DENNY'S Corp - FORM 8-K - EX-99.1 - PRESS RELEASE

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8-K - Q2 EARNINGS RELEASE - DENNY'S Corp	a8-kq22013earningsrelease.htm

DENNY'S CORPORATION REPORTS RESULTS FOR SECOND QUARTER 2013

- Adjusted Net Income Per Share* Increased 20.7% to $0.08 -

SPARTANBURG, S.C., July 29, 2013 - Denny's Corporation (NASDAQ: DENN), franchisor and operator of one of America's largest franchised full-service restaurant chains, today reported results for its second quarter ended June 26, 2013.

Second Quarter Summary


•	System-wide same-store sales increased 0.6%, comprised of a 0.7% increase at domestic franchised restaurants and a 0.5% decrease at company restaurants.


•	Net Income of $6.2 million, or $0.07 per diluted share, grew 34.7% compared with the prior year quarter Net Income of $4.6 million, or $0.05 per diluted share.


•	Adjusted Net Income per Share* of $0.08 grew 20.7% compared with the prior year quarter Adjusted Net Income per Share* of $0.07. Adjusted Net Income* excludes debt refinancing charges, impairment charges and gains on sales of assets and other. Please see the tables in the Appendix for a reconciliation of Adjusted Net Income*.


•	Generated $11.1 million of Free Cash Flow* primarily used to repurchase 1.7 million shares for $9.4 million.


•	Acquired one franchised restaurant located in the Miami market and two parcels of real estate for a total of $3.2 million.


•	Opened 11 new franchised restaurants and closed ten franchised restaurants bringing total restaurant count to 1,690.


•	Opened newest international location at the Monterrey International Airport in Apodaca, Mexico which marks the first new location opened in Mexico in over 5 years.

John Miller, President and Chief Executive Officer, stated, “We delivered another quarter of solid results as we grew both our system-wide same-store sales and Adjusted Net Income per Share*. Our efforts to revitalize Denny's image, while increasing the growth of the Denny's brand and growing profitability and Free Cash Flow*, are taking hold as we continue to execute against our three key objectives. We believe that by leveraging our primarily franchise-focused business model and effectively allocating capital between reinvestments in the brand and returning cash to shareholders, we can provide attractive long-term shareholder returns.”

Second Quarter Results

For the second quarter of 2013, franchise and license revenue increased 0.7% to $33.7 million compared with $33.5 million in the prior year quarter. The $0.2 million increase in franchise revenue was primarily driven by a $0.5 million increase in royalties and $0.3 million increase in occupancy revenue primarily driven by 32 additional equivalent franchised restaurants. The increase was partially offset by a $0.6 million decrease in initial fee revenue from refranchising 17 restaurants in the prior year quarter. Company restaurant sales were $82.8 million reflecting a decline of $8.4 million due to 24 fewer equivalent company restaurants, which reflects the impact of selling company restaurants to franchisees as part of the Company's refranchising strategy that was completed at the end of 2012.

Denny's opened 11 new franchised restaurants in the second quarter of this year and closed ten franchised restaurants bringing the total restaurant count to 1,690. Franchise operating margin of $22.1 million was flat to the prior year. Franchise operating margin (as a percentage of franchise and license revenue) was 65.7%, a decrease of 0.3 percentage points. The decrease was primarily due to the lower initial fee revenue noted above, partially offset by the increases in royalties and occupancy margin.

Company restaurant operating margin was $11.4 million, a decrease of $2.1 million, primarily due to the impact of selling company restaurants to franchisees. Company restaurant operating margin (as a percentage of company restaurant sales) was 13.7%. The 1.1 percentage point decrease was primarily driven by higher product costs and unfavorable workers' compensation claims development compared to the prior year quarter. These increases were partially offset by lower payroll and benefits costs and lower occupancy costs.

