Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 24, 2013 | Oct. 23, 2013 | |
Document and Entity Information | ' | ' |
Entity Registrant Name | 'Texas Roadhouse, Inc. | ' |
Entity Central Index Key | '0001289460 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 24-Sep-13 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 70,536,937 |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Sep. 24, 2013 | Dec. 25, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $87,344 | $81,746 |
Receivables, net of allowance for doubtful accounts of $3 at September 24, 2013 and $22 at December 25, 2012 | 11,518 | 16,416 |
Inventories, net | 10,962 | 10,909 |
Prepaid income taxes | 1,535 | 3,374 |
Prepaid expenses | 6,608 | 7,191 |
Deferred tax assets | 4,399 | 2,836 |
Total current assets | 122,366 | 122,472 |
Property and equipment, net of accumulated depreciation of $296,530 at September 24, 2013 and $269,052 at December 25, 2012 | 565,433 | 531,654 |
Goodwill | 113,454 | 113,435 |
Intangible assets, net | 7,877 | 9,264 |
Other assets | 17,938 | 14,429 |
Total assets | 827,068 | 791,254 |
Current liabilities: | ' | ' |
Current maturities of long-term debt and obligations under capital leases | 248 | 338 |
Accounts payable | 33,027 | 32,374 |
Deferred revenue - gift cards | 25,424 | 53,041 |
Accrued wages | 26,349 | 25,030 |
Accrued taxes and licenses | 15,103 | 13,253 |
Dividends payable | 8,458 | 13,135 |
Other accrued liabilities | 22,716 | 21,491 |
Total current liabilities | 131,325 | 158,662 |
Long-term debt and obligations under capital leases, excluding current maturities | 51,056 | 51,264 |
Stock option and other deposits | 4,741 | 4,718 |
Deferred rent | 22,768 | 20,168 |
Deferred tax liabilities | 6,419 | 6,102 |
Fair value of derivative financial instruments | 2,980 | 4,016 |
Other liabilities | 17,045 | 15,587 |
Total liabilities | 236,334 | 260,517 |
Texas Roadhouse, Inc. and subsidiaries stockholders' equity: | ' | ' |
Preferred stock ($0.001 par value, 1,000,000 shares authorized; no shares issued or outstanding) | ' | ' |
Common stock, ($0.001 par value, 100,000,000 shares authorized, 70,511,311 and 68,977,045 shares issued and outstanding at September 24, 2013 and December 25, 2012, respectively) | 71 | 69 |
Additional paid in capital | 221,121 | 199,967 |
Retained earnings | 365,551 | 327,509 |
Accumulated other comprehensive loss | -1,827 | -2,461 |
Total Texas Roadhouse, Inc. and subsidiaries stockholders' equity | 584,916 | 525,084 |
Noncontrolling interests | 5,818 | 5,653 |
Total equity | 590,734 | 530,737 |
Total liabilities and equity | $827,068 | $791,254 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 24, 2013 | Dec. 25, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Condensed Consolidated Balance Sheets | ' | ' |
Receivables, allowance for doubtful accounts (in dollars) | $3 | $22 |
Property and equipment, accumulated depreciation (in dollars) | $296,530 | $269,052 |
Preferred stock, par value (in dollars per share) | $0.00 | $0.00 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 70,511,311 | 68,977,045 |
Common stock, shares outstanding | 70,511,311 | 68,977,045 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Income and Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 |
Revenue: | ' | ' | ' | ' |
Restaurant sales | $331,746 | $306,025 | $1,037,239 | $945,583 |
Franchise royalties and fees | 3,024 | 2,631 | 9,326 | 8,217 |
Total revenue | 334,770 | 308,656 | 1,046,565 | 953,800 |
Restaurant operating costs (excluding depreciation and amortization shown separately below): | ' | ' | ' | ' |
Cost of sales | 116,570 | 102,930 | 361,334 | 319,445 |
Labor | 99,003 | 91,507 | 302,387 | 278,089 |
Rent | 7,181 | 6,489 | 21,390 | 19,120 |
Other operating | 51,949 | 50,183 | 162,716 | 151,967 |
Pre-opening | 4,746 | 2,458 | 11,810 | 8,823 |
Depreciation and amortization | 12,462 | 11,828 | 36,864 | 34,721 |
Impairment and closure | 103 | 24 | 187 | 63 |
General and administrative | 17,060 | 15,503 | 56,216 | 53,189 |
Total costs and expenses | 309,074 | 280,922 | 952,904 | 865,417 |
Income from operations | 25,696 | 27,734 | 93,661 | 88,383 |
Interest expense, net | 525 | 603 | 1,687 | 1,776 |
Equity income from investments in unconsolidated affiliates | -173 | -141 | -571 | -303 |
Income before taxes | 25,344 | 27,272 | 92,545 | 86,910 |
Provision for income taxes | 7,500 | 8,778 | 26,617 | 27,815 |
Net income including noncontrolling interests | 17,844 | 18,494 | 65,928 | 59,095 |
Less: Net income attributable to noncontrolling interests | 674 | 427 | 2,624 | 1,849 |
Net income attributable to Texas Roadhouse, Inc. and subsidiaries | 17,170 | 18,067 | 63,304 | 57,246 |
Other comprehensive income (loss), net of tax: | ' | ' | ' | ' |
Unrealized gain (loss) on derivatives, net of tax of ($61), ($17), ($401) and $59, respectively | 97 | 28 | 634 | -78 |
Total comprehensive income | $17,267 | $18,095 | $63,938 | $57,168 |
Net income per common share attributable to Texas Roadhouse, Inc. and subsidiaries: | ' | ' | ' | ' |
Basic (in dollars per share) | $0.24 | $0.26 | $0.91 | $0.82 |
Diluted (in dollars per share) | $0.24 | $0.25 | $0.89 | $0.80 |
Weighted-average shares outstanding: | ' | ' | ' | ' |
Basic (in shares) | 70,361 | 70,482 | 69,914 | 70,004 |
Diluted (in shares) | 71,620 | 71,928 | 71,175 | 71,480 |
Cash dividends declared per share (in dollars per share) | $0.12 | $0.09 | $0.36 | $0.27 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Income and Comprehensive Income (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 |
Condensed Consolidated Statements of Income and Comprehensive Income | ' | ' | ' | ' |
Unrealized gain (loss) on derivatives, tax | ($61) | ($17) | ($401) | $59 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statement of Stockholders' Equity (USD $) | Total | Total Texas Roadhouse, Inc. and Subsidiaries | Common Stock | Additional Paid in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interests |
In Thousands, except Share data, unless otherwise specified | |||||||
Balance at Dec. 25, 2012 | $530,737 | $525,084 | $69 | $199,967 | $327,509 | ($2,461) | $5,653 |
Balance (in shares) at Dec. 25, 2012 | 68,977,045 | ' | 68,977,045 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Net income | 65,928 | 63,304 | ' | ' | 63,304 | ' | 2,624 |
Unrealized gain on derivatives, net of tax of $401 | 634 | 634 | ' | ' | ' | 634 | ' |
Distributions to noncontrolling interests | -2,459 | ' | ' | ' | ' | ' | -2,459 |
Minority interest liquidation adjustments | 36 | 36 | ' | 36 | ' | ' | ' |
Dividends declared and paid ($0.36 per share) | -16,804 | -16,804 | ' | ' | -16,804 | ' | ' |
Dividends declared ($0.12 per share) | -8,458 | -8,458 | ' | ' | -8,458 | ' | ' |
Shares issued under stock option plan including tax effects | 16,014 | 16,014 | 1 | 16,013 | ' | ' | ' |
Shares issued under stock option plan including tax effects (in shares) | ' | ' | 976,659 | ' | ' | ' | ' |
Settlement of restricted stock units | ' | ' | 1 | -1 | ' | ' | ' |
Settlement of restricted stock units (in shares) | ' | ' | 832,467 | ' | ' | ' | ' |
Indirect repurchase of shares for minimum tax withholdings | -5,477 | -5,477 | ' | -5,477 | ' | ' | ' |
Indirect repurchase of shares for minimum tax withholdings (in shares) | ' | ' | -274,860 | ' | ' | ' | ' |
Share-based compensation | 10,583 | 10,583 | ' | 10,583 | ' | ' | ' |
Balance at Sep. 24, 2013 | $590,734 | $584,916 | $71 | $221,121 | $365,551 | ($1,827) | $5,818 |
Balance (in shares) at Sep. 24, 2013 | 70,511,311 | ' | 70,511,311 | ' | ' | ' | ' |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statement of Stockholders' Equity (Parenthetical) (USD $) | 9 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Sep. 24, 2013 |
Condensed Consolidated Statement of Stockholders' Equity | ' |
Unrealized gain on derivatives, tax | $401 |
Dividends declared and paid per share (in dollars per share) | $0.36 |
Dividends declared per share (in dollars per share) | $0.36 |
Condensed_Consolidated_Stateme4
Condensed Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 24, 2013 | Sep. 25, 2012 |
Cash flows from operating activities: | ' | ' |
Net income including noncontrolling interests | $65,928 | $59,095 |
Depreciation and amortization | 36,864 | 34,721 |
Deferred income taxes | -1,739 | -6,389 |
Loss on disposition of assets | 2,641 | 2,712 |
Impairment and closure costs | 84 | ' |
Equity income from investments in unconsolidated affiliates | -571 | -303 |
