Wendy's 2008 Annual Report Download - page 49

Results of Operations
Presented below is a table that summarizes our results of operations and compares the amount of the
change between 2008 and 2007 (the “2008 Change”). Certain percentage changes between these years are
considered not measurable or not meaningful (“n/m”).
2008 2007 Amount Percent
2008 Change
(In Millions)
Revenues:
Sales ............................................. $1,662.3 $1,113.4 $ 548.9 49.3%
Franchise revenues ................................ 160.5 87.0 73.5 84.5%
Asset management and related fees ................. — 63.3 (63.3) (100.0%)
1,822.8 1,263.7 559.1 44.2%
Costs and expenses:
Cost of sales...................................... 1,415.5 894.5 521.0 58.2%
Cost of services ................................... — 25.2 (25.2) (100.0%)
General and administrative. . ....................... 248.7 205.4 43.3 21.1%
Depreciation and amortization...................... 88.3 66.2 22.1 33.4%
Goodwill impairment ............................. 460.1 — 460.1 n/m
Impairment of other long-lived assets ............... 19.2 7.1 12.1 n/m
Facilities relocation and corporate restructuring ...... 3.9 85.4 (81.5) (95.4%)
Gain on sale of consolidated business ............... — (40.2) 40.2 100.0%
Other operating income, net ....................... 0.7 0.2 0.5 n/m
2,236.4 1,243.8 992.6 79.8%
Operating (loss) profit . ....................... (413.6) 19.9 (433.5) n/m
Interest expense ....................................... (67.0) (61.3) (5.7) (9.3%)
Gain on early extinguishments of debt .................. 3.6 — 3.6 n/m
Investment income, net ................................ 9.4 62.1 (52.7) (84.9%)
Other than temporary losses on investments.............. (112.7) (9.9) (102.8) n/m
Other expense, net..................................... (0.6) (1.4) 0.8 57.1%
(Loss) income from continuing operations before
income taxes and minority interests .......... (580.9) 9.4 (590.3) n/m
Benefit from income taxes .............................. 99.3 8.4 90.9 n/m
Minority interests in income of consolidated subsidiaries . . (0.3) (2.7) 2.4 85.2%
(Loss) income from continuing operations ....... (481.9) 15.1 (497.0) n/m
Income from discontinued operations, net of income taxes: 2.2 1.0 1.2 n/m
Net (loss) income ............................ $ (479.7) $ 16.1 $(495.8) n/m
Restaurant Statistics:
Wendy’s same-store sales (a):
Fourth Quarter 2008
North America Company-owned restaurants ........ 3.6%
North America Franchise restaurants............... 3.8%
North America Systemwide ....................... 3.7%
Arby’s same-store sales: 2008 2007 2008 2007
Fifteen Month Method Twelve Month Method
North America Company-owned restaurants ...... (5.8%) (1.3%) (5.8%) (1.5%)
North America Franchised restaurants............ (3.6%) 1.1% (3.5%) 0.9%
North America Systemwide ..................... (4.3%) 0.3% (4.3%) 0.1%
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