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<p style="margin: 0pt"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 3.Earnings Per Share<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Earnings per share of common stock
is based on the weighted average number of shares outstanding during the year. For financial reporting purposes all common
shares of the Company held by the consolidated affiliated partnerships are recorded in Treasury stock on the Consolidated
Balance Sheet. For purposes of computing the weighted average common shares outstanding, the shares of treasury stock
attributable to the unrelated limited partners of the consolidated affiliated partnerships—based on their proportional
ownership during the period—are considered outstanding shares.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The following table presents a reconciliation
of basic and diluted weighted average common shares.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Twelve Weeks Ended</td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="7" style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -13.65pt; padding-left: 13.65pt">Basic earnings per share:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; padding-bottom: 1pt; text-indent: -13.65pt; padding-left: 13.65pt">Weighted average common shares</td><td style="width: 8%; font-weight: bold; padding-bottom: 1pt"> </td>
<td style="width: 1%; border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="width: 12%; border-bottom: Black 1pt solid; font-weight: bold; text-align: right">1,333,309</td><td style="width: 1%; padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="width: 8%; padding-bottom: 1pt"> </td>
<td style="width: 1%; border-bottom: Black 1pt solid; text-align: left"> </td><td style="width: 12%; border-bottom: Black 1pt solid; text-align: right">1,333,467</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -13.65pt; padding-left: 13.65pt">Diluted earnings per share:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -13.65pt; padding-left: 13.65pt">Weighted average common shares</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">1,333,309</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,333,467</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -13.65pt; padding-left: 13.65pt">Dilutive effect of stock awards</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">2,420</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,459</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -13.65pt; padding-left: 13.65pt">Weighted average common and incremental shares</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">1,335,729</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,335,926</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -13.65pt; padding-left: 13.65pt">Number of share-based awards excluded from the calculation of earnings per share as the awards’ exercise prices were greater than the average market price of the Company’s common stock</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">705</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">7,484</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 4. Investments<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Investments consisted of the
following:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">September 26 , 2012</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; padding-left: 4.5pt">Cost</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">244,332</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">199,057</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-left: 4.5pt">Gross unrealized gains</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">62,233</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">71,416</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 4.5pt">Gross unrealized losses</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(931</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(615</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; padding-left: 4.5pt">Fair value</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">305,634</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">269,858</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">At December 19, 2012, most of the
total fair value of our investments was concentrated in the common stock of one investee, Cracker Barrel Old Country Store,
Inc. At December 19, 2012 we held 4,737,794 shares(140,100 shares through the Lion Fund) of Cracker Barrel Old Country Store,
Inc.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">As of December 19, 2012,unrealized
losses on available for sale equity securities in a continuous unrealized loss position for more than twelve consecutive
months were $550. We consider several factors in determining other-than-temporary impairment losses including the current and
long-term business prospects of the issuer, the length of time and relative magnitude of the price decline and our ability
and intent to hold the investment until the price recovers.  As of December 19, 2012, we concluded that the unrealized
losses were temporary.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Investment gains/losses are recognized
when investments are sold (as determined on a specific identification basis) or as otherwise required by GAAP. The timing of realized
gains and losses from sales can have a material effect on periodic earnings. However, such realized gains or losses usually have
little, if any, impact on total Shareholders’ equity because the investments are carried at fair value with any unrealized
gains/losses included as a component of Accumulated other comprehensive income in Shareholders’ equity.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Realized investment gains/losses were
as follows:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.25in"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">December 21, 2011</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; text-align: left">Gross realized gains on sales</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">1</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">3,979</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Gross realized losses on sales</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left">$</td><td style="font-weight: bold; text-align: right">—  </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">(384</td><td style="text-align: left">)</td></tr>
</table>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 5.Consolidated Affiliated
Partnerships<br /> <br /> </b></p>
<p style="font: 8pt/11pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Collectively, The Lion Fund L.P. and Western
Acquisitions, L.P. are referred to as consolidated affiliated partnerships of the Company. Investments held directly by the consolidated
affiliated partnerships usually consist of domestic equity securities. Certain of the consolidated affiliated partnerships hold
the Company’s common stock as investments. Within our consolidated financial statements, the Company classifies this common
stock as Treasury stock despite the shares being legally outstanding. As of December 19, 2012 and September 26, 2012, the consolidated
affiliated partnerships held 205,743 shares of the Company’s common stock ($69,221 at cost).  </p>
<p style="font: 8pt/11pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="background-color: yellow"></font></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Net earnings of the Company
include the realized and unrealized appreciation and depreciation of the investments held by consolidated affiliated partnerships,
other than realized and unrealized appreciation and depreciation of investments the consolidated affiliated partnerships hold in
the Company’s equity securities which has been eliminated in consolidation. </p>
<p style="font: 8pt/11pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">In fiscal year 2010, Biglari
Holdings invested a total of $35,697 in the Lion Fund, both in the form of the acquisition of the general partner and as a
direct limited partner investment. The fair value of these investments in the Lion Fund totaled $50,677 at December 19,
2012 and $48,306 at September 26, 2012. No amounts were invested in the year-to-date period in fiscal year 2013 or in fiscal
year 2012. These investments in the Lion Fund do not appear explicitly in the Company’s Consolidated Balance Sheet
because of the requirement to consolidate fully the Lion Fund (inclusive of third party interests) in the Company’s
financial statements. Further, the Lion Fund’s portfolio holds significant interests in Biglari Holdings’
common stock, which as described above is classified on the Company’s Consolidated Balance Sheet as a reduction to
Shareholders’ equity. Biglari Holdings’ pro-rata ownership of its common stock through the Lion Fund was 99,726
(with a fair value of $38,895) based on Biglari Holdings’ ownership interest in the Lion Fund as of the end of the
fiscal 2013 first quarter.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The following table summarizes the cost
and fair value of the investments held by the consolidated affiliated partnerships, other than holdings of the Company’s
equity securities:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">September 26, 2012</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Equity securities:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 56%; text-indent: 7.9pt">Cost</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">9,839</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">10,288</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: 7.9pt">Fair value</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left">$</td><td style="font-weight: bold; text-align: right">12,267</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">13,151</td><td style="text-align: left"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Investments held by consolidated
affiliated partnerships on the Consolidated Balance Sheet include $11,463 and$12,115 of cash that is only available for use
by the consolidated affiliated partnerships at December 19, 2012 and September 26, 2012, respectively.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Realized investment gains/losses
arise when investments are sold (as determined on a specific identification basis). The net unrealized gains/losses and net
realized gains/losses from investments held by consolidated affiliated partnerships, other than holdings of the
Company’s equity securities, were as follows:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Twelve Weeks Ended</td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="7" style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 56%; text-align: left">Net unrealized gains/losses</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">(435</td><td style="width: 1%; font-weight: bold; text-align: left">)</td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">698</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Net realized gains/losses from sale</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left">$</td><td style="font-weight: bold; text-align: right">87</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">1,426</td><td style="text-align: left"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The limited partners of each of the investment
funds have the ability to redeem their capital upon certain occurrences; therefore, the ownership of the investment funds held
