June 3, 2008
Starbucks to Serve ‘Mate’ Latte in Argentina
Global coffee giant Starbucks opened it first store in Argentina last week, with beverages tailored to the
local palate. The Seattle-based chain will offer Argentines a coffee drink made with “dulce de leche,” a
traditional caramel-style cream, and a milky “mate” latte based on the tealike infusion popular in the South
American country. Starbucks already has coffee stores in seven Latin American nations, including
neighboring Chile, which has 25 stores, and Brazil, which has opened 18 stores since 2006. Starbucks
Corp. Latin America President Buck Hendrix told The Associated Press that Brazil was a “good gauge” for
the kind of growth the company was expecting for Argentina. Hendrix cautioned that Starbucks would have
to work hard to win over Argentines. “The local coffee-house culture here is the strongest of any country in
Latin America,” he said. “Because of that we knew Argentina would be a difficult market for us to be
successful in.” He expects to open as many as four stores by year’s end, saying he wasn’t concerned about
the historically unstable Argentine economy, which has been racked recently by high inflation. Decreased
profits in the U.S. market have forced Starbucks to look abroad, and Argentina is part of that growth
strategy. A traditional coffee shop around the corner from the new Starbucks in the trendy Palermo
neighborhood was humming last Thursday night. “I’m not worried about Starbucks,” manager Alfredo
Vizcarra said. “Maybe they’ll suck up some of our customers in the first four months because of the
novelty factor. But we’ve got our loyal customers and they’re sticking with us.”
Source: Starbucks/The Associated Press
Ali Group Buys Beverage-Air
Ali S.p.A. completed the acquisition of Beverage-Air from Carrier Commercial Refrigeration. The
acquisition includes all of the Beverage-Air operations in Brookville, Pa., as well as the foodservice
operations in Spartanburg, S.C. Under Ali’s ownership, the Beverage-Air foodservice operations will be
called Beverage-Air Corp. Ali’s brands include Champion Industries, Amana, Eloma and others. Founded
in 1944, Beverage-Air produces commercial refrigeration equipment.
Source: FES
Winston Industries Receives YUM! Brands Asia Business Relationship Award
Winston Industries was recently awarded the 2007 Business Relationship Award by the YUM! Asia
Franchise Office. The award was given in recognition of the nearly forty year relationship between YUM!
Brands and Winston Industries. Among the factors that YUM! named in their citation were Winston’s
restrategizing the partnership vision and commitment to YUM! Brands, as well as Winston’s consistent
support to YUM! growth in Asia. Winston was also recognized for its dedication to integrity, cost
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reduction, and quick and flexible responses to customer challenges. The award was presented to Winston’s
Director of Asia Sales, Leslie Tan, during the annual YUM! Asia Franchise’s 2007 Star Awards / 2008
Supplier Summit in Kota Kinabalu, Malaysia on March 27.
Source: Winston Industries, LLC
Ruth's Chris Steak House, Inc. Changes Corporate Name to Ruth’s Hospitality Group, Inc.
Ruth’s Chris Steak House, Inc., announced that it will change its corporate name to Ruth’s Hospitality
Group, Inc. The Company’s new corporate name, which was approved at its annual shareholder meeting
today and will take effect on May 28th, is intended to reflect the expanded focus of its business within the
upscale dining sector following the acquisition of 19 Mitchell’s/Columbus Fish Markets and three
Mitchell’s/Cameron’s branded steakhouses. Ruth’s Hospitality Group, Inc. will continue to operate its
restaurants under the brand names Ruth’s Chris Steak House, Mitchell’s/Columbus Fish Market, and
Mitchell’s/Cameron’s Steakhouse. “Our new corporate name continues to connect us with the legacy of our
founder, Ruth Fertel, while recognizing our broader brand strategy,” said Robin P. Selati, Chairman of the
Board of Ruth’s Hospitality Group, Inc. “Under our corporate identity, we now have two sector-leading
restaurant concepts and our primary focus will be the successful execution of our operational and growth
strategies.”
Source: Ruth Hospitality Group, Inc.