Distributions of income received from investments in unconsolidated affiliates | 343 | 336 |
Provision for doubtful accounts | 85 | 14 |
Share-based compensation expense | 10,583 | 9,754 |
Changes in operating working capital: | ' | ' |
Receivables | 4,813 | 1,558 |
Inventories | -53 | 1,209 |
Prepaid expenses | 583 | 2,013 |
Other assets | -3,201 | -1,866 |
Accounts payable | 653 | -5,099 |
Deferred revenue - gift cards | -27,670 | -25,724 |
Accrued wages | 1,319 | 769 |
Excess tax benefits from share-based compensation | -3,013 | -3,159 |
Prepaid income taxes and income taxes payable | 4,943 | 9,194 |
Accrued taxes and licenses | 1,850 | 1,126 |
Other accrued liabilities | 1,225 | 6,906 |
Deferred rent | 2,536 | 2,247 |
Other liabilities | 1,458 | 1,880 |
Net cash provided by operating activities | 99,661 | 90,994 |
Cash flows from investing activities: | ' | ' |
Capital expenditures - property and equipment | -71,888 | -63,146 |
Proceeds from sale of property and equipment, including insurance proceeds, and other | -39 | 255 |
Net cash used in investing activities | -71,927 | -62,891 |
Cash flows from financing activities: | ' | ' |
Repayments of revolving credit facility | ' | -10,000 |
Proceeds from noncontrolling interest contributions and other | ' | 1,285 |
Distributions to noncontrolling interests | -2,459 | -2,183 |
Excess tax benefits from share-based compensation | 3,013 | 3,159 |
Repayment of stock option and other deposits | 23 | 38 |
Indirect repurchase of shares for minimum tax withholdings | -5,477 | -2,991 |
Principal payments on long-term debt and capital lease obligations | -298 | -224 |
Proceeds from exercise of stock options | 13,001 | 10,265 |
Dividends paid to stockholders | -29,939 | -18,134 |
Net cash used in financing activities | -22,136 | -18,785 |
Net increase in cash and cash equivalents | 5,598 | 9,318 |
Cash and cash equivalents - beginning of period | 81,746 | 78,777 |
Cash and cash equivalents - end of period | 87,344 | 88,095 |
Supplemental disclosures of cash flow information: | ' | ' |
Interest, net of amounts capitalized | 1,803 | 1,874 |
Income taxes, net of refunds | $23,410 | $25,003 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 24, 2013 | |
Basis of Presentation | ' |
Basis of Presentation | ' |
(1) Basis of Presentation | |
The accompanying unaudited condensed consolidated financial statements include the accounts of Texas Roadhouse, Inc. (“TRI”), our wholly-owned subsidiaries and subsidiaries in which we own more than 50 percent interest (collectively the “Company,” “we,” “our” and/or “us”) as of September 24, 2013 and December 25, 2012 and for the 13 and 39 weeks ended September 24, 2013 and September 25, 2012. Our wholly-owned subsidiaries include: Texas Roadhouse Holdings LLC (“Holdings”), Texas Roadhouse Development Corporation (“TRDC”) and Texas Roadhouse Management Corporation (“Management Corp.”). We and our subsidiaries operate restaurants primarily under the Texas Roadhouse name. Holdings also provides supervisory and administrative services for certain other franchise Texas Roadhouse restaurants. TRDC sells franchise rights and collects the franchise royalties and fees. Management Corp. provides management services to the Company and certain other franchise Texas Roadhouse restaurants. All significant balances and transactions between the consolidated entities have been eliminated. | |
As of September 24, 2013 and September 25, 2012, we owned 5.0% to 10.0% equity interests in 23 and 22 franchise restaurants, respectively. The unconsolidated restaurants are accounted for using the equity method. While we exercise significant control over these franchise restaurants, we do not consolidate their financial position, results of operations or cash flows as it is immaterial to our consolidated financial position, results of operations and cash flows. Our investments in these unconsolidated affiliates are included in Other assets in our unaudited condensed consolidated balance sheets, and we record our percentage share of net income earned by these unconsolidated affiliates in our unaudited condensed consolidated statements of income and comprehensive income under Equity income from investments in unconsolidated affiliates. | |
We have made a number of estimates and assumptions relating to the reporting of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reporting of revenue and expenses during the periods to prepare these unaudited condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”). Significant items subject to such estimates and assumptions include the carrying amount of property and equipment, goodwill, obligations related to insurance reserves, income taxes and share-based compensation expense. Actual results could differ from those estimates. | |
In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, consisting only of normal recurring adjustments, necessary to present fairly our financial position, results of operations and cash flows for the periods presented. The financial statements have been prepared in accordance with GAAP, except that certain information and footnotes have been condensed or omitted pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”). Operating results for the 13 and 39 weeks ended September 24, 2013 are not necessarily indicative of the results that may be expected for the year ending December 31, 2013. The unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 25, 2012. | |
Certain prior year amounts have been reclassified in our unaudited condensed consolidated financial statements to conform with current year presentation. | |
Our significant interim accounting policies include the recognition of income taxes using an estimated annual effective tax rate. | |
Sharebased_Compensation
Share-based Compensation | 9 Months Ended | |||||||||||||
Sep. 24, 2013 | ||||||||||||||
Share-based Compensation | ' | |||||||||||||
Share-based Compensation | ' | |||||||||||||
(2) Share-based Compensation | ||||||||||||||
On May 16, 2013, the Company’s stockholders approved the Texas Roadhouse, Inc. 2013 Long-Term Incentive Plan (the “Plan”). The Plan provides for the granting of incentive and non-qualified stock options to purchase shares of common stock, stock appreciation rights, and full value awards, including restricted stock, restricted stock units (“RSUs”), deferred stock units, performance stock and performance stock units. As a result of the approval of the Plan, no future awards will be made under the Texas Roadhouse, Inc. 2004 Equity Incentive Plan. | ||||||||||||||
Beginning in 2008, we changed the method by which we provide share-based compensation to our employees by eliminating stock option grants and, instead, granting RSUs as a form of share-based compensation. An RSU is the conditional right to receive one share of common stock upon satisfaction of the vesting requirement. | ||||||||||||||
The following table summarizes the share-based compensation recorded in the accompanying unaudited condensed consolidated statements of income and comprehensive income: | ||||||||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||||||
September 24, | September 25, | September 24, | September 25, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||
Labor expense | $ | 1,356 | $ | 1,196 | $ | 4,027 | $ | 3,326 | ||||||
General and administrative expense | 2,256 | 2,233 | 6,556 | 6,428 | ||||||||||
Total share-based compensation expense | $ | 3,612 | $ | 3,429 | $ | 10,583 | $ | 9,754 | ||||||
Share-based compensation activity by type of grant as of September 24, 2013 and changes during the 39 weeks then ended are presented below. | ||||||||||||||
Summary Details for Equity Incentive Plan Share Options | ||||||||||||||
Shares | Weighted- | Weighted-Average | Aggregate | |||||||||||
Average | Remaining Contractual | Intrinsic | ||||||||||||
Exercise Price | Term (years) | Value | ||||||||||||
Outstanding at December 25, 2012 | 2,258,921 | $ | 13.24 | |||||||||||
Granted | — | — | ||||||||||||
Forfeited | (25,719 | ) | 12.55 | |||||||||||
Exercised | (976,659 | ) | 13.31 | |||||||||||
Outstanding at September 24, 2013 | 1,256,543 | $ | 13.2 | 2.33 | $ | 15,781 | ||||||||
Exercisable at September 24, 2013 | 1,256,543 | $ | 13.2 | 2.33 | $ | 15,781 | ||||||||
