Biglari Inactive 10-Q24 Jan 142014 Q1 Quarterly reportFinancial data

Company Profile

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
Document and Entity Information	Dec. 18, 2013	Jan. 20, 2014
Document And Entity Information	'	'
Entity Registrant Name	'BIGLARI HOLDINGS INC.	'
Entity Central Index Key	'0000093859	'
Document Type	'10-Q	'
Document Period End Date	18-Dec-13	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--09-24	'
Is Entity a Well-known Seasoned Issuer?	'No	'
Is Entity a Voluntary Filer?	'No	'
Is Entity's Reporting Status Current?	'Yes	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	1,720,889
Document Fiscal Period Focus	'Q1	'
Document Fiscal Year Focus	'2014	'

CONSOLIDATED_BALANCE_SHEETS

CONSOLIDATED BALANCE SHEETS (USD $)	Dec. 18, 2013	Sep. 25, 2013
In Thousands, unless otherwise specified	Dec. 18, 2013	Sep. 25, 2013
Current assets:	'	'
Cash and cash equivalents	$78,460	$94,626
Investments	91,270	85,479
Receivables, net of allowance of $836 and $804, respectively	6,964	7,055
Inventories	6,618	6,475
Assets held for sale	461	561
Other current assets	3,284	3,290
Total current assets	187,057	197,486
Property and equipment, net	347,566	346,147
Goodwill	28,251	28,251
Other intangible assets, net	7,551	7,721
Other assets	11,163	11,239
Equity in investment partnerships	419,723	397,699
Total assets	1,001,311	988,543
Current liabilities:	'	'
Accounts payable	45,078	37,511
Accrued expenses	44,267	54,003
Deferred income taxes	7,257	5,511
Current portion of obligations under leases	6,346	6,239
Current portion of long-term debt	9,750	9,750
Total current liabilities	112,698	113,014
Deferred income taxes	91,601	84,525
Obligations under leases	104,558	106,247
Long-term debt	97,500	110,500
Other long-term liabilities	9,993	9,668
Total liabilities	416,350	423,954
Shareholders' equity	'	'
Common stock - $0.50 stated value, 2,500,000 shares authorized - 1,797,941 shares issued at December 18, 2013 and September 25, 2013, 1,588,428 and 1,588,376 shares outstanding (net of treasury stock), respectively	899	899
Additional paid-in capital	269,810	269,810
Retained earnings	364,830	348,339
Accumulated other comprehensive income	25,338	21,457
Treasury stock - at cost: 209,513 and 209,565 shares (includes 132,406 shares held by investment partnerships) at December 18, 2013 and September 25, 2013, respectively	-75,916	-75,916
Biglari Holdings Inc. shareholders' equity	584,961	564,589
Total liabilities and shareholders' equity	$1,001,311	$988,543

CONSOLIDATED_BALANCE_SHEETS_Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Dec. 18, 2013	Sep. 25, 2013
In Thousands, except Share data, unless otherwise specified	Dec. 18, 2013	Sep. 25, 2013
Assets	'	'
Receivables, allowance for doubtful accounts	$836	$804
Shareholders' equity	'	'
Common stock, par value	$0.50	$0.50
Common stock, shares authorized	2,500,000	2,500,000
Common stock, shares issued	1,797,941	1,797,941
Common stock, shares outstanding	1,588,428	1,588,376
Treasury stock - at cost, shares	209,513	209,565
Partnership Member	'	'
Treasury stock - at cost, shares held by investment partnerships	132,406	132,406

CONSOLIDATED_STATEMENTS_OF_EAR

CONSOLIDATED STATEMENTS OF EARNINGS (Unaudited) (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012
Restaurant Operations:	'	'
Net sales	$168,803	$163,739
Franchise royalties and fees	2,808	2,474
Other revenue	728	525
Total	172,339	166,738
Consolidated Affiliated Partnerships:	'	'
Revenue from Consolidated Affiliated Partnerships	0	-227
Total net revenues	172,339	166,511
Costs and expenses	'	'
Cost of sales	49,645	47,954
Restaurant operating costs	80,346	77,360
General and administrative	18,007	13,577
Depreciation and amortization	5,646	5,943
Marketing	9,369	10,233
Rent	4,334	4,012
Pre-opening costs	480	0
Loss on disposal of assets	121	207
Other operating (income) expense	-105	-105
Total costs and expenses, net	167,843	159,181
Other income (expenses)	'	'
Interest, dividend and other investment income	588	2,544
Interest on obligations under leases	-2,239	-2,208
Interest expense	-1,474	-1,737
Realized investment gains/losses	0	1
Total other income (expense)	-3,125	-1,400
Earnings before income taxes	1,371	5,930
Income taxes on operating earnings	396	1,543
Income taxes on gains from investment partnerships	7,977	0
Total income taxes	8,373	1,543
Gains from investment partnerships	23,493	0
Net earnings	16,491	4,387
Earnings attributable to redeemable noncontrolling interests:	'	'
Total earnings/loss attributable to redeemable noncontrolling interests	0	175
Net earnings attributable to Biglari Holdings Inc.	$16,491	$4,562
Earnings per share attributable to Biglari Holdings Inc.	'	'
Basic earnings per common share	$10.38	$3.18
Diluted earnings per common share	$10.36	$3.17
Weighted average shares and equivalents	'	'
Basic	1,588,417	1,435,987
Diluted	1,591,831	1,438,593

CONSOLIDATED_STATEMENTS_OF_COM

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012
Consolidated Statements Of Comprehensive Income	'	'
Net earnings attributable to Biglari Holdings Inc.	$16,491	$4,562
Other comprehensive income:	'	'
Reclassification of investment appreciation in net earnings	0	-1
Applicable income taxes	0	0
Net change in unrealized gains and losses on investments	5,791	-9,499
Applicable income taxes	-2,199	3,610
Foreign currency translation	289	0
Other comprehensive income, net	3,881	-5,890
Total comprehensive income (loss)	$20,372	($1,328)

CONSOLIDATED_STATEMENTS_OF_CAS

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012
Operating activities	'	'
Net earnings	$16,491	$4,387
Adjustments to reconcile net earnings to operating cash flows (excluding investment operations of consolidated affiliated partnerships):	'	'
Depreciation and amortization	5,646	5,943
Provision for deferred income taxes	6,623	-443
Stock-based compensation and other non-cash expenses	162	106
Loss on disposal of assets	121	207
Realized investment gains/losses	0	-1
Gain on investment partnerships	-22,024	0
Changes in receivables and inventories	-52	690
Changes in other assets	39	-120
Changes in accounts payable and accrued expenses	-4,897	-5,313
Investment operations of consolidated affiliated partnerships:	'	'
Sales of investments	0	535
Realized investment gains, net	0	-87
Unrealized gains/losses on marketable securities held by consolidated affiliated partnerships	0	435
Changes in cash and cash equivalents held by consolidated affiliated partnerships	0	653
Net cash provided by operating activities	2,109	6,992
Investing activities	'	'
Additions of property and equipment	-4,501	-1,182
Proceeds from property and equipment disposals	519	1,259
Purchases of investments	0	-45,277
Sales of investments	0	1
Net cash (used in) investing activities	-3,982	-45,199
Financing activities	'	'
Proceeds from revolving credit facility	0	15,000
Principal payments on long-term debt	-13,000	-2,336
Principal payments on direct financing lease obligations	-1,582	-1,402
Excess tax benefits from stock-based awards	0	3
Financing activities of consolidated affiliated partnerships:	'	'
Contributions from noncontrolling interests	0	23
Distributions to noncontrolling interests	0	-1,310
Net cash (used in) provided by financing activities	-14,582	9,978
Effect of exchange rate changes on cash	289	0
(Decrease) in cash and cash equivalents	-16,166	-28,229
Cash and cash equivalents at beginning of period	94,626	60,359
Cash and cash equivalents at end of period	$78,460	$32,130

CONSOLIDATED_STATEMENTS_OF_CHA

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS EQUITY (Unaudited) (USD $)	Common Stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Income	Treasury Stock	Total
In Thousands	Common Stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Income	Treasury Stock	Total
Beginning Balance at Sep. 26, 2012	$756	$143,035	$251,983	$43,897	($90,546)	$349,125
Net earnings attributable to Biglari Holdings Inc.	'	'	4,562	'	'	4,562
Other comprehensive income (loss), net	'	'	'	-5,890	'	-5,890
Exercise of stock options and other stock compensation transactions	'	3	'	'	1	4
Adjustment to redeemable noncontrolling interest to reflect maximum redemption value	'	-2,648	'	'	'	-2,648
Ending Balance at Dec. 19, 2012	756	140,390	256,545	38,007	-90,545	345,153
Beginning Balance at Sep. 25, 2013	899	269,810	348,339	21,457	-75,916	564,589
Net earnings attributable to Biglari Holdings Inc.	'	'	16,491	'	'	16,491
Other comprehensive income (loss), net	'	'	'	3,881	'	3,881
Ending Balance at Dec. 18, 2013	$899	$269,810	$364,830	$25,338	($75,916)	$584,961

Note_1_Summary_of_Significant_

Note 1. Summary of Significant Accounting Policies	3 Months Ended
Note 1. Summary of Significant Accounting Policies	Dec. 18, 2013
Accounting Policies [Abstract]	'
Note 1. Summary of Significant Accounting Policies	'
	Description of Business
	The accompanying unaudited consolidated financial statements of Biglari Holdings Inc. (“Biglari Holdings” or the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America applicable to interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United States of America for complete financial statements. In our opinion, all adjustments considered necessary to present fairly the results of the interim periods have been included and consist only of normal recurring adjustments. The results for the interim periods shown are not necessarily indicative of results for the entire fiscal years. The financial statements contained herein should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended September 25, 2013.

