Note 5 - Property, Equipment, and Assets Held for Sale

3 Months Ended

Sep. 05, 2017

Notes to Financial Statements

Property, Plant and Equipment Disclosure [Text Block]

5.

Property, Equipment, and Assets Held for Sale

Property and equipment, net, is comprised of the following (in thousands):

	September 5, 2017		June 6, 2017
Land	$	179,890	$	180,520
Buildings		364,433		366,566
Improvements		211,629		227,056
Restaurant equipment		187,673		192,217
Other equipment		71,791		71,851
Surplus properties*		14,809		17,139
Construction in progress and other		1,539		1,172
		1,031,764		1,056,521
Less accumulated depreciation		464,650		473,424
Property and equipment, net	$	567,114	$	583,097

* Surplus properties represent assets held for sale that are

not

classified as such in the

Condensed Consolidated Balance Sheets as we have yet to conclude that we can sell these assets within the next

12

months. These assets primarily consist of parcels of land upon which we have

no

intention to build restaurants, closed properties which include a building, and liquor licenses

not

needed for operations.

Included within the current assets section of our Condensed Consolidated Balance Sheets at

September 5, 2017

and

June 6, 2017

are amounts classified as assets held for sale totaling

$8.6

million and

$12.8

million, respectively. Assets held for sale primarily consist of parcels of land upon which we have

no

intention to build restaurants, land and buildings of closed restaurants, and various liquor licenses. During the

13

weeks ended

September 5, 2017

and

August 30, 2016,

we sold properties with carrying values of

$6.7

million

and

negligible

values, respectively, at net gains of

$2.3

million and

$0.1

million, respectively. Cash proceeds, net of broker fees, from these sales totaled

$9.0

million and

$0.1

million for the

13

weeks ended

September 5, 2017

and

August 30, 2016,

respectively.