Pizza Hut 1999 Annual Report Download - page 53

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51
charges included in our 1997 fourth quarter charge described
above; (2) charges to further reduce the carrying amounts of
the Non-core Businesses held for disposal to estimated market
value, less costs to sell; and (3) charges relating to the esti-
mated costs of settlement of certain wage and hour litigation
and the associated defense and other costs incurred.
Franchise and License Fees
1999 1998 1997
Initial fees, including
renewal fees $71 $67 $86
Initial franchise fees included
in refranchising gains (45) (44) (41)
26 23 45
Continuing fees 697 604 533
$ 723 $ 627 $ 578
Initial fees in 1997 include $24 million of special KFC renewal
fees.
Other (Income) Expense
1999 1998 1997
Equity income from investments
in unconsolidated affiliates $ (19) $ (18) $ (8)
Foreign exchange net loss (gain) 3(6) 16
$ (16) $ (24) $ 8
Property, Plant and Equipment, net
1999 1998
Land $572 $ 707
Buildings and
improvements 2,553 2,861
Capital leases,
primarily buildings 102 124
Machinery and equipment 1,598 1,795
4,825 5,487
Accumulated depreciation
and amortization (2,279) (2,491)
Disposal valuation allowances (15) (100)
$ 2,531 $ 2,896
Intangible Assets, net
1999 1998
Reacquired
franchise rights $ 326 $ 418
Trademarks and
other identifiable intangibles 124 123
Goodwill 77 110
$527 $ 651
In determining the above amounts, we have sub-
tracted accumulated amortization of $456 million for
1999 and $473 million for 1998. We have also sub-
tracted disposal valuation allowances of $18 million
for 1998.
Accounts Payable and Other
Current Liabilities
1999 1998
Accounts payable $ 375 $ 476
Accrued compensation
and benefits 281 310
Other accrued taxes 85 98
Other current liabilities 344 399
$ 1,085 $ 1,283
Short-term Borrowings and
Long-term Debt
1999 1998
Short-term Borrowings
Current maturities of
long-term debt $47$46
Other 70 50
$ 117 $96
Long-term Debt
Senior, unsecured
Term Loan Facility,
due October 2002 $ 774 $ 926
Senior, unsecured
Revolving Credit Facility,
expires October 2002 955 1,815
Senior, Unsecured Notes,
due May 2005 (7.45%) 352 352
Senior, Unsecured Notes,
due May 2008 (7.65%) 251 251
Capital lease obligations
(see Note 12) 97 117
Other, due through 2010
(6% – 11%) 921
2,438 3,482
Less current maturities of
long-term debt (47) (46)
$ 2,391 $ 3,436
note 9
note 10
note 6
note 7
note 11
note 8