Einstein Noah Restaurant (BAGL) 10-Q 1 Aug 14 2014 Q2 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
	Jul. 01, 2014	Jul. 24, 2014
Document Information [Line Items]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	1-Jul-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q2	'
Trading Symbol	'BAGL	'
Entity Registrant Name	'EINSTEIN NOAH RESTAURANT GROUP INC	'
Entity Central Index Key	'0000949373	'
Current Fiscal Year End Date	'--12-30	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	17,969,079

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Jul. 01, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$3,698	$5,982
Restricted cash	1,237	1,287
Accounts receivable, net of $183 and $177 of allowances	9,186	9,875
Inventories	5,404	5,634
Current deferred income tax assets, net	9,665	9,920
Prepaid expenses	7,859	7,252
Other current assets	711	682
Total current assets	37,760	40,632
Property, plant and equipment, net	67,327	64,229
Trademarks and other intangibles, net	64,428	64,486
Goodwill	10,775	10,775
Long-term deferred income tax assets, net	12,262	14,140
Other assets	3,708	3,992
Total assets	196,260	198,254
Current liabilities:	'	'
Accounts payable	12,351	13,485
Accrued expenses and other current liabilities	26,664	25,773
Current portion of long-term debt	6,250	3,750
Total current liabilities	45,265	43,008
Long-term debt	95,250	103,250
Other liabilities	13,491	13,037
Mandatorily redeemable, Series Z Preferred Stock, $.001 par value, $1,000 per share liquidation value; 57,000 shares authorized; 0 shares outstanding	'	'
Total liabilities	154,006	159,295
Commitments and contingencies (Note 9)	'	'
Stockholders' equity:	'	'
Series A junior participating preferred stock, 700,000 shares authorized; no shares issued and outstanding	'	'
Common stock, $.001 par value; 25,000,000 shares authorized 17,588,710 and 18,061,868 shares issued; 17,588,710 and 17,950,460 outstanding	18	18
Additional paid-in capital	288,889	283,624
Accumulated other comprehensive loss, net of income tax	-399	-89
Accumulated deficit	-244,569	-244,594
Stockholder's equity before treasury stock	43,939	38,959
Less: Treasury stock, 0 and 111,408 shares, at cost	-1,685	'
Total stockholders' equity	42,254	38,959
Total liabilities and stockholders' equity	$196,260	$198,254

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Jul. 01, 2014	Dec. 31, 2013
In Thousands, except Share data, unless otherwise specified
Accounts receivable, allowances	$177	$183
Series Z preferred stock, par value	$0.00	$0.00
Series Z preferred stock, per share liquidation value	$1,000	$1,000
Series Z preferred stock, shares authorized	57,000	57,000
Series Z preferred stock, shares outstanding	0	0
Preferred stock, shares authorized	700,000	700,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	18,061,868	17,588,710
Common stock, shares outstanding	17,950,460	17,588,710
Treasury stock, shares	111,408	0

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Income and Comprehensive Income (USD $)	3 Months Ended		6 Months Ended
In Thousands, except Share data, unless otherwise specified	Jul. 01, 2014	Jul. 02, 2013	Jul. 01, 2014	Jul. 02, 2013
Revenues:	'	'	'	'
Company-owned restaurant sales	$100,244	$97,097	$196,796	$191,323
Manufacturing revenues	9,155	8,239	18,646	17,432
Franchise and license related revenues	3,049	2,701	6,874	5,670
Total revenues	112,448	108,037	222,316	214,425
Company-owned restaurant costs	'	'	'	'
Cost of goods sold	27,037	26,398	53,589	52,245
Labor costs	29,322	28,524	58,177	57,204
Rent and related expenses	11,618	10,732	22,941	21,436
Other operating costs	11,940	10,786	23,191	21,054
Marketing costs	2,965	2,841	6,221	5,327
Total company-owned restaurant costs	82,882	79,281	164,119	157,266
Manufacturing costs	7,322	6,666	14,936	14,144
General and administrative expenses	10,531	10,177	21,310	20,385
Depreciation and amortization	4,567	4,614	8,889	9,554
Pre-opening expenses	207	327	363	614
Management transition and related reorganization expenses	1,166	'	2,259	'
Other operating expenses, net	483	144	644	270
Total costs and expenses	107,158	101,209	212,520	202,233
Income from operations	5,290	6,828	9,796	12,192
Interest expense, net	1,079	1,650	2,200	3,393
Income before income taxes	4,211	5,178	7,596	8,799
Provision for income taxes	1,666	1,846	2,993	3,106
Net income	2,545	3,332	4,603	5,693
Unrealized gains (losses) on derivatives, net of tax	-243	29	-310	-31
Comprehensive income	$2,302	$3,361	$4,293	$5,662
Net income per share:	'	'	'	'
Basic	$0.14	$0.19	$0.26	$0.33
Diluted	$0.14	$0.19	$0.25	$0.33
Cash dividend declared per common share	$0.13	$0.13	$0.26	$0.25
Weighted average number of common shares outstanding:	'	'	'	'
Basic	17,937,366	17,339,292	17,793,139	17,234,199
Diluted	18,226,493	17,726,861	18,113,350	17,623,752

