Sonic (SONC) 10-Q 4 Apr 14 2014 Q2 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	6 Months Ended
	Feb. 28, 2014	Mar. 31, 2014
Document And Entity Information [Abstract]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	28-Feb-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q2	'
Entity Registrant Name	'SONIC CORP.	'
Entity Central Index Key	'0000868611	'
Current Fiscal Year End Date	'--08-31	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	54,349,291
Entity Well-known Seasoned Issuer	'Yes	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Feb. 28, 2014	Aug. 31, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$35,117	$77,896
Restricted cash	8,589	11,823
Accounts and notes receivable, net	24,732	29,142
Income taxes receivable	7,949	7,728
Prepaid expenses and other current assets	11,397	14,133
Total current assets	87,784	140,722
Noncurrent restricted cash	6,717	6,791
Notes receivable, net	7,868	10,013
Property, equipment and capital leases	755,659	729,197
Less accumulated depreciation and amortization	-340,325	-329,536
Property, equipment and capital leases, net	415,334	399,661
Goodwill	77,093	77,093
Other assets, net	23,827	26,514
Total assets	618,623	660,794
Current liabilities:	'	'
Accounts payable	11,562	13,100
Franchisee deposits	3,599	4,048
Accrued liabilities	29,319	37,221
Income taxes payable	2,107	4,241
Current maturities of long-term debt and capital leases	14,518	14,320
Total current liabilities	61,105	72,930
Obligations under capital leases due after one year	25,020	22,458
Long-term debt due after one year	432,485	437,380
Deferred income taxes	35,510	34,915
Other non-current liabilities	18,233	15,647
Total non-current liabilities	511,248	510,400
Stockholders' equity:	'	'
Preferred stock, par value $.01; 1,000 shares authorized; none outstanding	'	'
Common stock, par value $.01; 245,000 shares authorized; 118,309 shares issued (118,309 shares issued at August 31, 2013)	1,183	1,183
Paid-in capital	218,874	224,768
Retained earnings	770,453	758,138
Treasury stock, at cost; 63,915 shares (62,025 shares at August 31, 2013)	-944,240	-906,625
Total stockholders’ equity	46,270	77,464
Total liabilities and stockholders' equity	$618,623	$660,794

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Feb. 28, 2014	Aug. 31, 2013
Condensed Consolidated Balance Sheets [Abstract]	'	'
Preferred stock, par value	$0.01	$0.01
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares outstanding	0	0
Common stock, par value	$0.01	$0.01
Common stock, shares authorized	245,000,000	245,000,000
Common stock, shares issued	118,309,000	118,309,000
Treasury stock, shares	63,915,000	62,025,000

Condensed_Consolidated_Stateme

Condensed Consolidated Statements Of Income (USD $)	3 Months Ended		6 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Feb. 28, 2014	Feb. 28, 2013	Feb. 28, 2014	Feb. 28, 2013
Revenues:	'	'	'	'
Company Drive-In sales	$81,848	$83,706	$175,347	$177,162
Franchise Drive-Ins:	'	'	'	'
Franchise royalties and fees	26,582	25,996	57,803	55,916
Lease revenue	715	949	1,601	2,435
Other	596	490	1,642	1,636
Total revenues	109,741	111,141	236,393	237,149
Costs and expenses:	'	'	'	'
Food and packaging	23,043	23,546	49,279	50,178
Payroll and other employee benefits	30,031	31,448	63,371	64,913
Other operating expenses, exclusive of depreciation and amortization included below	18,437	18,811	40,244	40,787
Total cost of Company Drive-In sales	71,511	73,805	152,894	155,878
Selling, general and administrative	15,886	15,467	32,891	31,597
Depreciation and amortization	10,031	10,069	20,065	20,664
Other operating income, net	-36	-218	-165	-211
Total costs and expenses	97,392	99,123	205,685	207,928
Income from operations	12,349	12,018	30,708	29,221
Interest expense	6,384	7,448	12,767	15,123
Interest income	-144	-168	-261	-309
Loss from early extinguishment of debt	'	492	'	492
Net interest expense	6,240	7,772	12,506	15,306
Income before income taxes	6,109	4,246	18,202	13,915
Provision for income taxes	2,002	669	5,887	4,205
Net income	$4,107	$3,577	$12,315	$9,710
Basic income per share	$0.07	$0.06	$0.22	$0.17
Diluted income per share	$0.07	$0.06	$0.21	$0.17

