DOMINOS PIZZA INC - FORM 8-K - EX-99.1 - July 24, 2013

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Exhibit 99.1

Domino’s Pizza Master Issuer LLC

Domino’s SPV Canadian Holding Company Inc.

Domino’s Pizza Distribution LLC

Domino’s IP Holder LLC

Quarterly Noteholders’ Statement

 

Quarterly Collection Period Starting:      March 25, 2013   
Quarterly Collection Period Ending:      June 16, 2013   
Quarterly Payment Date:      July 25, 2013   

Debt Service Coverage Ratios and Senior ABS Leverage

 

     Senior ABS Leverage      Quarterly DSCR  

Current Period

      4.61 x         3.55 x   

One Period Prior

      4.72 x         3.37 x   

Two Periods Prior

      4.77 x         3.36 x   

Three Periods Prior

      4.89 x         3.14 x   

System Performance

Domestic

 

     Franchise     Company-Owned      Total Domestic  

Open Stores at end of prior Quarterly Collection Period

      4,535        388         4,923   

Store Openings during Quarterly Collection Period

      19        1         20   

Store Transfers during Quarterly Collection Period

      (11 )      —           (11 ) 

Permanent Store Closures during Quarterly Collection Period

      —          —           —     
  

 

 

    

 

 

     

 

 

  

Net Change in Open Stores during Quarterly Collection Period

      8        1         9   

Open Stores at end of Quarterly Collection Period

      4,543        389         4,932   

International

 

     Franchise     Company-Owned     Total International  

Open Stores at end of prior Quarterly Collection Period

      5,407        —          5,407   

Store Openings during Quarterly Collection Period

      116        —          116   

Permanent Store Closures during Quarterly Collection Period

      (15 )      —          (15 ) 
  

 

 

    

 

 

    

 

 

  

Net Change in Open Stores during Quarterly Collection Period

      101        —          101   

Open Stores at end of Quarterly Collection Period

      5,508        —          5,508   
     Franchise     Company-Owned     International  

Same-Store Sales Growth for Quarterly Collection Period

      6.8 %      5.7 %      5.8 % 

Potential Events

 

          Material Concern  
i.    Potential Rapid Amortization Event      No   
ii.    Potential Manager Termination Event      No   

Cash Trapping

 

                     Date of  
              Commenced      Commencement  
i.   a.    Partial Cash Trapping Period      No         N/A   
  b.    Full Cash Trapping Period      No         N/A   
ii.      Series 2012-1 Cash Trapping Percentage during Quarterly Collection Period         N/A   
iii      Series 2012-1 Cash Trapping Percentage following current Quarterly Payment Date         N/A   
iv.      Series 2012-1 Cash Trapping Percentage during prior Quarterly Collection Period         N/A   
v.      Series 2012-1 Partial Cash Trapping Release Event         N/A   
vi.      Series 2012-1 Full Cash Trapping Release Event         N/A   

Occurrence Dates

 

                 Date of  
          Commenced      Commencement  
i.    Rapid Amortization Event      No         N/A   
ii.    Default      No         N/A   
iii.    Event of Default      No         N/A   
iv.    Manager Termination Event      No         N/A   

Non-Amortization Test

 

                 Date of  
          Commenced      Commencement  
i.    Non-Amortization Period      No         N/A   

Extension Periods

 

                 Date of  
          Commenced      Commencement  
i.    Series 2012-1 Class A-1 first renewal period      No         N/A   
ii.    Series 2012-1 Class A-1 second renewal period      No         N/A   

 

Page 1

Domino’s Pizza Master Issuer LLC

Domino’s SPV Canadian Holding Company Inc.

Domino’s Pizza Distribution LLC

Domino’s IP Holder LLC

Quarterly Noteholders’ Statement

 

Quarterly Collection Period Starting:      March 25, 2013   
Quarterly Collection Period Ending:      June 16, 2013   
Quarterly Payment Date:      July 25, 2013   

Allocation of Funds

 

1.