Total general and administrative expenses decreased by $0.7 million to $14.1 million in the quarter. Depreciation and amortization expense decreased by $0.5 million primarily as a result of the sale of company restaurants in 2012. Net operating gains, losses and other charges, which include restructuring charges, exit costs, impairment charges and gains or losses on the sale of assets, decreased $5.5 million in the quarter. This decrease was primarily due to gains on the sale of company restaurants to franchisees in the prior year quarter.

Interest expense was $2.5 million as a result of a $27.8 million reduction in total gross debt over the last 12 months and lower interest rates under the Company's refinanced credit facility. In the second quarter, the provision for income taxes was $2.5 million, reflecting an effective tax rate of 29.0%. Due to the use of net operating loss and tax credit carryforwards, the Company only paid $1.0 million in cash taxes in the second quarter.

Denny's second quarter net income of $6.2 million, or $0.07 per diluted share, grew 34.7% compared to prior year quarter net income of $4.6 million, or $0.05 per diluted share. Net income was impacted by the refinancing of its credit facility which resulted in a charge to other nonoperating expense of $1.2 million in the second quarter of 2013 and $7.9 million in the prior year quarter. Adjusted Net Income* of $7.6 million, or $0.08 per diluted share, grew 16.0% compared to Adjusted Net Income* of $6.5 million, or $0.07 per diluted share, in the prior year quarter.

Denny's generated $11.1 million of Free Cash Flow* in the second quarter, a portion of which was used to repurchase 1,665,517 shares for $9.4 million. Since initiating its share repurchase strategy in November 2010, the Company has used $59.0 million to repurchase 13.5 million shares through June 26, 2013. As of June 26, 2013, the Company had 11.5 million shares remaining in its current authorized share repurchase initiative. In addition, Denny's ended the second quarter with $176.6 million of total debt outstanding including $97.5 million of borrowings under the revolving line of credit and $59.3 million of term loan debt outstanding.

Business Outlook

The Company continues to successfully execute against its key objectives implemented to strengthen and grow its position as one of the largest American full-service restaurant brands. These include:


•	Revitalize Denny's image with its “America's Diner” positioning.


•	Increase the growth of the Denny's brand both domestically and internationally.


•	Grow profitability and Free Cash Flow* through a primarily franchise-focused business model that balances reinvesting in the brand, returning cash to shareholders, and reducing outstanding debt.

Mark Wolfinger, Executive Vice President, Chief Administrative Officer and Chief Financial Officer, concluded, “Our second quarter performance demonstrates the strength of our franchise-focused business model which generates solid Free Cash Flow*. With our new, more flexible, credit facility, we will continue to execute our balanced capital allocation strategy as we invest in growing and strengthening the brand, while returning cash to shareholders through our ongoing share repurchase program.”

The following full year 2013 estimates are based on management's expectations at this time.


•	System-wide same-store sales growth between 0% and 1.0%.


•	New restaurant openings (all franchised) between 40 and 45 restaurants with net restaurant growth between 5 and 10 restaurants.


•	Total G&A, including share-based compensation, between $58 million and $60 million.


•	Adjusted EBITDA* at the lower end of initial guidance range of $76 million to $80 million.


•	Cash capital expenditures between $20 million and $22 million, including approximately 20 remodels at company restaurants and the acquisition of two franchised restaurants and two parcels of real estate for a total of approximately $4.0 million.


•	Depreciation and amortization between $20.5 million and $21.5 million.


•	Net interest expense between $9.5 million and $10.5 million with net cash interest expense between $8.0 million and $9.0 million.


•	Cash taxes between $2.5 million and $3.5 million with income tax rate between 34% and 36%.


•	Free Cash Flow* between $43 million and $46 million.


*	Please refer to the historical reconciliation of net income to Adjusted Net Income, Adjusted Net Income Per Share, Adjusted EBITDA, and Free Cash Flow included in the tables below.