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements Of Cash Flows (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Feb. 28, 2014	Feb. 28, 2013
Cash flows from operating activities	'	'
Net income	$12,315	$9,710
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Depreciation and amortization	20,065	20,664
Stock-based compensation expense	1,839	1,948
Other	-2,321	718
Decrease in operating assets:	'	'
Restricted cash	3,447	2,702
Accounts receivable and other assets	6,277	6,625
Increase (decrease) in operating liabilities:	'	'
Accounts payable	-2,216	986
Accrued and other liabilities	-5,215	-6,209
Income taxes	1,729	-15,197
Total adjustments	23,605	12,237
Net cash provided by operating activities	35,920	21,947
Cash flows from investing activities	'	'
Purchases of property and equipment	-31,587	-13,917
Proceeds from sale of assets	1,030	31,861
Other	3,002	1,977
Net cash provided by (used in) investing activities	-27,555	19,921
Cash flows from financing activities	'	'
Payments on debt	-4,893	-27,468
Purchases of treasury stock	-57,847	-25,550
Proceeds from exercise of stock options	12,327	3,000
Other	-731	-2,010
Net cash used in financing activities	-51,144	-52,028
Net decrease in cash and cash equivalents	-42,779	-10,160
Cash and cash equivalents at beginning of period	77,896	52,647
Cash and cash equivalents at end of period	35,117	42,487
Cash paid during the period for:	'	'
Income taxes (net of refunds)	4,638	20,087
Non-cash investing and financing activities:	'	'
Change in obligation to acquire treasury stock	530	-1,102
Notes receivable and direct financing leases from property disposition	'	$8,661

Basis_Of_Presentation

Basis Of Presentation	6 Months Ended
	Feb. 28, 2014
Basis Of Presentation [Abstract]	'
Basis Of Presentation	'
	1.Basis of Presentation
	The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“GAAP”) and with the rules and regulations of the Securities and Exchange Commission.  Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements of Sonic Corp. (the “Company”).  In the opinion of management, these financial statements reflect all adjustments of a normal recurring nature, including recurring accruals, necessary for the fair presentation of the Company’s financial position, results of operations and cash flows for the interim periods presented in conformity with GAAP.  In certain situations, recurring accruals, including franchise royalties, are based on more limited information at interim reporting dates than at the Company’s fiscal year end due to the abbreviated reporting period.  Actual results may differ from these estimates.  These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto for the fiscal year ended August 31, 2013, included in the Company’s Annual Report on Form 10-K.  Interim results are not necessarily indicative of the results that may be expected for a full year or any other interim period.  The second fiscal quarter is typically the most volatile for the Company due to seasonality and weather.
	Principles of Consolidation
	The accompanying financial statements include the accounts of the Company, its wholly owned subsidiaries and a number of Company Drive-Ins in which a subsidiary has a controlling ownership interest.  All intercompany accounts and transactions have been eliminated.
	Reclassifications
	Certain amounts reported in previous years, which are not material, have been combined and reclassified to conform to the current-year presentation.

Earnings_Per_Share

Earnings Per Share	6 Months Ended
	Feb. 28, 2014
Earnings Per Share [Abstract]	'
Earnings Per Share	'
	2.Earnings Per Share
	The following table sets forth the computation of basic and diluted earnings per share:
		Three months ended				Six months ended
		February 28,				February 28,
		2014		2013		2014		2013
	Numerator:
	Net income	$	4,107	$	3,577	$	12,315	$	9,710
	Denominator:
	Weighted average common shares outstanding– basic		55,958		55,798		56,125		56,735
	Effect of dilutive employee stock options and
	unvested restricted stock units		1,450		625		1,528		519
	Weighted average common shares – diluted		57,408		56,423		57,653		57,254
	Net income per common share – basic	$	0.07	$	0.06	$	0.22	$	0.17
	Net income per common share – diluted	$	0.07	$	0.06	$	0.21	$	0.17
	Anti-dilutive securities excluded(1)		1,117		3,735		1,042		4,151
	—————————
	(1)    Anti-dilutive securities consist of stock options and unvested restricted stock units that were not included in the computation of diluted earnings per share because either the exercise price of the options was greater than the average market price of the common stock or the total assumed proceeds under the treasury stock method resulted in negative incremental shares and thus the inclusion would have been anti-dilutive.