by the limited partners is presented as Redeemable noncontrolling interests of consolidated affiliated partnerships and measured
at the greater of carrying value or fair value on the accompanying Consolidated Balance Sheet. The maximum redemption amount of
the redeemable noncontrolling interests as of December 19, 2012 was$53,274.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The following is a reconciliation of
the redeemable noncontrolling interests in the consolidated affiliated partnerships.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.25in"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Twelve Weeks Ended</td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold"> </td>
<td colspan="3" style="font-weight: bold; text-align: center"> </td><td> </td>
<td colspan="3" style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right"><b>December 19, 2012</b></td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 56%">Carrying value at beginning of period</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">52,088</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">45,252</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Contributions from noncontrolling interests</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">23</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">927</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Distributions to noncontrolling interests</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(1,310</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">—  </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Incentive fee</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(21</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(36</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Income allocation</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(154</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,234</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt">Adjustment to redeemable noncontrolling interest to reflect maximum <br />redemption value	</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">2,648</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,628</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt">Carrying value at end of period</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">53,274</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">50,005</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company, through its ownership
of Biglari Capital and Western Investments Inc., is entitled to an incentive fee to the extent investment performance of the
consolidated affiliated partnerships exceeds specified hurdle rates. Any such fee is included in net earnings attributable to
the Company in the period in which the fee is earned.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Biglari Capital, the general partner
of the Lion Fund, earned a $21 incentive reallocation fee at December 31, 2012. At December 31, 2011, Biglari Capital earned a
$36 incentive reallocation fee. The incentive fee is assessed only once a year, on December 31, and no predictability of such earnings
exists because the Lion Fund’s annual performance is unpredictable.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Net earnings attributable to the
Company only includes the Company’s share of earnings and losses related to its investments in the consolidated
affiliated partnerships; all other earnings or losses from the consolidated affiliated partnerships are allocated to the
redeemable noncontrolling interests.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 6. Assets Held for Sale<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Assets held for sale are composed of
the following:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">September 26, 2012</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; text-align: left; padding-left: 4.3pt">Land and buildings</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">988</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">2,050</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1pt; padding-left: 4.3pt">Improvements</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">79</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">307</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 2.5pt; padding-left: 4.3pt">Total assets held for sale</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">1,067</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">2,357</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">As of December 19, 2012, the balance
included two parcels of land. During the first quarter of fiscal year 2013, three closed restaurants were sold.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company expects to sell these
properties within one year of their classification as assets held for sale. For any of these properties that are unsold
within one year, management reclassifies them as property and equipment.</p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 7. Other Current Assets<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Other current assets primarily include
prepaid rent, prepaid contractual obligations, and current portion of capitalized loan acquisition costs.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 8. Property and Equipment<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Property and equipment is composed of
the following:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">September 26, 2012</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; padding-left: 4.3pt">Land</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">162,592</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">162,685</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 4.3pt">Buildings</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">150,680</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">150,601</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-left: 4.3pt">Land and leasehold improvements</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">155,872</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">155,702</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 4.3pt">Equipment</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">204,716</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">204,340</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 4.3pt">Construction in progress</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">3,126</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,605</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 4.3pt"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">676,986</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">675,933</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 4.3pt">Less accumulated depreciation and amortization</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(324,398</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(319,295</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 2.5pt; padding-left: 4.3pt">Property and equipment, net</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">352,588</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">356,638</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 9. Goodwill and Other Intangibles<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b><i>Goodwill</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Goodwill consists of the excess of the
purchase price over the fair value of the net assets acquired in connection with business acquisitions. There was no change to
the carrying value of goodwill from September 26, 2012.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">We are required to assess goodwill and
any indefinite-lived intangible assets for impairment annually, or more frequently if circumstances indicate impairment may have
occurred. The analysis of potential impairment of goodwill requires a two-step approach. The first step is the estimation of fair
value of each reporting unit. If step one indicates that impairment potentially exists, the second step is performed to measure
the amount of impairment, if any. Goodwill impairment exists when the estimated fair value of goodwill is less than its carrying
value. </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">During the quarter which ended
September 26, 2012, we performed our annual assessment of the recoverability of our goodwill related to four reporting units
for Steak n Shake. During the second quarter of fiscal year 2012, we performed our annual assessment of our recoverability of
goodwill related to two reporting units for Western. The valuation methodology and underlying financial information included
in our determination of fair value require significant management judgments. We use both market and income approaches to
derive fair value. The judgments in these two approaches include, but are not limited to, comparable market multiples,
long-term projections of future financial performance, and the selection of appropriate discount rates used to determine the
present value of future cash flows. Changes in such estimates or the application of alternative assumptions could produce
significantly different results.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">No assurance that
the Company’s estimates and assumptions regarding future operating results made for purposes of the goodwill
impairment testing can be accurate predictors. Further declines in Western’s operating performance may require the
Company to record goodwill impairment losses. Currently, it is not possible to determine whether any such future impairment
losses would result or whether such losses would be material. As of December 19, 2012 Western had $18.1 million of goodwill
and intangible assets.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b><i>  </i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b><i> </i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b><i>Other Intangibles</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Other intangibles are composed of the
following:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.25in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 8pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: top; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="5" style="border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center">December 19, 2012</td>
<td style="font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td colspan="10" style="border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: center">September 26, 2012</td></tr>
