Redeemable Noncontrolling Interest

12 Months Ended

Dec. 27, 2016

Noncontrolling Interest [Abstract]

Noncontrolling Interest Disclosure [Text Block]

Redeemable Noncontrolling Interest

On December 7, 2015, the Company acquired a 50.01 percent interest in Tatte, for a cash contribution of $4.0 million. The Company evaluated all of the applicable criteria for an entity subject to consolidation under the provisions of the variable interest model and concluded that Tatte is a VIE requiring consolidation.

The 49.99 percent noncontrolling interest holder holds a written put option which allows them to sell their noncontrolling interest to the Company upon the occurrence of certain events. In addition, the Company holds a call option to acquire the noncontrolling interest upon the occurrence of certain events. Under each of these alternatives, the exercise price will be based on a contractually defined multiple of cash flows, subject to certain limitations (the “redemption value”), which is not a fair value measurement and is payable in cash. As the exercise of the written put option is not solely within the Company's control, the noncontrolling interest in Tatte is classified as temporary equity and reflected in redeemable noncontrolling interest between the Liabilities and Stockholders' Equity sections of the Company's Consolidated Balance Sheets.

The noncontrolling interest is adjusted each period for comprehensive income attributable to the noncontrolling interest and changes in the Company's ownership interest in Tatte, if any. If it is considered probable the noncontrolling interest will become redeemable, an additional adjustment to the carrying value of the noncontrolling interest may be required if the redemption value exceeds the current carrying value. Changes in the carrying value of the noncontrolling interest related to a change in the redemption value will be recorded against permanent equity and will not affect net income. While there is no impact on net income, the redeemable noncontrolling interest will impact the Company's calculation of earnings per share. Utilizing the two-class method, the Company will adjust the numerator of the earnings per share calculation to reflect the changes in the excess, if any, of the noncontrolling interest's redemption value over the noncontrolling interest carrying amount. As of December 27, 2016, the Company has not recorded any such adjustments as it is not considered probable that the noncontrolling interest will become redeemable.