Buffalo Wild Wings 2012 Annual Report Download - page 9

9
company and franchised operations. In addition, employee claims based on, among other things, discrimination, harassment,
wrongful termination, wage and hour requirements and payments to employees who receive gratuities, may divert financial
and management resources and adversely affect operations. The losses that may be incurred as a result of any violation of
such governmental regulations by the company or our franchisees are difficult to quantify.
We are also subject to licensing and regulation by state and local departments relating to the service of alcoholic
beverages, health, sanitation, and fire and safety standards. Compliance with these laws and regulations may lead to increased
costs and operational complexity and may increase our exposure to governmental investigations or litigation. We may also be
subject in certain states to “dram-shop” statutes, which generally allow a person injured by an intoxicated person to recover
damages from an establishment that wrongfully served alcoholic beverages to the intoxicated person. In addition, we are
subject to various state and federal laws relating to the offer and sale of franchises and the franchisor-franchisee relationship.
In general, these laws and regulations impose specific disclosure and registration requirements prior to the sale and marketing
of franchises and regulate certain aspects of the relationship between franchisor and franchisee.
Because of gaming operations in our Nevada facilities, the ownership and operation of those facilities are subject to
the Nevada Gaming Control Act and the regulations promulgated thereunder, as well as various local regulations related to
gaming. Our gaming operations are also subject to the licensing and regulatory control of the Nevada Gaming Commission,
the Nevada State Gaming Control Board and various county and city licensing agencies. These gaming laws, regulations,
and supervisory procedures are based upon declarations of public policy that are concerned with, among other things:
• the prevention of unsavory or unsuitable persons from having a direct or indirect involvement with gaming at any
time or in any capacity;
• the establishment and maintenance of responsible accounting practices;
• the maintenance of effective controls over the financial practices of licensees, including the establishment of
minimum procedures for internal fiscal affairs and the safeguarding of assets and revenues;
• providing reliable record keeping and requiring the filing of periodic reports with the gaming authorities;
• the prevention of cheating and fraudulent practices; and
• providing a source of state and local revenues through taxation and licensing fees.
Any change in such laws, regulations, and procedures could have an adverse effect on the gaming operations in our
Nevada facilities. Additional information regarding regulation related to gaming in our Nevada facilities can be found in
Exhibit 99.1 to this Form 10-K.
Team Members
As of December 30, 2012, we employed approximately 25,500 Team Members. We have approximately 2,800 full-
time and 22,300 part-time Team Members working in our company-owned restaurants and 400 Team Members based out of
our home office or in field management positions. Our Team Members are not covered by any collective bargaining
agreement, and we have never experienced an organized work stoppage or strike. We believe that our working conditions and
compensation packages are competitive and consider our relations with our Team Members to be good.
Executive Officers
The following sets forth certain information about our executive officers:
Sally J. Smith, 55, has served as our Chief Executive Officer and President since July 1996 and as a director since
August 1996. She served as our Chief Financial Officer from 1994 to 1996. Prior to joining Buffalo Wild Wings, she was the
Chief Financial Officer of Dahlberg, Inc., the manufacturer and franchisor of Miracle-Ear hearing aids, from 1983 to 1994.
Ms. Smith began her career with KPMG LLP, an international accounting and auditing firm. Ms. Smith holds an inactive
CPA license. She serves on the boards of the National Restaurant Association and Alerus Financial Corporation.
Mary J. Twinem, 52, has served as our Executive Vice President, Chief Financial Officer and Treasurer since July
1996. She served as our Controller from January 1995 to July 1996. Ms. Twinem also served as a director on our Board from
June 2002 to September 2003. Prior to joining Buffalo Wild Wings, she served as the Director of Finance/Controller of
Dahlberg, Inc. from 1989 to December 1994. Ms. Twinem began her career in public accounting and holds an inactive CPA
license. She serves on the boards of the Minnesota Restaurant Association and Mendota Holdings, Inc.