Acquisitions

In 2012, as part of an acquisition of restaurants from Burger King Corporation ("BKC"), the Company was assigned BKC's right of first refusal on the sale of franchisee-operated restaurants in 20 states (the "ROFR"). Since the beginning of 2017, the Company has acquired an aggregate of 65 restaurants from other franchisees in the following transactions, some of which were subject to the ROFR:



Closing Date		Number of Restaurants	Purchase Price			Market Location
2017 Acquisitions:
February 28, 2017		43	$	20,366		Cincinnati, Ohio
June 5, 2017	(1)	17	16,355			Baltimore, Maryland and Washington, DC
November 28, 2017		4	1,202			Maine
		64	$	37,923
2018 Acquisitions:
February 13, 2018		1	—		(2)	New York
Total 2017 and 2018 Acquisitions		65	$	37,923


(1)	Acquisitions resulting from the exercise of the ROFR.


(2)	The allocation of the purchase price and the resulting bargain purchase gain for this acquisition is preliminary and subject to adjustment. Specifically, the Company is finalizing the valuation of franchise rights which will impact the amount of the bargain purchase gain.

The restaurants acquired in 2017 and 2018 contributed restaurant sales of $21.4 million and $4.7 million in the three months ended April 1, 2018 and April 2, 2017, respectively. It is impracticable to disclose net earnings for the post-acquisition period for the acquired restaurants as net earnings of these restaurants were not tracked on a collective basis due to the integration of administrative functions, including field supervision.

The unaudited pro forma impact on the results of operations for the restaurants acquired in 2017 and 2018 for the three months ended April 1, 2018 and April 2, 2017 is included below. The unaudited pro forma results of operations are not necessarily indicative of the results that would have occurred had the acquisitions been consummated at the beginning of the periods presented, nor are they necessarily indicative of any future consolidated operating results. The following table summarizes the Company's unaudited pro forma operating results:



	Three Months Ended
	April 1, 2018			April 2, 2017
Restaurant sales	$	271,706		$	256,403
Net loss	$	(3,018	)	$	(4,489	)
Basic and diluted net loss per share	$	(0.08	)	$	(0.13	)

This unaudited pro forma financial information does not give effect to any anticipated synergies, operating efficiencies, cost savings or any integration costs related to the acquired restaurants. The unaudited pro forma financial results exclude transaction costs recorded as general and administrative expenses of $0.1 million during the three months ended April 1, 2018 and $0.7 million during the three months ended April 2, 2017.