Highlights of Zaxby’s Item 19 Financial Performance Representations (2013 FDD) – Part 1
- As of December 31, 2012, Zaxby’s had 566 open and operating licensed Restaurants. The data utilized in calculating Schedule 1, Table 1, and Table 3 is based solely on the operating results of the 535 Restaurants that were open and operating during the entire 53-week period ending December 30, 2012 (the “Measured Restaurants”).
- Of these 535 Measured Restaurants, 96 were owned or controlled by the franchisor’s principal shareholders during the entire 53-week period.
- The franchisor did not include any Restaurant in this analysis that was not open and operating for such entire 53-week period.
- All of the Measured Restaurants are free-standing Restaurants that offer substantially the same products and services as are currently utilized in all of the licensed Restaurants.
Explanatory Notes for Schedule 1
- Schedule 1 below contains an analysis of gross revenues and certain operating costs and expenses (cost of goods sold, labor costs, and other operating expenses) of the Measured Restaurants for the 53-week period ending December 30, 2012.
- Schedule 1 is not a profit and loss statement.
- In Schedule 1 below, the Restaurants were divided into 4 categories based on the amount of gross revenues which are classified as: Top Quartile, Second Quartile, Third Quartile, and Bottom Quartile.
- The average gross revenues and average operating costs and expenses for each of the categories were calculated by adding the gross revenues or certain operating costs and expenses, as applicable, of all Measured Restaurants within each quartile and dividing by the total number of Measured Restaurants within such quartile. The average gross revenues and costs and expenses in each quartile were then compared to the average gross revenues in such quartile and expressed as a percentage.
Top 25% (133 Restaurants)