<tr style="vertical-align: top; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td style="border-top: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td style="border-top: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td style="border-top: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td style="border-top: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td style="font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td colspan="10" style="font: 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: top; padding-left: 9pt; font: 8pt/115% Times New Roman, Times, Serif; text-indent: -9pt"> </td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: top; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center">Gross carrying amount</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center">Accumulated amortization</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center">Total</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: center">Gross carrying amount</td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: center">Accumulated amortization</td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; text-align: center"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: center">Total</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: bottom; padding-left: 4.3pt; font: 8pt/115% Times New Roman, Times, Serif">Right to operate</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">$   1,480</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">$                      (1,262)</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">$            218</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td colspan="2" style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">$       1,480</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="2" style="vertical-align: bottom; padding-right: 0.7pt; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">$          (1,235</td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif">)</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="2" style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">$       245</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: bottom; padding-left: 4.3pt; font: 8pt/115% Times New Roman, Times, Serif">Franchise agreement</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">     5,310</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">           (1,461)</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">   3,849</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">5,310</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td style="vertical-align: bottom; padding-right: 0.7pt; font: 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td style="vertical-align: bottom; padding-right: 0.7pt; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">(1,328</td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif">)</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">3,982</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: bottom; padding-left: 4.3pt; font: 8pt/115% Times New Roman, Times, Serif">Other</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">        810</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">              (542)</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">      268</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">810</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; padding-right: 0.7pt; text-align: right">(533</td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif">)</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">277</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: bottom; padding-left: 4.3pt; font: 8pt/115% Times New Roman, Times, Serif">Total</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">     7,600</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">           (3,265)</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">   4,335</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">7,600</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; padding-right: 0.7pt; text-align: right">(3,096</td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif">)</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">4,504</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: bottom; padding-left: 4.3pt; font: 8pt/115% Times New Roman, Times, Serif">Intangible assets with indefinite lives</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">     1,744</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">                  —</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">   1,744</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">1,744</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">—</td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">1,744</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: bottom; padding-left: 4.3pt; font: 8pt/115% Times New Roman, Times, Serif">Total intangible assets</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1.5pt double; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">$   9,344</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1.5pt double; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">$                      (3,265)</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: justify"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1.5pt double; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right">$            6,079</td>
<td style="vertical-align: top; font: bold 8pt/115% Times New Roman, Times, Serif; text-align: right"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 2.25pt double; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">$       9,344</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 2.25pt double; font: 8pt/115% Times New Roman, Times, Serif; padding-right: 0.7pt; text-align: right">$          (3,096</td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif">)</td>
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td colspan="2" style="vertical-align: bottom; border-bottom: windowtext 2.25pt double; font: 8pt/115% Times New Roman, Times, Serif; text-align: right">$    6,248</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Intangible assets subject to
amortization consist of franchise agreements acquired in connection with the acquisition of Western, a right to operate and
favorable leases acquired in connection with prior acquisitions and are being amortized over their estimated weighted average
useful lives ranging from eight to twelve years.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b> </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Amortization expense for the twelve
weeks ended December 19, 2012 and December 21, 2011 was $169, and$176, respectively. Total annual amortization expense for each
of the next five years will approximate $615.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Intangible assets with indefinite lives
consist of a trade name acquired in connection with the acquisition of Western and reacquired franchise rights acquired in connection
with previous acquisitions.</p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 10. Other Assets</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Other assets primarily include capitalized
software, non-qualified plan investments, the non-current portion of capitalized loan acquisition costs, and restricted cash related
to workers’ compensation claims.</p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 11. Borrowings</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">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 Shake’s credit facility on December 19, 2012 was $145,000, which included the revolver,
compared to $125,000 on December 21, 2011.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Steak n Shake’s 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.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Steak n Shake was in compliance with
all covenants under the Credit Facility as of December 19, 2012.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">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.</p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 12. Other Long-term Liabilities<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Other long-term liabilities include deferred
rent expense, non-qualified plan obligations, deferred gain on sale-leaseback transactions, uncertain tax positions, and deferred
compensation.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 13. Income Taxes<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">In determining the quarterly provision
for income taxes, the Company uses an estimated annual effective tax rate based on expected annual income, statutory tax
rates, and available tax planning opportunities in the various jurisdictions in which the Company operates. Unusual or infrequently
occurring items are separately recognized in the quarter in which they occur.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Our effective income tax rate for the
twelve weeks ended December 19, 2012 was 26.0%, compared to the effective income tax rate of 32.3% in the same period in the prior
year. The decrease in the tax rate is primarily attributable to dividends received from equity investments, which are taxed at
lower rates than is the income derived from wholly owned businesses.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">As of December 19, 2012 and
September 26, 2012, we had approximately $837 and $812, respectively, of unrecognized tax benefits, which are included in
Other long-term liabilities in the Consolidated Balance Sheet.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 14.Commitments and Contingencies<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">We are involved in various legal proceedings
and have certain unresolved claims pending. We believe, based on examination of these matters and experiences to date, that the
ultimate liability, if any, in excess of amounts already provided in our consolidated financial statements is not likely to have
a material effect on our results of operations, financial position or cash flows.</p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 16. Related Party Transactions<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">On January 11, 2013, the Company, also
referred to as “Licensee,” entered into a Trademark License Agreement (the “License Agreement”) with Sardar
Biglari, Chairman and Chief Executive Officer of the Company (“Licensor”). The License Agreement was unanimously approved
by the Governance, Compensation and Nominating Committee of the Board of Directors of the Company.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Under the License Agreement, Licensor
granted to Licensee an exclusive license to use the name and mark Biglari (alone or in connection with other terms and/or designs)
(the “Licensed Marks”) in association with the provision of investment services, franchising services, financial services,
restaurant franchising (including business management assistance in the establishment and/or operating of restaurants), hospitality
services, hotel management services, insurance services, restaurant services, retail and retail related services, real estate services
and apparel (collectively, the “Products” and the “Services”) throughout the world. Upon (a) the expiration
of twenty years from the date of the License Agreement (subject to extension as provided in the License Agreement), (b) the death
of Licensor, (c) the termination of Licensor’s employment by Licensee for Cause (as defined in the License Agreement), or
(d) the Licensor’s resignation from his employment with Licensee absent an Involuntary Termination Event (as defined in the
License Agreement). The Licensed Marks for the Products and Services will transfer from Licensor to Licensee without any compensation
if Licensee is continuing to use the Licensed Marks in the ordinary course of its business. Otherwise, the rights will revert to
Licensor.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The license provided under the License
Agreement is royalty-free unless and until one of the following events occurs: (i) a Change of Control (as defined in the License
Agreement) of Licensee; (ii) the termination of Licensor’s employment by Licensee without Cause; or (iii) Licensor’s
resignation from his employment with Licensee due to an Involuntary Termination Event (each, a “Triggering Event”).