   Outstanding Notes and Reserve Account Balances as of Prior Quarterly Payment Date:   
  i.   Outstanding Principal Balances   
   

a.      Advances Under Series 2012-1 Class A-1 Notes

    $ —     
   

b.      Series 2012-1 Class A-2 Notes

    $ 1,545,468,750.00   
   

c.      Senior Subordinated Notes

    $ —     
   

d.      Subordinated Notes

    $ —     
  ii.  

ReserveAccount Balances

   
   

a.      Available Senior Notes Interest Reserve Account Amount (1)

    $ 21,181,930.00   
   

b.      Available Senior Subordinated Notes Interest Reserve Account Amount

    $ —     
   

c.      Available Cash Trap Reserve Account Amount (1)

    $ —     

2.

   Retained Collections for Current Quarterly Payment Date:   
  i.   Franchisee Payments    $ 92,974,054.84   
   

a.      Domestic Continuing Franchise Fees

    $ 25,518,870.53   
   

b.      International Continuing Franchise Fees

    $ —     
   

c.      Initial Franchise Fees

    $ —     
   

d.      Other Franchise Fees

    $ 1,940,070.44   
   

e.      PULSE Maintenance Fees

    $ 385,116.70   
   

f.       PULSE License Fees

      3,159,818.76   
   

g.      Technology Fees

    $ —     
   

h.      Franchisee Insurance Proceeds

    $ —     
    i. Other Franchisee Payments   
  ii   Company-Owned Stores License Fees    $ 4,220,626.17   
  iii.   Third-Party License Fees    $ —     
  iv.   Product Purchase Payments    $ 287,915,576.74   
  v.   Co-Issuers Insurance Proceeds    $ —     
  vi.   Asset Disposition Proceeds    $ —     
  vii.   Excluded Amounts    $ 237,052.99   
  viii.   Other Collections    $ 112,687.00   
  ix.   Investment Income    $ 9,342.82   
  x.   HoldCo L/C Agreement Fee Income Less:    $ 341,341.44   
    Less:   
  xiii.   Excluded Amounts    $ 49,352,049.21   
   

a.      Advertising Fees

    $                 49,114,996.22           
   

b.      Company-Owned Store Advertising Fees

    $ —     
   

c.      Third-Party Matching Expenses

    $                 237,052.99           
  xiv.   Product Purchase Payments    $ 287,915,576.74   
  xiv.   Bank Account Expenses    $ 31,320.38   
    Plus:   
  xvi.   Aggregate Weekly Distributor Profit Amount    $ 27,384,226.41   
  xvii.   Retained Collections Contributions    $ —     
  xviii.   Total Retained Collections    $ 106,899,838.51   
  i.   Manager Advances    $ 1,750,000.00   

3.      

  

Adjusted Net Cash Flow for Current Quarterly Payment Date:

  

 

i.

  

Retained Collections for Quarterly Collection Period Less:

    $ 106,899,838.51   
   

Less:

   
 

ii.

  

Servicing Fees, Liquidation Fees and Workout Fees

    $ 79,165.21   
 

iii.

  

Securitization Entities Operating Expenses paid during Quarterly Collection Period

    $ 40,000.00   
 

iv.

  

Weekly Manager Fee Amounts paid during Quarterly Collection Period

    $ 13,158,000.00   
 

v.

  

Manager Advances Reimbursement Amounts

    $ 1,752,491.32   
 

vi.

  

PULSE Maintenance Fees

    $ 1,940,070.44   
 

vii.

  

Technology Fees

    $ 3,159,818.76   
 

viii.

  

Administrative Expenses

    $ 25,000.00   
 

vix.

  

Investment Income

    $ 9,342.82   
 

vx.

  

Retained Collections Contributions, if applicable, received during Quarterly Collection Period

    $ —     
 

viii.

  

Net Cash Flow for Quarterly Collection Period

    $ 86,735,949.96   
 

ix.

  

Net Cash Flow for Quarterly Collection Period / Number of Days in Quarterly Collection Period

    $ 1,032,570.83   
 

x.

  

Multiplied by 91 if 52 week fiscal year or 92.75 if 53 week fiscal year

      91   
 

xi.