	Biglari Holdings Inc. is a diversified holding company engaged in a number of business activities. The Company’s most important operating subsidiaries are involved in the franchising and operating of restaurants. The Company is led by Sardar Biglari, Chairman and Chief Executive Officer of Biglari Holdings and its major operating subsidiaries. The Company’s long-term objective is to maximize per-share intrinsic value. All major operating, investment, and capital allocation decisions are made for the Company and its subsidiaries by Sardar Biglari, Chairman and Chief Executive Officer.

	Principles of Consolidation
	As of December 18, 2013, the consolidated financial statements include the accounts of (i) the Company and (ii) its wholly-owned subsidiaries, Steak n Shake Operations, Inc. (“Steak n Shake”) and Western Sizzlin Corporation (“Western”). In addition to consolidating wholly-owned entities we consolidate entities if we have a controlling interest in the general partner. As of December 19, 2012, the consolidated financial statements included the accounts of (i) the Company, (ii) its wholly-owned subsidiaries Biglari Capital Corp. (“Biglari Capital”), Steak n Shake, and Western, and (iii) investment related limited partnerships The Lion Fund, L.P. and Western Acquisitions, L.P. (collectively the “consolidated affiliated partnerships”), in which we had a controlling interest. As a result of the sale of Biglari Capital and the related liquidation of Western Acquisitions, L.P. during July 2013, the Company ceased to have a controlling interest in the consolidated affiliated partnerships. Accordingly, Biglari Capital and the consolidated affiliated partnerships are no longer consolidated in the Company’s financial statements.

Note_2_New_Accounting_Standard

Note 2. New Accounting Standards	3 Months Ended
Note 2. New Accounting Standards	Dec. 18, 2013
Accounting Policies [Abstract]	'
Note 2. New Accounting Standards	'
	In February 2013, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2013-04, Liabilities (Topic 405), which provides guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements. The guidance requires an entity to measure those obligations as the sum of the amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors and any additional amount the reporting entity expects to pay on behalf of its co-obligors. The guidance also requires an entity to disclose the nature and amount of the obligation as well as other information about those obligations. ASU 2013-04 is effective for fiscal years beginning after December 15, 2013, which is effective for the Company’s first quarter of fiscal year 2015. We do not believe the adoption of ASU 2013-04 will have a material effect on the Company’s consolidated financial statements.

	In February 2013, the FASB issued ASU 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. ASU 2013-02 requires disclosure of the amounts reclassified out of each component of accumulated other comprehensive income and into net earnings during the reporting period and is effective for reporting periods beginning after December 15, 2012. The adoption of ASU 2013−02 did not have a material impact on the measurement of net earnings or other comprehensive income.

Note_3_Earnings_Per_Share

Note 3. Earnings Per Share	3 Months Ended
Note 3. Earnings Per Share	Dec. 18, 2013
Earnings per share attributable to Biglari Holdings Inc.	'
Note 3. Earnings Per Share	'
	Earnings per share of common stock is based on the weighted average number of shares outstanding during the year. In fiscal year 2013, Biglari Holdings completed an offering of transferable subscription rights. The offering was oversubscribed and 286,767 new shares of common stock were issued. Earnings per share for the twelve weeks ending December 19, 2012 have been retroactively restated to account for the 2013 rights offering.


	For the first quarter of fiscal year 2014, the shares of Company stock attributable to our limited partner interest in the The Lion Fund, L.P. — based on our proportional ownership during the period — are considered treasury stock on the consolidated balance sheet and thereby deemed to calculate the weighted average common shares outstanding.
	For the first quarter of fiscal year 2013 all common shares of the Company held by the consolidated affiliated partnerships are recorded in treasury stock on the consolidated balance sheet. In order to compute the weighted average common shares outstanding, only the shares of treasury stock attributable to the unrelated limited partners of the consolidated affiliated partnerships — based on their proportional ownership during the period — are considered outstanding shares.

	The following table presents a reconciliation of basic and diluted weighted average common shares.

		Twelve Weeks Ended

		18-Dec-13	19-Dec-12
	Basic earnings per share:
	Weighted average common shares ............................................................................................	1,588,417	1,435,987
	Diluted earnings per share:
	Weighted average common shares ............................................................................................	1,588,417	1,435,987
	Dilutive effect of stock awards ................................................................................................	3,414	2,606
	Weighted average common and incremental shares ..................................................................	1,591,831	1,438,593
	Number of share-based awards excluded from the calculation of earnings per share as the
	awards' exercise prices were greater than the average market price of the Company's
	common stock............................................................................................................................	-	705

Note_4_Investments

Note 4. Investments	3 Months Ended
Note 4. Investments	Dec. 18, 2013
Note 4. Investments	'
Note 4. Investments	'
	Investments consisted of the following:

		18-Dec-13	25-Sep-13
	Cost ...........................................................................................................................................	$ 50,884	$ 50,884
	Gross unrealized gains ...........................................................................................................	40,386	34,595
	Gross unrealized losses .........................................................................................................	-	-
	Fair value ..................................................................................................................................	$ 91,270	$ 85,479

	As of December 18, 2013 and September 25, 2013 the Company’s investments were largely concentrated in the common stock of one investee, Cracker Barrel Old Country Store, Inc.
	Investment gains/losses are recognized when investments are sold (as determined on a specific identification basis) or as otherwise required by GAAP. The timing of realized gains and losses from sales can have a material effect on periodic earnings. However, such realized gains or losses usually have little, if any, impact on total shareholders’ equity because the investments are carried at fair value with any unrealized gains/losses included as a component of accumulated other comprehensive income in shareholders’ equity. We believe that realized investment gains/losses are often meaningless in terms of understanding reported results. Short-term investment gains/losses have caused and may continue to cause significant volatility in our results.

	Realized investment gains/losses were as follows:

		18-Dec-13	19-Dec-12
	Gross realized gains on sales ..................................................................................................	$ -	$ 1
	Gross realized losses on sales ................................................................................................	-	-
	Total realized gains/losses ......................................................................................................	$ -	$ 1

