many of the products sold in our restaurants are affected by commodity pricing and are , therefore , subject to price volatility . this volatility is caused by factors that are fundamentally outside of our control and are often unpredictable . in general , we purchase food products based on market prices or we set firm prices in purchase agreements with our vendors . our ability to lock in prices on certain key commodities is imperative to control food costs in an environment in which many commodity prices are on the rise . in addition , our continued success with menu management helps us to offer menu items that provide a compelling value to our customers while maintaining consistent product costs and appropriate profitability . 2015 summary of operations during 2015 , we achieved domestic system-wide same-stores sales growth of 5.8 % , comprised of a 6.5 % increase at company restaurants and a 5.7 % increase at domestic franchised restaurants . in addition to growing system-wide same-store sales in 18 of the past 19 quarters , denny 's has achieved its fifth consecutive year of positive system-wide same-store sales and highest annual system-wide same-store sales growth in over a decade . the system-wide same-store sales increases during 2015 included benefits from both product mix and price increases slightly above 2 % . a total of 232 remodels were completed during 2015 , comprised of 51 at company restaurants and 181 at franchised restaurants . most of these remodels were in our new heritage image , which we launched late in 2013. this updated look reflects a more contemporary diner feel to further reinforce our america 's diner positioning . we anticipate over 200 remodels will be completed system-wide in 2016 , including approximately 25 company restaurant remodels . during 2014 , we implemented a new franchise agreement , which included an increased royalty rate of 4.5 % and a reduced advertising contribution of 3 % , excluding any incentives . there were approximately 420 franchised restaurants operating under this agreement as of december 30 , 2015 , and we expect there to be approximately 520 franchised restaurants operating under this agreement by the end of 2016. we anticipate that existing franchisees will elect to migrate to the new fee structure over the next decade as incentives under the previous franchise agreements expire . due to the long-term migration of existing franchisees , we will not see the full benefit of the higher royalty rate for some time . for 2015 , our average royalty rate was approximately 4.02 % . operating income increased $ 5.8 million to $ 63.2 million in 2015 from $ 57.3 million in 2014. net income increased $ 3.3 million to $ 36.0 million , or $ 0.42 per diluted share , in 2015 compared to $ 32.7 million , or $ 0.37 per diluted share , in 2014 . 22 we had a 52 week year in 2015 and a 53 week year in 2014 , which impacts the comparison of our financial information . we estimate that the additional 2014 operating week added approximately $ 8.3 million of company restaurant sales and $ 2.4 million of franchise and license revenue and resulted in approximately $ 0.6 million of additional general and administrative expenses , $ 3.6 million of additional operating income and $ 2.2 million of additional net income . growing the brand over the last five years our growth initiatives have led to 230 new restaurant openings . during 2015 , we had net restaurant growth of eight restaurants , with 45 openings and 37 closures . our openings included three new company operated travel center restaurants in partnership with kwik trip tm convenience stores and eight franchised international locations , including four in canada , two in the united arab emirates and two in the dominican republic . our goal is to increase net restaurant growth through all avenues : domestic , international and nontraditional . domestic growth will focus on markets in which we have modest penetration . balancing the use of cash we are focused on balancing the use of cash between reinvesting in our base of company restaurants , growing and strengthening the brand and returning cash to shareholders . as noted above , we are accelerating the timing of remodels at our company restaurants under our new heritage image . during 2015 , approximately $ 12.7 million of our $ 27.0 million of capital expenditures were from remodels . in november 2015 , as part of our previously authorized share repurchase programs , we entered into a variable term , capped accelerated share repurchase ( the `` asr `` ) agreement with wells fargo bank , national association ( `` wells fargo `` ) , to repurchase an aggregate of $ 50 million of our common stock . pursuant to the terms of the asr agreement , we paid $ 50 million in cash and received approximately 3.5 million shares of our common stock , which represents the minimum shares to be delivered based on the cap price . we recorded $ 36.9 million of treasury stock related to these shares . the remaining balance of $ 13.1 million is included as additional paid-in capital in shareholders ' equity as of december 30 , 2015 as an equity forward contract and will be settled during 2016. the total aggregate number of shares of our common stock