Refranchising of Company Drive-Ins

12 Months Ended

Aug. 31, 2016

Disposal Group, Not Discontinued Operation, Disposal Disclosures [Abstract]

Refranchising of Company Drive-Ins Text Block

5.  Refranchising of Company Drive-Ins

During fiscal year 2016, the Company refranchised the operations of 38 Company Drive-Ins and recorded a gain of $1.8 million.  The Company retained a non-controlling operating interest in 25 of these refranchised drive-ins.  Gains and losses are recorded as other operating income (expenses), net on the Consolidated Statements of Income.  The Company plans to refranchise other operations as part of its refranchising initiative to move toward an approximately 95%-franchised system.