Share_Repurchase_Program

Share Repurchase Program	6 Months Ended
	Feb. 28, 2014
Share Repurchase Program [Abstract]	'
Share Repurchase Program	'
	3.Share Repurchase Program
	In August 2013, the Company’s Board of Directors extended the share repurchase program authorizing the Company to purchase up to $40 million of its outstanding shares of common stock and, in January 2014, the Company’s Board of Directors approved an incremental $40 million authorization that allows for up to $80 million of common stock to be repurchased through August 31, 2014.  Share repurchases may be made from time to time in the open market or otherwise, including through an accelerated share repurchase program, under terms of a Rule 10b5-1 plan, in privately negotiated transactions or in round lot or block transactions.  The share repurchase program may be extended, modified, suspended or discontinued at any time.
	In February 2014, the Company entered into an accelerated share repurchase (“ASR”) agreement with a financial institution to purchase $40 million of the Company’s common stock.  In exchange for a $40 million up-front payment, the financial institution delivered approximately 2.1 million shares.  Subsequent to the end of the second quarter, the ASR purchase period concluded with no additional shares delivered, resulting in an average price per share of $19.13.
	The Company reflected the ASR transaction as a repurchase of common stock for purposes of calculating earnings per share and as a forward contract indexed to its own common stock.  The forward contract met all of the applicable criteria for equity classification.
	Including repurchases under the ASR transaction described above, during the first six months of fiscal year 2014, approximately 3.1 million shares were repurchased for a total cost of $58.4 million, resulting in an average price per share of $19.06.
	The total remaining amount authorized under the share repurchase program, as of February 28, 2014, was $21.6 million.

Income_Taxes

Income Taxes	6 Months Ended
	Feb. 28, 2014
Income Taxes [Abstract]	'
Income Taxes	'
	4.Income Taxes
	The following table presents the Company’s provision for income taxes and effective income tax rate for the periods below:
		Three months ended						Six months ended
		February 28,						February 28,
		2014			2013			2014			2013
	Provision for income taxes	$	2,002		$	669		$	5,887		$	4,205
	Effective income tax rate		32.8	%		15.8	%		32.3	%		30.2	%
	The lower effective income tax rate during the second quarter and first six months of fiscal year 2013 was primarily attributable to the expiration of a state statute of limitations related to an uncertain tax position and legislation that was passed to reinstate and extend the Work Opportunity Tax Credit (“WOTC”).
	As of February 28, 2014, the Company had $2.1 million of unrecognized tax benefits, including $0.3 million of interest and penalties.  During the first six months of fiscal year 2014, the liability for unrecognized tax benefits decreased $0.5 million.  The decrease was primarily related to the IRS’ acceptance of a federal tax method change that impacted the Company’s tax rate.  The Company recognizes estimated interest and penalties as a component of its income tax expense, net of federal benefit.  If recognized, the entire amount of unrecognized tax benefits would favorably impact the effective tax rate.
	The Company or one of its subsidiaries is subject to U.S. federal income tax and income tax in multiple U.S. state jurisdictions.  The Company is currently undergoing examinations or appeals by various state and federal authorities.  The Company anticipates that the finalization of these examinations or appeals, combined with the expiration of applicable statutes of limitations and the additional accrual of interest related to unrecognized benefits on various return positions taken in years still open for examination, could result in a change to the liability for unrecognized tax benefits during the next 12 months ranging from a decrease of $1.5 million to an increase of $1.3 million depending on the timing and terms of the examination resolutions.

Contingencies

Contingencies	6 Months Ended
	Feb. 28, 2014
Contingencies [Abstract]	'
Contingencies	'
	5.Contingencies
	The Company is involved in various legal proceedings and has certain unresolved claims pending.  Based on the information currently available, management believes that all claims currently pending are either covered by insurance or would not have a material adverse effect on the Company’s business, operating results or financial condition.
	On December 20, 2013, the Company extended a note purchase agreement to a bank that serves to guarantee the repayment of a franchisee loan, with a term through 2018, and also benefits the franchisee with a lower financing rate.  In the event of default by the franchisee, the Company would purchase the franchisee loan from the bank, thereby becoming the note holder and providing an avenue of recourse with the franchisee.  The Company recorded a liability for this guarantee which was based on the Company’s estimate of fair value.  As of February 28, 2014, the balance of the franchisee’s loan was $6.3 million.
	The Company has obligations under various operating lease agreements with third-party lessors related to the real estate for certain Company Drive-In operations that were sold to franchisees.  Under these agreements, which expire through 2029, the Company remains secondarily liable for the lease payments for which it was responsible as the original lessee.  As of February 28, 2014, the amount remaining under these guaranteed lease obligations totaled $10.0 million.  At this time, the Company does not anticipate any material defaults under the foregoing leases; therefore, no liability has been provided.

