Panera Bread 2009 Annual Report Download - page 69

amortization expense on these intangible assets as of December 29, 2009 is estimated to be approximately (in
thousands): $1,236 in 2010, $1,233 in 2011, $1,228 in 2012, $1,243 in 2013, $1,215 in 2014, and $13,040 thereafter.
10. Accrued Expenses
Accrued expenses consisted of the following (in thousands):
December 29,
2009
December 30,
2008
Unredeemed gift cards ..................................... $ 37,454 $ 33,042
Compensation and related employment taxes..................... 33,416 22,508
Insurance ............................................... 16,265 12,482
Taxes, other than income tax ................................ 11,072 4,898
Capital expenditures ....................................... 6,108 6,448
Fresh dough operations .................................... 5,263 5,191
Rent .................................................. 5,019 4,567
Utilities ................................................ 3,163 3,258
Advertising ............................................. 2,465 3,698
Deferred purchase price of noncontrolling interest (Note 4) .......... 2,264 —
Deferred revenue ......................................... 1,334 2,024
Income taxes payable ...................................... — 1,259
Other.................................................. 12,019 10,603
$135,842 $109,978
11. Credit Facility
On March 7, 2008, the Company and certain of its direct and indirect subsidiaries, as guarantors, entered into
an amended and restated credit agreement (the “Amended and Restated Credit Agreement”) with Bank of America,
N.A., and other lenders party thereto to amend and restate in its entirety the Company’s Credit Agreement, dated as
of November 27, 2007, by and among the Company, Bank of America, N.A., and the lenders party thereto (the
“Original Credit Agreement”). The Amended and Restated Credit Agreement provides for a secured revolving
credit facility of $250.0 million. The borrowings under the Amended and Restated Credit Agreement bear interest,
at the Company’s option at the time each loan is made, at either (a) the Base Rate determined by reference to the
higher of (1) the prime rate of Bank of America, N.A., as administrative agent, or (2) the Federal Funds Rate plus
0.50 percent, or (b) LIBOR plus an Applicable Rate, ranging from 0.75 percent to 1.50 percent, based on the
Company’s Consolidated Leverage Ratio, as each term is defined in the Amended and Restated Credit Agreement.
The Company also pays commitment fees for the unused portion of the credit facility on a quarterly basis equal to
the Applicable Rate for commitment fees times the actual daily unused commitment for that calendar quarter. The
Applicable Rate for commitment fees is between 0.15 percent and 0.30 percent based on the Company’s
Consolidated Leverage Ratio.
The Amended and Restated Credit Agreement includes usual and customary covenants for a credit facility of
this type, including covenants limiting liens, dispositions, fundamental changes, investments, indebtedness, and
certain transactions and payments. In addition, the Amended and Restated Credit Agreement also requires the
Company satisfy two financial covenants at the end of each fiscal quarter for the previous four consecutive fiscal
quarters: (1) a consolidated leverage ratio less than or equal to 3.25 to 1.00, and (2) a consolidated fixed charge
coverage ratio of greater than or equal to 2.00 to 1.00. The credit facility, which is collateralized by the capital stock
of the Company’s present and future material subsidiaries, will become due on March 7, 2013, subject to
acceleration upon certain specified events of default, including breaches of representations or covenants, failure
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PANERA BREAD COMPANY
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS — (Continued)