Note_5_Investment_Partnerships

Note 5. Investment Partnerships	3 Months Ended
Note 5. Investment Partnerships	Dec. 18, 2013
Notes to Financial Statements	'
Note 5. Investment Partnerships	'
	Beginning July 1, 2013, as a result of the sale of Biglari Capital and of our limited partner interests in The Lion Fund, L.P. and The Lion Fund II, L.P. (collectively the “investment partnerships”), the Company has reported and will continue to report on the limited partnership interests under the equity method of accounting. We record our proportional share of equity in the investment partnerships but exclude Company common stock held by said partnerships. The Company’s pro-rata shares of its common stock held by the investment partnerships are recorded as treasury stock. The Company records gains/losses from investment partnerships (inclusive of the investment partnerships’ unrealized gains and losses on their securities) in the consolidated statements of earnings based on our carrying value of these partnerships. The fair value is calculated net of the general partner’s accrued incentive fees. Gains and losses on Company common stock included in the earnings of these partnerships are eliminated because they are recorded as treasury stock.
	The fair value and adjustment for Company common stock held by the investment partnerships to determine carrying value of our partnership interest is presented below:
		Fair Value	Fair Value of Company Common Stock	Carrying Value
	Partnership interest at September 25, 2013.........................................................................................	$ 455,297	$ 57,598	$ 397,699
	Gains from investment partnerships (net of performance fees)......................................................	33,074	9,581	23,493
	Distribution from investment partneships..........................................................................................	(1,469)	-	(1,469)
	Partnership interest at December 18, 2013..........................................................................................	$ 486,902	$ 67,179	$ 419,723
	The Company’s proportionate share of Company stock held by investment partnerships at cost is $54,613 at December 18, 2013 and September 25, 2013 and is recorded as treasury stock.
	The carrying value of the partnership interest approximates fair value adjusted by changes in the value of held Company stock. Fair value is according to our proportional ownership interest of the fair value of investments held by the investment partnerships. The fair value measurement is classified as level 3 within the fair value hierarchy.
	The investment partnerships end on December 31 of the fiscal year, with their most current quarter ending December 31, 2013. For purposes of recording our allocation of gains from the investment partnerships, we use the investment partnerships’ results for a similar period. For the period which ended December 18, 2013, the investment partnership for the period ended December 31, 2013 was adjudged. Accordingly, we recorded $23,493 of gains from investment partnerships during fiscal year 2014. On December 31 of each year, the general partner of the investment partnerships, Biglari Capital will earn an incentive reallocation fee for the Company’s investments equal to 25% of the net profits above an annual hurdle rate of 6%. Our policy is to accrue an estimated incentive fee throughout the fiscal year. Our investment in these partnerships is committed on a rolling 5-year basis.

	Summarized financial information for The Lion Fund, L.P. and The Lion Fund II, L.P. is presented below:

		Equity in Investment Partnerships
		Lion Fund	Lion Fund II
	Current and Total Assets as of December 31, 2013 ..........................................................................	$ 149,711	$ 436,166
	Current and Total Liabilities as of December 31, 2013 ......................................................................	$ 62	$ 25
	Revenue for the 3 month period ending December 31, 2013 ............................................................	$ 24,143	$ 30,258
	Earnings for the 3 month period ending December 31, 2013 ............................................................	$ 24,134	$ 30,243
	Biglari Holdings’ Ownership Interest .................................................................................................	50.47%	94.32%

	The investments held by the investment partnerships are largely concentrated in the common stock of one investee, Cracker Barrel Old Country Store, Inc.

Note_6_Consolidated_Affiliated

Note 6. Consolidated Affiliated Partnerships	3 Months Ended
	Dec. 18, 2013
Note 6. Consolidated Affiliated Partnerships	'
Note 6. Consolidated Affiliated Partnerships	'
	Collectively, The Lion Fund L.P. and Western Acquisitions, L.P. were referred to as consolidated affiliated partnerships of the Company. Certain of the consolidated affiliated partnerships held the Company’s common stock as investments. Within our consolidated financial statements, we classified this common stock as treasury stock though the shares were legally outstanding. As of December 19, 2012, the consolidated affiliated partnerships held 205,743 shares of the Company’s common stock.

	Net earnings for the 12 weeks ended December 19, 2012 of the Company included the realized and unrealized appreciation and depreciation of the investments held by consolidated affiliated partnerships, other than realized and unrealized appreciation and depreciation of investments the consolidated affiliated partnerships held in the Company’s equity securities which have been eliminated in consolidation.

	Realized investment gains/losses arise when investments are sold (as determined on a specific identification basis). The total revenue from consolidated affiliated partnerships, other than holdings of the Company’s equity securities, were as follows:

		19-Dec-12
	Net unrealized gains/losses ................................................................................................................................	(435)
	Net realized gains/losses from sale ....................................................................................................................	87
	Other Income...........................................................................................................................................................	121
	Total revenue from Consolidated Affiliated Partnerships................................................................................	$ (227)

	The limited partners of each of the investment funds have the ability to redeem their capital upon certain occurrences; therefore, the ownership of the investment funds held by the limited partners is presented as redeemable noncontrolling interests of consolidated affiliated partnerships and measured at the greater of carrying value or fair value on the accompanying consolidated balance sheet. The affiliated partnerships were no longer consolidated as of September 25, 2013.

	The following is a reconciliation of the redeemable noncontrolling interests in the consolidated affiliated partnerships.

		19-Dec-12
	Carrying value at beginning of period ............................................................................................................	$ 52,088
	Contributions from noncontrolling interests .................................................................................................	23
	Distributions to noncontrolling interests .......................................................................................................	(1,310)
	Incentive fee .........................................................................................................................................................	(21)
	Income allocation.................................................................................................................................................	(154)
	Adjustment to redeemable noncontrolling interest to reflect maximum redemption value......................	2,648
	Carrying value at end of period..........................................................................................................................	$ 53,274

	The consolidated affiliated partnerships held shares of the Company’s common stock. Any unrealized gain or loss on the common stock of the Company was eliminated in our financial statements. The unrealized gain that was attributable to the noncontrolling interests increased the redemption value of outside capital. The adjustment to increase the redemption value based on unrealized gains in the Company’s common stock held by the consolidated affiliated partnerships was $2,648 on December 19, 2012.

	The Company, through its ownership of Biglari Capital and Western Investments Inc., was entitled to an incentive fee to the extent investment performance of the consolidated affiliated partnerships exceeded specified hurdle rates. Any such fee was included in net earnings attributable to the Company in the period in which the fee was earned.

	Biglari Capital, the general partner of the Lion Fund, earned a $21 incentive reallocation fee at December 31, 2012. As a result of the sale of Biglari Capital and the liquidation of Western Acquisitions, L.P., the Company is no longer entitled to receive such incentive fees.

	Net earnings attributable to the Company only included the Company’s share of earnings and losses related to its investments in the consolidated affiliated partnerships; all other earnings or losses from the consolidated affiliated partnerships were allocated to the redeemable noncontrolling interests.

Note_7_Assets_Held_for_Sale

Note 7. Assets Held for Sale	3 Months Ended
	Dec. 18, 2013
Notes to Financial Statements	'
Note 7. Assets Held for Sale	'
	Assets held for sale are composed of the following:

		18-Dec-13	25-Sep-13
	Land and buildings ...........................................................................................................	$ 461	$ 561
	Improvements ....................................................................................................................	-	-
	Total assets held for sale .................................................................................................	$ 461	$ 561

	As of December 18, 2013, the balance consisted of one parcel of land. During the first quarter of fiscal year 2014, one parcel of land was sold. As of September 25, 2013 the balance included two parcels of land.

	The Company expects to sell the property within one year of its classification as assets held for sale.

Note_8_Other_Current_Assets

Note 8. Other Current Assets	3 Months Ended
Note 8. Other Current Assets	Dec. 18, 2013
Note 8. Other Current Assets	'
Note 8. Other Current Assets	'
	Other current assets primarily include prepaid rent and prepaid contractual obligations.

Note_9_Property_and_Equipment

Note 9. Property and Equipment	3 Months Ended
Note 9. Property and Equipment	Dec. 18, 2013
Property, Plant and Equipment [Abstract]	'
Note 9. Property and Equipment	'
	Property and equipment is composed of the following:

		18-Dec-13	25-Sep-13
	Land .........................................................................................................................................	$ 162,174	$ 162,488
	Buildings .................................................................................................................................	157,193	152,891
	Land and leasehold improvements .....................................................................................	156,988	155,962
	Equipment ...............................................................................................................................	211,227	209,913
	Construction in progress ......................................................................................................	5,284	5,538
		692,866	686,792
	Less accumulated depreciation and amortization .............................................................	(345,300)	(340,645)
	Property and equipment, net ................................................................................................	$ 347,566	$ 346,147

Note_10_Goodwill_and_Other_Int

Note 10. Goodwill and Other Intangibles	3 Months Ended
Note 10. Goodwill and Other Intangibles	Dec. 18, 2013
Goodwill and Intangible Assets Disclosure [Abstract]	'
Note 10. Goodwill and Other Intangibles	'
	Goodwill
	Goodwill consists of the excess of the purchase price over the fair value of the net assets acquired in connection with business acquisitions. There was no change to the carrying value of goodwill from September 25, 2013.

	We are required to assess goodwill and any indefinite-lived intangible assets for impairment annually, or more frequently if circumstances indicate impairment may have occurred. The analysis of potential impairment of goodwill requires a two-step approach. The first step is the estimation of fair value of each reporting unit. If step one indicates that impairment potentially exists, the second step is performed to measure the amount of impairment, if any. Goodwill impairment exists when the estimated fair value of goodwill is less than its carrying value.