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Jul. 01, 2014	Jul. 02, 2013
OPERATING ACTIVITIES:	'	'
Net income	$4,603	$5,693
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Depreciation and amortization	8,889	9,554
Deferred income tax expense	2,335	2,331
Stock-based compensation expense	1,534	1,089
Losses on disposal of assets	512	920
Gains on refranchising of restaurants	'	-1,081
Provision for losses on accounts receivable	351	29
Amortization of debt issuance costs	321	286
Changes in operating assets and liabilities, net of acquisitions:	'	'
Restricted cash	50	-150
Accounts receivable	338	1,076
Accounts payable and accrued expenses	-3,299	-6,123
Other assets and liabilities	127	1,527
Net cash provided by operating activities	15,761	15,151
INVESTING ACTIVITIES:	'	'
Purchase of property and equipment	-9,807	-8,321
Proceeds from the sale and disposal of property and equipment	19	6
Proceeds from refranchising of restaurants	'	1,819
Net cash used in investing activities	-9,788	-6,496
FINANCING ACTIVITIES:	'	'
Proceeds from line of credit	26,000	4,000
Repayments on line of credit	-29,000	-12,700
Term loan repayments	-2,500	-2,500
Debt issuance costs	'	-631
Dividends paid	-4,687	-4,702
Purchases of treasury stock	-1,685	'
Proceeds upon stock option exercises	3,731	2,064
Payments under capital lease obligations	-116	-15
Net cash used in financing activities	-8,257	-14,484
Net decrease in cash and cash equivalents	-2,284	-5,829
Cash and cash equivalents, beginning of period	5,982	17,432
Cash and cash equivalents, end of period	$3,698	$11,603

Basis_of_Presentation

Basis of Presentation	6 Months Ended
	Jul. 01, 2014
Basis of Presentation	'
	1	Basis of Presentation
	The accompanying consolidated balance sheet as of December 31, 2013, which has been derived from audited financial statements, and the unaudited consolidated financial statements of Einstein Noah Restaurant Group, Inc. and its wholly-owned subsidiaries (collectively, the “Company”) as of and for the thirteen and twenty-six weeks period ended July 1, 2014 have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The information furnished within this Form 10-Q reflects all adjustments (consisting only of normal recurring accruals and adjustments), which are, in the Company’s opinion, necessary to fairly state the interim operating results for the respective periods.
	As of July 1, 2014, the Company operated, franchised or licensed various restaurant concepts under the brand names of Einstein Bros. Bagels (“Einstein Bros.”), Noah’s New York Bagels (“Noah’s”) and Manhattan Bagel Company (“Manhattan Bagel”).
	Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with generally accepted accounting principles in the United States have been omitted pursuant to SEC rules and regulations. The notes to the consolidated financial statements (unaudited) should be read in conjunction with the notes to the consolidated financial statements contained in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2013. The Company believes that the disclosures are sufficient for interim financial reporting purposes. However, these operating results are not necessarily indicative of the results expected for the full fiscal year.
	For the fiscal quarter and year to date periods ended July 2, 2013, the Company made the following reclassifications and adjustments to its consolidated statements of income and comprehensive income:
		•		Reclassed the savings obtained from the self-manufacturing of bagels for our company-owned restaurants from the manufacturing segment of our business to our company-owned restaurants;
		•		Reclassed certain restaurant insurance charges from rent and related expenses to other operating costs within company-owned restaurant costs; and
		•		Recorded manufacturing revenue for sales made to the Company’s franchisees that were previously eliminated.
	Fiscal quarter ended July 2, 2013:		As Previously		Reclassification			As Adjusted
			Reported
			(in thousands)
	Manufacturing revenues		$	7,962	$	277		$	8,239
	Cost of sales (exclusive of depreciation and amortization shown separately below):
	Company-owned restaurant costs:
	Cost of goods sold		$	27,149	$	(751	)	$	26,398
	Labor costs			28,524		—			28,524
	Rent and related expenses			10,953		(221	)		10,732
	Other operating costs			10,565		221			10,786
	Marketing costs			2,841		—			2,841
	Total company-owned restaurant costs		$	80,032	$	(751	)	$	79,281
	Manufacturing costs		$	5,638	$	1,028		$	6,666
	Income from operations		$	6,828	$	—		$	6,828
	Net income		$	3,332	$	—		$	3,332
	Fiscal year to date ended July 2, 2013:		As Previously		Reclassification			As Adjusted
			Reported
			(in thousands)
	Manufacturing revenues		$	16,890	$	542		$	17,432
	Cost of sales (exclusive of depreciation and amortization shown separately below):
	Company-owned restaurant costs:
	Cost of goods sold		$	53,719	$	(1,474	)	$	52,245
	Labor costs			57,204		—			57,204
	Rent and related expenses			21,785		(349	)		21,436
	Other operating costs			20,705		349			21,054
	Marketing costs			5,327		—			5,327
	Total company-owned restaurant costs		$	158,740	$	(1,474	)	$	157,266
	Manufacturing costs		$	12,128	$	2,016		$	14,144
	Income from operations		$	12,192	$	—		$	12,192
	Net income		$	5,693	$	—		$	5,693
	The Company believes that these reclassifications and adjustments, as shown above, are immaterial and will more accurately reflect the nature of the expenses in its consolidated statements of income and comprehensive income and are necessary to conform to the current period presentation. Consolidated income from operations and net income were not impacted by these reclassifications.

