ITEM 2.05. COSTS ASSOCIATED WITH EXIT OR DISPOSAL ACTIVITIES.

On January 10, 2019, the Board of Directors of Fiesta Restaurant Group, Inc. (the "Company") determined to close nineteen (19) Company-owned Taco Cabana restaurants on January 13, 2020.

The Company expects to record estimated non-cash long-lived asset impairment charges of approximately $7.0 million to $8.0 million and estimated lease right-of-use asset impairment charges of approximately $1.0 million to $3.0 million in the fourth quarter 2019 with respect to the closed restaurants. The Company previously recorded impairment charges totaling $3.9 million related to these restaurants in the second and third quarters of 2019. The leases associated with the right-of-use assets will require future cash expenditures.

While the Company also expects to recognize costs associated with the closings, including de-imaging and equipment removal, in the first quarter of 2020, it does not expect these additional closure related costs to be material.

ITEM 2.06. MATERIAL IMPAIRMENTS.

The information required to be disclosed under this Item 2.06 is included in Item 2.05 above and incorporated by reference herein. The Company issued a press release on January 13, 2020 announcing the closure of the Company-owned Taco Cabana restaurants referenced above, the full text of which is attached as Exhibit 99.1 and incorporated by reference into Item 2.05 and Item 2.06.




ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS.
(d) Exhibits
  99.1    Fiesta Restaurant Group, Inc. Press Release, dated January 13, 2020  .

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