	During the fourth quarter of the fiscal year, we perform our annual assessment of the recoverability of our goodwill related to four reporting units. During the second quarter of the fiscal year, we perform our annual assessment of our recoverability of goodwill related to Western. The valuation methodology and underlying financial information included in our determination of fair value require significant management judgments. We use both market and income approaches to derive fair value. The judgments in these two approaches include, but are not limited to, comparable market multiples, long-term projections of future financial performance, and the selection of appropriate discount rates used to determine the present value of future cash flows. Changes in such estimates or the application of alternative assumptions could produce significantly different results.

	Other Intangibles
	Other intangibles are composed of the following:

		18-Dec-13			25-Sep-13

		Gross carrying amount	Accumulated amortization	Total	Gross carrying amount	Accumulated amortization	Total
	Right to operate ..........................	$ 1,480	$ (1,380)	$ 100	$ 1,480	$ (1,353)	$ 127
	Franchise agreement ...................	5,310	(1,992)	3,318	5,310	(1,859)	3,451
	Other ..........................................	810	(584)	226	810	(574)	236
	Total ...........................................	7,600	(3,956)	3,644	7,600	(3,786)	3,814
	Intangible assets with indefinite
	lives..............................................	3,907	-	3,907	3,907	-	3,907
	Total intangible assets ................	$ 11,507	$ (3,956)	$ 7,551	$ 11,507	$ (3,786)	$ 7,721

	Intangible assets subject to amortization consist of franchise agreements acquired in connection with the purchase of Western as well as rights to favorable leases related to prior acquisitions. These intangible assets are being amortized over their estimated weighted average of useful lives ranging from eight to twelve years.

	Amortization expense for the twelve weeks which ended December 18, 2013 and December 19, 2012 was $170 and $169, respectively. Total annual amortization expense for each of the next five years will approximate $589.

	Intangible assets with indefinite lives consist of reacquired franchise rights as well as acquired lease rights.

Note_11_Other_Assets

Note 11. Other Assets	3 Months Ended
Note 11. Other Assets	Dec. 18, 2013
Other Assets [Abstract]	'
Note 11. Other Assets	'
Note 11. Other Assets	Other assets primarily include capitalized software, non-qualified plan investments, the non-current portion of capitalized loan acquisition costs, restricted cash of $3,600 related to workers’ compensation claims and the non-current portion of prepaid rent.

Note_12_Borrowings

Note 12. Borrowings	3 Months Ended
Note 12. Borrowings	Dec. 18, 2013
Debt Disclosure [Abstract]	'
Note 12. Borrowings	'
	The outstanding debt on Steak n Shake’s credit facility on December 18, 2013 was $107,250 compared to $120,250 on September 25, 2013.
	The carrying amounts for debt reported in the consolidated balance sheet do not differ materially from their fair values at December 18, 2013 and September 25, 2013. The fair value was determined to be a Level 3 fair value measurement.

Note_13_Other_Longterm_Liabili

Note 13. Other Long-term Liabilities	3 Months Ended
Note 13. Other Long-term Liabilities	Dec. 18, 2013
Other Liabilities Disclosure [Abstract]	'
Note 13. Other Long-term Liabilities	'
Note 13. Other Long-term Liabilities	Other long-term liabilities include deferred rent expense, non-qualified plan obligations, deferred gain on sale-leaseback transactions, uncertain tax positions, and deferred compensation.

Note_14_Accumulated_Other_Comp

Note 14. Accumulated Other Comprehensive Income	3 Months Ended
Note 14. Accumulated Other Comprehensive Income	Dec. 18, 2013
Equity [Abstract]	'
Note 14. Accumulated Other Comprehensive Income	'
	During the quarter ended December 18, 2013, the changes in the balances of each component of accumulated other comprehensive income, net of tax, were as follows:

		Foreign Currency Translation Adjustments	Investment Gain	Accumulated Other Comprehensive Income

	Balance as of September 25, 2013...........................................................	$ 8	$ 21,449	$ 21,457
	Other comprehensive income before reclassifications........................	289	3,592	3,881
	Balance as of December 18, 2013............................................................	$ 297	$ 25,041	$ 25,338

	No reclassifications were made from accumulated comprehensive income to the consolidated statements of earnings in the first quarter of fiscal year 2014.

Note_15_Income_Taxes

Note 15. Income Taxes	3 Months Ended
Note 15. Income Taxes	Dec. 18, 2013
Income Tax Disclosure [Abstract]	'
Note 15. Income Taxes	'
	In determining the quarterly provision for income taxes, the Company uses an estimated annual effective tax rate based on expected annual income, statutory tax rates, and available tax planning opportunities in the various jurisdictions in which the Company operates. Unusual or infrequently occurring items are separately recognized during the quarter in which they occur.
	Income tax expense for the twelve weeks which ended December 18, 2013 was $8,373 compared to $1,543 in the same period in the prior year. The increase in the tax expense is primarily attributable to taxes on gains from investment partnerships.
	As of December 18, 2013 and September 25, 2013, we had approximately $817 and $803, respectively, of unrecognized tax benefits, which are included in other long-term liabilities in the consolidated balance sheet.

Note_16_Commitments_and_Contin

Note 16. Commitments and Contingencies	3 Months Ended
Note 16. Commitments and Contingencies	Dec. 18, 2013
Commitments and Contingencies Disclosure [Abstract]	'
Note 16. Commitments and Contingencies	'
	We are involved in various legal proceedings and have certain unresolved claims pending. We believe, based on examination of these matters and experiences to date, that the ultimate liability, if any, in excess of amounts already provided in our consolidated financial statements is not likely to have a material effect on our results of operations, financial position or cash flows.

	On June 3, 2013 and July 2, 2013, two shareholders of the Company filed derivative actions putatively on behalf of the Company against the members of our board of directors in the United States District Courts for the Southern District of Indiana and the Western District of Texas. The shareholders allege claims for breach of fiduciary duty, gross mismanagement, contribution and indemnification, abuse of control, waste, and unjust enrichment relating to certain Company transactions, including the Company’s acquisition of Biglari Capital, Mr. Biglari’s incentive agreement, the trademark license agreement between the Company and Mr. Biglari, and the Company’s rights offering. The shareholders seek to recover unspecified damages, various forms of injunctive relief, and an award of their attorneys’ fees. The Company believes these claims are without merit and intends to defend these cases vigorously.

Note_17_Fair_Value_of_Financia

Note 17. Fair Value of Financial Assets and Liabilities	3 Months Ended
Note 17. Fair Value of Financial Assets and Liabilities	Dec. 18, 2013
Fair Value Disclosures [Abstract]	'
Note 17. Fair Value of Financial Assets and Liabilities	'
	The fair value framework as established in ASC paragraph 820-10-50-2 requires the categorization of assets and liabilities into three levels based upon the assumptions (inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair values, whereas Level 3 generally requires significant management judgment. The three levels are defined as follows:

	•	Level 1: Unadjusted quoted prices in active markets for identical assets and liabilities.
	•	Level 2: Observable inputs other than those included in Level 1. For example, quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets.
	•	Level 3: Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability.

	The following methods and assumptions were used to determine the fair value of each class of the following assets and liabilities recorded at fair value in the consolidated balance sheet.

	Equity securities: The Company’s investments in equity securities are carried at fair value, based on quoted market prices, and are classified within Level 1 of the fair value hierarchy.

	Non-qualified deferred compensation plan investments: The assets of the Non-Qualified Plan are set up in a rabbi trust. They represent mutual funds that are carried at fair value, based on quoted market prices, and are classified within Level 1 of the fair value hierarchy.

	Interest rate swaps: Interest rate swaps are marked to market each reporting period with fair value based on readily available market quotes, and are classified within Level 2 of the fair value hierarchy. Interest rate swaps at December 18, 2013 and September 25, 2013 represent the fair market value for Steak n Shake’s two interest rate swaps.

	As of December 18, 2013 and September 25, 2013, the fair values of financial assets and liabilities were as follows:

			18-Dec-13				25-Sep-13

			Level 1	Level 2	Level 3	Total	Level 1	Level 2	Level 3	Total
	Assets
	Equity securities:
	Restaurant/Retail ......................		$ 85,062	$ -	$ -	$ 85,062	$ 79,357	$ -	$ -	$ 79,357
	Insurance ...................................		6,208	-	-	6,208	6,122	-	-	6,122
	Non-qualified deferred
	compensation plan investments...		1,306	-	-	1,306	1,169	-	-	1,169
	Total assets at fair value ..............		$ 92,576	$ -	$ -	$ 92,576	$ 86,648	$ -	$ -	$ 86,648

	Liabilities
	Interest rate swaps ......................		-	436	-	436	-	401	-	401
	Total liabilities at fair value .........		$ -	$ 436	$ -	$ 436	$ -	$ 401	$ -	$ 401

	There were no changes in our valuation techniques used to measure fair values on a recurring basis.

