Chili's 2009 Annual Report Download - page 23

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Other Properties
We own an office building containing approximately 108,000 square feet which we use for part of our
corporate headquarters and menu development activities. We lease an additional office complex
containing approximately 198,000 square feet for the remainder of our corporate headquarters which is
currently utilized by us or reserved for future expansion of our headquarters. Because of our operations
throughout the United States, we also lease office space in Arizona, California, Colorado, Florida,
Georgia, New Jersey and Texas for use as regional operation offices. The size of these office leases range
from approximately 100 square feet to approximately 4,000 square feet.
Item 3. LEGAL PROCEEDINGS.
Certain current and former hourly restaurant employees filed a lawsuit against us in California
Superior Court alleging violations of California labor laws with respect to meal and rest breaks. The
lawsuit seeks penalties and attorneys’ fees and was certified as a class action in July 2006. On July 22, 2008,
the California Court of Appeals decertified the class action on all claims with prejudice. On October 22,
2008, the California Supreme Court granted writ to review the decision of the Court of Appeals. We intend
to vigorously defend our position. It is not possible at this time to reasonably estimate the possible loss or
range of loss, if any.
We are engaged in various other legal proceedings and have certain unresolved claims pending. The
ultimate liability, if any, for the aggregate amounts claimed cannot be determined at this time. However,
our management, based upon consultation with legal counsel, is of the opinion that there are no matters
pending or threatened which are expected to have a material adverse effect, individually or in the
aggregate, on our consolidated financial condition or results of operations.
Item 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
None.
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