Wendy's 2009 Annual Report Download - page 105

(a) Includes $7,674, $1,096 and $5,328 of impairment charges related to other intangible assets in 2009,
2008 and 2007, respectively which have been recorded as a reduction in the cost basis of the related
intangible asset.
(b) Includes $2,375 of amortization of asset management contracts until their disposal with the Deerfield Sale.
(8) Long-Term Debt
Long-term debt consisted of the following:
2009 2008
Year End
10.00% Senior Notes, due 2016 (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 551,779 $ —
Senior secured term loan, average effective interest of 7.25% as of
January 3, 2010 (b) .......................................... 251,488 385,030
6.20% senior notes, due in 2014 (c). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 204,303 199,111
6.25% senior notes, due in 2011 (c). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 193,618 188,933
Sale-leaseback obligations due through 2029 (d) . . . . . . . . . . . . . . . . . . . 125,176 123,829
Capitalized lease obligations due through 2036 (e) . . . . . . . . . . . . . . . . . 89,886 106,841
7% Debentures, due in 2025 (f) ................................. 80,081 78,974
6.54% Secured equipment term loan, due in 2013 (g) . . . . . . . . . . . . . 18,901 19,790
Other.......................................................... 7,679 9,069
1,522,911 1,111,577
Less amounts payable within one year . . . . . . . . . . . . . . . . . . . . . . . . . . . . (22,127) (30,426)
$1,500,784 $1,081,151
Aggregate annual maturities of long-term debt, excluding the effect of purchase accounting adjustments,
discounts and interest rate swaps, as of January 3, 2010 were as follows:
Fiscal Year Amount
2010....................................................................... $ 22,127
2011....................................................................... 338,128
2012....................................................................... 136,317
2013....................................................................... 21,567
2014....................................................................... 236,063
Thereafter................................................................... 828,928
$1,583,130
(a) On June 23, 2009, Wendy’s/Arby’s Restaurants issued $565,000 principal amount of Senior Notes (the
“Senior Notes”). The Senior Notes will mature on July 15, 2016 and accrue interest at 10.00% per annum,
payable semi-annually on January 15 and July 15, the first payment of which was made on January 15,
2010. The Senior Notes were issued at 97.533% of the principal amount, representing a yield to maturity
of 10.50% and resulting in net proceeds paid to us of $551,061. The $13,939 discount is being accreted
and the related charge included in “Interest expense” until the Senior Notes mature. The Senior Notes are
fully and unconditionally guaranteed, jointly and severally, on an unsecured basis by certain direct and
indirect domestic subsidiaries of Wendy’s/Arby’s Restaurants (collectively, the “Guarantors”). Wendy’s/Arby’s
Restaurants incurred approximately $21,599 in costs related to the issuance of the Senior Notes which are
being amortized to “Interest expense” over the Senior Notes’ term utilizing the effective interest method.
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Wendy’s/Arby’s Group, Inc. and Subsidiaries
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—CONTINUED
(In Thousands Except Per Share Amounts)