Note 4 - Accounts and Other Receivables
 6 Months Ended
Nov. 29, 2016
Notes to Financial Statements  
Loans, Notes, Trade and Other Receivables Disclosure [Text Block]
4.
Accounts and Other Receivables
 
Accounts and other receivables consist of the following (in thousands):
 
 
 
November
29, 2016
 
 
May 31, 2016
 
 
 
 
 
 
 
 
 
 
Amounts due from franchisees
 
$
3,605
 
 
$
3,013
 
Third-party gift card sales
 
 
1,069
 
 
 
1,272
 
Rebates receivable
    
961
      
1,001
  
Receivables from sales of Lime Fresh Mexican Grill asset
s
 
 
–
 
 
 
5,289
 
Other receivables
 
 
1,383
 
 
 
2,252
 
 
 
$
7,018
 
 
$
12,827
 
 
We negotiate purchase arrangements, including price terms, with designated and approved suppliers on behalf of us and our franchise system. We receive various volume discounts and rebates based on purchases for our Company - owned restaurants from numerous suppliers.
 
Amounts due from franchisees consist of royalties, license and other miscellaneous fees, a portion of which represents current and recently - invoiced billings.
 
As of
November
29,
2016
and
May
31,
2016,
other receivables consisted primarily of amounts due from our distributor, online ordering, sales and other miscellaneous tax refunds, and other receivables.
 
Sale
s
of Lime Fresh Mexican Grill
Assets
On
May
31,
2016,
we entered into agreements with
two
separate buyers to sell various Lime Fresh assets.
Pursuant to the terms of an asset purchase agreement with another restaurant company, we agreed to sell our
eight
remaining Company - owned Lime Fresh restaurants for
$6.0
million. Given that closing requirements were satisfied for only
six
of the
eight
restaurants, an amendment was agreed upon which allowed for the payment of
$5.0
million upon the transfer of the
six
restaurants and the holdback of
$1.0
million until such time that both of the remaining
two
restaurants had closed and transferred to the buyer. The
six
restaurants closed and were transferred to the buyer on
May
31,
2016.
During the
26
weeks ended
November
29,
2016,
the
two
remaining restaurants closed and were transferred to the buyer. As a result of this, we collected the
$1.0
million previously withheld.
 
The
$5.3
million of receivables from sales of Lime Fresh assets included in the table above as of
May
31,
2016
consists of
$5.0
million due from the buyer of the formerly Company - owned Lime Fresh restaurants, which was collected on the
first
day of fiscal year
2017,
and
$0.3
million due from the buyer of the Lime Fresh brand
.