Popeye's 2013 Annual Report Download - page 76

Download and view the complete annual report

Please find page 76 of the 2013 Popeye's annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 92

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92

Popeyes Louisiana Kitchen, Inc.
Notes to Consolidated Financial Statements
For Fiscal Years 2013, 2012, and 2011 — (Continued)
60
Future Debt Maturities. At December 29, 2013, aggregate future debt maturities, excluding capital lease
obligations, were as follows:
(in millions)
2014 $0.3
2015 0.3
2016 0.3
2017 0.3
2018 63.4
Thereafter 0.4
$65.0
Interest Rate Swap Agreements. Under the 2010 facility,the Company used interest rate swap agreements to fix
the interest rate exposure on aportion of its outstanding term loan debt. The Company's interest rate swap agreements
limited the interest rate exposure on $30 million of floating rate debt to afixed rate of 4.79%.The original term of the
swap agreements was scheduled to expire March 31, 2015.The interest rate swap agreements were terminated on
December 16, 2013.
The following tables summarize the fair value of the Company’sinterest rate swap agreements and the effect on the
financial statements:
Fair Values of Derivative Instruments
Derivative Liabilities
(In millions) Balance Sheet Location 12/29/2013 12/30/2012
Interest rate swap agreements Deferred credits and other long-term liabilities $ — $ 1.3
The Effect of Derivative Instruments on the Statement of Operations
Amount of Gain (Loss) recognized into
AOCI
Amount of Gain (Loss)
Reclassified from AOCI to
Income
(In millions) 2013 2012 2011 2013 2012 2011
Interest rate swap
agreements, net of tax $0.2 $ — $ (0.8)Interest expense, net $ — $ — $ (0.1)
$0.2 $ — $ (0.8) $ — $ — $ (0.1)
Net interest expense associated with these agreements was approximately $0.5 million,$0.6 million, and $0.7 million
in 2013,2012, and 2011, respectively.
Note 10 — Leases
The Company leases property and equipment associated with its (1) corporate facilities; (2) company-operated
restaurants; (3) certain former company-operated restaurants that are now operated by franchisees and the property
subleased to the franchisee; and (4) certain former company-operated restaurants that are now subleased to athird party.