repurchased pursuant to the asr agreement will be based generally on the average of the daily volume-weighted average prices of our common stock , less a fixed discount , over the term of the asr agreement , subject to a minimum number of shares . story_separator_special_tag for the 2015 period , the difference in the overall effective rate from the u.s. statutory rate was primarily related to state taxes and the generation of employment and foreign tax credits . for the 2014 period , the difference in the overall effective rate from the u.s. statutory rate was primarily due to state and foreign taxes , the generation of employment tax credits and two discrete tax items . state job tax credits of 1.3 % were claimed during 2014 for current year 's hiring activity . state job tax credits of 1.1 % were also claimed during the 2014 period resulting from the prior year 's hiring activity . in addition , share-based compensation adjustments resulted in an out-of-period tax benefit of 1.0 % . we do not believe the out-of-period adjustment was material to any prior or current year financial statements or on earnings trends . for the 2013 period , the difference in the overall effective rate from the u.s. statutory rate was due to state and foreign taxes , employment tax credits and discrete tax items . the passage of the american tax payer relief act of 2012 resulted in deferred tax benefits of 1.0 % related to work opportunity credits generated in 2012 , which were allowed retroactively . in addition , state job tax credits of 2.2 % were claimed during the 2013 period resulting from the prior year 's hiring activity . net income was $ 36.0 million for 2015 , $ 32.7 million for 2014 and $ 24.6 million for 2013 . story_separator_special_tag represent our estimate of purchase obligations during the periods presented if we were to cancel these contracts with appropriate notice . unrecognized tax benefits associated with uncertain income tax positions are not included in the contractual obligations table as these liabilities may increase or decrease over time as a result of tax examinations , and given the status of the examinations , we can not reliably estimate the period of any cash settlement with the respective taxing authorities . at december 30 , 2015 , there were no unrecognized tax benefits associated with uncertain income tax positions , including potential interest and penalties . off-balance sheet arrangements except for operating leases entered into during the normal course of business , we do not have any off-balance sheet arrangements . critical accounting policies and estimates our discussion and analysis of our financial condition and results of operations are based upon our consolidated financial statements , which have been prepared in accordance with u.s. generally accepted accounting principles . the preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets , liabilities , revenues and expenses , and related disclosure of contingent assets and liabilities . on an ongoing basis , we evaluate our estimates , including those related to self-insurance liabilities , impairment of long-lived assets , restructuring and exit costs , income taxes and share-based compensation . we base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances , the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources . actual results may differ from these estimates under different assumptions or conditions ; however , we believe that our estimates , including those for the above-described items , are reasonable . our significant accounting policies ( including the critical accounting policies listed below ) are fully described in note 2 to our consolidated financial statements . we believe the following critical accounting policies affect our more significant judgments and estimates used in the preparation of our consolidated financial statements : self-insurance liabilities . we are self-insured for a portion of our losses related to certain medical plans , workers ' compensation , general/product liability and automobile insurance liability . in estimating these liabilities , we utilize independent actuarial estimates of expected losses , which are based on statistical analysis of historical data . our estimates of expected losses are adjusted over time based on changes to the actual costs of the underlying claims , which could result in additional expense or reversal of expense previously recorded . impairment of long-lived assets . we evaluate our long-lived assets for impairment at the restaurant level on a quarterly basis , when assets are identified as held for sale or whenever changes or events indicate that the carrying value may not be recoverable . for assets identified as held for sale , we use the market approach and consider proceeds from similar asset sales . we assess impairment of restaurant-level assets based on the operating cash flows of the restaurant , expected proceeds from the sale of assets and our plans for restaurant closings . generally , all restaurants with negative cash flows from operations for the most recent twelve months at each quarter end are included in our assessment . for underperforming assets , we use the income approach to determine