On January 27, 2017, the board of directors of YUM! Brands, Inc. approved a change in its fiscal year from a year ending on December to a year beginning on January 1 and ending December 31 of each year, commencing with the fiscal year ending December 31, 2017. In connection with the new fiscal year, the company will move from a 52-week periodic fiscal calendar with three 12-week interim quarters and a 16-week fourth quarter that requires adding a 53 week every five or six years, to a monthly reporting calendar with each quarter comprised of three months. The company’s U.S. subsidiaries will continue to report under 52-week fiscal calendars ending in late December that include three 12-week interim quarters and a 16-week fourth quarter that requires a 53 week added every five or six years. The change in the company's fiscal year was made primarily to accommodate the removal of reporting lags from their international subsidiary fiscal calendars, which will significantly improve the alignment of their global reporting calendars. As a result of removing these reporting lags each international subsidiary will now operate either on a monthly calendar consistent with the company's new calendar or on a periodic calendar consistent with their U.S. fiscal calendars. The change to the company's fiscal year is effective in 2017 and does not impact the company's results for the fiscal year ended December 31, 2016. However, they will restate previously issued financial statements when presenting financial statements under their new calendar in 2017. Because the new 2017 fiscal year commences with the end of their 2016 fiscal year, there is no transition period in connection with the change in the fiscal year.