Fair_Value_Of_Financial_Instru

Fair Value Of Financial Instruments	6 Months Ended
	Feb. 28, 2014
Fair Value Of Financial Instruments [Abstract]	'
Fair Value Of Financial Instruments	'
	6.Fair Value of Financial Instruments
	The fair value of financial instruments is the amount at which the instrument could be exchanged in a current transaction between willing parties.  The Company has no financial liabilities that are required to be measured at fair value on a recurring basis.
	The Company categorizes its assets and liabilities recorded at fair value based upon the following fair value hierarchy established by the Financial Accounting Standards Board:
	•Level 1 valuations use quoted prices in active markets for identical assets or liabilities that are accessible at the measurement date.  An active market is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis.
	•Level 2 valuations use inputs other than actively quoted market prices included within Level 1 that are observable for the asset or liability, either directly or indirectly.  Level 2 inputs include:  (a) quoted prices for similar assets or liabilities in active markets, (b) quoted prices for identical or similar assets or liabilities in markets that are not active, (c) inputs other than quoted prices that are observable for the asset or liability such as interest rates and yield curves observable at commonly quoted intervals and (d) inputs that are derived principally from or corroborated by observable market data by correlation or other means.
	•Level 3 valuations use unobservable inputs for the asset or liability.  Unobservable inputs are used to the extent observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date.
	The Company’s cash equivalents are carried at cost which approximates fair value and totaled $31.8 million at February 28, 2014 and $39.1 million at August 31, 2013.  This fair value is estimated using Level 1 inputs.
	At February 28, 2014, the fair value of the Company’s Series 2011-1 Senior Secured Fixed Rate Notes, Class A-2 (the “2011 Fixed Rate Notes”) and Series 2013-1 Senior Secured Fixed Rate Notes, Class A-2 (the “2013 Fixed Rate Notes”) approximated the carrying value of $442.7 million, including accrued interest.  At August 31, 2013, the fair value of the 2011 Fixed Rate Notes and 2013 Fixed Rate Notes approximated the carrying value of $447.6 million, including accrued interest.  The fair value of the 2011 Fixed Rate Notes and the 2013 Fixed Rate Notes is estimated using Level 2 inputs from market information available for public debt transactions for companies with ratings that are similar to the Company’s ratings and from information gathered from brokers who trade in the Company’s notes.

Segment_Information

Segment Information	6 Months Ended
	Feb. 28, 2014
Segment Information [Abstract]	'
Segment Information	'
	7.Segment Information
	Operating segments are generally defined as components of an enterprise for which separate discrete financial information is available as the basis for management to allocate resources and assess performance.
	Based on internal reporting and management structure, the Company has two reportable segments: Company Drive-Ins and Franchise Operations.  The Company Drive-Ins segment consists of the drive-in operations in which the Company owns a controlling ownership interest and derives its revenues from operating drive-in restaurants.  The Franchise Operations segment consists of franchising activities and derives its revenues from royalties, franchise fees and lease revenues received from franchisees.  The accounting policies of the segments are the same as those described in the Summary of Significant Accounting Policies in the Company’s most recent Annual Report on Form 10-K.  Segment information for total assets and capital expenditures is not presented as such information is not used in measuring segment performance or allocating resources between segments.
	The following table presents the revenues and income from operations for each reportable segment, along with reconciliation to reported revenue, income from operations and income before income taxes:
		Three months ended				Six months ended
		February 28,				February 28,
		2014		2013		2014		2013
	Revenues:
	Company Drive-Ins	$	81,848	$	83,706	$	175,347	$	177,162
	Franchise Operations		27,297		26,945		59,404		58,351
	Unallocated revenues		596		490		1,642		1,636
	Total revenues	$	109,741	$	111,141	$	236,393	$	237,149
	Income from operations:
	Company Drive-Ins	$	10,337	$	9,901	$	22,453	$	21,284
	Franchise Operations		27,297		26,945		59,404		58,351
	Unallocated income		632		708		1,807		1,847
	Unallocated expenses:
	Selling, general and administrative		-15,886		-15,467		-32,891		-31,597
	Depreciation and amortization		-10,031		-10,069		-20,065		-20,664
	Income from operations		12,349		12,018		30,708		29,221
	Net interest expense		-6,240		-7,772		-12,506		-15,306
	Income before income taxes	$	6,109	$	4,246	$	18,202	$	13,915