Recent_Accounting_Pronouncemen

Recent Accounting Pronouncements	6 Months Ended
	Jul. 01, 2014
Recent Accounting Pronouncements	'
	2	Recent Accounting Pronouncements
	In April 2014, the Financial Accounting Standards Board (“FASB”) issued guidance which changes the definition of a discontinued operation to include only those disposals of components of an entity that represent a strategic shift that have, or will have, a major effect on an entity’s operations and financial results. The amendment is effective prospectively for disposals that occur within annual periods beginning on or after December 15, 2014, and interim periods within those annual periods. Early adoption is permitted for disposals that have not been reported in financial statements previously issued. As this accounting standard is prospective, the Company will apply the provisions to its future financial statements as applicable.
	In May 2014, the FASB issued guidance that converges the FASB’s and the International Accounting Standards Board’s current standards on revenue recognition. The standard provides companies with a single model to use in accounting for revenue arising from contracts with customers and supersedes current revenue guidance. The standard is effective for annual and interim periods beginning after December 15, 2016. Early adoption is not permitted. The standard permits companies to either apply the adoption to all periods presented, or apply the requirements in the year of adoption through a cumulative adjustment. The Company is currently evaluating the impact of adopting this accounting standard update on its consolidated financial statements and disclosures.
	In June 2014, the FASB issued guidance for share-based payments that include a performance target that could be achieved after the requisite service period. The guidance requires that a performance target that affects vesting and that could be achieved after the requisite service period to be treated as a performance condition. The standard is effective for annual periods beginning after December 15, 2015, and interim periods within those annual periods. Early adoption is permitted. The standard permits companies to apply the guidance either: (a) prospectively to all awards granted or modified after the effective date; or (b) retrospectively to all awards with performance targets that are outstanding as of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. The Company believes the adoption of this guidance will not have a material effect on its consolidated financial statements.

Inventories

Inventories	6 Months Ended
	Jul. 01, 2014
Inventories	'
	3	Inventories
	Inventories, which consist of food, beverage, paper supplies and bagel ingredients, are stated at the lower of cost or market. Cost is determined by the first-in, first-out method. Inventories consist of the following:
			December 31,		July 1,
			2013		2014
			(in thousands)
	Finished goods		$	4,798	$	4,508
	Raw materials			836		896
	Total inventories		$	5,634	$	5,404

StockBased_Compensation

Stock-Based Compensation	6 Months Ended
	Jul. 01, 2014
Stock-Based Compensation	'
	4	Stock-Based Compensation
	As of July 1, 2014, the Company had three active stock-based compensation plans: the 2011 Omnibus Incentive Plan (the “Omnibus Plan”), the Equity Plan for Non-Employee Directors (the “Equity Plan”) and the Stock Appreciation Rights Plan (the “SARs Plan”). Outstanding awards previously issued under inactive or suspended plans will continue to vest and remain exercisable in accordance with the terms of the respective plans. On April 29, 2014, the Company’s shareholders approved an increase of 850,000 shares to be issued under the Omnibus Plan. As of July 1, 2014, there were 970,601 shares, 69,088 shares and 115,493 shares reserved for issuance pursuant to future awards under the Omnibus Plan, the Equity Plan and the SARs Plan, respectively.
	The Company’s stock-based compensation cost for the thirteen weeks ended July 2, 2013 and July 1, 2014 was approximately $0.5 million and $0.6 million, respectively. The Company’s stock-based compensation costs for the twenty-six weeks ended July 2, 2013 and July 1, 2014 was $1.1 million and $1.5 million, respectively. These costs are normally included in general and administrative expenses. For the thirteen weeks and twenty-six weeks ended July 1, 2014, the Company recorded $0.3 million and $0.7 million, respectively, in stock based compensation costs as “Management transition and related reorganization expenses” as these costs are direct and incremental to the departure of certain members of management. Compensation cost for stock options and stock appreciation rights (“SARs”) granted is based on the fair value of each award, measured by applying the Black-Scholes model on the date of grant, using the following assumptions:
			13 weeks ended					26 weeks ended
			July 2,			July 1,		July 2,		July 1,
			2013			2014		2013		2014
	Expected life of options and SARs from date of grant			3.25-6.0 years			3.25 years		3.25-6.0 years		2.75-6.0 years
	Risk-free interest rate			0.34%-1.46%			0.88%		0.34%-1.46%		0.69%-1.84%
	Volatility			30%			28%		30%-32%		28%-29%
	Assumed dividend yield			3.35%			3.21%		3.35%-3.48%		3.15%-3.21%
	Stock Option and SARs Activity
	Stock option and SARs transactions under all plans during the twenty-six weeks ended July 1, 2014 were as follows:
			Number of			Weighted		Weighted Average
			Options			Average		Remaining Life
			and SARs			Exercise Price		(Years)
	Outstanding, December 31, 2013			1,214,424		$	11.46
	Granted			120,083			14.52
	Exercised			(395,981	)		10.55
	Forfeited/Cancelled			(68,889	)		13.66
	Outstanding, July 1, 2014			869,637		$	12.13		6.29
	Exercisable and vested, July 1, 2014			603,155		$	11.18		5.41
	The aggregate intrinsic value of stock options exercised during the twenty-six weeks ended July 1, 2014 was $2.2 million.
	As of July 1, 2014, the Company had approximately $0.4 million of total unrecognized compensation cost related to stock option and SARs awards granted under its plans, which will be recognized over a weighted average period of 1.35 years.
	Restricted Stock Units
	Stock-based compensation cost for restricted stock units (“RSUs”) is measured based on the closing fair market value of the Company’s common stock on the date of grant. Transactions during the twenty-six weeks ended July 1, 2014 were as follows:
			Number			Weighted Average
			of			Grant Date		Aggregate
			Shares			Fair Value		Intrinsic Value
	Non-vested rights, December 31, 2013			156,356		$	14.33
	Granted			140,875			14.58
	Vested			(105,860	)		14.27
	Forfeited			(28,447	)		14.19
	Non-vested rights, July 1, 2014			162,924		$	14.61	$	2,564,300
	As of July 1, 2014, the Company had approximately $1.4 million of total unrecognized compensation cost related to RSUs, which will be recognized over a weighted average period of 1.29 years.