Conference Call and Webcast Information

Denny's will provide further commentary on the results for the second quarter 2013 on its quarterly investor conference call today, Monday, July 29, 2013 at 4:30 p.m. ET. Interested parties are invited to listen to a live broadcast of the conference call accessible through the investor relations section of Denny's website at investor.dennys.com. A replay of the call may be accessed at the same location later in the day and will remain available for 30 days.

About Denny's

Denny's is the franchisor and operator of one of America's largest franchised full-service restaurant chains, based on number of restaurants. Denny's currently has 1,690 franchised, licensed, and company restaurants around the world with combined sales of $2.5 billion including 1,592 restaurants in the United States and 98 restaurants in Canada, Costa Rica, Mexico, Honduras, Guam, Curaçao, Puerto Rico, Dominican Republic and New Zealand. As of June 26, 2013, 1,525 of Denny's restaurants were franchised and 165 restaurants were company operated. For further information on Denny's, including news releases, links to SEC filings and other financial information, please visit the Denny's investor relations website at investor.dennys.com.

The Company urges caution in considering its current trends and any outlook on earnings disclosed in this press release. In addition, certain matters discussed in this release may constitute forward-looking statements. These forward-looking statements, which reflect its best judgment based on factors currently known, are intended to speak only as of the date such statements are made and involve risks, uncertainties, and other factors that may cause the actual performance of Denny's Corporation, its subsidiaries and underlying restaurants to be materially different from the performance indicated or implied by such statements. Words such as “expects”, “anticipates”, “believes”, “intends”, “plans”, “hopes”, and variations of such words and similar expressions are intended to identify such forward-looking statements. Except as may be required by law, the Company expressly disclaims any obligation to update these forward-looking statements to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events. Factors that could cause actual performance to differ materially from the performance indicated by these forward-looking statements include, among others: the competitive pressures from within the restaurant industry; the level of success of the Company's strategic and operating initiatives, advertising and promotional efforts; adverse publicity; changes in business strategy or development plans; terms and availability of capital; regional weather conditions; overall changes in the general economy, particularly at the retail level; political environment (including acts of war and terrorism); and other factors from time to time set forth in the Company's SEC reports and other filings, including but not limited to the discussion in Management's Discussion and Analysis and the risks identified in Item 1A. Risk Factors contained in the Company's Annual Report on Form 10-K for the year ended December 26, 2012 (and in the Company's subsequent quarterly reports on Form 10-Q).


Investor Contact:	Whit Kincaid

877-784-7167


Media Contact:	Liz Brady, ICR

646-277-1226



DENNY’S CORPORATION
Condensed Consolidated Balance Sheets
(Unaudited)

(In thousands)				6/26/2013			12/26/2012
Assets
	Current assets
		Cash and cash equivalents		$	2,011		$	13,565
		Receivables		16,389			19,947
		Assets held for sale		1,496			—
		Current deferred tax asset		20,240			19,807
		Other current assets		7,522			11,291
			Total current assets	47,658			64,610
	Property, net			104,277			107,004
	Goodwill			31,451			31,430
	Intangible assets, net			48,471			48,920
	Noncurrent deferred tax asset			38,620			45,776
	Other noncurrent assets			30,921			27,145
			Total assets	$	301,398		$	324,885

Liabilities
	Current liabilities
		Current maturities of long-term debt		$	3,000		$	8,500
		Current maturities of capital lease obligations		4,221			4,181
		Accounts payable		18,484			24,461
		Other current liabilities		48,055			54,682
			Total current liabilities	73,760			91,824
	Long-term liabilities
		Long-term debt, less current maturities		153,750			161,500
		Capital lease obligations, less current maturities		15,664			15,953
		Other		55,764			60,068
			Total long-term liabilities	225,178			237,521
			Total liabilities	298,938			329,345

Shareholders' equity
		Common stock		1,045			1,038
		Paid-in capital		564,777			562,657
		Deficit		(482,239		)	(495,518		)
		Accumulated other comprehensive loss, net of tax		(22,150		)	(24,999		)
		Treasury stock		(58,973		)	(47,638		)
			Total shareholders' equity (deficit)	2,460			(4,460		)
			Total liabilities and shareholders' equity	$	301,398		$	324,885

