FIXED ASSETS

12 Months Ended

Sep. 27, 2025

Property, Plant and Equipment [Abstract]

Fixed assets consist of the following:


	September 27, 2025		September 28, 2024
	(in thousands)
Land and building	$	17,752	$	18,393
Building and leasehold improvements	42,234		44,371
Furniture, fixtures and equipment	39,187		39,123
Construction in progress	2,198		1,107
	101,371		102,994
Less: accumulated depreciation and amortization	72,203		71,425
Fixed Assets - Net	$	29,168	$	31,569

Depreciation and amortization expense related to fixed assets for the years ended September 27, 2025 and September 28, 2024 was $3,053,000 and $4,001,000, respectively.

Management continually evaluates unfavorable cash flows, if any, related to underperforming restaurants. Periodically it is concluded that certain properties have become impaired based on their existing and anticipated future economic outlook in their respective markets. In such instances, we may impair assets to reduce their carrying values to fair values. Estimated fair values of impaired properties are based on comparable valuations, cash flows and/or management judgment.

During the year ended September 28, 2024, impairment indicators were identified at our Sequoia property located in Washington, D.C. due to lower-than-expected operating results. Accordingly, the Company tested the recoverability of Sequoia's ROU and long-lived assets and concluded they were not recoverable. Based on a discounted cash flow analysis, the Company recognized impairment charges of $1,561,000 and $939,000 related to Sequoia's ROU and long-lived assets, respectively. The Company continued to monitor the performance of Sequoia throughout fiscal 2025 and, as a result of lower than expected operating results, we tested the recoverability of its ROU and long-lived assets again and based on a discounted cash flow analysis, we recognized additional impairment charges of $2,940,000 and $1,760,000 during the year ended September 27, 2025 related to Sequoia's ROU and long-lived assets, respectively.

Given the inherent uncertainty in projecting results of restaurants, the Company will continue to monitor the recoverability of the carrying value of the assets of Sequoia and several other restaurants on an ongoing basis. If expected performance is not realized, further impairment charges may be recognized in future periods, and such charges could be material.