XML 30 R11.htm IDEA: XBRL DOCUMENT
v3.3.1.900

Impairments, Disposals and Exit Costs | 12 Months Ended
--- | ---
Dec. 27, 2015
Impairments and Disposals [Abstract] |
Impairments, disposals and exit costs | Impairments, Disposals and Exit Costs The components of Provision for impaired assets and restaurant closings are as follows:
| FISCAL YEAR
(dollars in thousands) | 2015 |  | 2014 |  | 2013
Impairment losses |  |  |  |  |
U.S. | $ | 27,408 |  |  | $ | 13,822 |  |  | $ | 19,761 |
International | — |  |  | 12,690 |  |  | — |
Corporate | 746 |  |  | 10,559 |  |  | — |
Total impairment losses | $ | 28,154 |  |  | $ | 37,071 |  |  | $ | 19,761 |
Restaurant closure expenses |  |  |  |  |
U.S. | $ | 2,460 |  |  | $ | 7,334 |  |  | $ | 3,077 |
International | 6,053 |  |  | 7,676 |  |  | — |
Total restaurant closure expenses | $ | 8,513 |  |  | $ | 15,010 |  |  | $ | 3,077 |
Provision for impaired assets and restaurant closings | $ | 36,667 |  |  | $ | 52,081 |  |  | $ | 22,838 |
Bonefish Restructuring - On February 12, 2016, the Company decided to close 14 Bonefish restaurants (“Bonefish Restructuring”). The Company expects to substantially complete these restaurant closings through the first quarter of 2019. In connection with the Bonefish Restructuring, the Company reassessed the future undiscounted cash flows of the impacted restaurants, and as a result, the Company recognized pre-tax asset impairments of approximately $24.2 million during the thirteen weeks and fiscal year ended December 27, 2015, which were recorded within the U.S. segment. The Company currently expects to incur additional charges of approximately $4.5 million to $7.5 million over the next five years, including costs associated with lease obligations, employee terminations and other closure related obligations. Following is a summary of estimated pre-tax expense by type:
| ESTIMATED EXPENSE (dollars in millions)
Lease related liabilities, net of subleases | $ | 4.0 |  | to | $ | 6.0 |
Employee severance and other obligations | $ | 0.5 |  | to | $ | 1.5 |
Total future cash expenditures of $11.0 million to $13.5 million, primarily related to lease liabilities, are expected to occur through October 2024. Restaurant Closure Initiatives - During 2014, the Company decided to close 36 underperforming international locations, primarily in South Korea (the “International Restaurant Closure Initiative”). As of December 27, 2015, 35 of the 36 locations have closed. In connection with the International Restaurant Closure Initiative, the Company incurred pre-tax impairment, restaurant and other closing costs of $6.0 million and $19.7 million during fiscal years 2015 and 2014, respectively, which were recorded within the International segment. The Company expects to incur additional charges of approximately $1.0 million, including costs associated with lease obligations, employee terminations and other closure related obligations, through the first half of 2016. Future cash expenditures of $3.0 million to $4.0 million, primarily related to lease liabilities, are expected to occur through the final lease expiration in March 2020. In the fourth quarter of 2013, the Company completed an assessment of its domestic restaurant base and decided to close 22 underperforming domestic locations (the “Domestic Restaurant Closure Initiative”). In connection with the Domestic Restaurant Closure Initiative, pre-tax impairment, restaurant and other closing costs of $1.6 million, $6.0 million and $18.7 million were incurred during fiscal years 2015, 2014 and 2013, respectively, which were recorded within the U.S. segment. Following is a summary of expenses related to the Domestic and International Restaurant Closure Initiatives and the Bonefish Restructuring recognized in the Company’s Consolidated Statements of Operations and Comprehensive Income (dollars in thousands):
DESCRIPTION |  | LOCATION OF CHARGE IN THE CONSOLIDATED STATEMENT OF OPERATIONS AND COMPREHENSIVE INCOME |  | FISCAL YEAR
|  | 2015 |  | 2014 |  | 2013
Property, fixtures and equipment impairments |  | Provision for impaired assets and restaurant closings |  | $ | 24,204 |  |  | $ | 11,573 |  |  | $ | 18,695 |
Facility closure and other expenses |  | Provision for impaired assets and restaurant closings |  | 7,643 |  |  | 14,137 |  |  | — |
Severance and other expenses |  | General and administrative |  | 1,858 |  |  | 4,042 |  |  | — |
Reversal of deferred rent liability |  | Other restaurant operating |  | (198 | ) |  | (2,911 | ) |  | — |
|  |  |  | $ | 33,507 |  |  | $ | 26,841 |  |  | $ | 18,695 |
Following is a summary of the cumulative restaurant closure initiative and Bonefish Restructuring expenses incurred through December 27, 2015 (dollars in thousands):
DESCRIPTION |  | LOCATION OF CHARGE IN THE CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME |  | RESTAURANT CLOSURE INITIATIVES AND RESTRUCTURING
|  | DOMESTIC |  | BONEFISH |  | INTERNATIONAL |  | TOTAL
Property, fixtures and equipment impairments |  | Provision for impaired assets and restaurant closings |  | $ | 18,695 |  |  | $ | 24,204 |  |  | $ | 11,573 |  |  | $ | 54,472 |
Facility closure and other expenses |  | Provision for impaired assets and restaurant closings |  | 7,574 |  |  | — |  |  | 14,206 |  |  | 21,780 |
Severance and other expenses |  | General and administrative |  | 1,035 |  |  | 143 |  |  | 4,722 |  |  | 5,900 |
Reversal of deferred rent liability |  | Other restaurant operating |  | (2,078 | ) |  | — |  |  | (1,031 | ) |  | (3,109 | )