Debt Balances
(In thousands)				6/26/2013			12/26/2012
Credit facility term loan and revolver due 2018				$	156,750		$	—
Credit facility term loan due 2017				—			170,000
Capital leases				19,885			20,134
	Total debt			$	176,635		$	190,134



DENNY’S CORPORATION
Condensed Consolidated Statements of Comprehensive Income
(Unaudited)

			Quarter Ended
(In thousands, except per share amounts)			6/26/2013		6/27/2012
Revenue:
	Company restaurant sales		$	82,841	$	91,239
	Franchise and license revenue		33,730		33,492
		Total operating revenue	116,571		124,731
Costs of company restaurant sales			71,451		77,743
Costs of franchise and license revenue			11,585		11,386
General and administrative expenses			14,085		14,785
Depreciation and amortization			5,352		5,827
Operating (gains), losses and other charges, net			1,484		(4,009		)
		Total operating costs and expenses	103,957		105,732
Operating income			12,614		18,999
Interest expense, net			2,548		2,993
Other nonoperating expense, net			1,331		8,198
Net income before income taxes			8,735		7,808
Provision for income taxes			2,537		3,207
Net income			$	6,198	$	4,601


Basic net income per share			$	0.07	$	0.05
Diluted net income per share			$	0.07	$	0.05

Basic weighted average shares outstanding			91,659		95,637
Diluted weighted average shares outstanding			93,665		97,408

Comprehensive income			$	8,793	$	4,869

General and Administrative Expenses			Quarter Ended
(In thousands)			6/26/2013		6/27/2012
Share-based compensation			$	1,206	$	876
Other general and administrative expenses			12,879		13,909
	Total general and administrative expenses		$	14,085	$	14,785



DENNY’S CORPORATION
Condensed Consolidated Statements of Comprehensive Income
(Unaudited)

			Two Quarters Ended
(In thousands, except per share amounts)			6/26/2013		6/27/2012
Revenue:
	Company restaurant sales		$	163,871	$	185,402
	Franchise and license revenue		67,190		66,067
		Total operating revenue	231,061		251,469
Costs of company restaurant sales			140,571		157,698
Costs of franchise and license revenue			22,987		22,698
General and administrative expenses			29,244		30,448
Depreciation and amortization			10,576		11,887
Operating (gains), losses and other charges, net			1,618		(4,174		)
		Total operating costs and expenses, net	204,996		218,557
Operating income			26,065		32,912
Interest expense, net			5,348		7,449
Other nonoperating expense, net			1,332		7,903
Net income before income taxes			19,385		17,560
Provision for income taxes			6,106		7,094
Net income			$	13,279	$	10,466


Basic net income per share			$	0.14	$	0.11
Diluted net income per share			$	0.14	$	0.11

Basic weighted average shares outstanding			92,004		95,856
Diluted weighted average shares outstanding			94,081		97,651

Comprehensive income			$	16,128	$	11,002

General and Administrative Expenses			Two Quarters Ended
(In thousands)			6/26/2013		6/27/2012
Share-based compensation			$	2,381	$	1,666
Other general and administrative expenses			26,863		28,782
	Total general and administrative expenses		$	29,244	$	30,448



DENNY’S CORPORATION
Income, EBITDA, Free Cash Flow, and Net Income Reconciliations
(Unaudited)

Income, EBITDA and Free Cash Flow Reconciliation	Quarter Ended						Two Quarters Ended
(In thousands)	6/26/2013			6/27/2012			6/26/2013			6/27/2012
Net income	$	6,198		$	4,601		$	13,279		$	10,466
Provision for income taxes	2,537			3,207			6,106			7,094
Operating (gains), losses and other charges, net	1,484			(4,009		)	1,618			(4,174		)
Other nonoperating expense, net	1,331			8,198			1,332			7,903
Share-based compensation	1,206			876			2,381			1,666
Adjusted Income Before Taxes ⁽¹⁾	$	12,756		$	12,873		$	24,716		$	22,955