Upon the occurrence of a Triggering Event and for a specified period of no less than five years thereafter, Licensor will be entitled
to receive a royalty from Licensee equal to two and one-half percent of revenues received by Licensee, its subsidiaries and affiliates
from Products, Services and businesses associated with a Licensed Mark prior to or following the Triggering Event, as specifically
provided in the License Agreement.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Mr. Biglari, along with his affiliates,
and certain directors of the Company make investments in the Lion Fund (other than the amounts invested by the Company), which
are not subject to special profits, interest allocations, or incentive allocations. However, Mr. Biglari does not pay an incentive
allocation fee as a limited partner in the Lion Fund. As of December 19, 2012 and September 26, 2012, the total fair value of these
investments was approximately $2,629 and $2,506, respectively.</p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<p style="margin: 0pt"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 17. Business Segment
Reporting</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Net revenue, earnings before income
taxes and noncontrolling interests, and net earnings attributable to Biglari Holdings Inc. for the twelve weeks ended
December 19, 2012 and December 21, 2011 were as follows:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">Net Revenue</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right"> </td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-weight: bold; text-align: left; text-indent: -0.2in; padding-left: 0.2in">Operating Business:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; text-indent: 0.2pt; padding-left: 1.1pt">Restaurant Operations:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; text-align: left; text-indent: 0.25pt; padding-left: 14.6pt">Steak n Shake</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">163,155</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">160,492</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1pt; text-indent: 0.25pt; padding-left: 0.2in">Western</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">3,583</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,698</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Restaurant Operations</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">166,738</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">164,190</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.2in; padding-left: 0.2in">Investment Management:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt; text-indent: 0.25pt; padding-left: 14.6pt">Consolidated affiliated partnerships</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(227</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,200</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Investment Management Operations</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(227</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,200</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">166,511</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">166,390</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b> </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b> </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b>  </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: right"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Earnings before income taxes and noncontrolling interests</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Net earnings attributable to Biglari Holdings Inc.</td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: right"> </td><td style="font-weight: bold"> </td>
<td colspan="7" style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold"> </td>
<td colspan="7" style="font-weight: bold; text-align: right"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-weight: bold; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold; text-align: left; text-indent: -0.2in; padding-left: 0.2in">Operating Business:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: 0.2pt; padding-left: 1.1pt">Restaurant Operations:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 40%; text-align: left; text-indent: 0.25pt; padding-left: 14.6pt">Steak n Shake</td><td style="width: 3%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 10%; font-weight: bold; text-align: right">8,502</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 3%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 10%; text-align: right">13,649</td><td style="width: 1%; text-align: left"> </td><td style="width: 3%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 10%; font-weight: bold; text-align: right">5,666</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 3%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 10%; text-align: right">8,959</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt; text-indent: 0.25pt; padding-left: 0.2in">Western</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">282</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">391</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">160</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">241</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Restaurant Operations</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">8,784</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">14,040</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">5,826</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">9,200</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; text-indent: -0.2in; padding-left: 0.2in">Investment Management:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: 0.25pt; padding-left: 14.6pt">Biglari Capital Corp. (Incentive fee)</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">21</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">36</td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">13</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">22</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt; text-indent: 0.25pt; padding-left: 14.6pt">Consolidated affiliated partnerships</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(290</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,098</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(42</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">276</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Investment Management Operations</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(269</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,134</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(29</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">298</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-weight: bold; text-align: left; text-indent: -0.2in; padding-left: 0.2in">Corporate and Other:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; text-indent: -0.9pt; padding-left: 0.2in">Corporate and other</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(828</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(3,125</td><td style="text-align: left">)</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(159)</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(1,782</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.9pt; padding-left: 0.2in">Investment and derivative gains/losses</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">1</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,595</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">1</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,229</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Corporate and Other</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(827</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">470</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(158)</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">447</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold; text-align: justify">Reconciliation of segments to consolidated amount:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.9pt; padding-left: 0.2in">Eliminations</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(21</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(36</td><td style="text-align: left">)</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">—  </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">—  </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt">Interest expense and loss on debt extinguishment, excluding interest <br />allocated to operating businesses	</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(1,737</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(1,855</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(1,077</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(1,150</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 2.5pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">5,930</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">14,753</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">4,562</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">8,795</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Biglari Capital, the general partner
of the Lion Fund, earned a $21 incentive reallocation fee at December 31, 2012. At December 31, 2011, Biglari Capital earned a
$36 incentive reallocation fee. The incentive fee is assessed only once a year, on December 31, and no predictability of such earnings
exists because the Lion Fund annual performance is unpredictable.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"> </p>
<p style="margin: 0pt"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Biglari Holdings Inc. is a diversified
holding company engaged in a number of diverse business activities.  The Company is led by Sardar Biglari, Chairman and Chief
Executive Officer of Biglari Holdings and its major operating subsidiaries. Our long-term objective is to maximize per-share
intrinsic value of the Company. Our strategy is to reinvest cash generated from our operating subsidiaries into any investments
with the objective of achieving high risk-adjusted returns.  All major operating, investment, and capital allocation
decisions are made for the Company and its subsidiaries by Sardar Biglari, Chairman and Chief Executive Officer.</p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b><i>Basis of Presentation and Consolidation</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">As of December 19, 2012, the consolidated
financial statements include the accounts of (i) the Company, (ii) its wholly-owned subsidiaries Biglari Capital Corp. (“Biglari
Capital”), Steak n Shake Operations, Inc. (“Steak n Shake”), and Western Sizzlin Corporation (“Western”),
and (iii) investment related limited partnerships (the “consolidated affiliated partnerships”). As a result of the
Company’s acquisitions of Western and Biglari Capital in 2010, the Company acquired financial interests in The Lion Fund,
L.P. (the “Lion Fund”) and Western Acquisitions, L.P., investment limited partnerships (collectively referred to as
consolidated affiliated partnerships), in which the Company has a substantive controlling interest.               </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">We consolidate entities in which we
have a wholly-owned or controlling interest in the general partner. The consolidated affiliated partnerships’ assets and
liabilities are consolidated on the Consolidated Balance Sheet even though outside limited partners have majority ownership in
all of the investment partnerships. The Company does not guarantee any of the liabilities of its subsidiaries that are serving
as general partners to these consolidated affiliated partnerships. All intercompany accounts and transactions have been eliminated
in consolidation.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Western’s and Biglari Capital’s
December 31 quarter end for financial reporting purposes differs from the end of the Company’s fiscal quarter of December
19, 2012. There were no significant transactions in the intervening period. </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The equity method of accounting is used
with respect to investments when the investor has the ability to exercise significant influence, but not control, over the operating
and financial policies of the investee. The ability to exercise significant influence is presumed when an investor possesses 20%
or more of the voting interests of the investee. </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Biglari Holdings began acquiring shares
of Cracker Barrel Old Country Store, Inc. (“Cracker Barrel”) in 2011. During the first quarter of fiscal year