both the recoverability and estimated fair value of the assets . to estimate future cash flows we make certain assumptions about expected future operating performance , such as revenue growth , operating margins , risk-adjusted discount rates , and future economic and market conditions . if the long-lived assets of a restaurant are not recoverable based 31 upon estimated future , undiscounted cash flows , we write the assets down to their fair value . if these estimates or their related assumptions change in the future , we may be required to record additional impairment charges . restructuring and exit costs . discounted liabilities for future lease costs of closed restaurants , net of the fair value of related subleases , are recorded when the restaurants are closed . all other costs related to closed restaurants are expensed as incurred . in assessing the discounted liabilities for future costs of obligations related to

liquidity and capital resources summary of cash flows our primary sources of liquidity and capital resources are cash generated from operations and borrowings under our credit facility ( as described below ) . principal uses of cash are operating expenses , capital expenditures and the repurchase of shares of our common stock . 28 the following table presents a summary of our sources and uses of cash and cash equivalents for the periods indicated : replace_table_token_18_th we believe that our estimated cash flows from operations for 2016 , combined with our capacity for additional borrowings under our credit facility , will enable us to meet our anticipated cash requirements and fund capital expenditures over the next twelve months . net cash flows used in investing activities were $ 32.7 million for the year ended december 30 , 2015 . these cash flows are primarily comprised of capital expenditures of $ 27.0 million and acquisitions of restaurants and real estate of $ 5.8 million . our principal capital requirements have been largely associated with the following : replace_table_token_19_th capital expenditures for fiscal 2016 are expected to be between $ 18- $ 20 million , including approximately 25 remodels anticipated to be completed at company restaurants . cash flows used in financing activities were $ 49.3 million for the year ended december 30 , 2015 , which included stock repurchases of $ 92.6 million and the purchase of a $ 13.1 million equity forward contract related to the asr agreement , partially offset by a net increase in long-term debt of $ 51.4 million . our working capital deficit was $ 65.1 million at december 30 , 2015 compared with $ 24.3 million at december 31 , 2014 . the increase in working capital deficit is primarily related to the reclassification of deferred tax assets from current to noncurrent in accordance with the adoption of asu 2015-17 , the reclassification of our pension liability from noncurrent to current resulting from the liquidation of the advantica pension plan , which is to take place during 2016 , and the timing of payments impacting payable balances .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```liquidity and capital resources summary of cash flows our primary sources of liquidity and capital resources are cash generated from operations and borrowings under our credit facility ( as described below ) . principal uses of cash are operating expenses , capital expenditures and the repurchase of shares of our common stock . 28 the following table presents a summary of our sources and uses of cash and cash equivalents for the periods indicated : replace_table_token_18_th we believe that our estimated cash flows from operations for 2016 , combined with our capacity for additional borrowings under our credit facility , will enable us to meet our anticipated cash requirements and fund capital expenditures over the next twelve months . net cash flows used in investing activities were $ 32.7 million for the year ended december 30 , 2015 . these cash flows are primarily comprised of capital expenditures of $ 27.0 million and acquisitions of restaurants and real estate of $ 5.8 million . our principal capital requirements have been largely associated with the following : replace_table_token_19_th capital expenditures for fiscal 2016 are expected to be between $ 18- $ 20 million , including approximately 25 remodels anticipated to be completed at company restaurants . cash flows used in financing activities were $ 49.3 million for the year ended december 30 , 2015 , which included stock repurchases of $ 92.6 million and the purchase of a $ 13.1 million equity forward contract related to the asr agreement , partially offset by a net increase in long-term debt of $ 51.4 million . our working capital deficit was $ 65.1 million at december 30 , 2015 compared with $ 24.3 million at december 31 , 2014 . the increase in working capital deficit is primarily related to the reclassification of deferred tax assets from current to noncurrent in accordance with the adoption of asu 2015-17 , the reclassification of our pension liability from noncurrent to current resulting from the liquidation of the advantica pension plan , which is to take place during 2016 , and the timing of payments impacting payable balances .