The total intrinsic value of options exercised during the 13 weeks ended September 24, 2013 and September 25, 2012 was $1.7 million and $1.6 million, respectively. During the 39 weeks ended September 24, 2013 and September 25, 2012, the total intrinsic value of options exercised was $8.0 million and $8.2 million, respectively. No stock options vested during the 13 or 39 week periods ended September 24, 2013. The total grant date fair value of stock options vested for the 13 week period ended September 25, 2012 was immaterial. The total grant date fair value of stock options vested for the 39 week period ended September 25, 2012 was $0.1 million. | ||||||||||||||
Summary Details for RSUs | ||||||||||||||
Shares | Weighted- | Weighted-Average | Aggregate | |||||||||||
Average | Remaining Contractual | Intrinsic | ||||||||||||
Grant Date | Term (years) | Value | ||||||||||||
Fair Value | ||||||||||||||
Outstanding at December 25, 2012 | 1,803,514 | $ | 15.73 | |||||||||||
Granted | 418,870 | 22.53 | ||||||||||||
Forfeited | (35,096 | ) | 17.17 | |||||||||||
Vested | (832,467 | ) | 15.92 | |||||||||||
Outstanding at September 24, 2013 | 1,354,821 | $ | 17.68 | 8.65 | $ | 34,900 | ||||||||
As of September 24, 2013, with respect to unvested RSUs, there was $13.4 million of unrecognized compensation cost that is expected to be recognized over a weighted-average period of 1.3 years. The vesting terms of the RSUs range from 1.0 to 5.0 years. The total intrinsic value of RSUs vested for the 13 weeks ended September 24, 2013 and September 25, 2012 was $3.7 million and $1.8 million, respectively. For the 39 weeks ended September 24, 2013 and September 25, 2012, the total intrinsic value of RSUs vested was $16.9 million and $7.2 million, respectively. | ||||||||||||||
Longterm_Debt_and_Obligations_
Long-term Debt and Obligations Under Capital Leases | 9 Months Ended | |||||||
Sep. 24, 2013 | ||||||||
Long-term Debt and Obligations Under Capital Leases | ' | |||||||
Long-term Debt and Obligations Under Capital Leases | ' | |||||||
(3) Long-term Debt and Obligations Under Capital Leases | ||||||||
Long-term debt and obligations under capital leases consisted of the following: | ||||||||
September 24, 2013 | December 25, 2012 | |||||||
Installment loans, due 2013 — 2020 | $ | 1,304 | $ | 1,473 | ||||
Obligations under capital leases | — | 129 | ||||||
Revolving credit facility | 50,000 | 50,000 | ||||||
51,304 | 51,602 | |||||||
Less current maturities | 248 | 338 | ||||||
$ | 51,056 | $ | 51,264 | |||||
The weighted-average interest rate for installment loans outstanding at September 24, 2013 and December 25, 2012 was 10.55% and 10.56%, respectively. The debt is secured by certain land and buildings and is subject to certain prepayment penalties. | ||||||||
On August 12, 2011, we entered into a $200.0 million five-year revolving credit facility with a syndicate of commercial lenders led by JPMorgan Chase Bank, N.A., PNC Bank, N.A., and Wells Fargo, N.A. This facility replaced our previous five-year revolving credit facility. The revolving credit facility expires on August 12, 2016. The terms of the revolving credit facility require us to pay interest on outstanding borrowings at London Interbank Offered Rate (“LIBOR”) plus a margin of 0.875% to 1.875%, depending on our leverage ratio, or the Alternate Base Rate, which is the higher of the issuing bank’s prime lending rate, the Federal Funds rate plus 0.50% or the Adjusted Eurodollar Rate for a one month interest period on such day plus 1.0%. We are also required to pay a commitment fee of 0.150% to 0.350% per year on any unused portion of the revolving credit facility, depending on our leverage ratio. The weighted-average interest rate for the revolving credit facility at both September 24, 2013 and December 25, 2012 was 3.96%, including the impact of interest rate swaps as discussed in note 5. At September 24, 2013, we had $50.0 million outstanding under the revolving credit facility and $145.3 million of availability, net of $4.7 million of outstanding letters of credit. | ||||||||
The lenders’ obligation to extend credit under the revolving credit facility depends on us maintaining certain financial covenants, including a minimum consolidated fixed charge coverage ratio of 2.00 to 1.00 and a maximum consolidated leverage ratio of 3.00 to 1.00. The revolving credit facility permits us to incur additional secured or unsecured indebtedness outside the facility, except for the incurrence of secured indebtedness that in the aggregate exceeds 20% of our consolidated tangible net worth or circumstances where the incurrence of secured or unsecured indebtedness would prevent us from complying with our financial covenants. We were in compliance with all covenants as of September 24, 2013. | ||||||||
On November 1, 2013, we amended our existing revolving credit facility which extended the expiration date to November 1, 2018. There were no material changes to the terms of the revolving credit facility. |
Income_taxes
Income taxes | 9 Months Ended | |||||||||
Sep. 24, 2013 | ||||||||||
Income taxes | ' | |||||||||
Income taxes | ' | |||||||||
(4) Income taxes | ||||||||||
A reconciliation of the statutory federal income tax rate to our effective tax rate for the 13 and 39 weeks ended September 24, 2013 and September 25, 2012 is as follows: | ||||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||
September 24, 2013 | September 25, 2012 | September 24, 2013 | September 25, 2012 | |||||||
Tax at statutory federal rate | 35 | % | 35 | % | 35 | % | 35 | % | ||
State and local tax, net of federal benefit | 3.7 | 3.8 | 3.7 | 3.8 | ||||||
FICA tip tax credit | (7.5 | ) | (6.4 | ) | (6.3 | ) | (5.8 | ) | ||
Work opportunity tax credit | (1.1 | ) | (0.9 | ) | (2.2 | ) | (0.8 | ) | ||
Incentive stock options | (1.2 | ) | (0.2 | ) | (0.8 | ) | (0.3 | ) | ||
Nondeductible officer compensation | 0.5 | 1.4 | 0.4 | 1.1 | ||||||
Other | 1 | — | (0.2 | ) | (0.3 | ) | ||||
Total | 30.4 | % | 32.7 | % | 29.6 | % | 32.7 | % | ||
We deduct net income attributable to noncontrolling interests from income before taxes as shown in our unaudited condensed consolidated statements of income and comprehensive income to determine the effective tax rates shown in the table above. | ||||||||||
Derivative_and_Hedging_Activit
Derivative and Hedging Activities | 9 Months Ended | |||||||||||||||
Sep. 24, 2013 | ||||||||||||||||
Derivative and Hedging Activities | ' | |||||||||||||||
Derivative and Hedging Activities | ' | |||||||||||||||
(5) Derivative and Hedging Activities | ||||||||||||||||
We enter into derivative instruments for risk management purposes only, including derivatives designated as hedging instruments under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 815, Derivatives and Hedging (“ASC 815”). We use interest rate-related derivative instruments to manage our exposure to fluctuations of interest rates. By using these instruments, we expose ourselves, from time to time, to credit risk and market risk. Credit risk is the failure of the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is positive, the counterparty owes us, which creates credit risk for us. We attempt to minimize the credit risk by entering into transactions with high-quality counterparties whose credit rating is evaluated on a quarterly basis. Our counterparty in the interest rate swaps is JPMorgan Chase Bank, N.A. Market risk is the adverse effect on the value of a financial instrument that results from a change in interest rates. We minimize market risk by establishing and monitoring parameters that limit the types and degree of market risk that may be taken. | ||||||||||||||||
Interest Rate Swaps | ||||||||||||||||
On October 22, 2008, we entered into an interest rate swap, starting on November 7, 2008, with a notional amount of $25.0 million to hedge a portion of the cash flows of our variable rate borrowings. We have designated the interest rate swap as a cash flow hedge of our exposure to variability in future cash flows attributable to interest payments on a $25.0 million tranche of floating rate debt borrowed under our revolving credit facility. Under the terms of the swap, we pay a fixed rate of 3.83% on the $25.0 million notional amount and receive payments from the counterparty based on the 1-month LIBOR rate for a term ending on November 7, 2015, effectively resulting in a fixed rate on the $25.0 million notional amount. | ||||||||||||||||
