Income from operations increased by $1.4 million to $10.3 million.* A reconciliation of the non-GAAP measure (Adjusted EBITDA) to the nearest GAAP measure can be found in the accompanying tables below. Restaurant Development As of January 3, 2012, there were 773 system-wide Einstein Bros.® Bagels, Noah's New York Bagels®, and Manhattan Bagel® branded restaurants in operation. During the fourth quarter of 2011, the Company added fifteen net restaurants to its operations including five locations in the Portland, Oregon area through its acquisition of Kettleman Bagel Company. Fiscal Year 2012 Guidelines The Company is providing the following guidelines for its fiscal year 2012, which is a 52-week period.
- 60 to 80 system-wide openings, including eight to twelve Company-owned restaurants, twelve to fourteen franchise restaurants, and 40 to 54 license restaurants.
- Restructuring expenses of $0.5 million to $0.8 million related to the closing of the four remaining commissaries.
- Capital expenditures of $24 million to $26 million.
- Commodity inflation of 2% to 3%.
- To date, the Company has secured price protection on 88% and 93% of its wheat and coffee requirements, respectively.
- An annual effective tax rate of 39%; however, the Company will continue to only pay minimal cash-taxes for the next several years.