Papa Johns 2003 Annual Report Download - page 18

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17
International Franchised Papa John’s Restaurants
Number of
Restaurants
Alaska
................................
................................
................................
.........
3
Aruba……………………………………………………………………... 1
Bahamas…………………………………………………...
......................
3
Canada
................................
................................
........
7
Cayman Islands…………………………………………………………… 1
China……………………………………………………………………… 1
Costa Rica
................................
................................
................................
...
11
Greece…………………………………………………………………….. 1
Hawaii
................................
................................
................................
.........
16
Korea…………………………………………………………………….. 4
Mexico
................................
................................
........
49
Puerto Rico
................................
................................
................................
.
11
Russia…………………………………………………………………….. 1
Saudi Arabia
................................
................................
...............................
14
Venezuela
................................
................................
................................
...
17
United Kingdom
................................
................................
.........................
74
Total International Franchised Papa John’s Restaurants
..................
214
We define “domestic” operations as units located in the contiguous United States.
Most Papa John’s restaurants are located in leased space. The initial term of most restaurant leases is
generally five years with most leases providing for one or more options to renew for at least one
additional term. Virtually all of our leases specify a fixed annual rent. Generally, the leases are triple net
leases, which require us to pay all or a portion of the cost of insurance, taxes and utilities. Certain leases
further provide that the lease payments may be increased annually, with a small number of escalations
based on changes in the Consumer Price Index.
Approximately 58 Company-owned restaurants are located in buildings we own on land either owned or
leased by us. These restaurants range from 1,100 to 3,000 square feet. Seven of these restaurants are
located in multi-bay facilities. These multi-bay facilities contain from 2,800 to 5,000 square feet, and the
space not utilized by the Papa John’s restaurant in each facility is leased or held for lease to third party
tenants.
We have 211 restaurants located in the United Kingdom (74 franchised and two Company-owned Papa
John’s restaurants and 135 franchised Perfect Pizza restaurants). In addition to leasing the two Company-
owned restaurant sites, we lease and sublease to franchisees 180 of the 209 franchised restaurant sites.
The initial lease terms on the Company and franchised sites are generally 10 to 15 years. The initial lease
terms of the franchisee subleases are generally five to ten years.