On January 7, 2009, we entered into an interest rate swap, starting on February 7, 2009, with a notional amount of $25.0 million to hedge a portion of the cash flows of our variable rate borrowings. We have designated the interest rate swap as a cash flow hedge of our exposure to variability in future cash flows attributable to interest payments on a $25.0 million tranche of floating rate debt borrowed under our revolving credit facility. Under the terms of the swap, we pay a fixed rate of 2.34% on the $25.0 million notional amount and receive payments from the counterparty based on the 1-month LIBOR rate for a term ending on January 7, 2016, effectively resulting in a fixed rate on the $25.0 million notional amount. | ||||||||||||||||
We entered into the above interest rate swaps with the objective of eliminating the variability of our interest cost that arises because of changes in the variable interest rate for the designated interest payments. Changes in the fair value of the interest rate swaps will be reported as a component of accumulated other comprehensive income or loss (“AOCI”). Additionally, amounts related to the yield adjustment of the hedged interest payments are subsequently reclassified into interest expense in the same period which the related interest affects earnings. We will reclassify any gain or loss from accumulated other comprehensive income or loss, net of tax, in our unaudited condensed consolidated balance sheet to interest expense in our unaudited condensed consolidated statement of income and comprehensive income when the interest rate swap expires or at the time we choose to terminate the swap. See note 11 for fair value discussion of these interest rate swaps. | ||||||||||||||||
The following table summarizes the fair value and presentation in the unaudited condensed consolidated balance sheets for derivatives designated as hedging instruments under FASB ASC 815: | ||||||||||||||||
Derivative Assets | Derivative Liabilities | |||||||||||||||
Balance | September 24, | December 25, | September 24, | December 25, | ||||||||||||
Sheet | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Location | ||||||||||||||||
Derivative Contracts Designated as Hedging Instruments under ASC 815 | -1 | |||||||||||||||
Interest rate swaps | $ | — | $ | — | $ | 2,980 | $ | 4,016 | ||||||||
Total Derivative Contracts | $ | — | $ | — | $ | 2,980 | $ | 4,016 | ||||||||
-1 | Derivative assets and liabilities are included in fair value of derivative financial instruments in the unaudited condensed consolidated balance sheets. | |||||||||||||||
The following table summarizes the effect of our interest rate swaps in the unaudited condensed consolidated statements of income and comprehensive income for the 13 and 39 weeks ended September 24, 2013 and September 25, 2012: | ||||||||||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||||||||
September | September | September | September | |||||||||||||
24, 2013 | 25, 2012 | 24, 2013 | 25, 2012 | |||||||||||||
Gain (loss) recognized in AOCI, net of tax (effective portion) | $ | 97 | $ | 28 | $ | 634 | $ | (78 | ) | |||||||
Loss reclassified from AOCI to income (effective portion) | $ | 378 | $ | 363 | $ | 1,106 | $ | 1,082 | ||||||||
The loss reclassified from AOCI to income was recognized in interest expense on our unaudited condensed consolidated statements of income and comprehensive income. For each of the 13 and 39 weeks ended September 24, 2013 and September 25, 2012, we did not recognize any gain or loss due to hedge ineffectiveness related to the derivative instruments in the unaudited condensed consolidated statements of income and comprehensive income. | ||||||||||||||||
Recent_Accounting_Pronouncemen
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 24, 2013 | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | ' |
(6) Recent Accounting Pronouncements | |
ComprehensiveIncome | |
(AccountingStandards Update 2013-02, “ASU 2013-2”) | |
In February 2013, the FASB issued ASU 2013-2, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income, that requires an organization to present the effects on the line items of net income of significant amounts reclassified out of AOCI, but only if the item reclassified is required under GAAP to be reclassified to net income in its entirety in the same reporting period. ASU 2013-02 was effective for fiscal years beginning after December 15, 2012 (our 2013 fiscal year). The adoption of this new guidance had no impact on our consolidated financial position, results of operations or cash flows. | |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 24, 2013 | |
Commitments and Contingencies | ' |
Commitments and Contingencies | ' |
(7) Commitments and Contingencies | |
The estimated cost of completing capital project commitments at September 24, 2013 and December 25, 2012 was approximately $63.8 million and $73.2 million, respectively. | |
We entered into real estate lease agreements for franchise restaurants located in Everett, MA, Longmont, CO, Montgomeryville, PA, Fargo, ND and Logan, UT before granting franchise rights for those restaurants. We have subsequently assigned the leases to the franchisees, but remain contingently liable if a franchisee defaults under the terms of a lease. We are contingently liable for the initial term of the lease and any renewal periods. The Longmont lease was assigned in October 2003 and the initial term expires in May 2014. The Everett lease was assigned in September 2002 and the initial term expires in February 2018. The Montgomeryville lease was assigned in October 2004 and the initial term expires in June 2021. The Fargo lease was assigned in February 2006 and the initial term expires in July 2016. The Logan lease was assigned in January 2009 and the initial term expires in August 2019. All of the leases have three five-year renewals. As the fair value of the guarantees is not considered significant, no liability has been recorded. As discussed in note 9, the Everett, MA, Longmont, CO, and Fargo, ND restaurants are owned, in whole or part, by certain of our officers, directors or 5% shareholders. | |
During the 39 weeks ended September 24, 2013, we bought most of our beef from four suppliers. Although there are a limited number of beef suppliers, we believe that other suppliers could provide a similar product on comparable terms. A change in suppliers, however, could cause supply shortages and a possible loss of sales, which would affect operating results adversely. We have no material minimum purchase commitments with our vendors that extend beyond a year. | |
On September 30, 2011, the U.S. Equal Employment Opportunity Commission (“EEOC”) filed a lawsuit styled Equal Employment Opportunity Commission v. Texas Roadhouse, Inc., Texas Roadhouse Holdings LLC, Texas Roadhouse Management Corp. in the United States District Court, District of Massachusetts (“Court”), Civil Action Number 1:11-cv-11732. The complaint alleges that applicants over the age of 40 were denied employment in our restaurants in bartender, host, server and server assistant positions due to their age. The EEOC is seeking injunctive relief, remedial actions, payment of damages to the applicants and costs. We have filed an answer to the complaint, and the case is in discovery. We deny liability; however, in view of the inherent uncertainties of litigation, the outcome of this case cannot be predicted at this time. We cannot estimate the possible amount or range of loss, if any, associated with this matter. | |
We are involved in various other claims and legal actions arising in the normal course of business. In the opinion of management, the ultimate disposition of these matters will not have a material effect on our consolidated financial position, results of operations or cash flows. | |
Acquisitions
Acquisitions | 9 Months Ended | ||||
Sep. 24, 2013 | |||||
Acquisitions | ' | ||||
Acquisitions | ' | ||||
(8) Acquisitions | |||||
On December 25, 2012, we acquired two franchise restaurants in Illinois. Pursuant to the terms of the acquisition agreement, we paid a purchase price of $4.2 million. This acquisition is consistent with our long-term strategy to increase net income and earnings per share. | |||||
This transaction was accounted for using the purchase method as defined in ASC 805, Business Combinations (“ASC 805”). Based on a purchase price of $4.2 million, $2.8 million of goodwill was generated by the acquisition, which is not amortizable for book purposes, but is deductible for tax purposes. | |||||
The purchase price has been allocated as follows: | |||||
Current assets | $ | 64 | |||
Property and equipment, net | 304 | ||||
Goodwill | 2,759 | ||||
Intangible asset | 1,342 | ||||
Current liabilities | (195 | ) | |||