2013 Biglari Holdings acquired additional shares of Cracker Barrel common stock which increased Biglari Holdings’ economic
and voting interest to approximately 20.0%.  </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Biglari Holdings is in the process of
evaluating the application of the equity method to its investment in Cracker Barrel. Accordingly, until the assessment is complete,
Biglari Holdings will continue to account for this investment as an available-for-sale equity security recorded in its financial
statements at fair value.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Twelve Weeks Ended</td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="7" style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -13.65pt; padding-left: 13.65pt">Basic earnings per share:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; padding-bottom: 1pt; text-indent: -13.65pt; padding-left: 13.65pt">Weighted average common shares</td><td style="width: 8%; font-weight: bold; padding-bottom: 1pt"> </td>
<td style="width: 1%; border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="width: 12%; border-bottom: Black 1pt solid; font-weight: bold; text-align: right">1,333,309</td><td style="width: 1%; padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="width: 8%; padding-bottom: 1pt"> </td>
<td style="width: 1%; border-bottom: Black 1pt solid; text-align: left"> </td><td style="width: 12%; border-bottom: Black 1pt solid; text-align: right">1,333,467</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -13.65pt; padding-left: 13.65pt">Diluted earnings per share:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -13.65pt; padding-left: 13.65pt">Weighted average common shares</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">1,333,309</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,333,467</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -13.65pt; padding-left: 13.65pt">Dilutive effect of stock awards</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">2,420</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,459</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -13.65pt; padding-left: 13.65pt">Weighted average common and incremental shares</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">1,335,729</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,335,926</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -13.65pt; padding-left: 13.65pt">Number of share-based awards excluded from the calculation of earnings per share as the awards’ exercise prices were greater than the average market price of the Company’s common stock</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">705</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">7,484</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0pt"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">September 26, 2012</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; padding-left: 4.5pt">Cost</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">244,332</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">199,057</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-left: 4.5pt">Gross unrealized gains</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">62,233</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">71,416</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 4.5pt">Gross unrealized losses</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(931</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(615</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; padding-left: 4.5pt">Fair value</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">305,634</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">269,858</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0pt"></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">December 21, 2011</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; text-align: left">Gross realized gains on sales</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">1</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">3,979</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Gross realized losses on sales</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left">$</td><td style="font-weight: bold; text-align: right">—  </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">(384</td><td style="text-align: left">)</td></tr></table>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif"><tr style="vertical-align: bottom"><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">September 26, 2012</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Equity securities:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 56%; text-indent: 7.9pt">Cost</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">9,839</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">10,288</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: 7.9pt">Fair value</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left">$</td><td style="font-weight: bold; text-align: right">12,267</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">13,151</td><td style="text-align: left"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Twelve Weeks Ended</td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="7" style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 56%; text-align: left">Net unrealized gains/losses</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">(435</td><td style="width: 1%; font-weight: bold; text-align: left">)</td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">698</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Net realized gains/losses from sale</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left">$</td><td style="font-weight: bold; text-align: right">87</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">1,426</td><td style="text-align: left"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Twelve Weeks Ended</td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold"> </td>
<td colspan="3" style="font-weight: bold; text-align: center"> </td><td> </td>
<td colspan="3" style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right"><b>December 19, 2012</b></td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 56%">Carrying value at beginning of period</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">52,088</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">45,252</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Contributions from noncontrolling interests</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">23</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">927</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Distributions to noncontrolling interests</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(1,310</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">—  </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Incentive fee</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(21</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(36</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Income allocation</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(154</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,234</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt">Adjustment to redeemable noncontrolling interest to reflect maximum <br />redemption value	</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">2,648</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,628</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt">Carrying value at end of period</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">53,274</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">50,005</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr></table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">September 26, 2012</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; text-align: left; padding-left: 4.3pt">Land and buildings</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">988</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">2,050</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1pt; padding-left: 4.3pt">Improvements</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">79</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">307</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 2.5pt; padding-left: 4.3pt">Total assets held for sale</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">1,067</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">2,357</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 11pt/normal Calibri, Helvetica, Sans-Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="3" style="text-align: center; border-bottom: Black 1pt solid">September 26, 2012</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; padding-left: 4.3pt">Land</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">162,592</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">162,685</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 4.3pt">Buildings</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">150,680</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">150,601</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-left: 4.3pt">Land and leasehold improvements</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">155,872</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">155,702</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 4.3pt">Equipment</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">204,716</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">204,340</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 4.3pt">Construction in progress</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">3,126</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,605</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 4.3pt"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">676,986</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">675,933</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 4.3pt">Less accumulated depreciation and amortization</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(324,398</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(319,295</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 2.5pt; padding-left: 4.3pt">Property and equipment, net</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">352,588</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">356,638</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr></table>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<table border="0" cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font: 8pt Times New Roman, Times, Serif">
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: bottom"> </td>
<td colspan="7" style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">19-Dec-12</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td colspan="7" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: center">26-Sep-12</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: bottom; text-align: right"> </td>
<td colspan="7" style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-top: windowtext 1pt solid; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: right"> </td>
<td colspan="7" style="font: 8pt Times New Roman, Times, Serif; vertical-align: bottom; border-top: windowtext 1pt solid; text-align: right"> </td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: bottom"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">Level 1</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">Level 2</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">Level 3</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">Total</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif">Level 1</td>
<td style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif">Level 2</td>
<td style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif">Level 3</td>