  

Adjusted Net Cash Flow for Quarterly Collection Period

    $ 93,963,945.79   

 

1. Amounts calculated as of the close of business on the last Business Day of the preceding Quarterly Collection Period.

 

 

Page 2

Domino’s SPV Canadian Holding Company Inc.

Domino’s Pizza Distribution LLC

Domino’s IP Holder LLC

Quarterly Noteholders’ Statement

 

Quarterly Collection Period Starting:      March 25, 2013   
Quarterly Collection Period Ending:      June 16, 2013   
Quarterly Payment Date:      July 25, 2013   

 

4.   Debt Service / Payments to Noteholders for Current Quarterly Payment Date:      
  i.    Required Interest on Senior and Senior Subordinated Notes      
         Series 2012-1 Class A-1 Quarterly Interest       $ 345,467.86   
         Series 2012-1 Class A-2 Quarterly Interest       $ 20,152,912.50   
         Series 2012-1 Senior Subordinated Quarterly Interest       $ —     
  ii.    Required Principal on Senior and Senior Subordinated Notes      
         Series 2012-1 Class A-2 Quarterly Scheduled Principal       $ 5,906,250.00   
         Series 2012-1 Senior Subordinated Scheduled Principal       $ —     
  iii.    Other      
         Series 2012-1 Class A-1 Quarterly Commitment Fees       $ 78,738.15   
  iv.    Total Debt Service       $ 26,483,368.51   
  v.    Other Payments to Noteholders Relating to Notes      
         Series 2012-1 Subordinated Quarterly Interest       $ —     
         Series 2012-1 Subordinated Quarterly Scheduled Principal       $ —     
         Series 2012-1 Class A-1 Quarterly Contingent Additional Interest    $ —     
         Series 2012-1 Class A-2 Quarterly Contingent Additional Interest    $ —     
         Senior Subordinated Quarterly Contingent Additional Interest       $ —     
         Subordinated Quarterly Contingent Additional Interest       $ —     
5.   Aggregate Weekly Allocations to Distribution Accounts for Current Quarterly Payment Date:      
  i.        All available deposits in Series 2012-1 Class A-1 Distribution Account    $ 449,206.00   
  ii.        All available deposits in Series 2012-1 Class A-2 Distribution Account    $ 26,059,162.50   
  iii.        All available deposits in Senior Subordinated Distribution Account       $ —     
  iv.        All available deposits in Subordinated Distribution Account       $ —     
  v.    Total on Deposit in Distribution Accounts       $ 26,508,368.50   
6.   Distributions for Current Quarterly Payment Date:      
     Series 2012-1 Class A-1 Distribution Account      
  i.        Payment of interest and fees related to Series 2012-1 Class A-1 Notes    $ 449,206.00   
  ii.        Indemnification and Real Estate Disposition Proceeds Payments to reduce commitments under Series 2012-1 Class A-1 Notes    $ —     
  iii.        Principal payments to Series 2012-1 Class A-1 Notes       $ —     
  iv.        Payment of Series 2012-1 Class A-1 Notes Breakage Amounts       $ —     
     Series 2012-1 Class A-2 Distribution Account      
  i.        Payment of interest related to Series 2012-1 Class A-2 Notes       $ 20,152,912.50   
  ii.        Indemnification and Real Estate Disposition Proceeds payments to Series 2012-1 Class A-2 Notes$-   
  iii.        Principal payment to Series 2012-1 Class A-2 Notes       $ 5,906,250.00   
  iv.        Make-Whole Premium related to Series 2012-1 Class A-2 Notes       $ —     
     Senior Subordinated Distribution Account      
  i.        Payment of interest related to Senior Subordinated Notes       $ —     
  ii.        Indemnification and Real Estate Disposition Proceeds payments to Senior Subordinated Notes$-   
  iii.        Principal payment to Senior Subordinated Notes       $ —     
  iv.        Make-Whole Premium related to Senior Subordinated Notes       $ —     
     Subordinated Distribution Account      
  i.        Payment of interest related to Subordinated Notes       $ —     
  ii.        Indemnification and Real Estate Disposition Proceeds payments to Subordinated Notes    $ —     
  iii.        Principal payment to Subordinated Notes       $ —     
  iv.    Make-Whole Premium related to Subordinated Notes       $ —     
     Total Allocations from Distribution Accounts       $ 26,059,162.50   
7.  