Other liabilities | (64 | ) | |||
Purchase Price | $ | 4,210 | |||
As a result of this acquisition, we recorded an intangible asset associated with reacquired franchise rights of $1.3 million in accordance with ASC 805. ASC 805 requires that a business combination between two parties that have a preexisting relationship be evaluated to determine if a settlement of a preexisting relationship exists. ASC 805 also requires that certain reacquired rights (including the rights to the acquirer’s trade name under a franchise agreement) be recognized as intangible assets apart from goodwill. | |||||
The fair value of $1.3 million assigned to the intangible asset acquired was determined primarily using valuation methods that discount expected future cash flows to present value using estimates and assumptions determined by management. The intangible asset has a weighted-average life of approximately 2.6 years based on the remaining term of the franchise agreements. We recorded amortization expense relating to the intangible asset of approximately $0.4 million for the 39 weeks ended September 24, 2013. We expect the annual expense for the next four years to be $0.6 million for 2013, $0.5 million for 2014, $0.2 million for 2015 and $0.1 million for 2016. | |||||
Pro forma results of operations have not been presented because the effect of the acquisition was not material to our financial position, results of operations or cash flows. |
Related_Party_Transactions
Related Party Transactions | 9 Months Ended |
Sep. 24, 2013 | |
Related Party Transactions | ' |
Related Party Transactions | ' |
(9) Related Party Transactions | |
The Longview, Texas restaurant, which was acquired by us in connection with the completion of our initial public offering, leases the land and restaurant building from an entity controlled by Steven L. Ortiz, our Chief Operating Officer. The lease term is 15 years and will terminate in November 2014. The lease can be renewed for two additional terms of five years each. Rent is approximately $19,000 per month. The lease can be terminated if the tenant fails to pay the rent on a timely basis, fails to maintain the insurance specified in the lease, fails to maintain the building or property or becomes insolvent. Total rent payments were approximately $0.1 million for each of the 13 weeks ended September 24, 2013 and September 25, 2012. For each of the 39 week periods ended September 24, 2013 and September 25, 2012, rent payments were approximately $0.2 million. | |
The Bossier City, Louisiana restaurant, of which Mr. Ortiz beneficially owns 66.0% and we own 5.0%, leases the land and restaurant building from an entity owned by Mr. Ortiz. The lease term is 15 years and will terminate on March 31, 2020. Rent is approximately $16,600 per month and escalates 10% each five year period during the term. The next rent escalation is in the second quarter of 2015. The lease can be terminated if the tenant fails to pay rent on a timely basis, fails to maintain insurance, abandons the property or becomes insolvent. Total rent payments were approximately $0.1 million for each of the 13 weeks ended September 24, 2013 and September 25, 2012. For each of the 39 week periods ended September 24, 2013 and September 25, 2012, rent payments were approximately $0.1 million. | |
We have 15 franchise restaurants owned, in whole or part, by certain of our officers, directors or 5% shareholders as of September 24, 2013 and September 25, 2012. These entities paid us fees of approximately $0.6 million for both of the 13 weeks ended September 24, 2013 and September 25, 2012. For the 39 week periods ended September 24, 2013 and September 25, 2012, these entities paid us fees of approximately $1.8 and $1.7 million, respectively. As disclosed in note 7, we are contingently liable on leases which are related to three of these restaurants. | |
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | |||||||||||||
Sep. 24, 2013 | ||||||||||||||
Earnings Per Share | ' | |||||||||||||
Earnings Per Share | ' | |||||||||||||
(10) Earnings Per Share | ||||||||||||||
The share and net income per share data for all periods presented are based on the historical weighted-average shares outstanding. The diluted earnings per share calculations show the effect of the weighted-average stock options and RSUs outstanding from our equity incentive plan as discussed in note 2. | ||||||||||||||
The following table summarizes the options and nonvested stock that were outstanding but not included in the computation of diluted earnings per share because their inclusion would have had an anti-dilutive effect: | ||||||||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||||||
September 24, | September 25, | September 24, | September 25, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||
Options | — | 289,210 | — | 293,561 | ||||||||||
Nonvested stock | — | — | 29,155 | 4,901 | ||||||||||
Total | — | 289,210 | 29,155 | 298,462 | ||||||||||
The following table sets forth the c alculation of weighted-average shares outstanding (in thousands) as presented in the accompanying unaudited condensed consolidated statements of income and comprehensive income: | ||||||||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||||||
September 24, | September 25, | September 24, | September 25, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||
Net income attributable to Texas Roadhouse, Inc. and subsidiaries | $ | 17,170 | $ | 18,067 | $ | 63,304 | $ | 57,246 | ||||||
Basic EPS: | ||||||||||||||
Weighted-average common shares outstanding | 70,361 | 70,482 | 69,914 | 70,004 | ||||||||||
Basic EPS | $ | 0.24 | $ | 0.26 | $ | 0.91 | $ | 0.82 | ||||||
Diluted EPS: | ||||||||||||||
Weighted-average common shares outstanding | 70,361 | 70,482 | 69,914 | 70,004 | ||||||||||
Dilutive effect of stock options and nonvested stock | 1,259 | 1,446 | 1,261 | 1,476 | ||||||||||
Shares — diluted | 71,620 | 71,928 | 71,175 | 71,480 | ||||||||||
Diluted EPS | $ | 0.24 | $ | 0.25 | $ | 0.89 | $ | 0.8 | ||||||
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | |||||||||||||
Sep. 24, 2013 | ||||||||||||||
Fair Value Measurements | ' | |||||||||||||
Fair Value Measurements | ' | |||||||||||||
(11) Fair Value Measurements | ||||||||||||||
ASC 820, Fair Value Measurements and Disclosures (“ASC 820”), establishes a framework for measuring fair value and expands disclosures about fair value measurements. ASC 820 establishes a three-level hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs in measuring fair value. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability on the measurement date. | ||||||||||||||
Level 1 | Inputs based on quoted prices in active markets for identical assets. | |||||||||||||
Level 2 | Inputs other than quoted prices included within Level 1 that are observable for the assets, either directly or indirectly. | |||||||||||||
Level 3 | Inputs that are unobservable for the asset. | |||||||||||||
There were no transfers among levels within the fair value hierarchy during the 13 and 39 weeks ended September 24, 2013. | ||||||||||||||
The following table presents the fair values for our financial assets and liabilities measured on a recurring basis: | ||||||||||||||
Fair Value Measurements | ||||||||||||||
Level | September 24, 2013 | December 25, 2012 | ||||||||||||
Interest rate swaps | 2 | $ | (2,980 | ) | $ | (4,016 | ) | |||||||
Deferred compensation plan - assets | 1 | 11,174 | 9,145 | |||||||||||
Deferred compensation plan - liabilities | 1 | (11,156 | ) | (9,160 | ) | |||||||||
The fair values of our interest rate swaps were determined based on industry-standard valuation models. Such models project future cash flows and discount the future amounts to present value using market-based observable inputs, including interest rate curves. See note 5 for discussion of our interest rate swaps. | ||||||||||||||
The Second Amended and Restated Deferred Compensation Plan of Texas Roadhouse Management Corp., as amended, (the “Deferred Compensation Plan”) is a nonqualified deferred compensation plan which allows highly compensated employees to defer receipt of a portion of their compensation and contribute such amounts to one or more investment funds held in a rabbi trust. We report the accounts of the rabbi trust in our unaudited condensed consolidated financial statements. These investments are considered trading securities and are reported at fair value based on third-party broker statements. The realized and unrealized holding gains and losses related to these investments, as well as the offsetting compensation expense, are recorded in general and administrative expense in the unaudited condensed consolidated statements of income and comprehensive income. | ||||||||||||||
