Note 11. Borrowings
During the twelve weeks ended
December 19, 2012 Steak n Shake borrowed $15 million on its revolving credit facility for general corporate purposes. The
outstanding debt on Steak n Shakes credit facility on December 19, 2012 was $145,000, which included the revolver,
compared to $125,000 on December 21, 2011.
Steak n Shakes Credit Facility
includes affirmative and negative covenants and events of default, as well as financial covenants relating to a maximum total leverage
ratio and a minimum consolidated fixed charge coverage ratio.
Steak n Shake was in compliance with
all covenants under the Credit Facility as of December 19, 2012.
The carrying amounts for debt reported
in the Consolidated Balance Sheet do not differ materially from their fair values at December 19, 2012 and September 26, 2012.
The fair value was determined to be a Level 3 fair value measurement.