Note_18_Related_Party_Transact

Note 18. Related Party Transactions	3 Months Ended
Note 18. Related Party Transactions	Dec. 18, 2013
Related Party Transactions [Abstract]	'
Note 18. Related Party Transactions	'

	On July 1, 2013, Biglari Holdings entered into the following agreements with Mr. Biglari, its Chairman and Chief Executive Officer: (i) a Stock Purchase Agreement for the sale of Biglari Capital; (ii) a Shared Services Agreement with Biglari Capital, and (iii) a First Amendment to the Amended and Restated Incentive Bonus Agreement, dated September 28, 2010, with Mr. Biglari. The transactions contemplated thereby were unanimously approved by the independent Governance, Compensation and Nominating Committee of the Board of Directors of the Company (the “Committee”), which retained separate counsel, tax/accounting advisors, an independent compensation consultant, and a financial advisor to assist the Committee in the structuring, evaluation, and negotiation of such transactions.
	Shared Services Agreement
	Connected with the Biglari Capital Transaction, Biglari Holdings and Biglari Capital entered into the Shared Services Agreement pursuant to which Biglari Holdings provides certain services to Biglari Capital in exchange for a 6% hurdle rate for Biglari Holdings and its subsidiaries (as compared to a 5% hurdle rate for all other limited partners) in order to determine the incentive reallocation to Biglari Capital, as general partner of The Lion Fund, L.P. and The Lion Fund II, L.P., under their respective partnership agreements. The incentive reallocation to Biglari Capital is equal to 25% of the net profits allocated to the limited partners in excess of their applicable hurdle rate.
	During the first quarter of fiscal year 2014, the Company provided services for Biglari Capital under the Shared Services Agreement, costing an aggregate cost of $839.
	Investments in The Lion Fund, L.P. and The Lion Fund II, L.P.
	During the fiscal year ended September 25, 2013, the Company contributed cash and securities it owned with an aggregate value of $377,636 in exchange for limited partner interests in The Lion Fund, L.P. and The Lion Fund II, L.P. As of December 18, 2013, the Company’s investments in The Lion Fund, L.P. and The Lion Fund II, L.P. had a fair value of $486,903.
	As the general partner of the investment partnerships, Biglari Capital on December 31 of each year will earn an incentive reallocation fee for the Company’s investments equal to 25% of the net profits above an annual hurdle rate of 6%. Our policy is to accrue an estimated incentive fee throughout the fiscal year. The total incentive reallocation from Biglari Holdings to Biglari Capital for calendar year 2013 was $14,702, including $3,655 associated with gains on Company common stock, which is eliminated in our financial statements.

	License Agreement
	On January 11, 2013, the Company entered into a Trademark License Agreement (the “License Agreement”) with Mr. Biglari. The License Agreement was unanimously approved by the Committee.

	Under the License Agreement, Mr. Biglari granted to the Company an exclusive license to use the Biglari and Biglari Holdings names (the “Licensed Marks”) in association with various products and services (collectively the “Products and Services”). Upon (a) the expiration of twenty years from the date of the License Agreement (subject to extension as provided in the License Agreement), (b) Mr. Biglari’s death, (c) the termination of Mr. Biglari’s employment by the Company for Cause (as defined in the License Agreement), or (d) Mr. Biglari’s resignation from his employment with the Company absent an Involuntary Termination Event (as defined in the License Agreement), the Licensed Marks for the Products and Services will transfer from Mr. Biglari to the Company without any compensation if the Company is continuing to use the Licensed Marks in the ordinary course of its business. Otherwise, the rights will revert to Mr. Biglari.

	The license provided under the License Agreement is royalty-free unless and until one of the following events occurs: (i) a Change of Control (as defined in the License Agreement) of the Company; (ii) the termination of Mr. Biglari’s employment by the Company without Cause; or (iii) Mr. Biglari’s resignation from his employment with the Company due to an Involuntary Termination Event (each, a “Triggering Event”). Following the occurrence of a Triggering Event, Mr. Biglari is entitled to receive a 2.5% royalty on “Revenues” with respect to the “Royalty Period.” The royalty payment to Mr. Biglari does not apply to all revenues received by Biglari Holdings and its subsidiaries simply because the name of the public corporation is “Biglari Holdings,” nor does it apply retrospectively (i.e., to revenues received with respect to the period prior to the Triggering Event). The royalty applies to revenues recorded by the Company on an accrual basis under GAAP, solely with respect to the defined period of time after the Triggering Event equal to the Royalty Period, from a covered Product, Service or business that (1) has used the Biglari Holdings or Biglari name at any time during the term of the License Agreement, whether prior to or after a Triggering Event, or (2) the Company has specifically identified, prior to a Triggering Event, will use the name Biglari or Biglari Holdings.

	“Revenues” means all revenues received, on an accrual basis under GAAP, by the Company, its subsidiaries and affiliates from the following: (1) all Products and Services covered by the License Agreement bearing or associated with the names Biglari and Biglari Holdings at any time (whether prior to or after a Triggering Event). This category would include, without limitation, the use of Biglari or Biglari Holdings in the public name of a business providing any covered Product or Service; and (2) all covered Products, Services and businesses that the Company has specifically identified, prior to a Triggering Event, will bear, use or be associated with the name Biglari or Biglari Holdings.

	The Committee unanimously approved the association of the Biglari name and mark with all of Steak n Shake’s restaurants (including Company operated and franchised locations), products and brands. On May 14, 2013, the Company, Steak n Shake, LLC and Steak n Shake Enterprises, Inc. entered into a Trademark Sublicense Agreement in connection therewith. Accordingly, revenues received by the Company, its subsidiaries and affiliates from Steak n Shake’s restaurants, products and brands would come within the definition of Revenues for purposes of the License Agreement.

	The “Royalty Period” is a defined period of time, after the Triggering Event, calculated as follows: (i) if, following three months after a Triggering Event, the Company or any of its subsidiaries or affiliates continues to use the Biglari or Biglari Holdings name in connection with any covered product or service, or continues to use Biglari as part of its corporate or public company name, then the “Royalty Period” will equal (a) the period of time during which the Company or any of its subsidiaries or affiliates continues any such use, plus (b) a period of time after the Company, its subsidiaries and affiliates have ceased all uses of the names Biglari and Biglari Holdings equal to the length of the term of the License Agreement prior to the Triggering Event, plus three years. As an example, if a Triggering Event occurs five years after the date of the License Agreement, and the Company ceases all uses of the Biglari and Biglari Holdings names two years after the Triggering Event, the Royalty Period will equal a total of ten years (the sum of two years after the Triggering Event during which the Biglari and Biglari Holdings names are being used, plus a period of time equal to the five years prior to the Triggering Event, plus three years); or (ii) if the Company, its subsidiaries and affiliates cease all uses of the Biglari and Biglari Holdings names within three months after a Triggering Event, then the “Royalty Period” will equal the length of the term of the License Agreement prior to the Triggering Event, plus three years. As an example, if a Triggering Event occurs five years after the date of the License Agreement, and the Company ceases all uses of the Biglari and Biglari Holdings names two months after the Triggering Event, the Royalty Period will equal a total of eight years (the sum of the period of time equal to the five years prior to the Triggering Event, plus three years). Notwithstanding the above methods of determining the Royalty Period, the minimum Royalty Period is five years after a Triggering Event.

Note_19_Business_Segment_Repor

Note 19. Business Segment Reporting	3 Months Ended
Note 19. Business Segment Reporting	Dec. 18, 2013
Segment Reporting [Abstract]	'
Note 19. Business Segment Reporting	'
	Net revenue, earnings before income taxes and noncontrolling interests, and net earnings attributable to Biglari Holdings Inc. for the twelve weeks ended December 18, 2013 and December 19, 2012 were as follows:

		Net Revenue
		18-Dec-13	19-Dec-12
	Operating Business:
	Restaurant Operations:
	Steak n Shake .......................................................................................................................	$ 169,380	$ 163,155
	Western .................................................................................................................................	2,959	3,583
	Total Restaurant Operations ....................................................................................................	$ 172,339	$ 166,738
	Corporate and other...................................................................................................................	-	-227
		$ 172,339	$ 166,511

	As a result of the sale of Biglari Capital and related deconsolidation of the consolidated affiliated partnerships during July 2013, the Company no longer has an investment management segment. The segment related financial information for the twelve weeks ended December 19, 2012 has been restated to eliminate this segment. Amounts previously reported are now included as a component of corporate and other.