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 Suspicious Activity Report : many of the products sold in our restaurants are affected by commodity pricing and are , therefore , subject to price volatility . this volatility is caused by factors that are fundamentally outside of our control and are often unpredictable . in general , we purchase food products based on market prices or we set firm prices in purchase agreements with our vendors . our ability to lock in prices on certain key commodities is imperative to control food costs in an environment in which many commodity prices are on the rise . in addition , our continued success with menu management helps us to offer menu items that provide a compelling value to our customers while maintaining consistent product costs and appropriate profitability . 2015 summary of operations during 2015 , we achieved domestic system-wide same-stores sales growth of 5.8 % , comprised of a 6.5 % increase at company restaurants and a 5.7 % increase at domestic franchised restaurants . in addition to growing system-wide same-store sales in 18 of the past 19 quarters , denny 's has achieved its fifth consecutive year of positive system-wide same-store sales and highest annual system-wide same-store sales growth in over a decade . the system-wide same-store sales increases during 2015 included benefits from both product mix and price increases slightly above 2 % . a total of 232 remodels were completed during 2015 , comprised of 51 at company restaurants and 181 at franchised restaurants . most of these remodels were in our new heritage image , which we launched late in 2013. this updated look reflects a more contemporary diner feel to further reinforce our america 's diner positioning . we anticipate over 200 remodels will be completed system-wide in 2016 , including approximately 25 company restaurant remodels . during 2014 , we implemented a new franchise agreement , which included an increased royalty rate of 4.5 % and a reduced advertising contribution of 3 % , excluding any incentives . there were approximately 420 franchised restaurants operating under this agreement as of december 30 , 2015 , and we expect there to be approximately 520 franchised restaurants operating under this agreement by the end of 2016. we anticipate that existing franchisees will elect to migrate to the new fee structure over the next decade as incentives under the previous franchise agreements expire . due to the long-term migration of existing franchisees , we will not see the full benefit of the higher royalty rate for some time . for 2015 , our average royalty rate was approximately 4.02 % . operating income increased $ 5.8 million to $ 63.2 million in 2015 from $ 57.3 million in 2014. net income increased $ 3.3 million to $ 36.0 million , or $ 0.42 per diluted share , in 2015 compared to $ 32.7 million , or $ 0.37 per diluted share , in 2014 . 22 we had a 52 week year in 2015 and a 53 week year in 2014 , which impacts the comparison of our financial information . we estimate that the additional 2014 operating week added approximately $ 8.3 million of company restaurant sales and $ 2.4 million of franchise and license revenue and resulted in approximately $ 0.6 million of additional general and administrative expenses , $ 3.6 million of additional operating income and $ 2.2 million of additional net income . growing the brand over the last five years our growth initiatives have led to 230 new restaurant openings . during 2015 , we had net restaurant growth of eight restaurants , with 45 openings and 37 closures . our openings included three new company operated travel center restaurants in partnership with kwik trip tm convenience stores and eight franchised international locations , including four in canada , two in the united arab emirates and two in the dominican republic . our goal is to increase net restaurant growth through all avenues : domestic , international and nontraditional . domestic growth will focus on markets in which we have modest penetration . balancing the use of cash we are focused on balancing the use of cash between reinvesting in our base of company restaurants , growing and strengthening the brand and returning cash to shareholders . as noted above , we are accelerating the timing of remodels at our company restaurants under our new heritage image . during 2015 , approximately $ 12.7 million of our $ 27.0 million of capital expenditures were from remodels . in november 2015 , as part of our previously authorized share repurchase programs , we entered into a variable term , capped accelerated share repurchase ( the `` asr `` ) agreement with wells fargo bank , national association ( `` wells fargo `` ) , to repurchase an aggregate of $ 50 million of our common stock . pursuant to the terms of the asr agreement , we paid $ 50 million in cash and received approximately 3.5 million shares of our common stock , which represents the minimum shares to be delivered based on the cap price . we recorded $ 36.9 million of treasury stock related to these shares . the remaining balance of $ 13.1 million is included as additional paid-in capital in shareholders ' equity as of december 30 , 2015 as an equity forward contract and will be settled during 2016. the total aggregate number of shares of our common stock repurchased pursuant to the asr agreement will be based generally on the average of the daily volume-weighted average prices of our common stock , less a fixed discount , over the term of the asr agreement , subject to a minimum number of shares . story_separator_special_tag for the 2015 period , the difference in the overall effective rate from the u.s. statutory rate was primarily related to state taxes and the generation