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10-K
http://www.sec.gov/Archives/edgar/data/949373/000119312513085036/d445565d10k.htm[9/11/2014 10:07:50 AM]
restructuring included eliminating certain redundant positions and reducing headcount. The Company incurred $0.5 million and $0.2 million related
to this restructuring for fiscal 2010 and fiscal 2011, respectively.
In fiscal 2011, the Company committed to a plan to close all five of its commissaries. The Grove City, Ohio commissary closed during the
fourth quarter of 2011. The remaining four commissaries closed by the end of the first quarter of 2012. The Company recorded restructuring
charges of $0.7 million during fiscal 2011 and $0.5 million during fiscal 2012 related to this restructuring.
Also in fiscal 2011, the Company eliminated other redundant positions resulting in an additional $0.2 million of restructuring charges for
fiscal 2011.
All restructuring costs are included in restructuring expenses on the consolidated statements of income and comprehensive income. It is the
Company’ s policy to record all restructuring costs within the corporate support segment.
80
Table of Contents
EINSTEIN NOAH RESTAURANT GROUP, INC. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
The following table summarizes the Company’ s restructuring activities for fiscal 2011 and fiscal 2012:
Employee
Termination
Benefits
Contract
Termination
Costs Other Total
(in thousands)
Balance, December 29, 2009 $— $— $— $—
Additional expense incurred 477 — — 477
Amounts paid (366) — — (366)
Balance, December 28, 2010 $ 111 $— $— $ 111
Additional expense incurred 552 130 417 1,099
Amounts paid (216) — (230) (446)
Balance, January 3, 2012 $ 447 $ 130 $ 187 $ 764
Additional expense incurred 131 325 24 480
Amounts paid (578) (430) (171) (1,179)
Balance, January 1, 2013 $— $ 25 $ 40 $ 65
19. SEGMENTS
The Company’ s senior management team manages the business and allocates resources via a combination of restaurant sales reports and
gross profit information related to the Company’ s three sources of revenue, which are presented in their entirety within the consolidated statements
of income and comprehensive income.
Financial results by reportable segment for fiscal years 2010, 2011 and 2012 are as follows:
Segments
Fiscal 2010:
Company-
owned
restaurants
Manufacturing and
commissary
Franchise and
license
Corporate
support Consolidated
(in thousands of dollars)
Revenues:
Company-owned restaurant sales $372,191 $— $— $— $ 372,191
Manufacturing and commissary revenues — 30,405 — — 30,405
Franchise and license related revenues — — 9,115 — 9,115
Total revenues 372,191 30,405 9,115 — 411,711
Cost of sales:
Company-owned restaurant costs 302,005 — — — 302,005
Manufacturing and commissary costs — 25,566 — — 25,566
Franchise and license related costs — — — — —
Total cost of sales 302,005 25,566 — — 327,571
Gross profit 70,186 4,839 9,115 84,140
Operating expenses 370 — — 56,199 56,569