		Earnings before income taxes and noncontrolling interests		Net earnings attributable to Biglari Holdings Inc.

		18-Dec-13	19-Dec-12	18-Dec-13	19-Dec-12
	Operating Business:
	Restaurant Operations:
	Steak n Shake ......................................................................	$ 5,599	$ 8,502	$ 3,720	$ 5,666
	Western ..............................................................................	352	282	217	160
	Total Restaurant Operations ....................................................	5,951	8,784	3,937	5,826

	Corporate and Other:
	Corporate and other ...........................................................	(3,106)	(1,118)	(2,048)	(188)
	Gains from investment partnerships....................................	23,493	-	15,516	-
	Investment gains/losses ......................................................	-	1	-	1
	Total Corporate and Other .......................................................	20,387	(1,117)	13,468	(187)

	Reconciliation of segments to consolidated amount:
	Eliminations for gains from investment
	partnerships.........................................................................	(23,493)	-	-	-
	Interest expense and loss on debt extinguishment,
	excluding interest allocated to operating businesses.............	(1,474)	(1,737)	(914)	(1,077)
		$ 1,371	$ 5,930	$ 16,491	$ 4,562

Note_1_Summary_of_Significant_1

Note 1. Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Dec. 18, 2013
Accounting Policies [Abstract]	'
Description of Business	'
	The accompanying unaudited consolidated financial statements of Biglari Holdings Inc. (“Biglari Holdings” or the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America applicable to interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United States of America for complete financial statements. In our opinion, all adjustments considered necessary to present fairly the results of the interim periods have been included and consist only of normal recurring adjustments. The results for the interim periods shown are not necessarily indicative of results for the entire fiscal years. The financial statements contained herein should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended September 25, 2013.

	Biglari Holdings Inc. is a diversified holding company engaged in a number of business activities. The Company’s most important operating subsidiaries are involved in the franchising and operating of restaurants. The Company is led by Sardar Biglari, Chairman and Chief Executive Officer of Biglari Holdings and its major operating subsidiaries. The Company’s long-term objective is to maximize per-share intrinsic value. All major operating, investment, and capital allocation decisions are made for the Company and its subsidiaries by Sardar Biglari, Chairman and Chief Executive Officer.
Principles of Consolidation	'
Principles of Consolidation	As of December 18, 2013, the consolidated financial statements include the accounts of (i) the Company and (ii) its wholly-owned subsidiaries, Steak n Shake Operations, Inc. (“Steak n Shake”) and Western Sizzlin Corporation (“Western”). In addition to consolidating wholly-owned entities we consolidate entities if we have a controlling interest in the general partner. As of December 19, 2012, the consolidated financial statements included the accounts of (i) the Company, (ii) its wholly-owned subsidiaries Biglari Capital Corp. (“Biglari Capital”), Steak n Shake, and Western, and (iii) investment related limited partnerships The Lion Fund, L.P. and Western Acquisitions, L.P. (collectively the “consolidated affiliated partnerships”), in which we had a controlling interest. As a result of the sale of Biglari Capital and the related liquidation of Western Acquisitions, L.P. during July 2013, the Company ceased to have a controlling interest in the consolidated affiliated partnerships. Accordingly, Biglari Capital and the consolidated affiliated partnerships are no longer consolidated in the Company’s financial statements.

Note_3_Earnings_Per_Share_Tabl

Note 3. Earnings Per Share (Tables)	3 Months Ended
Note 3. Earnings Per Share (Tables)	Dec. 18, 2013
Earnings per share attributable to Biglari Holdings Inc.	'
Reconciliation of basic and diluted weighted average common shares	'
		Twelve Weeks Ended

		18-Dec-13	19-Dec-12
	Basic earnings per share:
	Weighted average common shares ............................................................................................	1,588,417	1,435,987
	Diluted earnings per share:
	Weighted average common shares ............................................................................................	1,588,417	1,435,987
	Dilutive effect of stock awards ................................................................................................	3,414	2,606
	Weighted average common and incremental shares ..................................................................	1,591,831	1,438,593
	Number of share-based awards excluded from the calculation of earnings per share as the
	awards' exercise prices were greater than the average market price of the Company's
	common stock............................................................................................................................	-	705

Note_4_Investments_Tables

Note 4. Investments (Tables)	3 Months Ended
Note 4. Investments (Tables)	Dec. 18, 2013
Schedule of Investments [Abstract]	'
Schedule of fair value of Investments	'
		18-Dec-13	25-Sep-13
	Cost ...........................................................................................................................................	$ 50,884	$ 50,884
	Gross unrealized gains ...........................................................................................................	40,386	34,595
	Gross unrealized losses .........................................................................................................	-	-
	Fair value ..................................................................................................................................	$ 91,270	$ 85,479
Schedule of investment gains/losses	'
		18-Dec-13	19-Dec-12
	Gross realized gains on sales ..................................................................................................	$ -	$ 1
	Gross realized losses on sales ................................................................................................	-	-
	Total realized gains/losses ......................................................................................................	$ -	$ 1

Note_5_Investment_Partnerships1

Note 5. Investment Partnerships (Tables)	3 Months Ended
Note 5. Investment Partnerships (Tables)	Dec. 18, 2013
Note 5. Investment Partnerships Tables	'
Fair value and carrying value of our partnership interest	'
		Fair Value	Fair Value of Company Common Stock	Carrying Value
	Partnership interest at September 25, 2013.........................................................................................	$ 455,297	$ 57,598	$ 397,699
	Gains from investment partnerships (net of performance fees)......................................................	33,074	9,581	23,493
	Distribution from investment partneships..........................................................................................	(1,469)	-	(1,469)
	Partnership interest at December 18, 2013..........................................................................................	$ 486,902	$ 67,179	$ 419,723
Summarized financial information for Equity in Investment Partnerships	'
		Equity in Investment Partnerships
		Lion Fund	Lion Fund II
	Current and Total Assets as of December 31, 2013 ..........................................................................	$ 149,711	$ 436,166
	Current and Total Liabilities as of December 31, 2013 ......................................................................	$ 62	$ 25
	Revenue for the 3 month period ending December 31, 2013 ............................................................	$ 24,143	$ 30,258
	Earnings for the 3 month period ending December 31, 2013 ............................................................	$ 24,134	$ 30,243
	Biglari Holdings’ Ownership Interest .................................................................................................	50.47%	94.32%

Note_6_Consolidated_Affiliated1

Note 6. Consolidated Affiliated Partnerships (Tables)	3 Months Ended
Note 6. Consolidated Affiliated Partnerships (Tables)	Dec. 18, 2013
Note 6. Consolidated Affiliated Partnerships Tables	'
Tabular disclosure of realized and unrealized gains and losses on investments of consolidated affiliated partnerships reported in the statement of income.	'
		19-Dec-12
	Net unrealized gains/losses ................................................................................................................................	(435)
	Net realized gains/losses from sale ....................................................................................................................	87
	Other Income...........................................................................................................................................................	121
	Total revenue from Consolidated Affiliated Partnerships................................................................................	$ (227)
Tabular disclosure of redeemable noncontrolling interests of consolidated affiliated partnerships reported in the balance sheet.	'
		19-Dec-12
	Carrying value at beginning of period ............................................................................................................	$ 52,088
	Contributions from noncontrolling interests .................................................................................................	23
	Distributions to noncontrolling interests .......................................................................................................	(1,310)
	Incentive fee .........................................................................................................................................................	(21)
	Income allocation.................................................................................................................................................	(154)
	Adjustment to redeemable noncontrolling interest to reflect maximum redemption value......................	2,648
	Carrying value at end of period..........................................................................................................................	$ 53,274

Note_7_Assets_Held_for_Sale_Ta

Note 7. Assets Held for Sale (Tables)	3 Months Ended
Note 7. Assets Held for Sale (Tables)	Dec. 18, 2013
Notes to Financial Statements	'
Schedule of assets held for sale	'
		18-Dec-13	25-Sep-13
	Land and buildings ...........................................................................................................	$ 461	$ 561
	Improvements ....................................................................................................................	-	-
	Total assets held for sale .................................................................................................	$ 461	$ 561

Note_9_Property_and_Equipment_

Note 9. Property and Equipment (Tables)	3 Months Ended
Note 9. Property and Equipment (Tables)	Dec. 18, 2013
Property, Plant and Equipment [Abstract]	'
Schedule of Property, Plant and Equipment	'
		18-Dec-13	25-Sep-13
	Land .........................................................................................................................................	$ 162,174	$ 162,488
	Buildings .................................................................................................................................	157,193	152,891
	Land and leasehold improvements .....................................................................................	156,988	155,962
	Equipment ...............................................................................................................................	211,227	209,913
	Construction in progress ......................................................................................................	5,284	5,538
		692,866	686,792
	Less accumulated depreciation and amortization .............................................................	(345,300)	(340,645)
	Property and equipment, net ................................................................................................	$ 347,566	$ 346,147

