017	$	–		$	(11)	$	(7,414)	$	(7,425)
Amount reclassified to retained earnings on December 29, 2017 in connection with the adoption of ASU No. 2016-01		–			11		–		11
Balance at December 29, 2017		–			–		(7,414)		(7,414)
Amortization of the net actuarial loss and prior service credit		–			–		227		227
Other comprehensive loss before reclassifications		(1)			–		–		(1)
Amounts reclassified from accumulated other comprehensive loss		88	⁽¹⁾		–		–		88
Net other comprehensive income		87			–		227		314
Balance at June 28, 2018	$	87		$	–	$	(7,187)	$	(7,100)

⁽¹⁾

Amount is included in interest expense in the consolidated statements of earnings.

	Available for Sale Investments		Pension Obligation		Accumulated Other Comprehensive Loss
	(in thousands)
Balance at December 29, 2016	$	3	$	(5,069)	$	(5,066)
Change in unrealized gain on available for sale investments		(14)		–		(14)
Amortization of net actuarial loss and prior service credit		–		107		107
Net other comprehensive income (loss)		(14)		107		93
Balance at June 29, 2017	$	(11)	$	(4,962)	$	(4,973)

Schedule of Earnings Per Share, Basic and Diluted

The following table illustrates the computation of Common Stock and Class B Common Stock basic and diluted net earnings per share for net earnings and provides a reconciliation of the number of weighted-average basic and diluted shares outstanding:

	13 Weeks Ended June 28, 2018		13 Weeks Ended June 29, 2017		26 Weeks Ended June 28, 2018		26 Weeks Ended June 29, 2017

	(in thousands, except per share data)
Numerator:
Net earnings attributable to
The Marcus Corporation	$	18,619	$	10,124	$	28,440	$	19,577
Denominator:
Denominator for basic EPS		28,010		27,784		27,952		27,746
Effect of dilutive employee stock options		611		702		582		689
Denominator for diluted EPS		28,621		28,486		28,534		28,435
Net earnings per share - basic:
Common Stock	$	0.68	$	0.38	$	1.05	$	0.73
Class B Common Stock	$	0.62	$	0.34	$	0.95	$	0.66
Net earnings per share - diluted:
Common Stock	$	0.65	$	0.36	$	1.00	$	0.69
Class B Common Stock	$	0.61	$	0.33	$	0.93	$	0.64

Components of Shareholders' Equity Activity Attributable to The Marcus Corporation and Noncontrolling Interests

Activity impacting total shareholders’ equity attributable to The Marcus Corporation and noncontrolling interests for the 26 weeks ended June 28, 2018 and June 29, 2017 was as follows:

	Total Shareholders’ Equity Attributable to The Marcus Corporation		Noncontrolling Interests
	(in thousands)
Balance at December 28, 2017	$	445,024	$	100
Net earnings attributable to The Marcus Corporation		28,440		–
Net earnings attributable to noncontrolling interests		–		78
Distributions to noncontrolling interests		–		(19)
Cash dividends		(8,158)		–
Exercise of stock options		2,104		–
Savings and profit sharing contribution		1,130		–
Treasury stock transactions, except for stock options		(664)		–
Share-based compensation		1,311		–
Cumulative effect of adopting ASU No. 2014-09, net of tax		(2,568)		–
Other comprehensive income, net of tax		314		–
Balance at June 28, 2018	$	466,933	$	159

	Total Shareholders’ Equity Attributable to The Marcus Corporation		Noncontrolling Interests
	(in thousands)
Balance at December 29, 2016	$	390,112	$	1,535
Net earnings attributable to The Marcus Corporation		19,577		–
Net loss attributable to noncontrolling interests		–		(335)
Cash dividends		(6,741)		–
Exercise of stock options		1,241		–
Savings and profit sharing contribution		1,024		–
Treasury stock transactions, except for stock options		52		–
Share-based compensation		1,269		–
Other comprehensive income, net of tax		93		–
Balance at June 29, 2017	$	406,627	$	1,200

Schedule of Net Benefit Costs

The components of the net periodic pension cost of the Company’s unfunded nonqualified, defined-benefit plan are as follows:

	13 Weeks Ended June 28, 2018		13 Weeks Ended June 29, 2017		26 Weeks Ended June 28, 2018		26 Weeks Ended June 29, 2017
	(in thousands)
Service cost	$	231	$	191	$	463	$	382
Interest cost		341		339		682		678
Net amortization of prior service cost and actuarial loss		155		89		310		178
Net periodic pension cost	$	727	$	619	$	1,455	$	1,238