At September 24, 2013 and December 25, 2012, the fair values of cash and cash equivalents, accounts receivable and accounts payable approximated their carrying values based on the short-term nature of these instruments. The fair value of our revolving credit facility at September 24, 2013 and December 25, 2012 approximated its carrying value since it is a variable rate credit facility (Level 2). The fair value of our installment loans is estimated based on the current rates offered to us for instruments of similar terms and maturities. The carrying amounts and related estimated fair values for our installment loans are as follows: | ||||||||||||||
September 24, 2013 | December 25, 2012 | |||||||||||||
Carrying | Fair Value | Carrying | Fair Value | |||||||||||
Amount | Amount | |||||||||||||
Installment loans — Level 2 | $ | 1,304 | $ | 1,524 | $ | 1,473 | $ | 1,752 | ||||||
Stock_Repurchase_Program
Stock Repurchase Program | 9 Months Ended |
Sep. 24, 2013 | |
Stock Repurchase Program | ' |
Stock Repurchase Program | ' |
(12) Stock Repurchase Program | |
On February 16, 2012, our Board of Directors approved a stock repurchase program which authorized us to repurchase up to $100.0 million of our common stock. This stock repurchase program has no expiration date. All repurchases to date under our stock repurchase program have been made through open market transactions. The timing and the amount of any repurchases will be determined by management under parameters established by our Board of Directors, based on its evaluation of our stock price, market conditions and other corporate considerations. | |
We did not repurchase any shares of our common stock during the 13 and 39 week periods ended September 24, 2013 or September 25, 2012. | |
Sharebased_Compensation_Tables
Share-based Compensation (Tables) | 9 Months Ended | |||||||||||||
Sep. 24, 2013 | ||||||||||||||
Share-based Compensation | ' | |||||||||||||
Summary of allocation of share-based compensation expense | ' | |||||||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||||||
September 24, | September 25, | September 24, | September 25, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||
Labor expense | $ | 1,356 | $ | 1,196 | $ | 4,027 | $ | 3,326 | ||||||
General and administrative expense | 2,256 | 2,233 | 6,556 | 6,428 | ||||||||||
Total share-based compensation expense | $ | 3,612 | $ | 3,429 | $ | 10,583 | $ | 9,754 | ||||||
Summary of stock option activity | ' | |||||||||||||
Shares | Weighted- | Weighted-Average | Aggregate | |||||||||||
Average | Remaining Contractual | Intrinsic | ||||||||||||
Exercise Price | Term (years) | Value | ||||||||||||
Outstanding at December 25, 2012 | 2,258,921 | $ | 13.24 | |||||||||||
Granted | — | — | ||||||||||||
Forfeited | (25,719 | ) | 12.55 | |||||||||||
Exercised | (976,659 | ) | 13.31 | |||||||||||
Outstanding at September 24, 2013 | 1,256,543 | $ | 13.2 | 2.33 | $ | 15,781 | ||||||||
Exercisable at September 24, 2013 | 1,256,543 | $ | 13.2 | 2.33 | $ | 15,781 | ||||||||
Summary of restricted stock unit activity | ' | |||||||||||||
Shares | Weighted- | Weighted-Average | Aggregate | |||||||||||
Average | Remaining Contractual | Intrinsic | ||||||||||||
Grant Date | Term (years) | Value | ||||||||||||
Fair Value | ||||||||||||||
Outstanding at December 25, 2012 | 1,803,514 | $ | 15.73 | |||||||||||
Granted | 418,870 | 22.53 | ||||||||||||
Forfeited | (35,096 | ) | 17.17 | |||||||||||
Vested | (832,467 | ) | 15.92 | |||||||||||
Outstanding at September 24, 2013 | 1,354,821 | $ | 17.68 | 8.65 | $ | 34,900 | ||||||||
Longterm_Debt_and_Obligations_1
Long-term Debt and Obligations Under Capital Leases (Tables) | 9 Months Ended | |||||||
Sep. 24, 2013 | ||||||||
Long-term Debt and Obligations Under Capital Leases | ' | |||||||
Schedule of long-term debt and capital lease obligations | ' | |||||||
September 24, 2013 | December 25, 2012 | |||||||
Installment loans, due 2013 — 2020 | $ | 1,304 | $ | 1,473 | ||||
Obligations under capital leases | — | 129 | ||||||
Revolving credit facility | 50,000 | 50,000 | ||||||
51,304 | 51,602 | |||||||
Less current maturities | 248 | 338 | ||||||
$ | 51,056 | $ | 51,264 |
Income_taxes_Tables
Income taxes (Tables) | 9 Months Ended | |||||||||
Sep. 24, 2013 | ||||||||||
Income taxes | ' | |||||||||
Schedule of reconciliation of the statutory federal income tax rate to the entity's effective tax rate | ' | |||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||
September 24, 2013 | September 25, 2012 | September 24, 2013 | September 25, 2012 | |||||||
Tax at statutory federal rate | 35 | % | 35 | % | 35 | % | 35 | % | ||
State and local tax, net of federal benefit | 3.7 | 3.8 | 3.7 | 3.8 | ||||||
FICA tip tax credit | (7.5 | ) | (6.4 | ) | (6.3 | ) | (5.8 | ) | ||
Work opportunity tax credit | (1.1 | ) | (0.9 | ) | (2.2 | ) | (0.8 | ) | ||
Incentive stock options | (1.2 | ) | (0.2 | ) | (0.8 | ) | (0.3 | ) | ||
Nondeductible officer compensation | 0.5 | 1.4 | 0.4 | 1.1 | ||||||
Other | 1 | — | (0.2 | ) | (0.3 | ) | ||||
Total | 30.4 | % | 32.7 | % | 29.6 | % | 32.7 | % |
Derivative_and_Hedging_Activit1
Derivative and Hedging Activities (Tables) | 9 Months Ended | |||||||||||||||
Sep. 24, 2013 | ||||||||||||||||
Derivative and Hedging Activities | ' | |||||||||||||||
Summary of fair value presentation of derivative instruments designated as hedging instrument | ' | |||||||||||||||
Derivative Assets | Derivative Liabilities | |||||||||||||||
Balance | September 24, | December 25, | September 24, | December 25, | ||||||||||||
Sheet | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Location | ||||||||||||||||
Derivative Contracts Designated as Hedging Instruments under ASC 815 | -1 | |||||||||||||||
Interest rate swaps | $ | — | $ | — | $ | 2,980 | $ | 4,016 | ||||||||
Total Derivative Contracts | $ | — | $ | — | $ | 2,980 | $ | 4,016 | ||||||||
-1 | Derivative assets and liabilities are included in fair value of derivative financial instruments in the unaudited condensed consolidated balance sheets. | |||||||||||||||
Summary of effect of interest rate swaps in the consolidated statements of income and comprehensive income | ' | |||||||||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||||||||
September | September | September | September | |||||||||||||
24, 2013 | 25, 2012 | 24, 2013 | 25, 2012 | |||||||||||||
Gain (loss) recognized in AOCI, net of tax (effective portion) | $ | 97 | $ | 28 | $ | 634 | $ | (78 | ) | |||||||
Loss reclassified from AOCI to income (effective portion) | $ | 378 | $ | 363 | $ | 1,106 | $ | 1,082 |
Acquisitions_Tables
Acquisitions (Tables) | 9 Months Ended | ||||
Sep. 24, 2013 | |||||
Acquisitions | ' | ||||
Schedule of purchase price allocations | ' | ||||
Current assets | $ | 64 | |||
Property and equipment, net | 304 | ||||
Goodwill | 2,759 | ||||
Intangible asset | 1,342 | ||||
Current liabilities | (195 | ) | |||
Other liabilities | (64 | ) | |||
Purchase Price | $ | 4,210 |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | |||||||||||||
Sep. 24, 2013 | ||||||||||||||
Earnings Per Share | ' | |||||||||||||
Summary of options and nonvested stock that were outstanding but not included in the computation of diluted earnings per share | ' | |||||||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||||||
September 24, | September 25, | September 24, | September 25, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||
Options | — | 289,210 | — | 293,561 | ||||||||||
Nonvested stock | — | — | 29,155 | 4,901 | ||||||||||
Total | — | 289,210 | 29,155 | 298,462 | ||||||||||
Schedule of calculation of weighted-average shares outstanding | ' | |||||||||||||
The following table sets forth the c alculation of weighted-average shares outstanding (in thousands) as presented in the accompanying unaudited condensed consolidated statements of income and comprehensive income: | ||||||||||||||
13 Weeks Ended | 39 Weeks Ended | |||||||||||||
September 24, | September 25, | September 24, | September 25, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||
Net income attributable to Texas Roadhouse, Inc. and subsidiaries | $ | 17,170 | $ | 18,067 | $ | 63,304 | $ | 57,246 | ||||||
Basic EPS: | ||||||||||||||