Senior Notes Interest Reserve Account Deposits, Draws and Releases as of Current Quarterly Payment Date:

      
  i.    Deposits into Senior Notes Interest Reserve Account during Quarterly Collection Period    $ —     
  ii.    Less draws on Available Senior Notes Interest Reserve Account Amount    $ 82,867.50   
  iii.    Total Increase (Reduction) of Available Senior Notes Interest Reserve Account Amount    $ (82,867.50 ) 
8.  

Senior Subordinated Notes Interest Reserve Account Deposits, Draws and Releases as of Current Quarterly Payment Date:

      
  i.    Deposits into Senior Subordinated Notes Interest Reserve Account during Quarterly Collection Period    $ —     
  ii.    Less draws on Available Senior Subordinated Notes Interest Reserve Account Amount    $ —     
  iii.    Total Increase (Reduction) of Available Senior Subordinated Notes Interest Reserve Account Amount    $ —     

 

Page 3

Domino’s Pizza Master Issuer LLC

Domino’s SPV Canadian Holding Company Inc.

Domino’s Pizza Distribution LLC

Domino’s IP Holder LLC

Quarterly Noteholders’ Statement

 

Quarterly Collection Period Starting:      March 25, 2013   
Quarterly Collection Period Ending:      June 16, 2013   
Quarterly Payment Date:      July 25, 2013   

 

9.

   Cash Trap Reserve Account Deposits, Draws and Releases as of Current Quarterly Payment Date:   
  i.    Deposits into Cash Trap Reserve Account during Quarterly Collection Period    $ —     
       

 

 

  
  ii.    Less draws on Available Cash Trap Reserve Account Amount    $ —     
       

 

 

  
  iii.    Less Cash Trapping Release Amount    $ —     
       

 

 

  
  iv.    Total Increase (Reduction) of Available Cash Trap Reserve Account Amount    $ —     
       

 

 

  

10.

   Real Estate Disposition Proceeds   
  i.    Aggregate Real Estate Disposition Proceeds as of Prior Quarterly Payment Date    $ —     
       

 

 

  
  ii.    Aggregate Real Estate Disposition Proceeds as of Current Quarterly Payment Date    $ —     
       

 

 

  

11.

   Scheduled Principal Catch-Up Amounts   
  i.    Series 2012-1 Class A-2 aggregate Scheduled Principal Catch-Up Amounts as of Prior Quarterly Payment Date    $ —     
       

 

 

  
  ii.    Series 2012-1 Class A-2 aggregate Scheduled Principal Catch-Up Amounts as of Current Quarterly Payment Date    $ —     
       

 

 

  

12.  

   Outstanding Balances as of Current Quarterly Payment Date (after giving effect to payments to be made on such date):   
  i.    Series 2012-1 Class A-1 Notes    $ —     
       

 

 

  
  ii.    Series 2012-1 Class A-2 Notes    $ 1,539,562,500.00   
       

 

 

  
  iii.      Senior Subordinated Notes    $ —     
       

 

 

  
  iv.    Subordinated Notes    $ —     
       

 

 

  
  v.    Reserve account balances:   
    

a.      Available Senior Notes Interest Reserve Account Amount

    $ 21,099,062.50   
       

 

 

  
    

b.      Available Senior Subordinate Notes Interest Reserve Account Amount

    $ —     
       

 

 

  
    

c.      Available Cash Trap Reserve Account Amount

    $ —     
       

 

 

  

IN WITNESS HEREOF, the undersigned has duly executed and delivered this Quarterly Noteholders’ Statement this 7/22/2013

Domino’s Pizza LLC as Manager on behalf of the Master Issuer and certain subsidiaries thereto,

by:                                                                          

 

Page 4

DOMINOS PIZZA INC Reports