Basis_Of_Presentation_Policy

Basis Of Presentation (Policy)	6 Months Ended
	Feb. 28, 2014
Basis Of Presentation [Abstract]	'
Principles Of Consolidation	'
	Principles of Consolidation
	The accompanying financial statements include the accounts of the Company, its wholly owned subsidiaries and a number of Company Drive-Ins in which a subsidiary has a controlling ownership interest.  All intercompany accounts and transactions have been eliminated.
Reclassifications	'
	Reclassifications
	Certain amounts reported in previous years, which are not material, have been combined and reclassified to conform to the current-year presentation.

Earnings_Per_Share_Tables

Earnings Per Share (Tables)	6 Months Ended
	Feb. 28, 2014
Earnings Per Share [Abstract]	'
Computation Of Basic And Diluted Earnings Per Share	'
		Three months ended				Six months ended
		February 28,				February 28,
		2014		2013		2014		2013
	Numerator:
	Net income	$	4,107	$	3,577	$	12,315	$	9,710
	Denominator:
	Weighted average common shares outstanding– basic		55,958		55,798		56,125		56,735
	Effect of dilutive employee stock options and
	unvested restricted stock units		1,450		625		1,528		519
	Weighted average common shares – diluted		57,408		56,423		57,653		57,254
	Net income per common share – basic	$	0.07	$	0.06	$	0.22	$	0.17
	Net income per common share – diluted	$	0.07	$	0.06	$	0.21	$	0.17
	Anti-dilutive securities excluded(1)		1,117		3,735		1,042		4,151
	—————————
	(1)    Anti-dilutive securities consist of stock options and unvested restricted stock units that were not included in the computation of diluted earnings per share because either the exercise price of the options was greater than the average market price of the common stock or the total assumed proceeds under the treasury stock method resulted in negative incremental shares and thus the inclusion would have been anti-dilutive.

Income_Taxes_Tables

Income Taxes (Tables)	6 Months Ended
	Feb. 28, 2014
Income Taxes [Abstract]	'
Schedule Of Provision (Benefit) For Income Taxes And Effective Income Tax Rate	'
		Three months ended						Six months ended
		February 28,						February 28,
		2014			2013			2014			2013
	Provision for income taxes	$	2,002		$	669		$	5,887		$	4,205
	Effective income tax rate		32.8	%		15.8	%		32.3	%		30.2	%

Segment_Information_Tables

Segment Information (Tables)	6 Months Ended
	Feb. 28, 2014
Segment Information [Abstract]	'
Reconciliation Of Reported Revenue, Income From Operations From Segments And Income Before Income Taxes	'
		Three months ended				Six months ended
		February 28,				February 28,
		2014		2013		2014		2013
	Revenues:
	Company Drive-Ins	$	81,848	$	83,706	$	175,347	$	177,162
	Franchise Operations		27,297		26,945		59,404		58,351
	Unallocated revenues		596		490		1,642		1,636
	Total revenues	$	109,741	$	111,141	$	236,393	$	237,149
	Income from operations:
	Company Drive-Ins	$	10,337	$	9,901	$	22,453	$	21,284
	Franchise Operations		27,297		26,945		59,404		58,351
	Unallocated income		632		708		1,807		1,847
	Unallocated expenses:
	Selling, general and administrative		-15,886		-15,467		-32,891		-31,597
	Depreciation and amortization		-10,031		-10,069		-20,065		-20,664
	Income from operations		12,349		12,018		30,708		29,221
	Net interest expense		-6,240		-7,772		-12,506		-15,306
	Income before income taxes	$	6,109	$	4,246	$	18,202	$	13,915

Earnings_Per_Share_Details

Earnings Per Share (Details) (USD $)	3 Months Ended				6 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Feb. 28, 2014		Feb. 28, 2013		Feb. 28, 2014		Feb. 28, 2013
Earnings Per Share [Abstract]	'		'		'		'
Net income	$4,107		$3,577		$12,315		$9,710
Weighted average common shares outstanding – basic	55,958		55,798		56,125		56,735
Effect of dilutive employee stock options and unvested restricted stock units	1,450		625		1,528		519
Weighted average common shares - diluted	57,408		56,423		57,653		57,254
Net income per common share - basic	$0.07		$0.06		$0.22		$0.17
Net income per common share - diluted	$0.07		$0.06		$0.21		$0.17
Anti-dilutive securities excluded	1,117	[1]	3,735	[1]	1,042	[1]	4,151	[1]
[1]	Anti-dilutive securities consist of stock options and unvested restricted stock units that were not included in the computation of diluted earnings per share because either the exercise price of the options was greater than the average market price of the common stock or the total assumed proceeds under the treasury stock method resulted in negative incremental shares and thus the inclusion would have been anti-dilutive.