Weighted-average common shares outstanding | 70,361 | 70,482 | 69,914 | 70,004 | ||||||||||
Basic EPS | $ | 0.24 | $ | 0.26 | $ | 0.91 | $ | 0.82 | ||||||
Diluted EPS: | ||||||||||||||
Weighted-average common shares outstanding | 70,361 | 70,482 | 69,914 | 70,004 | ||||||||||
Dilutive effect of stock options and nonvested stock | 1,259 | 1,446 | 1,261 | 1,476 | ||||||||||
Shares — diluted | 71,620 | 71,928 | 71,175 | 71,480 | ||||||||||
Diluted EPS | $ | 0.24 | $ | 0.25 | $ | 0.89 | $ | 0.8 |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | |||||||||||||
Sep. 24, 2013 | ||||||||||||||
Fair Value Measurements | ' | |||||||||||||
Schedule of fair value of assets and liabilities measured on a recurring basis | ' | |||||||||||||
Fair Value Measurements | ||||||||||||||
Level | September 24, 2013 | December 25, 2012 | ||||||||||||
Interest rate swaps | 2 | $ | (2,980 | ) | $ | (4,016 | ) | |||||||
Deferred compensation plan - assets | 1 | 11,174 | 9,145 | |||||||||||
Deferred compensation plan - liabilities | 1 | (11,156 | ) | (9,160 | ) | |||||||||
Schedule of carrying amounts and estimated fair values of debt | ' | |||||||||||||
September 24, 2013 | December 25, 2012 | |||||||||||||
Carrying | Fair Value | Carrying | Fair Value | |||||||||||
Amount | Amount | |||||||||||||
Installment loans — Level 2 | $ | 1,304 | $ | 1,524 | $ | 1,473 | $ | 1,752 | ||||||
Basis_of_Presentation_Details
Basis of Presentation (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 | |
restaurant | restaurant | restaurant | restaurant | |
Basis of Presentation | ' | ' | ' | ' |
Threshold percentage of ownership for consolidated subsidiaries | 50.00% | 50.00% | 50.00% | 50.00% |
Percentage of ownership interest in unconsolidated affiliate franchise restaurants, low end of range | 5.00% | 5.00% | 5.00% | 5.00% |
Percentage of ownership interest in unconsolidated affiliate franchise restaurants, high end of range | 10.00% | 10.00% | 10.00% | 10.00% |
Number of unconsolidated affiliate franchise restaurants | 23 | 22 | 23 | 22 |
Sharebased_Compensation_Detail
Share-based Compensation (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 |
Share-based Compensation | ' | ' | ' | ' |
Number of common shares that an RSU holder would receive upon satisfaction of the vesting requirement (in shares) | 1 | ' | 1 | ' |
Share-based compensation expenses | ' | ' | ' | ' |
Share-based compensation expense | $3,612 | $3,429 | $10,583 | $9,754 |
Labor expense | ' | ' | ' | ' |
Share-based compensation expenses | ' | ' | ' | ' |
Share-based compensation expense | 1,356 | 1,196 | 4,027 | 3,326 |
General and administrative expense | ' | ' | ' | ' |
Share-based compensation expenses | ' | ' | ' | ' |
Share-based compensation expense | $2,256 | $2,233 | $6,556 | $6,428 |
Sharebased_Compensation_Detail1
Share-based Compensation (Details 2) (Stock Options, Equity Incentive Plan, USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 | |
Stock Options | Equity Incentive Plan | ' | ' | ' | ' |
Shares | ' | ' | ' | ' |
Outstanding at the beginning of the period (in shares) | ' | ' | 2,258,921 | ' |
Forfeited (in shares) | ' | ' | -25,719 | ' |
Exercised (in shares) | ' | ' | -976,659 | ' |
Outstanding at the end of the period (in shares) | 1,256,543 | ' | 1,256,543 | ' |
Exercisable at the end of period (in shares) | 1,256,543 | ' | 1,256,543 | ' |
Weighted-Average Exercise Price | ' | ' | ' | ' |
Outstanding at the beginning of the period (in dollars per share) | ' | ' | $13.24 | ' |
Forfeited (in dollars per share) | ' | ' | $12.55 | ' |
Exercised (in dollars per share) | ' | ' | $13.31 | ' |
Outstanding at the end of the period (in dollars per share) | $13.20 | ' | $13.20 | ' |
Exercisable at the end of the period (in dollars per share) | $13.20 | ' | $13.20 | ' |
Weighted-Average Remaining Contractual Term | ' | ' | ' | ' |
Outstanding at the end of the period | ' | ' | '2 years 3 months 29 days | ' |
Exercisable at the end of the period | ' | ' | '2 years 3 months 29 days | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' |
Outstanding at the end of the period (in dollars) | $15,781,000 | ' | $15,781,000 | ' |
Exercisable at the end of the period (in dollars) | 15,781,000 | ' | 15,781,000 | ' |
Intrinsic value of options exercised (in dollars) | 1,700,000 | 1,600,000 | 8,000,000 | 8,200,000 |
Awards vested (in shares) | 0 | ' | 0 | ' |
Total grant date fair value of options vested (in dollars) | ' | ' | ' | $100,000 |
Sharebased_Compensation_Detail2
Share-based Compensation (Details 3) (RSUs, USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 | |
Share-based compensation | ' | ' | ' | ' |
Unrecognized compensation cost of unvested stock awards (in dollars) | $13,400,000 | ' | $13,400,000 | ' |
Expected weighted-average period of recognition of unrecognized compensation cost of unvested awards | ' | ' | '1 year 3 months 18 days | ' |
Restricted Stock Units, Shares | ' | ' | ' | ' |
Outstanding at the beginning of the period (in shares) | ' | ' | 1,803,514 | ' |
Granted (in shares) | ' | ' | 418,870 | ' |
Forfeited (in shares) | ' | ' | -35,096 | ' |
Vested (in shares) | ' | ' | -832,467 | ' |
Outstanding at the end of period (in shares) | 1,354,821 | ' | 1,354,821 | ' |
Restricted Stock Units, Weighted-Average Grant Date Fair Value | ' | ' | ' | ' |
Outstanding at the beginning of the period (in dollars per share) | ' | ' | $15.73 | ' |
Granted (in dollars per share) | ' | ' | $22.53 | ' |
Forfeited (in dollars per share) | ' | ' | $17.17 | ' |
Vested (in dollars per share) | ' | ' | $15.92 | ' |
Outstanding at the end of the period (in dollars per share) | $17.68 | ' | $17.68 | ' |
Intrinsic value of vested awards (in dollars) | 3,700,000 | 1,800,000 | 16,900,000 | 7,200,000 |
Weighted-Average Remaining Contractual Term (years) | ' | ' | ' | ' |
Weighted-Average Remaining Contractual Term | ' | ' | '8 years 7 months 24 days | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' |
Outstanding at the end of the period (in dollars) | ' | ' | $34,900,000 | ' |
Minimum | ' | ' | ' | ' |
Share-based compensation | ' | ' | ' | ' |
Vesting period | ' | ' | '1 year | ' |
Maximum | ' | ' | ' | ' |
Share-based compensation | ' | ' | ' | ' |
Vesting period | ' | ' | '5 years | ' |
Longterm_Debt_and_Obligations_2
Long-term Debt and Obligations Under Capital Leases (Details) (USD $) | 0 Months Ended | 9 Months Ended | |
Aug. 12, 2011 | Sep. 24, 2013 | Dec. 25, 2012 | |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Long-term debt and capital lease obligations | ' | $51,304,000 | $51,602,000 |
Less current maturities | ' | 248,000 | 338,000 |
Long-term debt and capital lease obligations, excluding current maturities | ' | 51,056,000 | 51,264,000 |
Installment loans, due 2013-2020 | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Long-term debt and capital lease obligations | ' | 1,304,000 | 1,473,000 |
Weighted-average interest rate (as a percent) | ' | 10.55% | 10.56% |
Revolving credit facility, remaining borrowing capacity | ' | 145,300,000 | ' |
Letters of credit outstanding | ' | 4,700,000 | ' |
Obligations under capital leases | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Long-term debt and capital lease obligations | ' | ' | 129,000 |
Revolving credit facility | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Long-term debt and capital lease obligations | ' | 50,000,000 | 50,000,000 |
Weighted-average interest rate (as a percent) | ' | 3.96% | 3.96% |
Revolving credit facility, maximum borrowing capacity | $200,000,000 | ' | ' |
Revolving credit facility term | '5 years | ' | ' |
Revolving credit facility, fixed charge coverage ratio | ' | 2 | ' |
Revolving credit facility, leverage ratio | ' | 3 | ' |
Debt instrument condition for additional borrowing of secured debt, based on percentage of consolidated tangible net worth | ' | 20.00% | ' |
Revolving credit facility | Minimum | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Percentage of commitment fee on unused credit facility | ' | 0.15% | ' |
Revolving credit facility | Maximum | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Percentage of commitment fee on unused credit facility | ' | 0.35% | ' |
Revolving credit facility | LIBOR | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Variable rate basis | ' | 'LIBOR | ' |
Revolving credit facility | LIBOR | Minimum | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Interest rate added to base rate (as a percent) | ' | 0.88% | ' |