Note_10_Goodwill_and_Other_Int1

Note 10. Goodwill and Other Intangibles (Tables)	3 Months Ended
Note 10. Goodwill and Other Intangibles (Tables)	Dec. 18, 2013
Goodwill and Intangible Assets Disclosure [Abstract]	'
Schedule of Other Intangibles	'
		18-Dec-13			25-Sep-13

		Gross carrying amount	Accumulated amortization	Total	Gross carrying amount	Accumulated amortization	Total
	Right to operate ..........................	$ 1,480	$ (1,380)	$ 100	$ 1,480	$ (1,353)	$ 127
	Franchise agreement ...................	5,310	(1,992)	3,318	5,310	(1,859)	3,451
	Other ..........................................	810	(584)	226	810	(574)	236
	Total ...........................................	7,600	(3,956)	3,644	7,600	(3,786)	3,814
	Intangible assets with indefinite
	lives..............................................	3,907	-	3,907	3,907	-	3,907
	Total intangible assets ................	$ 11,507	$ (3,956)	$ 7,551	$ 11,507	$ (3,786)	$ 7,721

Note_14_Accumulated_Other_Comp1

Note 14. Accumulated Other Comprehensive Income (Tables)	3 Months Ended
Note 14. Accumulated Other Comprehensive Income (Tables)	Dec. 18, 2013
Equity [Abstract]	'
Component of accumulated other comprehensive income	'
		Foreign Currency Translation Adjustments	Investment Gain	Accumulated Other Comprehensive Income

	Balance as of September 25, 2013...........................................................	$ 8	$ 21,449	$ 21,457
	Other comprehensive income before reclassifications........................	289	3,592	3,881
	Balance as of December 18, 2013............................................................	$ 297	$ 25,041	$ 25,338

Note_17_Fair_Value_of_Financia1

Note 17. Fair Value of Financial Assets and Liabilities (Tables)	3 Months Ended
	Dec. 18, 2013
Fair Value Disclosures [Abstract]	'
Schedule Of Fair Value Assets And Liabilities	'
		18-Dec-13				25-Sep-13

		Level 1	Level 2	Level 3	Total	Level 1	Level 2	Level 3	Total
	Assets
	Equity securities:
	Restaurant/Retail ......................	$ 85,062	$ -	$ -	$ 85,062	$ 79,357	$ -	$ -	$ 79,357
	Insurance ...................................	6,208	-	-	6,208	6,122	-	-	6,122
	Non-qualified deferred
	compensation plan investments...	1,306	-	-	1,306	1,169	-	-	1,169
	Total assets at fair value ..............	$ 92,576	$ -	$ -	$ 92,576	$ 86,648	$ -	$ -	$ 86,648

	Liabilities
	Interest rate swaps ......................	-	436	-	436	-	401	-	401
	Total liabilities at fair value .........	$ -	$ 436	$ -	$ 436	$ -	$ 401	$ -	$ 401

Note_19_Business_Segment_Repor1

Note 19. Business Segment Reporting (Tables)	3 Months Ended
Note 19. Business Segment Reporting (Tables)	Dec. 18, 2013
Segment Reporting [Abstract]	'
Schedule Of Net Revenue by Segment	'
		Net Revenue
		18-Dec-13	19-Dec-12
	Operating Business:
	Restaurant Operations:
	Steak n Shake .......................................................................................................................	$ 169,380	$ 163,155
	Western .................................................................................................................................	2,959	3,583
	Total Restaurant Operations ....................................................................................................	$ 172,339	$ 166,738
	Corporate and other...................................................................................................................	-	-227
		$ 172,339	$ 166,511
Schedule of reconciliation of segments earnings to consolidated	'
		Earnings before income taxes and noncontrolling interests		Net earnings attributable to Biglari Holdings Inc.

		18-Dec-13	19-Dec-12	18-Dec-13	19-Dec-12
	Operating Business:
	Restaurant Operations:
	Steak n Shake ......................................................................	$ 5,599	$ 8,502	$ 3,720	$ 5,666
	Western ..............................................................................	352	282	217	160
	Total Restaurant Operations ....................................................	5,951	8,784	3,937	5,826

	Corporate and Other:
	Corporate and other ...........................................................	(3,106)	(1,118)	(2,048)	(188)
	Gains from investment partnerships....................................	23,493	-	15,516	-
	Investment gains/losses ......................................................	-	1	-	1
	Total Corporate and Other .......................................................	20,387	(1,117)	13,468	(187)

	Reconciliation of segments to consolidated amount:
	Eliminations for Gains from investment
	partnerships.........................................................................	(23,493)	-	-	-
	Interest expense and loss on debt extinguishment,
	excluding interest allocated to operating businesses.............	(1,474)	(1,737)	(914)	(1,077)
		$ 1,371	$ 5,930	$ 16,491	$ 4,562

Note_3_Schedule_of_Earnings_Pe

Note 3. Schedule of Earnings Per Share Reconciliation (Details)	3 Months Ended
	Dec. 18, 2013	Dec. 19, 2012
Basic earnings per share:	'	'
Weighted average common shares, basic	1,588,417	1,435,987
Diluted earnings per share:	'	'
Weighted average common shares, diluted	1,588,417	1,435,987
Dilutive effect of stock awards	3,414	2,606
Weighted average common and incremental shares	1,591,831	1,438,593
Number of share - based awards excluded from the calculation of earnings per share as the awards' exercise prices were greater than the average market price of the Company's common stock	0	705

Note_4_Schedule_of_fair_value_

Note 4. Schedule of fair value of Investments (Details) (USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Sep. 25, 2013
Notes to Financial Statements	'	'
Cost	$50,884	$50,884
Gross unrealized gains	40,386	34,595
Gross unrealized losses	0	0
Fair value	$91,270	$85,479

Note_4_Schedule_of_investment_

Note 4. Schedule of investment gains/losses (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012
Notes to Financial Statements	'	'
Gross realized gains on sales	$0	$1
Gross realized losses on sales	0	0
Total realized gains/losses	$0	$1

Note_5_Fair_value_and_carrying

Note 5. Fair value and carrying value of partnership interest (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012
Gains from investment partnerships (net of performance fees)	$23,493	$0
Fair Value	'	'
Partnership interest at September 25, 2013	455,297	'
Gains from investment partnerships (net of performance fees)	33,074	'
Distribution from investment partnerships	-1,469	'
Partnership interest at December 18, 2013	486,902	'
Fair Value of Company common Stock	'	'
Partnership interest at September 25, 2013	57,598	'
Gains from investment partnerships (net of performance fees)	9,581	'
Distribution from investment partnerships	0	'
Partnership interest at December 18, 2013	67,179	'
Carrying Value	'	'
Partnership interest at September 25, 2013	397,699	'
Gains from investment partnerships (net of performance fees)	23,493	'
Distribution from investment partnerships	-1,469	'
Partnership interest at December 18, 2013	$419,723	'

Note_5_Summarized_financial_in

Note 5. Summarized financial information for Equity in Investment Partnerships (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013
Lion Fund	'
Current and Total Assets	$149,711
Current and Total Liabilities	62
Revenue for three months period	24,143
Earnings for three months period	24,134
Biglari Holding's Ownership Interest	50.47%
Lion Fund II	'
Current and Total Assets	436,166
Current and Total Liabilities	25
Revenue for three months period	30,258
Earnings for three months period	$30,243
Biglari Holding's Ownership Interest	94.32%

Note_5_Investment_Partnerships2

Note 5. Investment Partnerships (Details Narrative) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012	Sep. 25, 2013
Note 5. Investment Partnerships Details Narrative	'	'	'
Gain on investment partnerships	$23,493	$0	'
Proportionate share of Company stock held by investment partnerships at cost	$54,613	'	$54,613

Note_6_Schedule_of_gainlosses_

Note 6. Schedule of gain/losses on affiliated partnership (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 19, 2012
Schedule of gain/losses on affiliated partnership	'
Net unrealized gains/losses	($435)
Net realized gains/losses from sale	87
Other Income	121
Total revenue from Consolidated Affiliated Partnerships	($227)

