Impairment and other charges, net (Tables)

9 Months Ended

Jul. 09, 2017

Restructuring and Related Activities [Abstract]

Impairment Disposition Of Property And Equipment, Restaurant Closing Costs And Resturcturing

Impairment and other charges, net in the accompanying condensed consolidated statements of earnings is comprised of the following (in thousands):



	Quarter				Year-to-date
	July 9, 2017		July 3, 2016		July 9, 2017		July 3, 2016
Costs of closed restaurants and other (primarily lease obligations)	$	2,244	$	914	$	5,434	$	2,489
Restructuring costs	1,837		7,744		6,081		7,744
Losses on disposition of property and equipment, net	952		637		2,186		2,283
Accelerated depreciation	674		673		1,394		1,531
Restaurant impairment charges	505		551		505		551
	$	6,212	$	10,519	$	15,600	$	14,598

Restructuring Cost and Reserve [Line Items]

Restructuring and Related Costs [Table Text Block]

The following is a summary of our restructuring costs (in thousands):



	Quarter				Year-to-date
	July 9, 2017		July 3, 2016		July 9, 2017		July 3, 2016
Qdoba Evaluation costs (1)	$	1,654	$	—	$	1,654	$	—
Employee severance and related costs	179		6,487		722		6,487
Facility closing costs (2)	—		847		2,908		847
Other (3)	4		410		797		410
	$	1,837	$	7,744	$	6,081	$	7,744

____________________________


(1)	Qdoba Evaluation costs are primarily comprised of third party consulting, legal services, and audit fees.

(2)

Year-to-date 2017 facility closing costs includes $2.9 million in costs for the accrual of the future lease commitment and expected ancillary costs, net of anticipated sublease rental, for our Qdoba corporate support center, which was offset by $0.9 million due to the reversal of the related tenant improvement allowance, and $0.3 million due to the reversal of the related straight-line rent expense. Year-to-date 2017, facility closing costs also includes $1.2 million of accelerated depreciation related to the relocation of our Qdoba corporate support center.


(3)	Other primarily represents employee relocation costs and moving expenses related to the relocation of our Qdoba corporate support center.

The following is a summary of our 2017 restructuring costs by operating segment (in thousands):



	Quarter				Year-to-date
	July 9, 2017		July 3, 2016		July 9, 2017		July 3, 2016
Jack in the Box restaurant operations	$	—	$	1,796	$	159	$	1,796
Shared services (1)	168		1,535		439		1,535
Qdoba restaurant operations (2)	1,669		4,413		5,483		4,413
	$	1,837	$	7,744	$	6,081	$	7,744

____________________________


(1)	Shared service functions consist primarily of accounting/finance, information technology, human resources, audit services, legal, tax and treasury.


(2)	Includes Qdoba Evaluation costs.

At this time, we are unable to estimate additional charges to be incurred

Facility Closing [Member]

Restructuring Cost and Reserve [Line Items]

Schedule of Restructuring Reserve by Type of Cost [Table Text Block]

Total accrued facility closing costs related to our restructuring activities, which are comprised of the future lease commitment and expected ancillary costs, net of anticipated sublease rental, are included in accrued liabilities and other long-term liabilities, and changed as follows during 2017 (in thousands):



Balance as of October 2, 2016	$	—
Additions	2,927
Interest expense	3
Cash payments	(212		)
Balance as of July 9, 2017	$	2,718

Employee Severance [Member]

Restructuring Cost and Reserve [Line Items]

Schedule of Restructuring Reserve by Type of Cost [Table Text Block]

Total accrued severance costs related to our restructuring activities are included in accrued liabilities and changed as follows during 2017 (in thousands):



Balance as of October 2, 2016	$	4,198
Additions	722
Cash payments	(4,253		)
Balance as of July 9, 2017	$	667

Impairment, Disposition, Closing Costs, and Restructuring [Member]

Restructuring Cost and Reserve [Line Items]

Schedule of Restructuring Reserve by Type of Cost [Table Text Block]

Accrued restaurant closing costs, included in accrued liabilities and other long-term liabilities, changed as follows during 2017 (in thousands):



Balance as of October 2, 2016	$	7,231
Additions	482
Adjustments (1)	966
Interest expense	1,196
Cash payments	(3,501		)
Balance as of July 9, 2017 (2) (3)	$	6,374

___________________________


(1)	Adjustments relate primarily to revisions of certain sublease and cost assumptions. Our estimates related to our future lease obligations, primarily the sublease income we anticipate, are subject to a high degree of judgment and may differ from actual sublease income due to changes in economic conditions, desirability of the sites and other factors.


(2)	The weighted average remaining lease term related to these commitments is approximately 4 years.


(3)	This balance excludes $2.2 million of restaurant closing costs that are included in accrued liabilities and other long-term liabilities, which were initially recorded as losses on the sale of company-operated restaurants upon sale to Jack in the Box franchisees in prior years.