Revolving credit facility | LIBOR | Maximum | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Interest rate added to base rate (as a percent) | ' | 1.88% | ' |
Revolving credit facility | Federal Funds | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Variable rate basis | ' | 'Federal Funds | ' |
Interest rate added to base rate (as a percent) | ' | 0.50% | ' |
Revolving credit facility | Prime Lending Rate | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Variable rate basis | ' | 'Prime Lending Rate | ' |
Revolving credit facility | Eurodollar | ' | ' | ' |
Long-term Debt and Obligations Under Capital Leases | ' | ' | ' |
Variable rate basis | ' | 'Adjusted 1 Month Eurodollar Rate | ' |
Interest rate added to base rate (as a percent) | ' | 1.00% | ' |
Income_taxes_Details
Income taxes (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 | |
Reconciliation of the statutory federal income tax rate to the entity's effective tax rate | ' | ' | ' | ' |
Tax at statutory federal rate (as a percent) | 35.00% | 35.00% | 35.00% | 35.00% |
State and local tax, net of federal benefit (as a percent) | 3.70% | 3.80% | 3.70% | 3.80% |
FICA tip tax credit (as a percent) | -7.50% | -6.40% | -6.30% | -5.80% |
Work opportunity tax credit (as a percent) | -1.10% | -0.90% | -2.20% | -0.80% |
Incentive stock options (as a percent) | -1.20% | -0.20% | -0.80% | -0.30% |
Nondeductible officer compensation (as a percent) | 0.50% | 1.40% | 0.40% | 1.10% |
Other (as a percent) | 1.00% | ' | -0.20% | -0.30% |
Total (as a percent) | 30.40% | 32.70% | 29.60% | 32.70% |
Derivative_and_Hedging_Activit2
Derivative and Hedging Activities (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 | Dec. 25, 2012 | |
Fair value of derivative instruments | ' | ' | ' | ' | ' |
Fair value of Derivative Liabilities, Interest rate swaps | $2,980,000 | ' | $2,980,000 | ' | $4,016,000 |
Fair value of Derivative Liabilities | 2,980,000 | ' | 2,980,000 | ' | 4,016,000 |
Interest rate cash flow hedges | ' | ' | ' | ' | ' |
Gain (loss) recognized in AOCI, net of tax (effective portion) | 97,000 | 28,000 | 634,000 | -78,000 | ' |
Loss reclassified from AOCI to income (effective portion) | 378,000 | 363,000 | 1,106,000 | 1,082,000 | ' |
Interest rate swap, entered October 22, 2008 | ' | ' | ' | ' | ' |
Interest Rate Swaps | ' | ' | ' | ' | ' |
Fixed interest rate of derivative (as a percent) | 3.83% | ' | 3.83% | ' | ' |
Notional amount of hedge obligation | 25,000,000 | ' | 25,000,000 | ' | ' |
Reference rate for interest receivable | ' | ' | '1-month LIBOR | ' | ' |
Interest rate swap, entered January 7, 2009 | ' | ' | ' | ' | ' |
Interest Rate Swaps | ' | ' | ' | ' | ' |
Fixed interest rate of derivative (as a percent) | 2.34% | ' | 2.34% | ' | ' |
Notional amount of hedge obligation | $25,000,000 | ' | $25,000,000 | ' | ' |
Reference rate for interest receivable | ' | ' | '1-month LIBOR | ' | ' |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 24, 2013 | Dec. 25, 2012 |
item | ||
Commitments and Contingencies | ' | ' |
Estimated cost to complete capital project commitments (in dollars) | $63.80 | $73.20 |
Number of lease renewal terms | 3 | ' |
Lease renewal term | '5 years | ' |
Amount of liability recorded for guarantees | 0 | ' |
Ownership percentage | 5.00% | ' |
Number of suppliers providing most of the company's beef | 4 | ' |
Material minimum purchase commitments | $0 | ' |
Minimum age specified in age discrimination allegation against entity | '40 years | ' |
Acquisitions_Details
Acquisitions (Details) (USD $) | 9 Months Ended | 12 Months Ended |
Sep. 24, 2013 | Dec. 25, 2012 | |
item | ||
Purchase price allocated | ' | ' |
Goodwill | $113,454,000 | 113,435,000 |
Franchise restaurants in Illinois | ' | ' |
Acquisitions | ' | ' |
Number of franchise restaurants acquired | ' | 2 |
Purchase price allocated | ' | ' |
Current assets | 64,000 | ' |
Property and equipment, net | 304,000 | ' |
Goodwill | 2,759,000 | ' |
Intangible asset | 1,342,000 | ' |
Current liabilities | -195,000 | ' |
Other liabilities | -64,000 | ' |
Purchase Price | 4,210,000 | ' |
Intangible assets weighted-average life | '2 years 7 months 6 days | ' |
Amortization expense relating to the intangible asset | 400,000 | ' |
Expected annual amortization expense for 2013 | 600,000 | ' |
Expected annual amortization expense for 2014 | 500,000 | ' |
Expected annual amortization expense for 2015 | 200,000 | ' |
Expected annual amortization expense for 2016 | $100,000 | ' |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 | |
item | ||||
Steven L. Ortiz | The Longview, Texas restaurant | ' | ' | ' | ' |
Related Party Transactions | ' | ' | ' | ' |
Lease term | ' | ' | '15 years | ' |
Number of possible lease renewal terms | ' | ' | 2 | ' |
Lease renewal term | ' | ' | '5 years | ' |
Lease rent payments to related party per month | ' | ' | $19,000 | ' |
Total lease rent payments to related party | 100,000 | 100,000 | 200,000 | 200,000 |
Steven L. Ortiz | The Bossier City, Louisiana restaurant | ' | ' | ' | ' |
Related Party Transactions | ' | ' | ' | ' |
Lease term | ' | ' | '15 years | ' |
Lease rent payments to related party per month | ' | ' | 16,600 | ' |
Total lease rent payments to related party | 100,000 | 100,000 | 100,000 | 100,000 |
Ownership percentage by related party | 66.00% | ' | 66.00% | ' |
Ownership percentage by entity | 5.00% | ' | 5.00% | ' |
Percentage of lease rent escalation during each five year period | ' | ' | 10.00% | ' |
Officers, directors and 5% shareholders | ' | ' | ' | ' |
Related Party Transactions | ' | ' | ' | ' |
Number of franchise restaurants owned, in whole or part, by certain of entity's officers, directors or 5% shareholders | 15 | 15 | 15 | 15 |
Fees received from franchise and license restaurants | $600,000 | $600,000 | $1,800,000 | $1,700,000 |
Number of restaurants for which the entity is contingently liable on the lease | ' | ' | 3 | ' |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 24, 2013 | Sep. 25, 2012 | Sep. 24, 2013 | Sep. 25, 2012 |
Antidilutive securities | ' | ' | ' | ' |
Anti-dilutive securities (in shares) | ' | 289,210 | 29,155 | 298,462 |
Earnings per share | ' | ' | ' | ' |
Net income attributable to Texas Roadhouse, Inc. and subsidiaries | $17,170 | $18,067 | $63,304 | $57,246 |
Basic EPS: | ' | ' | ' | ' |
Weighted-average common shares outstanding | 70,361,000 | 70,482,000 | 69,914,000 | 70,004,000 |
Basic EPS (in dollars per share) | $0.24 | $0.26 | $0.91 | $0.82 |
Diluted EPS: | ' | ' | ' | ' |
Weighted-average common shares outstanding | 70,361,000 | 70,482,000 | 69,914,000 | 70,004,000 |
Dilutive effect of stock options and nonvested stock (in shares) | 1,259,000 | 1,446,000 | 1,261,000 | 1,476,000 |
Shares - diluted | 71,620,000 | 71,928,000 | 71,175,000 | 71,480,000 |
Diluted EPS (in dollars per share) | $0.24 | $0.25 | $0.89 | $0.80 |
Stock Options | ' | ' | ' | ' |
Antidilutive securities | ' | ' | ' | ' |
Anti-dilutive securities (in shares) | ' | 289,210 | ' | 293,561 |
Nonvested stock | ' | ' | ' | ' |
Antidilutive securities | ' | ' | ' | ' |
Anti-dilutive securities (in shares) | ' | ' | 29,155 | 4,901 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | Sep. 24, 2013 | Dec. 25, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value Measurements | ' | ' |
Transfer of asset levels within the fair value hierarchy | $0 | ' |
Transfer of liability levels within the fair value hierarchy | 0 | ' |
Fair value of financial instruments | ' | ' |
Interest rate swaps | -2,980 | -4,016 |
Fair value measured on a recurring basis | Level 1 | ' | ' |
Fair value of financial instruments | ' | ' |
Deferred compensation plan - assets | 11,174 | 9,145 |
Deferred compensation plan - liabilities | -11,156 | -9,160 |
Fair value measured on a recurring basis | Level 2 | ' | ' |
Fair value of financial instruments | ' | ' |
Interest rate swaps | ($2,980) | ($4,016) |
Fair_Value_Measurements_Detail1
Fair Value Measurements (Details 2) (Level 2, USD $) | Sep. 24, 2013 | Dec. 25, 2012 |
In Thousands, unless otherwise specified | ||
Carrying Amount | ' | ' |
Carrying amount and Fair value of financial instruments | ' | ' |
Installment loans | $1,304 | $1,473 |
Fair Value | ' | ' |
Carrying amount and Fair value of financial instruments | ' | ' |
Installment loans | $1,524 | $1,752 |
Stock_Repurchase_Program_Detai
Stock Repurchase Program (Details) (USD $) | 0 Months Ended |
In Millions, unless otherwise specified | Feb. 16, 2012 |
Stock Repurchase Program | ' |
Repurchase of common stock authorized by board of directors | $100 |