Note_6_Schedule_of_redeemable_

Note 6. Schedule of redeemable noncontrolling interest (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 19, 2012
Notes to Financial Statements	'
Carrying value at beginning of period	$52,088
Contributions from noncontrolling interests	23
Distributions to noncontrolling interests	-1,310
Incentive fee	-21
Income allocation	-154
Adjustment to redeemable noncontrolling interest to reflect maximum redemption value	2,648
Carrying value at end of period	$53,274

Note_6_Consolidated_Affiliated2

Note 6. Consolidated Affiliated Partnerships (Details Narrative)	Dec. 19, 2012
Note 6. Consolidated Affiliated Partnerships Details Narrative	'
Consolidated affiliated partnerships' holdings of the Company's common stock	205,743

Note_7_Schedule_of_assets_held

Note 7. Schedule of assets held for sale (Details) (USD $)	Dec. 18, 2013	Sep. 25, 2013
In Thousands, unless otherwise specified	Dec. 18, 2013	Sep. 25, 2013
Notes to Financial Statements	'	'
Land and buildings	$461	$561
Improvements	0	0
Total assets held for sale	$461	$561

Note_7_Schedule_of_assets_held1

Note 7. Schedule of assets held for sale in numbers (Details Narrative)	3 Months Ended
	Dec. 18, 2013	Sep. 25, 2013
Note 7. Schedule Of Assets Held For Sale In Numbers Details Narrative	'	'
Number of parcels of land sold during the period	1	'
Number of land parcels included in assets held for sale	1	2

Note_9_Schedule_of_Property_Pl

Note 9. Schedule of Property, Plant and Equipment (Details) (USD $)	Dec. 18, 2013	Sep. 25, 2013
In Thousands, unless otherwise specified	Dec. 18, 2013	Sep. 25, 2013
Notes to Financial Statements	'	'
Land	$162,174	$162,488
Buildings	157,193	152,891
Land and leasehold improvements	156,988	155,962
Equipment	211,227	209,913
Construction in progress	5,284	5,538
Property and equipment, gross	692,866	686,792
Less accumulated depreciation and amortization	-345,300	-340,645
Property and equipment, net	$347,566	$346,147

Note_10_Schedule_Of_Intangible

Note 10. Schedule Of Intangible Assets (Details) (USD $)	Dec. 18, 2013	Sep. 25, 2013
In Thousands, unless otherwise specified	Dec. 18, 2013	Sep. 25, 2013
Gross carrying amount	$7,600	$7,600
Accumulated amortization	-3,956	-3,786
Net definite-lived intangible assets	3,644	3,814
Intangible assets with indefinite lives	3,907	3,907
Total intangible assets	7,551	7,721
Right to Operate	'	'
Gross carrying amount	1,480	1,480
Accumulated amortization	-1,380	-1,353
Net definite-lived intangible assets	100	127
Franchise Agreement	'	'
Gross carrying amount	5,310	5,310
Accumulated amortization	-1,992	-1,859
Net definite-lived intangible assets	3,318	3,451
Other	'	'
Gross carrying amount	810	810
Accumulated amortization	-584	-574
Net definite-lived intangible assets	226	236
Intangible assets with indefinite lives	'	'
Gross carrying amount	3,907	3,907
Intangible assets with indefinite lives	$3,907	$3,907

Note_10_Goodwill_and_Other_Int2

Note 10. Goodwill and Other Intangibles (Details Narrative) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012
Note 10. Goodwill And Other Intangibles Details Narrative	'	'
Amortization expense	$170	$169
Future amortization expense for each of the next five years	$589	'
Estimated weighted average useful life of definite-lived intangible assets	'eight to twelve years	'

Note_12_Borrowings_Details_Nar

Note 12. Borrowings (Details Narrative) (USD $)	Sep. 25, 2013	Dec. 18, 2013
In Thousands, unless otherwise specified	Sep. 25, 2013	Steak n Shake
Outstanding debt credit facility	$120,250	$107,250

Note_14_Accumulated_Other_Comp2

Note 14. Accumulated Other Comprehensive Income (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012
Balance as of September 25, 2013	$21,457	'
Other comprehensive income before reclassifications	3,881	-5,890
Balance as of December 18, 2013	25,338	'
Foreign Currency Translation Adjustments	'	'
Balance as of September 25, 2013	8	'
Other comprehensive income before reclassifications	289	'
Balance as of December 18, 2013	297	'
Investment Gain	'	'
Balance as of September 25, 2013	21,449	'
Other comprehensive income before reclassifications	3,592	'
Balance as of December 18, 2013	$25,041	'

Note_15_Income_Taxes_Details_N

Note 15. Income Taxes (Details Narrative) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012	Sep. 25, 2013
Note 15. Income Taxes Details Narrative	'	'	'
Income taxes	$8,373	$1,543	'
Unrecognized tax benefits	$817	'	$803

Note_17_Schedule_Of_Fair_Value

Note 17. Schedule Of Fair Value Assets And Liabilities (Details) (USD $)	Dec. 18, 2013	Sep. 25, 2013
In Thousands, unless otherwise specified	Dec. 18, 2013	Sep. 25, 2013
Equity Securities	'	'
Fair value	$91,270	$85,479
Other Assets	'	'
Non-qualified Deferred Compensation Plan Investments	1,306	1,169
Total assets at fair value	92,576	86,648
Liabilities	'	'
Interest rate swaps	436	401
Total liabilities at fair value	436	401
Level 1	'	'
Equity Securities	'	'
Fair value	91,270	85,479
Other Assets	'	'
Non-qualified Deferred Compensation Plan Investments	1,306	1,169
Total assets at fair value	92,576	86,648
Level 1 \| Resturant Retail	'	'
Equity Securities	'	'
Fair value	85,062	79,357
Level 1 \| Insurance	'	'
Equity Securities	'	'
Fair value	6,208	6,122
Level 2	'	'
Liabilities	'	'
Interest rate swaps	436	401
Total liabilities at fair value	$436	$401

Note_18_Related_Party_Transact1

Note 18. Related Party Transactions (Details Narrative) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013
Cost of services provided to Biglari Capital	$839
Incentive reallocation	14,702
Gain on investments not recognized in financial statements	3,655
Lion Fund	'
Company's investment in the Lion Fund and Lion Fund II	$486,903

Note_19_Schedule_Of_Net_Revenu

Note 19. Schedule Of Net Revenue by Segment (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012
Net Revenue	$172,339	$166,511
Steak n Shake	'	'
Net Revenue	169,380	163,155
Western	'	'
Net Revenue	2,959	3,583
Total Restaurant Operations	'	'
Net Revenue	172,339	166,738
Corporate And Other	'	'
Net Revenue	$0	($227)

Note_19_Schedule_of_reconcilia

Note 19. Schedule of reconciliation of segments (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 18, 2013	Dec. 19, 2012
Earnings before income taxes and noncontrolling interests	$1,371	$5,930
Net earnings attributable to Biglari Holdings Inc.	16,491	4,562
Restaurant Operations \| Steak n Shake	'	'
Earnings before income taxes and noncontrolling interests	5,599	8,502
Net earnings attributable to Biglari Holdings Inc.	3,720	5,666
Restaurant Operations \| Western	'	'
Earnings before income taxes and noncontrolling interests	352	282
Net earnings attributable to Biglari Holdings Inc.	217	160
Restaurant Operations \| Total Restaurant Operations	'	'
Earnings before income taxes and noncontrolling interests	5,951	8,784
Net earnings attributable to Biglari Holdings Inc.	3,937	5,826
Corporate \| Corporate And Other	'	'
Earnings before income taxes and noncontrolling interests	-3,106	-1,118
Net earnings attributable to Biglari Holdings Inc.	-2,048	-188
Corporate \| Gain from Investment Partnerships	'	'
Earnings before income taxes and noncontrolling interests	23,493	0
Net earnings attributable to Biglari Holdings Inc.	15,516	0
Corporate \| Investment Gains/Losses	'	'
Earnings before income taxes and noncontrolling interests	0	1
Net earnings attributable to Biglari Holdings Inc.	0	1
Corporate \| TotalCorporateAndOtherMember	'	'
Earnings before income taxes and noncontrolling interests	20,387	-1,117
Net earnings attributable to Biglari Holdings Inc.	13,468	-187
Reconciliation Of Segments \| Eliminations	'	'
Earnings before income taxes and noncontrolling interests	-23,493	0
Net earnings attributable to Biglari Holdings Inc.	0	0
Reconciliation Of Segments \| InterestExpenseMember	'	'
Earnings before income taxes and noncontrolling interests	-1,474	-1,737
Net earnings attributable to Biglari Holdings Inc.	($914)	($1,077)