Wendy's 2013 Annual Report Download - page 84

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THE WENDY’S COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—CONTINUED
(In Thousands Except Per Share Amounts)
Dispositions
During the year ended December 29, 2013, Wendy’s received cash proceeds of $18,958 from dispositions not
part of the system optimization initiative, consisting of (1) $10,305 primarily from the sale of surplus properties and
(2) $8,653 resulting from franchisees exercising options to purchase previously leased properties. These sales resulted
in a net gain of $4,705 which is included in “Other operating expense, net.” See Note 2 for discussion of restaurant
dispositions in connection with our system optimization initiative.
During the year ended December 30, 2012, Wendy’s received cash proceeds of $21,023 from dispositions,
consisting of (1) $14,059 from the sale of 30 company-owned restaurants to franchisees, (2) $1,874 from the sale of a
restaurant to an unrelated third party, (3) $3,550 resulting from franchisees exercising options to purchase previously
subleased properties, (4) $941 related to the sale of surplus properties and (5) $599 related to other dispositions.
These sales resulted in a net loss of $22.
During the year ended January 1, 2012, Wendy’s received proceeds from dispositions of $6,113, consisting of
(1) $3,275 from the sale of five company-owned restaurants to franchisees, (2) $1,075 from the sale of land, building
and equipment related to the exercise of a purchase option by a franchisee, (3) $909 from the sale of surplus
properties and (4) $854 related to other dispositions. These sales resulted in a net gain of $885.
Other acquisitions and dispositions by the Company for 2011 and by Arby’s through the date of its sale were
not significant.
(4) Income (Loss) Per Share
Basic income (loss) per share for 2013, 2012 and 2011 was computed by dividing income (loss) amounts
attributable to The Wendy’s Company by the weighted average number of common shares outstanding. Income
(loss) amounts attributable to The Wendy’s Company used to calculate basic and diluted income (loss) per share were
as follows:
Year Ended
2013 2012 2011
Amounts attributable to The Wendy’s Company:
Income from continuing operations ....................... $45,753 $5,574 $17,912
Net (loss) income from discontinued operations ............. (266) 1,509 (8,037)
Net income ......................................... $45,487 $7,083 $ 9,875
The weighted average number of shares used to calculate basic and diluted income (loss) per share were as
follows:
Year Ended
2013 2012 2011
Common stock:
Weighted average basic shares outstanding ................. 392,585 390,275 405,224
Dilutive effect of stock options and restricted shares .......... 6,095 1,865 1,956
Weighted average diluted shares outstanding ................ 398,680 392,140 407,180
Diluted income per share was computed by dividing income attributable to The Wendy’s Company by the
weighted average number of basic shares outstanding plus the potential common share effect of dilutive stock options
and restricted shares. For 2013, 2012 and 2011, we excluded 10,823, 23,406 and 19,294, respectively, of potential
common shares from our diluted income per share calculation as they would have had anti-dilutive effects.
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