<td style="font: 8pt Times New Roman, Times, Serif; vertical-align: bottom"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif">Total</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: bottom">Assets</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="vertical-align: bottom; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-top: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Cash equivalents </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">$183</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">$183</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">14,286</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$ —</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$ —</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">14,286</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Equity securities:</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Restaurant/Retail </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">298,227</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">298,227</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">266,940</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">266,940</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Insurance </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">6,112</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">6,112</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,574</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,574</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Other </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">1,295</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">1,295</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,344</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,344</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Equity securities held by consolidated affiliated partnerships: </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Restaurant/Retail </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">10,824</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">10,824</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">11,156</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">11,156</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Other </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">1,254</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">1,254</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,805</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,805</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Non-qualified deferred compensation plan investments </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">841</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">841</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">888</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">888</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Investment held by consolidated affiliated partnership </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">189</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">189</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">190</td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">190</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Total assets at fair value </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$318,736</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$189</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$318,925</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$297,993</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$        —</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$190</td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$298,183</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif">Liabilities</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Interest rate swaps </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">576</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">576</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">351</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">       —</td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">351</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Total liabilities at fair value </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$576</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$576</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$          —</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$351</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$       —</td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$351</td></tr>
</table>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">Net Revenue</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right"> </td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-weight: bold; text-align: left; text-indent: -0.2in; padding-left: 0.2in">Operating Business:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; text-indent: 0.2pt; padding-left: 1.1pt">Restaurant Operations:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 56%; text-align: left; text-indent: 0.25pt; padding-left: 14.6pt">Steak n Shake</td><td style="width: 8%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 12%; font-weight: bold; text-align: right">163,155</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 8%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">160,492</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1pt; text-indent: 0.25pt; padding-left: 0.2in">Western</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">3,583</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,698</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Restaurant Operations</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">166,738</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">164,190</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.2in; padding-left: 0.2in">Investment Management:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt; text-indent: 0.25pt; padding-left: 14.6pt">Consolidated affiliated partnerships</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(227</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,200</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Investment Management
Operations</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(227</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,200</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">166,511</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">166,390</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0pt"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 9pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td style="text-align: right"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Earnings before income taxes and noncontrolling interests</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="7" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Net earnings attributable to Biglari Holdings Inc.</td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: right"> </td><td style="font-weight: bold"> </td>
<td colspan="7" style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold"> </td>
<td colspan="7" style="font-weight: bold; text-align: right"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">December 19, 2012</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">December 21, 2011</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: left; text-indent: -0.2in; padding-left: 0.2in">Operating Business:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; text-indent: 0.2pt; padding-left: 1.1pt">Restaurant Operations:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="width: 40%; text-align: left; text-indent: 0.25pt; padding-left: 14.6pt">Steak n Shake</td><td style="width: 3%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 10%; font-weight: bold; text-align: right">8,502</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 3%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 10%; text-align: right">13,649</td><td style="width: 1%; text-align: left"> </td><td style="width: 3%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 10%; font-weight: bold; text-align: right">5,666</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 3%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 10%; text-align: right">8,959</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1pt; text-indent: 0.25pt; padding-left: 0.2in">Western</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">282</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">391</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">160</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">241</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Restaurant Operations</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">8,784</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">14,040</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">5,826</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">9,200</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; text-indent: -0.2in; padding-left: 0.2in">Investment Management:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; text-indent: 0.25pt; padding-left: 14.6pt">Biglari Capital Corp. (Incentive fee)</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">21</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">36</td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">13</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">22</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; text-indent: 0.25pt; padding-left: 14.6pt">Consolidated affiliated partnerships</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(290</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,098</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(42</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">276</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Investment Management Operations</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(269</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,134</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(29</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">298</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: left; text-indent: -0.2in; padding-left: 0.2in">Corporate and Other:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; text-indent: -0.9pt; padding-left: 0.2in">Corporate and other</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(828</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(3,125</td><td style="text-align: left">)</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(159</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(1,782</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.9pt; padding-left: 0.2in">Investment and derivative gains/losses</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">1</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,595</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">1</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,229</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; text-indent: -0.2in; padding-left: 0.2in">Total Corporate and Other</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(827</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">470</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(158</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">447</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: justify">Reconciliation of segments to consolidated amount:</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right"> </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.9pt; padding-left: 0.2in">Eliminations</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(21</td><td style="font-weight: bold; text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(36</td><td style="text-align: left">)</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">—  </td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">—  </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt">Interest expense and loss on debt extinguishment, excluding interest <br />allocated to operating businesses	</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(1,737</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(1,855</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(1,077</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(1,150</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 2.5pt; text-indent: -0.2in; padding-left: 0.2in"> </td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">5,930</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">14,753</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">4,562</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">8,795</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin: 0 0 10pt"> </p>
<p style="margin: 0pt"></p>
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BIGLARI HOLDINGS INC.
0000093859
10-Q
2012-12-19
false
--09-25
No
No
Yes
Accelerated Filer
Q1
2013
2459
2420
7484
705
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 1. General</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The accompanying unaudited consolidated
financial statements of Biglari Holdings Inc. (“we”, “us”, “our”, “Biglari Holdings”,
or the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States
of America applicable to interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X.
Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United
States of America for complete financial statements. In our opinion, all adjustments considered necessary to present fairly the
results of the interim periods have been included and consist only of normal recurring adjustments. The results for the interim
periods shown are not necessarily indicative of results for the entire fiscal years. The financial statements contained herein
should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form
10-K for the fiscal year ended September 26, 2012.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Biglari Holdings Inc. is a diversified
holding company engaged in a number of business activities.  The Company is led by Sardar Biglari, Chairman and Chief
Executive Officer of Biglari Holdings and its major operating subsidiaries. Our long-term objective is to maximize per-share
intrinsic value of the Company. Our strategy is to reinvest cash generated from our operating subsidiaries into any investments
with the objective of achieving high risk-adjusted returns.  All major operating, investment, and capital allocation
decisions are made for the Company and its subsidiaries by Sardar Biglari, Chairman and Chief Executive Officer. </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b><i>Basis of Presentation and Consolidation</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">As of December 19, 2012, the consolidated
financial statements include the accounts of (i) the Company, (ii) its wholly-owned subsidiaries Biglari Capital Corp. (“Biglari
Capital”), Steak n Shake Operations, Inc. (“Steak n Shake”), and Western Sizzlin Corporation (“Western”),
and (iii) investment related limited partnerships (the “consolidated affiliated partnerships”). As a result of the
Company’s acquisitions of Western and Biglari Capital in 2010, the Company acquired financial interests in The Lion Fund,
L.P. (the “Lion Fund”) and Western Acquisitions, L.P., investment limited partnerships (collectively referred to as
consolidated affiliated partnerships), in which the Company has a substantive controlling interest.               </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">We consolidate entities in which we
have a wholly-owned or controlling interest in the general partner. The consolidated affiliated partnerships’ assets and
liabilities are consolidated on the Consolidated Balance Sheet even though outside limited partners have majority ownership in
all of the investment partnerships. The Company does not guarantee any of the liabilities of its subsidiaries that are serving
as general partners to these consolidated affiliated partnerships. All intercompany accounts and transactions have been eliminated
in consolidation.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Western’s and Biglari Capital’s
December 31 quarter end for financial reporting purposes differs from the end of the Company’s fiscal quarter of December
19, 2012. There were no significant transactions in the intervening period.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The equity method of accounting is used
with respect to investments when the investor has the ability to exercise significant influence, but not control, over the operating
and financial policies of the investee. The ability to exercise significant influence is presumed when an investor possesses 20%
or more of the voting interests of the investee.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Biglari Holdings began acquiring shares
of Cracker Barrel Old Country Store, Inc. (“Cracker Barrel”) in 2011. During the first quarter of fiscal year
2013 Biglari Holdings acquired additional shares of Cracker Barrel common stock which increased Biglari Holdings’ economic
and voting interest to approximately 20.0%. </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Biglari Holdings is in the process of
evaluating the application of the equity method to its investment in Cracker Barrel. Accordingly, until the assessment is complete,
Biglari Holdings will continue to account for this investment as an available-for-sale equity security recorded in its financial
statements at fair value.</p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
1433716
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 2. New Accounting Standards</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">In October 2012, the
Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2012-04, <i>Technical
Corrections and Improvements ,</i>which makes certain technical corrections (i.e., relatively minor corrections
and clarifications) and “conforming fair value amendments” to the FASB Accounting Standards Codification
(the “Codification”).The corrections and improvements include technical corrections based on feedback on
the Codification and conforming amendments primarily related to fair value in areas outside of ASC 820. The amendments
affect various Codification topics and apply to all reporting entities within the scope of those topics and became effective
for the Company on December 20, 2012. We do not expect the adoption of ASU 2012-04 to have a material effect on our financial
position or results of operations.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">In July 2012, the FASB issued ASU 2012−02,
<i>Intangibles—Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment</i>.  The
revised standard is intended to reduce the cost and complexity of testing indefinite-lived intangible assets other than goodwill
for impairment. It allows companies to perform a “qualitative” assessment to determine whether further impairment testing
of indefinite-lived intangible assets is necessary, similar in approach to the goodwill impairment test.  The amendments
are effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. The adoption
of ASU 2012-02 did not have a material effect on our financial position or results of operations.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">In December 2011, the FASB issued ASU
2011−12, <i>Comprehensive Income</i>. The amendments in ASU 2011-12 supersede certain pending paragraphs in ASU 2011−05,
<i>Presentation of Comprehensive Income</i> to effectively defer only those changes in ASU 2011−05 that relate to the presentation
of reclassification adjustments out of accumulated other comprehensive income. The requirement to report comprehensive income either
in a single continuous financial statement or in two separate but consecutive financial statements became effective in the first
quarter of fiscal 2013.  The adoption of ASU 2011−12 did not impact the measurement of net earnings or other comprehensive
income.</p>
<p style="margin: 0pt; font: 8pt Times New Roman, Times, Serif"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Note 15. Fair Value of Financial
Assets and Liabilities<br />
<br />
</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The fair value framework as established
in ASC paragraph 820-10-50-2 requires the categorization of assets and liabilities into three levels based upon the assumptions
(inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair values, whereas Level 3 generally
requires significant management judgment. The three levels are defined as follows:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<table cellspacing="0" cellpadding="0" style="width: 100%; border-collapse: collapse; font: 8pt Times New Roman, Times, Serif">
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: top; width: 4%; font: 8pt/115% Times New Roman, Times, Serif">•</td>
<td style="vertical-align: bottom; width: 96%; font: 8pt/115% Times New Roman, Times, Serif">Level 1: Unadjusted quoted prices in active markets for identical assets and liabilities.</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif">•</td>
<td style="vertical-align: bottom; font: 8pt/115% Times New Roman, Times, Serif; padding-right: 4.5pt">Level 2: Observable inputs other than those included in Level 1. For example, quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets.</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="vertical-align: top; font: 8pt/115% Times New Roman, Times, Serif">•</td>
<td style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0 4.5pt 0 0">Level 3: Unobservable inputs reflecting management’s
own assumptions about the inputs used in pricing the asset or liability.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0 4.5pt 0 0"> </p></td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The following methods and assumptions
were used to determine the fair value of each class of the following assets and liabilities recorded at fair value in the Consolidated
Balance Sheet.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><i> </i></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><i>Cash equivalents: </i>Cash equivalents
primarily consist of money market funds which are classified within Level 1 of the fair value hierarchy. The consolidated affiliated
partnerships did not hold cash equivalents on December 19, 2012 and September 26, 2012.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><i> </i></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><i>Equity securities: </i>The Company’s
investments in equity securities are carried at fair value, based on quoted market prices, and are classified within Level 1 of
the fair value hierarchy. </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><i>Non-qualified deferred compensation
plan investments: </i>The assets of the Non-Qualified Savings Plan are set up in a rabbi trust. They represent mutual funds that
are carried at fair value, based on quoted market prices, and are classified within Level 1 of the fair value hierarchy.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><i>Investment held by consolidated affiliated
partnership: </i>Investments of $189 and $190as of December 19, 2012 and September 26, 2012, respectively, have been classified
within Level 3 of the fair value hierarchy and represent a private security.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><i>Investment derivatives and interest
rate swaps: </i>Investment derivatives and interest rate swaps are marked to market each reporting period with fair value based
on readily available market quotes, and are classified within Level 2 of the fair value hierarchy. Interest rate swaps at December
19, 2012 and September 26, 2012 represent the fair market value for Steak n Shake’s two interest rate swaps.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The fair values of financial assets
and liabilities were as follows:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<table border="0" cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font: 8pt Times New Roman, Times, Serif">
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: bottom"> </td>
<td colspan="7" style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">December 19, 2012</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td colspan="7" style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: center">September 26, 2012</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: bottom; text-align: right"> </td>
<td colspan="7" style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-top: windowtext 1pt solid; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: right"> </td>
<td colspan="7" style="font: 8pt Times New Roman, Times, Serif; vertical-align: bottom; border-top: windowtext 1pt solid; text-align: right"> </td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: bottom"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">Level 1</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">Level 2</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">Level 3</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; border-bottom: windowtext 1pt solid; text-align: center">Total</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif">Level 1</td>