Management_transition_and_rela

Management transition and related reorganization expenses	6 Months Ended
	Jul. 01, 2014
Management transition and related reorganization expenses	'
	5	Management transition and related reorganization expenses
	On February 24, 2014, the Company’s Chief Executive Officer (“CEO”) resigned from the Company and an interim CEO was appointed. On May 28, 2014, the Company’s Chief Operations Officer (“COO”) also resigned. The Company is currently conducting a search for the CEO’s replacement. Once a CEO is hired, the Company will begin its search for a new COO. The Company incurred approximately $1.2 million ($0.04 per diluted share) and $2.3 million ($0.08 per diluted share) in costs related to these events for the quarterly and year-to-date periods ended July 1, 2014, respectively. These costs primarily include severance costs, the accelerated vesting of equity awards, external legal fees, retained search fees and other one-time expenses related to these events.

Other_operating_expenses_net

Other operating expenses, net	6 Months Ended
	Jul. 01, 2014
Other operating expenses, net	'
	6	Other operating expenses, net
	Other operating expenses, net consist of the following:
			13 weeks ended					26 weeks ended
			July 2,			July 1,		July 2,			July 1,
			2013			2014		2013			2014
			(in thousands)
	Gains on refranchising of restaurants, net		$	(1,081	)	$	—	$	(1,081	)	$	—
	Losses on Company-owned restaurant closures			1,096			338		1,096			468
	Losses on ordinary fixed asset dispositions and other			129			145		255			176
	Other operating expenses, net		$	144		$	483	$	270		$	644
	Gains on refranchising of restaurants
	On April 3, 2013, the Company sold five company-owned restaurants in the Pittsburgh, Pennsylvania market to an existing franchisee for $1.8 million. The assets sold had a net book value of $0.2 million and the Company incurred additional costs of $0.1 million associated with this transaction which resulted in a total gain of $1.5 million. Of the $1.5 million gain, $0.4 million was deferred at the time of the transaction as it was contingent upon the successful renegotiation of a lease.

Income_Taxes

Income Taxes	6 Months Ended
	Jul. 01, 2014
Income Taxes	'
	7	Income Taxes
	The Company currently estimates its projected fiscal 2014 annual effective tax rate to be 39.4%, which compares to a fiscal 2013 annual effective tax rate of 33.5%. Certain federal employment tax credits that the Company was able to recognize in fiscal 2013 have not yet been re-enacted for fiscal 2014. The Company also recorded a deferred tax true-up in fiscal 2013 that it does not expect to have in fiscal 2014.

Net_Income_Per_Share

Net Income Per Share	6 Months Ended
	Jul. 01, 2014
Net Income Per Share	'
	8	Net Income Per Share
	The following table sets forth the computation of weighted average shares outstanding:
			13 weeks ended				26 weeks ended
			July 2,		July 1,		July 2,		July 1,
			2013		2014		2013		2014
	Basic weighted average shares outstanding			17,339,292		17,937,366		17,234,199		17,793,139
	Dilutive effect of stock options, SARs and RSUs			387,569		289,127		389,553		320,211
	Diluted weighted average shares outstanding			17,726,861		18,226,493		17,623,752		18,113,350
	Anti-dilutive stock options, SARs and RSUs			295,238		136,758		278,979		169,461
	Diluted net income per share of common stock is computed by dividing the net income available to common stockholders for the period by the weighted average number of shares of common stock and potential common stock equivalents outstanding during the period using the treasury stock method. Potential common stock equivalents include incremental shares of common stock issuable upon the exercise of stock options, SARs and RSUs. Potential common stock equivalents are excluded from the computation of diluted net income per share when their effect is anti-dilutive.

Commitments_Contingencies_and_

Commitments, Contingencies and Other Developments	6 Months Ended
	Jul. 01, 2014
Commitments, Contingencies and Other Developments	'
	9	Commitments, Contingencies and Other Developments
	Letters of Credit and Line of Credit
	As of July 1, 2014, the Company had $6.6 million in letters of credit outstanding and additional letter of credit availability under its revolving credit facility of $13.4 million. The letters of credit expire on various dates, typically renew annually and are payable upon demand in the event that the Company fails to pay the underlying obligations.
	As of July 1, 2014, the Company had an outstanding balance of $9.0 million on its $75.0 million revolving credit facility. The availability under the revolving credit facility was $59.4 million as of July 1, 2014.
	Share Buy-Back Program
	On April 29, 2014, the Company’s Board of Directors (the “Board”) approved a new share buy-back program authorizing the Company to buy back up to $20 million of its common stock from time to time in the open market or through privately negotiated transactions. The new authorization has no expiration date, but may be terminated by the Board at any time. The authorization does not obligate the Company to buy back any particular amount of common stock and it may be suspended or discontinued at any time. The amount and timing of any buy-backs under the program will depend upon a number of factors, including the price and availability of the Company’s shares, trading volume and general market conditions. During the second quarter of 2014, the Company bought back 111,408 of its outstanding shares. As of July 1, 2014, there is $18.3 million remaining under this program.
	Litigation
	The Company has been named as a defendant in a lawsuit currently pending in the United States District Court for the District of Delaware entitled The State of Delaware ex rel. William French vs. Card Compliant LLC et al., Case No. 14-CV-00688 (GMS). This case was filed under seal in June 2013 by a former employee (William French) of one of the other defendants, and was unsealed in March 2014. The case includes numerous other defendants, including other well-known restaurant and food retail companies. The complaint in this case alleges that the Company (like the other defendants) knowingly failed to report and deliver funds to the State of Delaware arising from unredeemed balances on gift cards issued for use at the Company’s stores, which the State and Mr. French contend, is required under Delaware’s unclaimed property statutes. The complaint alleges that this conduct constitutes a violation of the Delaware False Claims and Reporting Act. The plaintiffs seek a cease-and-desist order, monetary damages (including treble damages under the Delaware False Claims and Reporting Act), penalties, and attorneys’ fees and costs. On May 30, 2014, all defendants removed the case from Delaware State Court to the U.S. District Court. In June 2014, all defendants filed a motion seeking dismissal of the complaint in its entirety. The plaintiffs subsequently filed a motion seeking to remand the case to State Court. This case is still in its early stages, and the Company is unable to make a reasonable estimate of the likelihood or possible range of any adverse damages judgment against it. However, the Company intends to defend itself vigorously in this case.
	From time to time, the Company is subject to other claims and legal actions in the ordinary course of business, including claims by or against its franchisees, licensees, employees or former employees and others. The Company does not believe that any such currently pending or threatened matter would have a material adverse effect on its business, results of operations or financial condition.

