Jack In The Box 2012 Annual Report Download - page 23

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
As we execute our Jack in the Box refranchising strategy, which includes the sale of restaurants to franchisees, we expect the number of company-operated
restaurants and the related sales to decrease while revenues from franchise restaurants increase. As such, company restaurant sales decreased $161.1 million
in 2012 and $288.3 million in 2011 as compared with the respective prior year. The decrease in restaurant sales in both years is due primarily to decreases in
the average number of Jack in the Box company-operated restaurants, partially offset by an increase in the number of Qdoba company-operated restaurants
and increases in average unit volumes (“AUVs”) at our Jack in the Box and Qdoba restaurants. The following table presents the approximate impact of these
increases (decreases) on company restaurant sales and the effect of additional sales from a 53 rd week in 2010 (in millions):


Decrease in the average number of Jack in the Box restaurants
$(365.8)
$(431.7)
Jack in the Box AUV increase
127.8
120.8
Increase in the average number of Qdoba restaurants
65.2
45.0
Qdoba AUV increase
11.7
6.5
53rd week
—
(28.9)
Total decrease in company restaurant sales
$(161.1)
$(288.3)
Same-store sales at Jack in the Box company-operated restaurants increased 4.6% in 2012 and 3.1% in 2011, primarily driven by transaction growth and
price increases. Same-store sales at Qdoba company-operated restaurants increased 2.8% in 2012 and 5.1% in 2011 primarily driven by price increases in
2012 and a combination of transaction growth, pricing and higher catering sales in 2011. The following table summarizes the change in company-operated
same-store sales.



Jack in the Box transactions
2.3%
3.2 %
Jack in the Box average check (1)
2.3%
(0.1)%
Jack in the Box change in same-store sales
4.6%
3.1 %
Qdoba change in same-store sales (2)
2.8%
5.1 %
____________________________
(1) Includes price increases of approximately 3.2% and 1.8% in 2012 and 2011, respectively.
(2) Includes price increases of approximately 3.8% and 1.7% in 2012 and 2011, respectively.
24