<td style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif">Level 2</td>
<td style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif">Level 3</td>
<td style="font: 8pt Times New Roman, Times, Serif; vertical-align: bottom"> </td>
<td style="vertical-align: bottom; border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif">Total</td></tr>
<tr style="font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: bottom">Assets</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; vertical-align: top; text-align: center"> </td>
<td style="vertical-align: bottom; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-top: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="vertical-align: bottom; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Cash equivalents </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">$183</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">$183</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">14,286</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$ —</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">$ —</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">14,286</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Equity securities:</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Restaurant/Retail </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">298,227</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">298,227</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">266,940</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">266,940</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Insurance </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">6,112</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">6,112</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,574</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,574</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Other </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">1,295</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">1,295</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,344</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,344</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Equity securities held by consolidated affiliated partnerships: </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Restaurant/Retail </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">10,824</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">10,824</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">11,156</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">11,156</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">   Other </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">1,254</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">1,254</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,805</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">1,805</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Non-qualified deferred compensation plan investments </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">841</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right">841</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">888</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif">888</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Investment held by consolidated affiliated partnership </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">189</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">189</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">190</td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">190</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Total assets at fair value </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$318,736</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$189</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$318,925</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$297,993</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$        —</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$190</td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$298,183</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; border-top-color: windowtext; border-top-width: 1pt; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: bold 8pt Times New Roman, Times, Serif">Liabilities</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Interest rate swaps </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">576</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">—</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">576</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">—</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">351</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">       —</td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right">351</td></tr>
<tr style="vertical-align: bottom; font: 8pt Times New Roman, Times, Serif">
<td style="font: 8pt Times New Roman, Times, Serif">Total liabilities at fair value </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$576</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$ —</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="font: bold 8pt Times New Roman, Times, Serif; border-bottom: windowtext 1pt solid; text-align: right">$576</td>
<td style="font: bold 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$          —</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$351</td>
<td style="text-align: right; font: 8pt Times New Roman, Times, Serif"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$       —</td>
<td style="font: 8pt Times New Roman, Times, Serif; text-align: right"> </td>
<td style="border-bottom: windowtext 1pt solid; font: 8pt Times New Roman, Times, Serif; text-align: right; border-top-color: windowtext; border-top-width: 1pt">$351</td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="margin: 0; font: 8pt Times New Roman, Times, Serif">There were no changes in our valuation techniques used to measure fair values on a recurring basis.</p>
<p style="margin: 0pt"> </p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 9pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="11" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 19, 2012</td><td style="padding-bottom: 1pt"> </td>
<td colspan="17" style="text-align: center; border-bottom: Black 1pt solid">September 26, 2012</td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 1pt"> </td><td style="font-size: 1pt; font-weight: bold"> </td>
<td colspan="3" style="font-size: 1pt; font-weight: bold; text-align: center"> </td><td style="font-size: 1pt; font-weight: bold"> </td>
<td colspan="3" style="font-size: 1pt; font-weight: bold; text-align: center"> </td><td style="font-size: 1pt; font-weight: bold"> </td>
<td colspan="3" style="font-size: 1pt; font-weight: bold; text-align: center"> </td><td style="font-size: 1pt"> </td>
<td colspan="17" style="font-size: 1pt; text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1pt; text-indent: -9pt; padding-left: 9pt"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">Gross carrying amount</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">Accumulated amortization</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">Total</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">Gross carrying amount</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">Accumulated amortization</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: center">Total</td></tr>
<tr style="vertical-align: bottom">
<td style="width: 40%; text-align: left; padding-left: 4.3pt">Right to operate</td><td style="width: 2%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 6%; font-weight: bold; text-align: right">1,480</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 2%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 6%; font-weight: bold; text-align: right">(1,262</td><td style="width: 1%; font-weight: bold; text-align: left">)</td><td style="width: 2%; font-weight: bold"> </td>
<td style="width: 1%; font-weight: bold; text-align: left">$</td><td style="width: 6%; font-weight: bold; text-align: right">218</td><td style="width: 1%; font-weight: bold; text-align: left"> </td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 6%; text-align: right">1,480</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 6%; text-align: right">(1,235</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td>
<td style="text-align: right">$245</td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-left: 4.3pt">Franchise agreement</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">5,310</td><td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">(1,461</td><td style="font-weight: bold; text-align: left">)</td><td style="font-weight: bold"> </td>
<td style="font-weight: bold; text-align: left"> </td><td style="font-weight: bold; text-align: right">3,849</td><td style="font-weight: bold; text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,310</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right; padding-left: 10pt">(1,328)</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left; text-indent: 0pt; padding-left: 10pt">3,982</td><td style="text-align: right"></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1pt; padding-left: 4.3pt">Other</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">810</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(542</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">268</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">810</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(533</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: right">277</td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1pt; padding-left: 4.3pt">Total</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">7,600</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">(3,265</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left">)</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">4,335</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">7,600</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(3,096</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: right">4,504</td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 4.3pt">Intangible assets with indefinite lives</td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">1,744</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">—  </td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: right">1,744</td><td style="padding-bottom: 1pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,744</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">—  </td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: right">1,744</td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; padding-bottom: 2.5pt; padding-left: 4.3pt">Total intangible assets</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">9,344</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">(3,265</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left">)</td><td style="font-weight: bold; padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right">6,079</td><td style="padding-bottom: 2.5pt; font-weight: bold; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">9,344</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">(3,096</td><td style="padding-bottom: 2.5pt; text-align: left">)</td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: right">$6,248</td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
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</table>
<p style="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin: 0 0 10pt"> </p>
<p style="margin: 0pt"></p>
140100
12961000
11156000
10824000
1805000
1254000
12961000
12078000
12078000
888000
888000
841000
888000
841000
841000
-36000
-21000
69221000
69221000
205743000
205743000
48306000
50677000
99726000
38895000
12115000
11463000
53274000
35697000