Interest expense, net	2,548			2,993			5,348			7,449
Depreciation and amortization	5,352			5,827			10,576			11,887
Cash payments for restructuring charges and exit costs	(725		)	(543		)	(1,397		)	(1,324		)
Cash payments for share-based compensation	(10		)	—			(900		)	(355		)
Adjusted EBITDA ⁽¹⁾	$	19,921		$	21,150		$	38,343		$	40,612

Cash interest expense, net	(2,249		)	(2,579		)	(4,734		)	(6,329		)
Cash paid for income taxes, net	(992		)	(1,152		)	(1,335		)	(1,365		)
Cash paid for capital expenditures	(5,538		)	(2,443		)	(8,544		)	(4,279		)
Free Cash Flow ⁽¹⁾	$	11,142		$	14,976		$	23,730		$	28,639

Net Income Reconciliation	Quarter Ended						Quarter Ended
(In thousands)	6/26/2013			6/27/2012			6/26/2013			6/27/2012
Net income	$	6,198		$	4,601		$	13,279		$	10,466
Gains on sales of assets and other, net	(33		)	(4,908		)	(15		)	(6,863		)
Impairment charges	857			17			857			540
Loss on debt refinancing	1,187			7,923			1,187			7,923
Tax effect ⁽²⁾	(633		)	(1,103		)	(639		)	(582		)
Adjusted Net Income ⁽¹⁾	$	7,576		$	6,530		$	14,669		$	11,484

Diluted weighted-average shares outstanding	93,665			97,408			94,081			97,651

Adjusted Net Income Per Share ⁽¹⁾	$	0.08		$	0.07		$	0.16		$	0.12



(1)	The Company believes that, in addition to other financial measures, Adjusted Income Before Taxes, Adjusted EBITDA, Free Cash Flow, Adjusted Net Income and Adjusted Net Income Per Share are appropriate indicators to assist in the evaluation of its operating performance on a period-to-period basis. The Company also uses Adjusted Income, Adjusted EBITDA and Free Cash Flow internally as performance measures for planning purposes, including the preparation of annual operating budgets, and for compensation purposes, including bonuses for certain employees. Adjusted EBITDA is also used to evaluate its ability to service debt because the excluded charges do not have an impact on its prospective debt servicing capability and these adjustments are contemplated in its credit facility for the computation of its debt covenant ratios. Free Cash Flow, defined as Adjusted EBITDA less cash portion of interest expense net of interest income, capital expenditures, and cash taxes, is used to evaluate operating effectiveness and decisions regarding the allocation of resources. However, Adjusted Income, Adjusted EBITDA, Free Cash Flow, Adjusted Net Income and Adjusted Net Income Per Share should be considered as a supplement to, not a substitute for, operating income, net income or other financial performance measures prepared in accordance with U.S. generally accepted accounting principles.
(2)	Tax adjustments for the three and six months ended June 26, 2013 are calculated using the Company's year-to-date effective tax rate of 31.5%. Tax adjustments for the three and six months ended June 27, 2012 are calculated using the Company's full year 2012 effective tax rate of 36.4%.



DENNY’S CORPORATION
Operating Margins
(Unaudited)

				Quarter Ended
(In thousands)				6/26/2013				6/27/2012
Company restaurant operations: ⁽¹⁾
	Company restaurant sales			$	82,841	100.0	%	$	91,239		100.0	%
	Costs of company restaurant sales:
		Product costs		21,402		25.8	%	22,702			24.9	%
		Payroll and benefits		33,220		40.1	%	36,617			40.1	%
		Occupancy		5,513		6.7	%	6,222			6.8	%
		Other operating costs:
			Utilities	3,178		3.8	%	3,592			3.9	%
			Repairs and maintenance	1,524		1.8	%	1,634			1.8	%
			Marketing	3,113		3.8	%	3,389			3.7	%
			Legal settlements	238		0.3	%	71			0.1	%
			Other	3,263		3.9	%	3,516			3.9	%
	Total costs of company restaurant sales			$	71,451	86.3	%	$	77,743		85.2	%
	Company restaurant operating margin ⁽²⁾			$	11,390	13.7	%	$	13,496		14.8	%