Supplemental_Cash_Flow_Informa

Supplemental Cash Flow Information	6 Months Ended
	Jul. 01, 2014
Supplemental Cash Flow Information	'
	10	Supplemental Cash Flow Information
			26 weeks ended
			July 2,			July 1,
			2013			2014
			(in thousands)
	Cash paid during the year to date period ended:
	Interest related to:
	Term loans and revolving credit facility		$	2,831		$	1,624
	Miscellaneous bank charges			232			214
	Income taxes		$	72		$	223
	Non-cash investing activities:
	Change in accrued expenses for purchases of property and equipment		$	(824	)	$	(2,653	)

Subsequent_Events

Subsequent Events	6 Months Ended
	Jul. 01, 2014
Subsequent Events	'
	11	Subsequent Events
	On July 3, 2014, the Company amended its senior credit facility with Bank of America and a syndicate of institutional lenders. The amendment modifies the senior credit facility as follows:
		1)	Permits the Company to borrow an additional $7.5 million on its Term Loan, thus increasing the outstanding balance under its Term Loan to $100.0 million. The Company used these additional funds to pay down its revolving credit facility.
		2)	Extends the Maturity Date of the Amended Senior Credit Facility from June 6, 2018 to July 3, 2019.
		3)	Sets the Term Loan principal payment to $1.25 million per quarter through the Maturity Date, with all unpaid principal, accrued interest and fees payable on the Maturity Date.
		4)	Requires the Company to maintain a minimum Consolidated Fixed Charge Coverage Ratio of 1.35x.
		5)	Requires the Company to maintain a maximum Consolidated Leverage Ratio of 3.25x.
		6)	Amends the Applicable Rate for Eurodollar Rate loans from 1.75%-3.25% to 1.75%-2.75%, based on the Company’s Consolidated Leverage Ratio.
		7)	Amends the Applicable Rate for Base Rate loans from 0.75%-2.25% to 0.75%-1.75%, based on the Company’s Consolidated Leverage Ratio.
		8)	Eliminates the Company’s $32.0 million limitation on annual capital expenditures.
		9)	Defines Total Liquidity to be the sum of Excess Revolving Availability plus unrestricted cash and Cash Equivalents.
		10)	Permits the Company to pay an unlimited amount of cash dividends or buy back an unlimited amount of its common stock, so long as:
		a.	Total Liquidity before and after each transaction is $15.0 million before and after the payment of any cash dividend or stock buy-back; and
		b.	The Company maintains a Consolidated Leverage Ratio of 3.0x at that time.
	On July 29, 2014, the Board declared a cash dividend on the Company’s common stock in the amount of $0.13 per share, payable on October 15, 2014 to stockholders of record on September 1, 2014.

Basis_of_Presentation_Tables

Basis of Presentation (Tables)	6 Months Ended
	Jul. 01, 2014
Summary of Reclassifications and Corrections Made	'
	Fiscal quarter ended July 2, 2013:	As Previously		Reclassification			As Adjusted
		Reported
		(in thousands)
	Manufacturing revenues	$	7,962	$	277		$	8,239
	Cost of sales (exclusive of depreciation and amortization shown separately below):
	Company-owned restaurant costs:
	Cost of goods sold	$	27,149	$	(751	)	$	26,398
	Labor costs		28,524		—			28,524
	Rent and related expenses		10,953		(221	)		10,732
	Other operating costs		10,565		221			10,786
	Marketing costs		2,841		—			2,841
	Total company-owned restaurant costs	$	80,032	$	(751	)	$	79,281
	Manufacturing costs	$	5,638	$	1,028		$	6,666
	Income from operations	$	6,828	$	—		$	6,828
	Net income	$	3,332	$	—		$	3,332
	Fiscal year to date ended July 2, 2013:	As Previously		Reclassification			As Adjusted
		Reported
		(in thousands)
	Manufacturing revenues	$	16,890	$	542		$	17,432
	Cost of sales (exclusive of depreciation and amortization shown separately below):
	Company-owned restaurant costs:
	Cost of goods sold	$	53,719	$	(1,474	)	$	52,245
	Labor costs		57,204		—			57,204
	Rent and related expenses		21,785		(349	)		21,436
	Other operating costs		20,705		349			21,054
	Marketing costs		5,327		—			5,327
	Total company-owned restaurant costs	$	158,740	$	(1,474	)	$	157,266
	Manufacturing costs	$	12,128	$	2,016		$	14,144
	Income from operations	$	12,192	$	—		$	12,192
	Net income	$	5,693	$	—		$	5,693

Inventories_Tables

Inventories (Tables)	6 Months Ended
	Jul. 01, 2014
Components of Inventories	'
	Inventories consist of the following:
		December 31,		July 1,
		2013		2014
		(in thousands)
	Finished goods	$	4,798	$	4,508
	Raw materials		836		896
	Total inventories	$	5,634	$	5,404

StockBased_Compensation_Tables

Stock-Based Compensation (Tables)	6 Months Ended
	Jul. 01, 2014
Fair Value of Stock Option Assumptions Using Black Scholes Option Pricing Model	'
	Compensation cost for stock options and stock appreciation rights (“SARs”) granted is based on the fair value of each award, measured by applying the Black-Scholes model on the date of grant, using the following assumptions:
		13 weeks ended					26 weeks ended
		July 2,			July 1,		July 2,		July 1,
		2013			2014		2013		2014
	Expected life of options and SARs from date of grant		3.25-6.0 years			3.25 years		3.25-6.0 years		2.75-6.0 years
	Risk-free interest rate		0.34%-1.46%			0.88%		0.34%-1.46%		0.69%-1.84%
	Volatility		30%			28%		30%-32%		28%-29%
	Assumed dividend yield		3.35%			3.21%		3.35%-3.48%		3.15%-3.21%
Changes in Outstanding Stock Options and Stock Appreciation Rights	'
	Stock option and SARs transactions under all plans during the twenty-six weeks ended July 1, 2014 were as follows:
		Number of			Weighted		Weighted Average
		Options			Average		Remaining Life
		and SARs			Exercise Price		(Years)
	Outstanding, December 31, 2013		1,214,424		$	11.46
	Granted		120,083			14.52
	Exercised		(395,981	)		10.55
	Forfeited/Cancelled		(68,889	)		13.66
	Outstanding, July 1, 2014		869,637		$	12.13		6.29
	Exercisable and vested, July 1, 2014		603,155		$	11.18		5.41
Restricted Stock Unit Activity	'
	Transactions during the twenty-six weeks ended July 1, 2014 were as follows:
		Number			Weighted Average
		of			Grant Date		Aggregate
		Shares			Fair Value		Intrinsic Value
	Non-vested rights, December 31, 2013		156,356		$	14.33
	Granted		140,875			14.58
	Vested		(105,860	)		14.27
	Forfeited		(28,447	)		14.19
	Non-vested rights, July 1, 2014		162,924		$	14.61	$	2,564,300

Other_operating_expenses_net_T

Other operating expenses, net (Tables)	6 Months Ended
	Jul. 01, 2014
Other Operating Expenses	'
	Other operating expenses, net consist of the following:
		13 weeks ended					26 weeks ended
		July 2,			July 1,		July 2,			July 1,
		2013			2014		2013			2014
		(in thousands)
	Gains on refranchising of restaurants, net	$	(1,081	)	$	—	$	(1,081	)	$	—
	Losses on Company-owned restaurant closures		1,096			338		1,096			468
	Losses on ordinary fixed asset dispositions and other		129			145		255			176
	Other operating expenses, net	$	144		$	483	$	270		$	644

Net_Income_Per_Share_Tables

Net Income Per Share (Tables)	6 Months Ended
	Jul. 01, 2014
Computation of Weighted Average Shares Outstanding	'
	The following table sets forth the computation of weighted average shares outstanding:
		13 weeks ended				26 weeks ended
		July 2,		July 1,		July 2,		July 1,
		2013		2014		2013		2014
	Basic weighted average shares outstanding		17,339,292		17,937,366		17,234,199		17,793,139
	Dilutive effect of stock options, SARs and RSUs		387,569		289,127		389,553		320,211
	Diluted weighted average shares outstanding		17,726,861		18,226,493		17,623,752		18,113,350
	Anti-dilutive stock options, SARs and RSUs		295,238		136,758		278,979		169,461

Supplemental_Cash_Flow_Informa1

Supplemental Cash Flow Information (Tables)	6 Months Ended
	Jul. 01, 2014
Supplemental Cash Flow Information	'
		26 weeks ended
		July 2,			July 1,
		2013			2014
		(in thousands)
	Cash paid during the year to date period ended:
	Interest related to:
	Term loans and revolving credit facility	$	2,831		$	1,624
	Miscellaneous bank charges		232			214
	Income taxes	$	72		$	223
	Non-cash investing activities:
	Change in accrued expenses for purchases of property and equipment	$	(824	)	$	(2,653	)

Summary_of_Reclassifications_a

Summary of Reclassifications and Corrections Made (Detail) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jul. 01, 2014	Jul. 02, 2013	Jul. 01, 2014	Jul. 02, 2013
Manufacturing revenues	$9,155	$8,239	$18,646	$17,432
Cost of goods sold	27,037	26,398	53,589	52,245
Labor costs	29,322	28,524	58,177	57,204
Rent and related expenses	11,618	10,732	22,941	21,436
Other operating costs	11,940	10,786	23,191	21,054
Marketing costs	2,965	2,841	6,221	5,327
Total company-owned restaurant costs	82,882	79,281	164,119	157,266
Manufacturing costs	7,322	6,666	14,936	14,144
Income from operations	5,290	6,828	9,796	12,192
Net income	2,545	3,332	4,603	5,693
As Previously Reported	'	'	'	'
Manufacturing revenues	'	7,962	'	16,890
Cost of goods sold	'	27,149	'	53,719
Labor costs	'	28,524	'	57,204
Rent and related expenses	'	10,953	'	21,785
Other operating costs	'	10,565	'	20,705
Marketing costs	'	2,841	'	5,327
Total company-owned restaurant costs	'	80,032	'	158,740
Manufacturing costs	'	5,638	'	12,128
Income from operations	'	6,828	'	12,192
Net income	'	3,332	'	5,693
Reclassification	'	'	'	'
Manufacturing revenues	'	277	'	542
Cost of goods sold	'	-751	'	-1,474
Rent and related expenses	'	-221	'	-349
Other operating costs	'	221	'	349
Total company-owned restaurant costs	'	-751	'	-1,474
Manufacturing costs	'	$1,028	'	$2,016

Components_of_Inventories_Deta

Components of Inventories (Detail) (USD $)	Jul. 01, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Inventory [Line Items]	'	'
Finished goods	$4,508	$4,798
Raw materials	896	836
Total inventories	$5,404	$5,634

StockBased_Compensation_Additi

Stock-Based Compensation - Additional Information (Detail) (USD $)

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

0 Months Ended

3 Months Ended

In Millions, except Share data, unless otherwise specified

Jul. 01, 2014

Jul. 02, 2013

Jul. 01, 2014

Jul. 02, 2013

Jul. 01, 2014

Jul. 01, 2014

Apr. 29, 2014

Jul. 01, 2014

Jul. 01, 2014

Jul. 01, 2014

Jul. 01, 2014

Jul. 01, 2014

CompensationPlan

CompensationPlan

Chief Executive Officer

Chief Executive Officer

Omnibus Plan

Omnibus Plan

Equity Plan

Stock Option And Stock Appreciation Rights

Restricted Stock Units (RSUs)

Stock Appreciation Rights (SARs)

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

'

'

'

'

'

'

'

'

'

'

'

'

Number of stock based compensation plans

3

'

3

'

'

'

'

'

'

'

'

'

Additional shares authorized for grant

'

'

'

'

'

'

850,000

'

'

'

'

'

Shares reserved for future issuance

'

'

'

'

'

'

'

970,601

69,088

'

'

115,493

Stock based compensation expense

$0.60

$0.50

$1.50

$1.10

$0.30

$0.70

'

'

'

'

'

'

Aggregate intrinsic value of stock options exercised

'

'

2.2

'

'

'

'

'

'

'

'

'

Total unrecognized compensation cost

'

'

'

'

'

'

'

'

'

$0.40

$1.40

'

Period for recognition

'

'

'

'

'

'

'

'

'

'1 year 4 months 6 days

'1 year 3 months 15 days

'

Fair_Value_of_Stock_Option_Ass

Fair Value of Stock Option Assumptions Using Black Scholes Option Pricing Model (Detail)	3 Months Ended			6 Months Ended		3 Months Ended	6 Months Ended
	Jul. 01, 2014	Jul. 02, 2013	Jul. 02, 2013	Jul. 01, 2014	Jul. 02, 2013	Jul. 02, 2013	Jul. 01, 2014	Jul. 02, 2013
			Minimum	Minimum	Minimum	Maximum	Maximum	Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'	'	'	'	'	'
Expected life of options and SARs from date of grant	'3 years 3 months	'	'3 years 3 months	'2 years 9 months	'3 years 3 months	'6 years	'6 years	'6 years
Risk-free interest rate	0.88%	'	0.34%	0.69%	0.34%	1.46%	1.84%	1.46%
Volatility	28.00%	30.00%	'	28.00%	30.00%	'	29.00%	32.00%
Assumed dividend yield	3.21%	3.35%	'	3.15%	3.35%	'	3.21%	3.48%

Changes_in_Outstanding_Stock_O

Changes in Outstanding Stock Options and Stock Appreciation Rights (Detail) (USD $)	6 Months Ended
	Jul. 01, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'
Outstanding, Number of Options and SARs, Beginning Balance	1,214,424
Granted, Number of Options and SARs	120,083
Exercised, Number of Options and SARs	-395,981
Forfeited, Number of Options and SARs	-68,889
Outstanding, Number of Options and SARs, ending of year	869,637
Exercisable and vested, Number of Options and SARs, end of year	603,155
Outstanding, Weighted-Average Exercise Price, Beginning balance	$11.46
Granted, Weighted Average Exercise Price	$14.52
Exercised, Weighted-Average Exercise Price	$10.55
Forfeited, Weighted-Average Exercise Price	$13.66
Outstanding, Weighted-Average Exercise Price, ending of year	$12.13
Exercisable and vested, Weighted-Average Exercise Price, end of year	$11.18
Outstanding, Weighted Average Remaining Life (Years)	'6 years 3 months 15 days
Exercisable and Vested, Weighted Average Remaining Life (Years)	'5 years 4 months 28 days

Restricted_Stock_Unit_Activity

Restricted Stock Unit Activity (Detail) (Restricted Stock Units (RSUs), USD $)	6 Months Ended
	Jul. 01, 2014
Restricted Stock Units (RSUs)	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'
Non vested rights, Number of Shares, beginning balance	156,356
Granted, Number of Shares	140,875
Vested, Number of Shares	-105,860
Forfeited, Number of Shares	-28,447
Non vested rights, Number of Shares, ending balance	162,924
Non vested rights, Weighted Average Grant Date Fair Value, beginning balance	$14.33
Granted, Weighted- Average Grant Date Fair Value	$14.58
Vested, Weighted- Average Grant Date Fair Value	$14.27
Forfeited, Weighted- Average Grant Date Fair Value	$14.19
Non vested rights, Weighted Average Grant Date Fair Value, ending balance	$14.61
Non-vested rights, Aggregate Intrinsic Value	$2,564,300

Recovered_Sheet1

Management Transition and Related Reorganization Expenses - Additional Information (Detail) (USD $)	3 Months Ended	6 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jul. 01, 2014	Jul. 01, 2014
Restructuring Cost and Reserve [Line Items]	'	'
Management transition and related reorganization expenses	$1,166	$2,259
Management transition and related reorganization expenses per diluted share	$0.04	$0.08

Other_Operating_Expenses_Detai

Other Operating Expenses (Detail) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jul. 01, 2014	Jul. 02, 2013	Jul. 01, 2014	Jul. 02, 2013
Component Of Other Expense Income Nonoperating [Line Items]	'	'	'	'
Gains on refranchising of restaurants, net	'	($1,081)	'	($1,081)
Losses on Company-owned restaurant closures	338	1,096	468	1,096
Losses on ordinary fixed asset dispositions and other	145	129	176	255
Other operating expenses, net	$483	$144	$644	$270

Other_Operating_Expenses_Net_A

Other Operating Expenses Net - Additional Information (Detail) (USD $)	0 Months Ended	6 Months Ended
	Apr. 03, 2013	Jul. 02, 2013	Apr. 03, 2013
	Restaurant
Components of Other Income (Expense) [Line Items]	'	'	'
Date restaurants were sold	3-Apr-13	'	'
Number of company-owned restaurants sold	5	'	'
Sale price of company-owned restaurants	$1,800,000	$1,819,000	'
Net book value of sold assets	'	'	200,000
Additional cost related to sale	100,000	'	'
Total gain on sale of restaurants	1,500,000	'	'
Deferred gain due to contingent lease renegotiation	'	'	$400,000

Income_Taxes_Additional_Inform

Income Taxes - Additional Information (Detail)	6 Months Ended	12 Months Ended
	Jul. 01, 2014	Dec. 31, 2013
Income Taxes [Line Items]	'	'
Estimated annual effective tax rate	39.40%	33.50%

Computation_of_Weighted_Averag

Computation of Weighted Average Shares Outstanding (Detail)	3 Months Ended		6 Months Ended
	Jul. 01, 2014	Jul. 02, 2013	Jul. 01, 2014	Jul. 02, 2013
Weighted Average Number of Shares Outstanding [Line Items]	'	'	'	'
Basic weighted average shares outstanding	17,937,366	17,339,292	17,793,139	17,234,199
Dilutive effect of stock options, SARs and RSUs	289,127	387,569	320,211	389,553
Diluted weighted average shares outstanding	18,226,493	17,726,861	18,113,350	17,623,752
Anti-dilutive stock options, SARs and RSUs	136,758	295,238	169,461	278,979

Commitments_Contingencies_and_1

Commitments Contingencies and Other Developments - Additional Information (Detail) (USD $)	0 Months Ended
In Millions, except Share data, unless otherwise specified	Apr. 29, 2014	Jul. 01, 2014
Commitments and Contingencies [Line Items]	'	'
Outstanding letter of credit	'	$6.60
Revolving credit facility available	'	59.4
Revolving credit facility outstanding	'	9
Total revolving credit facility	'	75
Authorized share buy-back program	20	'
Share buy-back program, outstanding shares repurchased	111,408	'
Share buy-back program, remaining share amount	18.3	'
Letter of Credit	'	'
Commitments and Contingencies [Line Items]	'	'
Revolving credit facility available	'	$13.40

Supplemental_Cash_Flow_Informa2

Supplemental Cash Flow Information (Detail) (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Jul. 01, 2014	Jul. 02, 2013
Interest related to:	'	'
Income taxes	$223	$72
Non-cash investing activities:	'	'
Change in accrued expenses for purchases of property and equipment	-2,653	-824
Term loans and revolving credit facility	'	'
Interest related to:	'	'
Interest paid	1,624	2,831
Miscellaneous bank charges	'	'
Interest related to:	'	'
Interest paid	$214	$232

Subsequent_Events_Additional_I

Subsequent Events - Additional Information (Detail) (USD $)

3 Months Ended

6 Months Ended

0 Months Ended

0 Months Ended

0 Months Ended

In Millions, except Per Share data, unless otherwise specified

Jul. 01, 2014

Jul. 02, 2013

Jul. 01, 2014

Jul. 02, 2013

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 29, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Jul. 03, 2014

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Subsequent Event

Term Loan

Maximum

Maximum

Maximum

Maximum

Maximum

Minimum

Minimum

Minimum

Minimum

Dividend Declared

Senior Credit Facility

Senior Credit Facility

Senior Credit Facility

Senior Credit Facility

Euro Dollar Rate

Base Rate

Amended Debt Instrument

Amended Debt Instrument

Euro Dollar Rate

Base Rate

Amended Debt Instrument

Amended Debt Instrument

Term Loan

Term Loan

Euro Dollar Rate

Base Rate

Euro Dollar Rate

Base Rate

Subsequent Event [Line Items]

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Proceed from additional borrowing

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

$7.50

'

Outstanding balance

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

100

Senior credit facility maturity date

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

3-Jul-19

'

'

'

Debt instrument quarterly payment

'

'

'

'

'

1.25

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Fixed charge coverage ratio minimum

'

'

'

'

135.00%

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Consolidated leverage ratio

'

'

'

'

3

'

3.25

'

'

'

'

'

'

'

'

'

'

'

'

'

Variable interest rate

'

'

'

'

'

'

'

3.25%

2.25%

2.75%

1.75%

1.75%

0.75%

1.75%

0.75%

'

'

'

'

'

Limit of annual capital expenditure

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

32

'

'

Liquidity before and after each transaction

'

'

'

'

$15

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Declaration of dividend common stock cash

$0.13

$0.13

$0.26

$0.25

'

'

'

'

'

'

'

'

'

'

'

$0.13

'

'

'

'

Declaration dividend date

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

29-Jul-14

'

'

'

'

Dividend payable date

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

15-Oct-14

'

'

'

'

Dividend record date

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

1-Sep-14

'

'

'

'