Share_Repurchase_Program_Detai

Share Repurchase Program (Details) (USD $)	1 Months Ended		6 Months Ended	1 Months Ended
In Millions, except Per Share data, unless otherwise specified	Jan. 31, 2014	Aug. 31, 2013	Feb. 28, 2014	Feb. 28, 2014	Apr. 04, 2014
				Accelerated Share Repurchase Program [Member]	Subsequent Event [Member]
					Accelerated Share Repurchase Program [Member]
Share Repurchase Program [Line Items]	'	'	'	'	'
Shares repurchase authorized amount increase	$40	'	'	'	'
Shares repurchase authorized amount	'	40	80	40	'
Shares acquired through stock repurchase program	'	'	3.1	2.1	0
Purchase of treasury stock	'	'	58.4	40	'
Remaining amount authorized for repurchase through share repurchase program	'	'	$21.60	'	'
Final price paid per share	'	'	'	'	$19.13
Weighted-average price per share	'	'	$19.06	'	'

Income_Taxes_Narrative_Details

Income Taxes (Narrative) (Details) (USD $)	6 Months Ended
In Millions, unless otherwise specified	Feb. 28, 2014
Income Taxes [Abstract]	'
Unrecognized tax benefits	$2.10
Unrecognized tax benefits in interest and penalties	0.3
Decrease in unrecognized tax benefits	0.5
Possible change in unrecognized tax benefits, lower bound	1.3
Possible change in unrecognized tax benefits, upper bound	($1.50)

Income_Taxes_Schedule_Of_Provi

Income Taxes (Schedule Of Provision (Benefit) For Income Taxes And Effective Income Tax Rate) (Details) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Feb. 28, 2014	Feb. 28, 2013	Feb. 28, 2014	Feb. 28, 2013
Income Taxes [Abstract]	'	'	'	'
Provision for income taxes	$2,002	$669	$5,887	$4,205
Effective income tax rate	32.80%	15.80%	32.30%	30.20%

Contingencies_Details

Contingencies (Details) (USD $)	6 Months Ended
In Millions, unless otherwise specified	Feb. 28, 2014
Guarantee Operating Lease Obligations [Member]	'
Loss Contingencies [Line Items]	'
Guaranteed obligations	$10
Guaranteed liability, carrying value	0
Guarantor Obligations, Term	'2029
Note Repurchase Agreement [Member]	'
Loss Contingencies [Line Items]	'
Guaranteed obligations	$6.30
Guarantor Obligations, Term	'2018

Fair_Value_Of_Financial_Instru1

Fair Value Of Financial Instruments (Narrative) (Details) (USD $)	Feb. 28, 2014	Aug. 31, 2013
In Millions, unless otherwise specified
Fair Value Of Financial Instruments [Abstract]	'	'
Cash equivalents carried at cost	$31.80	$39.10
Fixed Rate Notes, fair value	442.7	447.6
Fixed rate notes, carrying value, including accrued interest	$442.70	$447.60

Segment_Information_Details

Segment Information (Details) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Feb. 28, 2014	Feb. 28, 2013	Feb. 28, 2014	Feb. 28, 2013
			segment
Segment Information [Abstract]	'	'	'	'
Reportable business segments	'	'	2	'
Company Drive-Ins	$81,848	$83,706	$175,347	$177,162
Franchise Operations	27,297	26,945	59,404	58,351
Unallocated revenues	596	490	1,642	1,636
Total revenues	109,741	111,141	236,393	237,149
Company Drive-Ins	10,337	9,901	22,453	21,284
Franchise Operations	27,297	26,945	59,404	58,351
Unallocated income	632	708	1,807	1,847
Selling, general and administrative	-15,886	-15,467	-32,891	-31,597
Depreciation and amortization	-10,031	-10,069	-20,065	-20,664
Income from operations	12,349	12,018	30,708	29,221
Net interest expense	-6,240	-7,772	-12,506	-15,306
Income before income taxes	$6,109	$4,246	$18,202	$13,915