Franchise operations: ⁽³⁾
	Franchise and license revenue
	Royalty and license revenue			$	21,401	63.5	%	$	20,874		62.3	%
	Initial and other fee revenue			450		1.3	%	1,003			3.0	%
	Occupancy revenue			11,879		35.2	%	11,615			34.7	%
	Total franchise and license revenue			$	33,730	100.0	%	$	33,492		100.0	%

	Costs of franchise and license revenue
	Occupancy costs			$	8,766	26.0	%	$	8,705		26.0	%
	Direct franchise costs			2,819		8.3	%	2,681			8.0	%
	Total costs of franchise and license revenue			$	11,585	34.3	%	$	11,386		34.0	%
	Franchise operating margin ⁽²⁾			$	22,145	65.7	%	$	22,106		66.0	%

Total operating revenue ⁽⁴⁾				$	116,571	100.0	%	$	124,731		100.0	%
Total costs of operating revenue ⁽⁴⁾				83,036		71.2	%	89,129			71.5	%
Total operating margin ⁽⁴⁾⁽²⁾				$	33,535	28.8	%	$	35,602		28.5	%

Other operating expenses: ⁽⁴⁾⁽²⁾
	General and administrative expenses			$	14,085	12.1	%	$	14,785		11.9	%
	Depreciation and amortization			5,352		4.6	%	5,827			4.7	%
	Operating gains, losses and other charges, net			1,484		1.3	%	(4,009		)	(3.2	)%
	Total other operating expenses			$	20,921	17.9	%	$	16,603		13.3	%

Operating income ⁽⁴⁾				$	12,614	10.8	%	$	18,999		15.2	%



(1)	As a percentage of company restaurant sales
(2)	Other operating expenses such as general and administrative expenses and depreciation and amortization relate to both company and franchise operations and are not allocated to costs of company restaurant sales and costs of franchise and license revenue. As such, operating margin is considered a non-GAAP financial measure. Operating margins should be considered as a supplement to, not as a substitute for, operating income, net income or other financial measures prepared in accordance with U.S. generally accepted accounting principles.
(3)	As a percentage of franchise and license revenue
(4)	As a percentage of total operating revenue



DENNY’S CORPORATION
Operating Margins
(Unaudited)

				Two Quarters Ended
(In thousands)				6/26/2013				6/27/2012
Company restaurant operations: ⁽¹⁾
	Company restaurant sales			$	163,871	100.0	%	$	185,402		100.0	%
	Costs of company restaurant sales:
		Product costs		42,548		26.0	%	46,235			24.9	%
		Payroll and benefits		64,766		39.5	%	74,370			40.1	%
		Occupancy		10,741		6.6	%	11,996			6.5	%
		Other operating costs:
			Utilities	6,305		3.8	%	7,306			3.9	%
			Repairs and maintenance	2,873		1.8	%	3,322			1.8	%
			Marketing	6,129		3.7	%	6,924			3.7	%
			Legal settlements	514		0.3	%	169			0.1	%
			Other	6,695		4.1	%	7,376			4.0	%
	Total costs of company restaurant sales			$	140,571	85.8	%	$	157,698		85.1	%
	Company restaurant operating margin ⁽²⁾			$	23,300	14.2	%	$	27,704		14.9	%

Franchise operations: ⁽³⁾
	Franchise and license revenue
	Royalty and license revenue			$	42,428	63.1	%	$	41,401		62.7	%
	Initial and other fee revenue			730		1.1	%	1,439			2.2	%
	Occupancy revenue			24,032		35.8	%	23,227			35.1	%
	Total franchise and license revenue			$	67,190	100.0	%	$	66,067		100.0	%