of employment and foreign tax credits . for the 2014 period , the difference in the overall effective rate from the u.s. statutory rate was primarily due to state and foreign taxes , the generation of employment tax credits and two discrete tax items . state job tax credits of 1.3 % were claimed during 2014 for current year 's hiring activity . state job tax credits of 1.1 % were also claimed during the 2014 period resulting from the prior year 's hiring activity . in addition , share-based compensation adjustments resulted in an out-of-period tax benefit of 1.0 % . we do not believe the out-of-period adjustment was material to any prior or current year financial statements or on earnings trends . for the 2013 period , the difference in the overall effective rate from the u.s. statutory rate was due to state and foreign taxes , employment tax credits and discrete tax items . the passage of the american tax payer relief act of 2012 resulted in deferred tax benefits of 1.0 % related to work opportunity credits generated in 2012 , which were allowed retroactively . in addition , state job tax credits of 2.2 % were claimed during the 2013 period resulting from the prior year 's hiring activity . net income was $ 36.0 million for 2015 , $ 32.7 million for 2014 and $ 24.6 million for 2013 . story_separator_special_tag represent our estimate of purchase obligations during the periods presented if we were to cancel these contracts with appropriate notice . unrecognized tax benefits associated with uncertain income tax positions are not included in the contractual obligations table as these liabilities may increase or decrease over time as a result of tax examinations , and given the status of the examinations , we can not reliably estimate the period of any cash settlement with the respective taxing authorities . at december 30 , 2015 , there were no unrecognized tax benefits associated with uncertain income tax positions , including potential interest and penalties . off-balance sheet arrangements except for operating leases entered into during the normal course of business , we do not have any off-balance sheet arrangements . critical accounting policies and estimates our discussion and analysis of our financial condition and results of operations are based upon our consolidated financial statements , which have been prepared in accordance with u.s. generally accepted accounting principles . the preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets , liabilities , revenues and expenses , and related disclosure of contingent assets and liabilities . on an ongoing basis , we evaluate our estimates , including those related to self-insurance liabilities , impairment of long-lived assets , restructuring and exit costs , income taxes and share-based compensation . we base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances , the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources . actual results may differ from these estimates under different assumptions or conditions ; however , we believe that our estimates , including those for the above-described items , are reasonable . our significant accounting policies ( including the critical accounting policies listed below ) are fully described in note 2 to our consolidated financial statements . we believe the following critical accounting policies affect our more significant judgments and estimates used in the preparation of our consolidated financial statements : self-insurance liabilities . we are self-insured for a portion of our losses related to certain medical plans , workers ' compensation , general/product liability and automobile insurance liability . in estimating these liabilities , we utilize independent actuarial estimates of expected losses , which are based on statistical analysis of historical data . our estimates of expected losses are adjusted over time based on changes to the actual costs of the underlying claims , which could result in additional expense or reversal of expense previously recorded . impairment of long-lived assets . we evaluate our long-lived assets for impairment at the restaurant level on a quarterly basis , when assets are identified as held for sale or whenever changes or events indicate that the carrying value may not be recoverable . for assets identified as held for sale , we use the market approach and consider proceeds from similar asset sales . we assess impairment of restaurant-level assets based on the operating cash flows of the restaurant , expected proceeds from the sale of assets and our plans for restaurant closings . generally , all restaurants with negative cash flows from operations for the most recent twelve months at each quarter end are included in our assessment . for underperforming assets , we use the income approach to determine both the recoverability and estimated fair value of the assets . to estimate future cash flows we make certain assumptions about expected future operating performance , such as revenue growth , operating margins , risk-adjusted discount rates , and future economic and market conditions . if the long-lived assets of a restaurant are not recoverable based 31 upon estimated future , undiscounted cash flows , we write the assets down to their fair value . if these estimates or their related assumptions change in the future , we may be required to record additional impairment charges . restructuring and exit costs . discounted liabilities for future lease costs of closed restaurants , net of the fair value of related subleases , are recorded when the restaurants are closed . all other costs related to closed restaurants are expensed as incurred . in assessing the discounted liabilities for future costs of obligations related to

