XML 23 R26.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Leases (Tables)
 4 Months Ended
Jan. 19, 2020
Leases [Abstract]  
Lessee, Supplemental Balance Sheet Information
Company as Lessee
Leased assets and liabilities consisted of the following as of January 19, 2020 (in thousands):
January 19,
2020
Assets:  
Operating lease ROU assets  $884,213  
Finance lease ROU assets (1) 2,742  
Total ROU assets  $886,955  
Liabilities:  
Current operating lease liabilities   $158,779  
Current finance lease liabilities (2) 786  
Long term operating lease liabilities  767,819  
Long-term finance lease liabilities (2) 2,609  
Total lease liabilities  $929,993  
____________________________
(1)Included in “Property and equipment, net” on our condensed consolidated balance sheet.
(2)Included in “Current maturities of long-term debt” and “Long-term debt, net of current maturities” on our condensed consolidated balance sheet.
Lease Costs, Lessee
The following table presents our lease cost components and other supplemental information related to our leases (dollars in thousands):
Sixteen Weeks Ended
January 19,
2020
Lease costs:  
Finance lease cost:  
Amortization of ROU assets (1) $234  
Interest on lease liabilities (2) 33  
Operating lease cost (3) 58,512  
Short-term lease cost (3) 1  
Variable lease cost (3)(4) 12,507  
$71,287  
Weighted-average remaining lease term (in years): 
Finance leases  3.9
Operating leases  8.0
Weighted-average discount rate:  
Finance leases  3.4 %
Operating leases  3.9 %
____________________________
(1)Included in “Depreciation and amortization” in our condensed consolidated statement of earnings.
(2)Included in “Interest expense, net” in our condensed consolidated statement of earnings.
(3)Operating lease, short-term and variable lease costs associated with franchisees and company-operated restaurants are included in “Franchise occupancy expenses” and “Occupancy and other”, respectively in our condensed consolidated statement of earnings. For our closed restaurants, these costs are included in “Impairment and other, net” and all other costs are included in “Selling, general and administrative expenses”.
(4)Includes $11.6 million of property taxes and common area maintenance costs which are reimbursed by sub-lessees.
The following table includes supplemental cash flow and non-cash information related to our lessee leases (in thousands):
Sixteen Weeks Ended
January 19,
2020
Cash paid for amounts included in the measurement of lease liabilities:  
Operating cash flows from operating leases  $65,996  
Operating cash flows from financing leases  $33  
Financing cash flows from financing leases  $198  
Right-of-use assets obtained in exchange for lease obligations:  
Operating leases  $51,311  
Financing leases  $—  
Operating Lease, Future Minimum Lease Payments
The following table presents as of January 19, 2020, future minimum lease payments for non-cancellable leases (in thousands):
Finance LeasesOperating Leases
Fiscal year:
Remainder of 2020$647  $130,553  
2021879  193,874  
2022879  153,011  
2023866  124,843  
2024390  94,034  
Thereafter40  386,822  
Total minimum lease payments$3,701  $1,083,137  
Less: imputed interest(306) (156,539) 
Present value of lease liability$3,395  $926,598  
Finance Lease, Future Minimum Lease Payments
The following table presents as of January 19, 2020, future minimum lease payments for non-cancellable leases (in thousands):
Finance LeasesOperating Leases
Fiscal year:
Remainder of 2020$647  $130,553  
2021879  193,874  
2022879  153,011  
2023866  124,843  
2024390  94,034  
Thereafter40  386,822  
Total minimum lease payments$3,701  $1,083,137  
Less: imputed interest(306) (156,539) 
Present value of lease liability$3,395  $926,598  
Future Minimum Rental Payments for Operating Leases under Topic 840
The following table presents as of September 29, 2019, future minimum lease payments for non-cancellable leases (in thousands):
Capital LeasesOperating Leases
Fiscal year:
2020$879  $193,313  
2021879  186,226  
2022879  145,794  
2023864  117,753  
2024396  87,420  
Thereafter40  363,505  
Total minimum lease payments$3,937  $1,094,011  
Less: imputed interest(343) 
Present value of lease liability$3,594  
Future Minimum Lease Payments for Capital Leases under Topic 840
Capital LeasesOperating Leases
Fiscal year:
2020$879  $193,313  
2021879  186,226  
2022879  145,794  
2023864  117,753  
2024396  87,420  
Thereafter40  363,505  
Total minimum lease payments$3,937  $1,094,011  
Less: imputed interest(343) 
Present value of lease liability$3,594  
Lease Income
Company as Lessor
The following table presents rental income (in thousands):
Sixteen Weeks Ended
January 19, 2020
Owned PropertiesLeased PropertiesTotal
Operating lease income - franchise  $6,095  $66,568  $72,663  
Variable lease income - franchise  2,716  20,704  23,420  
Franchise rental revenues  $8,811  $87,272  $96,083  
Operating lease income - closed restaurants and other (1) $—  $2,057  $2,057  
____________________________
(1)Primarily relates to closed restaurant properties included in “Impairment and other, net” in our condensed consolidated statement of earnings.
Future Minimum Rental Receipts
The following table presents as of January 19, 2020, future minimum rental receipts for non-cancellable leases and subleases (in thousands):
January 19,
2020
Fiscal year:
Remainder of 2020$159,654  
2021256,052  
2022232,129  
2023225,488  
2024200,425  
Thereafter1,237,167  
Total minimum rental receipts  $2,310,915  
Future Minimum Rental Receipts for Noncancelable Leases under Topic 840
The following table presents as of September 29, 2019, future minimum rental receipts for non-cancellable leases and subleases (in thousands):
September 29,
2019
Fiscal year:
2020$239,219  
2021255,315  
2022231,394  
2023224,605  
2024199,442  
Thereafter1,215,811  
Total minimum rental receipts  $2,365,786