Definition of EBITDA for El Pollo Loco
Summary
This document defines how EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) is calculated for El Pollo Loco. It specifies which income and expense items are included or excluded, such as interest, taxes, depreciation, amortization, certain legal and transaction expenses, and incentive or profit sharing costs. The definition is used to standardize financial reporting and performance measurement for the company.
EX-10.45 10 v107343_ex10-45.htm
Exhibit 10.45
Definition of EBITDA
EBITDA shall be defined as the income of El Pollo Loco (i) before interest expense, amortization of deferred financing fees and acquisition-related bank fees, (ii) before depreciation of tangible assets (such as building and equipment), (iii) before amortization of non-tangible assets (such as trademarks), (iv) before amortization of rent related to the application of FAS13, (v) before taxes paid to federal and state governments, (vi) after accruing for all incentive and profit sharing expenses of El Pollo Loco, (vii) before legal expenses associated with lawsuits relating to FLSA and California Labor Code exempt classification, (vii) before transaction and new debt offering expenses, (ix) before stock option expenses, and (x) before litigation-related legal expenses over plan.