	Costs of franchise and license revenue
	Occupancy costs			$	17,619	26.2	%	$	17,428		26.4	%
	Direct franchise costs			5,368		8.0	%	5,270			8.0	%
	Total costs of franchise and license revenue			$	22,987	34.2	%	$	22,698		34.4	%
	Franchise operating margin ⁽²⁾			$	44,203	65.8	%	$	43,369		65.6	%

Total operating revenue ⁽⁴⁾				$	231,061	100.0	%	$	251,469		100.0	%
Total costs of operating revenue ⁽⁴⁾				163,558		70.8	%	180,396			71.7	%
Total operating margin ⁽⁴⁾⁽²⁾				$	67,503	29.2	%	$	71,073		28.3	%

Other operating expenses: ⁽⁴⁾⁽²⁾
	General and administrative expenses			$	29,244	12.7	%	$	30,448		12.1	%
	Depreciation and amortization			10,576		4.6	%	11,887			4.7	%
	Operating gains, losses and other charges, net			1,618		0.7	%	(4,174		)	(1.7	)%
	Total other operating expenses			$	41,438	17.9	%	$	38,161		15.2	%

Operating income ⁽⁴⁾				$	26,065	11.3	%	$	32,912		13.1	%



(1)	As a percentage of company restaurant sales
(2)	Other operating expenses such as general and administrative expenses and depreciation and amortization relate to both company and franchise operations and are not allocated to costs of company restaurant sales and costs of franchise and license revenue. As such, operating margin is considered a non-GAAP financial measure. Operating margins should be considered as a supplement to, not as a substitute for, operating income, net income or other financial measures prepared in accordance with U.S. generally accepted accounting principles.
(3)	As a percentage of franchise and license revenue
(4)	As a percentage of total operating revenue



DENNY’S CORPORATION
Statistical Data
(Unaudited)

Same-Store Sales			Quarter Ended						Two Quarters Ended
(increase/(decrease) vs. prior year)			6/26/2013			6/27/2012			6/26/2013			6/27/2012
	Company Restaurants		(0.5		)%	0.0		%	(1.0		)%	0.4		%
	Domestic Franchised Restaurants		0.7		%	1.5		%	0.1		%	2.1		%
	Domestic System-wide Restaurants		0.6		%	1.2		%	0.0		%	1.8		%
	System-wide Restaurants		0.6		%	0.8		%	0.0		%	1.6		%

Average Unit Sales			Quarter Ended						Two Quarters Ended
(In thousands)			6/26/2013			6/27/2012			6/26/2013			6/27/2012
	Company Restaurants		$	505		$	484		$	999		$	954
	Franchised Restaurants		$	359		$	354		$	708		$	703

						Franchised
Restaurant Unit Activity			Company			& Licensed			Total
Ending Units 3/27/13			164			1,525			1,689
	Units Opened		0			11			11
	Units Reacquired		1			(1		)	0
	Units Closed (Including Units Relocated)		0			(10		)	(10		)
		Net Change	1			0			1
Ending Units 6/26/13			165			1,525			1,690

Equivalent Units
	Second Quarter 2013		164			1,525			1,689
	Second Quarter 2012		188			1,493			1,681
			(24		)	32			8

						Franchised
Restaurant Unit Activity			Company			& Licensed			Total
Ending Units 12/26/12			164			1,524			1,688
	Units Opened		0			18			18
	Units Reacquired		1			(1		)	0
	Units Closed		0			(16		)	(16		)
		Net Change	1			1			2
Ending Units 6/26/13			165			1,525			1,690

Equivalent Units
	Year-to-Date 2013		164			1,525			1,689
	Year-to-Date 2012		194			1,487			1,681
			(30		)	38			8

DENNY'S Corp - FORM 8-K - EX-99.1 - PRESS RELEASE - July 29, 2013

Attached files

DENNY'S Corp Reports