|  |  |  | $ | 25,226 |  |  | $ | 24,347 |  |  | $ | 29,470 |  |  | $ | 79,043 |
The following table summarizes the Company’s accrual activity related to facility closure and other costs, primarily associated with the Domestic and International Restaurant Closure Initiatives, during fiscal years 2015 and 2014:
(dollars in thousands) | 2015 |  | 2014
Beginning of the year | $ | 11,000 |  |  | $ | 2,232 |
Charges | 10,358 |  |  | 12,644 |
Cash payments | (13,814 | ) |  | (4,086 | )
Adjustments (1) | (1,845 | ) |  | 210 |
End of the year (2) | $ | 5,699 |  |  | $ | 11,000 |
________________
(1) | Adjustments to facility closure and other costs represent changes in sublease assumptions and reductions in the Company’s remaining lease obligations.
(2) | As of December 27, 2015 and December 28, 2014, the Company had exit-related accruals of $2.0 million and $4.7 million, respectively, recorded in Accrued and other current liabilities and $3.7 million and $6.3 million, respectively, recorded in Other long-term liabilities, net.
Roy’s - On January 26, 2015, the Company sold its Roy’s business to United Ohana, LLC (the “Buyer”), for a purchase price of $10.0 million, less certain liabilities, and recognized a loss on sale of $0.9 million, which was recorded in Other expense, net, during fiscal year 2015. The sale agreement contained a provision obligating the Company to pay the Buyer up to $5.0 million, if certain lease contingencies were not resolved prior to April 2018 and the Buyer was damaged. In July 2015, these lease contingencies were satisfactorily resolved. In connection with the sale of Roy’s, the Company continues to provide lease guarantees for certain of the Roy’s locations. Under the guarantees, the Company will pay the rental expense over the remaining lease term in the event of default by the Buyer. The fair value and maximum value of the lease guarantees is nominal. The maximum amount is calculated as the fair value of the lease payments, net of sublease assumptions, over the remaining lease term. Following the decision in fiscal year 2014 to sell Roy’s, the Company recorded pre-tax impairment charges of $13.4 million for Assets held for sale. This impairment charge was recorded in Provision for impaired assets and restaurant closings in the Company’s Consolidated Statements of Operations and Comprehensive Income, within the U.S. segment. Following are the components of Roy’s included in the Company’s Consolidated Statements of Operations and Comprehensive Income for the following periods:
| FISCAL YEAR
(dollars in thousands) | 2015 (1) |  | 2014 (2) |  | 2013
Restaurant sales | $ | 5,729 |  |  | $ | 68,575 |  |  | $ | 73,945 |
Loss before income taxes | $ | (831 | ) |  | $ | (13,612 | ) |  | $ | (1,844 | )
________________
(1) | Loss before income taxes includes loss on sale of $0.9 million in fiscal year 2015.
(2) | Loss before income taxes includes impairment charges of $13.4 million in fiscal year 2014 for Assets held for sale.
Other Disposals - During 2014, the Company decided to sell both of its corporate airplanes. In connection with this decision, the Company recognized pre-tax asset impairment charges of $10.6 million for fiscal year 2014. In fiscal year 2015, the Company recognized additional pre-tax asset impairment charges of $0.7 million. The impairment charges are recorded in Provision for impaired assets and restaurant closings in the Company’s Consolidated Statements of Operations and Comprehensive Income, within Unallocated corporate overhead expenses. The Company sold its corporate aircraft during 2015 and 2014 for net proceeds of $2.0 million and $2.5 million, respectively.

X
- Definition Impairments and Disposals [Abstract] + References No definition available. + Details
Name: | blmn_ImpairmentsandDisposalsAbstract
Namespace Prefix: | blmn_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=51716988&loc=SL51721533-107759 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 4B -URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721665-107760 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5C -URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721675-107760 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 3A -URI http://asc.fasb.org/extlink&oid=51719941&loc=SL51724579-110230 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 4A -URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721663-107760 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=51719941&loc=d3e2941-110230 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=51717284&loc=d3e1361-107760 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5B -URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721673-107760 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 3A -URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721659-107760 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5A -URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721671-107760 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5D -URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721677-107760 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=51717284&loc=d3e1474-107760 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 7 -URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721683-107760 + Details
Name: | us-gaap_DisposalGroupsIncludingDiscontinuedOperationsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration