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EX-32.1 - EX-32.1 - JACK IN THE BOX INC /NEW/a57159a1exv32w1.htm
EX-32.2 - EX-32.2 - JACK IN THE BOX INC /NEW/a57159a1exv32w2.htm
EX-31.1 - EX-31.1 - JACK IN THE BOX INC /NEW/a57159a1exv31w1.htm
EX-31.2 - EX-31.2 - JACK IN THE BOX INC /NEW/a57159a1exv31w2.htm
Table of Contents

 
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-K/A
Amendment No. 1
     
þ   ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
FOR THE FISCAL YEAR ENDED OCTOBER 3, 2010
COMMISSION FILE NUMBER 1-9390
JACK IN THE BOX INC.
(Exact name of registrant as specified in its charter)
     
Delaware   95-2698708
     
(State of Incorporation)   (I.R.S. Employer Identification No.)
     
9330 Balboa Avenue, San Diego, CA   92123
     
(Address of principal executive offices)   (Zip Code)
     Registrant’s telephone number, including area code (858) 571-2121
     Securities registered pursuant to Section 12(b) of the Act:
     
Title of each class   Name of each exchange on which registered
Common Stock, $0.01 par value   NASDAQ
Securities registered pursuant to Section 12(g) of the Act: None
Indicate by check mark whether the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.
Yes þ No o
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Act.
Yes o No þ
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes þ No o
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 and Regulations S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).
Yes þ No o
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. o
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.
             
Large accelerated filer þ   Accelerated filer o   Non-accelerated filer o   Smaller reporting company o
        (Do not check if a smaller reporting company)    
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes o No þ
The aggregate market value of the common stock held by non-affiliates of the registrant, computed by reference to the closing price reported in the NASDAQ — Composite Transactions as of April 11, 2010, was approximately $1,302.3 million.
Number of shares of common stock, $0.01 par value, outstanding as of the close of business November 18, 2010 — 52,904,990.
DOCUMENTS INCORPORATED BY REFERENCE
Portions of the Proxy Statement to be filed with the Securities and Exchange Commission in connection with the 2011 Annual Meeting of Stockholders are incorporated by reference into Part III hereof.
 
 

 


TABLE OF CONTENTS

ITEM 2. PROPERTIES
ITEM 6. SELECTED FINANCIAL DATA
SIGNATURES
EX-31.1
EX-31.2
EX-32.1
EX-32.2


Table of Contents

Amendment No. 1 to the Annual Report on Form 10-K
For the Year Ended October 3, 2010
EXPLANATORY NOTE
Jack in the Box Inc. is filing this amendment to Form 10-K for the fiscal year ended October 3, 2010, as filed with the Securities and Exchange Commission on November 24, 2010 (the “Original Filing”). The purpose of the filing of this Amendment is solely to (1) correct the total number of company-owned and company-leased restaurant buildings noted in a table within Item 2. Properties and (2) correct the 2006 and 2007 selling, general and administrative expense rates noted in the table under Item 6. Selected Financial Data.
Except as described above, no other changes have been made to the Original Filing and this Form 10K/A does not amend, update or change the financial statements or any other items or disclosures in the Original Filing.
In addition, we have filed the following exhibits herewith:
     
31.1
  Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
 
   
31.2
  Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
 
   
32.1
  Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
 
   
32.2
  Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

 


Table of Contents

ITEM 2. PROPERTIES
     The following table sets forth information regarding our Jack in the Box and Qdoba restaurant properties as of October 3, 2010:
                         
    Company-              
    Operated     Franchised     Total  
Company-owned restaurant buildings:
                       
On company-owned land
    101       131       232  
On leased land
    312       330       642  
 
                 
Subtotal
    413       461       874  
Company-leased restaurant buildings on leased land
    731       637       1,368  
Franchise directly-owned or directly-leased restaurant buildings
          489       489  
 
                 
Total restaurant buildings
    1,144       1,587       2,731  
 
                 
     Our leases generally provide for fixed rental payments (with cost-of-living index adjustments) plus real estate taxes, insurance and other expenses. In addition, less than 20% of the leases provide for contingent rental payments between 1% and 11% of the restaurant’s gross sales once certain thresholds are met. We have generally been able to renew our restaurant leases as they expire at then-current market rates. The remaining terms of ground leases range from approximately one year to 58 years, including optional renewal periods. The remaining lease terms of our other leases range from approximately one year to 47 years, including optional renewal periods. At October 3, 2010, our restaurant leases had initial terms expiring as follows:
                 
    Number of Restaurants
            Land and
    Ground   Building
Fiscal Year   Leases   Leases
2011 - 2015
    157       377  
2016 - 2020
    176       580  
2021 - 2025
    176       306  
2026 and later
    133       105  
     Our principal executive offices are located in San Diego, California in an owned facility of approximately 150,000 square feet. We also own our 70,000 square foot Innovation Center and approximately four acres of undeveloped land directly adjacent to it. Qdoba’s corporate support center is located in a leased facility in Wheat Ridge, Colorado. We also lease seven distribution centers, with remaining terms ranging from seven to 15 years, including optional renewal periods.

 


Table of Contents

ITEM 6. SELECTED FINANCIAL DATA
     Our fiscal year is 52 or 53 weeks, ending the Sunday closest to September 30. All years presented include 52 weeks, except for 2010 which includes 53 weeks. The selected financial data reflects Quick Stuff as discontinued operations for fiscal years 2006 through 2009. The following selected financial data of Jack in the Box Inc. for each fiscal year was extracted or derived from our audited financial statements.
                                         
    Fiscal Year  
    2010     2009     2008     2007     2006  
            (in thousands, except per share data)          
Statements of Earnings Data:
                                       
Total revenues
  $ 2,297,531     $ 2,471,096     $ 2,539,561     $ 2,513,431     $ 2,381,244  
Total operating costs and expenses
    2,230,609       2,318,470       2,390,022       2,334,526       2,244,383  
Gains on the sale of company-operated restaurants, net
    (54,988 )     (78,642 )     (66,349 )     (38,091 )     (40,464 )
 
                             
Total operating costs and expenses, net
    2,175,621       2,239,828       2,323,673       2,296,435       2,203,919  
 
                             
Earnings from operations
    121,910       231,268       215,888       216,996       177,325  
 
                             
Interest expense, net
    15,894       20,767       27,428       23,335       12,056  
Income taxes
    35,806       79,455       70,251       68,982       58,845  
 
                             
Earnings from continuing operations
  $ 70,210     $ 131,046     $ 118,209     $ 124,679     $ 106,424  
 
                             
Earnings per Share and Share Data:
                                       
Earnings per share from continuing operations:
                                       
Basic
  $ 1.27     $ 2.31     $ 2.03     $ 1.91     $ 1.52  
Diluted
  $ 1.26     $ 2.27     $ 1.99     $ 1.85     $ 1.48  
Weighted-average shares outstanding — Diluted (1)
    55,843       57,733       59,445       67,263       71,834  
Market price at year-end
  $ 21.47     $ 20.07     $ 22.06     $ 32.42     $ 26.09  
Other Operating Data:
                                       
Jack in the Box restaurants:
                                       
Company-operated average unit volume (3)
  $ 1,297     $ 1,420     $ 1,439     $ 1,430     $ 1,358  
Change in company-operated same-store sales (4)
    (8.6 )%     (1.2 )%     0.2 %     6.1 %     4.8 %
Change in franchise-operated same-store sales (4)
    (7.8 )%     (1.3 )%     0.1 %     5.3 %     3.5 %
Change in system same-store sales (4)
    (8.2 )%     (1.3 )%     0.2 %     5.8 %     4.5 %
Qdoba restaurants:
                                       
System average unit volume (3)
  $ 923     $ 905     $ 946     $ 953     $ 933  
Change in system same-store sales (4)
    2.8 %     (2.3 )%     1.6 %     4.6 %     5.9 %
SG&A rate
    10.6 %     10.5 %     10.4 %     10.8 %     11.8 %
Capital expenditures related to continuing operations
  $ 95,610     $ 153,500     $ 178,605     $ 148,508     $ 135,022  
Balance Sheet Data (at end of period):
                                       
Total assets
  $ 1,407,092     $ 1,455,910     $ 1,498,418     $ 1,374,690     $ 1,513,499  
Long-term debt
    352,630       357,270       516,250       427,516       254,231  
Stockholders’ equity (2)
    520,463       524,489       457,111       409,585       706,633  
 
(1)   Weighted-average shares reflect the impact of common stock repurchases under Board-approved programs.
 
(2)   Fiscal 2007 includes a reduction in stockholders’ equity of $363.4 million related to shares repurchased and retired during the year.
 
(3)   2010 average unit volume is adjusted to exclude the 53rd week for the purpose of comparison to prior years.
 
(4)   Same-store sales, sales growth and average unit volume presented on a system-wide basis include company and franchise restaurants. Franchise sales represent sales at all franchise restaurants and are revenues to our franchisees. We do not record franchise sales as revenues; however, our royalty revenues are calculated based on a percentage of franchise sales. We believe franchise and system sales growth information is useful to investors as a significant indicator of the overall strength of our business as it incorporates our significant revenue drivers which are company and franchise same-store sales as well as net unit development. Company, franchise and system same-store sales growth includes the results of all restaurants that have been open more than one year.

 


Table of Contents

SIGNATURES
     Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
         
  JACK IN THE BOX INC.
 
 
  By:   /S/ JERRY P. REBEL    
    Jerry P. Rebel   
    Executive Vice President and Chief Financial Officer
(principal financial officer)
(Duly Authorized Signatory)
Date: January 4, 2011