IHOP to Change Corporate Name to DineEquity
Pancake house IHOP Corp., which also owns the Applebee's restaurant chain, said Wednesday it will
change its corporate name to DineEquity Inc. on June 2. The company will begin trading under the symbol
"DIN" on the New York Stock Exchange then as well. IHOP said the acquisition of Applebee's meant the
company had to change its name to one that shows it owns multiple brands. IHOP completed the purchase
of Applebee's in November for $1.9 billion.
Source: IHOP/The Associated Press.
Corner Bakery Cafe Signs Franchise Agreement with Resolute Bakeries
Corner Bakery Cafe has singed a franchise agreement with Resolute Bakeries. As a result, the company
will expand its family of restaurants into the state of Mississippi. As part of the agreement, Resolute
Bakeries will develop five units throughout the state over the next four years. The first bakery cafe will
open in Flowood, Mississippi, a suburb of Jackson, in the first quarter of 2009. PJ Evans, vice president of
franchise development for Corner Bakery Cafe, said: "With an unprecedented 23 straight quarters of
positive same-store sales growth and the highest average annual sales volume of any national bakery cafe
brand, Corner Bakery Cafe is attracting the best of the best franchisees."
Source: Food Business Review
Pizza Hut Celebrates 50th Anniversary
On May 31, 1958, the doors of a little pizzeria in Wichita, Kansas, opened to serve a thin-crust pizza to a
small community. Fifty years later, that pizzeria has grown into a chain of more than 10,000 restaurants
around the world serving pizza and more. This week, Pizza Hut and its franchisees are celebrating 50 years
and commemorating the May 31 opening with their annual conference and a special gala in Washington,
D.C. Pizza Hut began when two brothers borrowed $600 from their mother to purchase second-hand
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equipment and rented a small building on a busy intersection in Wichita. The building had a sign that
would only accommodate eight letters (and a space)—and since the brothers wanted to use "pizza" in the
name—that only left room for three letters. A family member suggested the building looked like a hut, and
Pizza Hut was born. The little pizzeria served 10- and 14-inch pizzas, mostly by carry out. The following
year, the first franchise location opened in Topeka, and today 144 franchisee organizations operate more
than 80 percent of Pizza Hut locations in the United States. "Something very special happened 50 years ago
thanks to the entrepreneurs who believed in that little pizzeria," says Scott Bergren, president and chief
concept officer of Pizza Hut, Inc. "The success of Pizza Hut continues to be driven by the dedicated
franchisees that have helped grow this brand to a global company." Today, the original Pizza Hut resides
on the campus of Wichita State University as it was dedicated to the Center for Entrepreneurship in 1986.
Source: Pizza Hut
VICORP Restaurants Names New CEO
A veteran restaurateur was named Wednesday as the new president and CEO of Vicorp Restaurants Inc.
The Denver company said Hazem Ouf will replace Ken Keymer, CEO, who is retiring at the end of May.
Vicorp operates the Village Inn and Bakers Square restaurants. Ouf has more than 30 years of experience in
the industry, including leadership roles at Souper Salad, Constellation Concepts, Lyons Restaurants and
Stuart Anderson's Black Angus. He was involved in bringing several companies out of bankruptcy,
including Souper Salad and Constellation Concepts. Vicorp filed for Chapter 11 bankruptcy protection in
April. The company said Ouf will take charge of bringing Vicorp out of bankruptcy. "Hazem shows a
strong passion for the restaurant business and for the leadership teams with whom he works," Keymer said
in a statement. "He has a proven track record of turning companies around, and with his experience,
positive attitude, and enthusiasm for the restaurant industry, I am confident that Hazem will help bring
Vicorp out of bankruptcy and move the company ahead to a brighter future."
Source: Denver Business Journal
Burger King Chief Executive Adds Chairman Title
Fast-food restaurant operator Burger King Holdings Inc. said its Chief Executive John Chidsey will become
chairman and CEO, effective July 1. Brian Swette, non-executive chairman, will resign and continue to
serve as a director. The private equity funds controlled by TPG Capital, Bain Capital Partners and Goldman
Sachs Funds, which acquired the company in 2002, now own just 32 percent of Burger King shares
outstanding. In November the three private equity funds sold about 19.9 million shares of fast-food chain
operator Burger King Holdings Inc. stock for a total of about $486 million in a secondary offering. Because
of the reduced ownership stake, three of their four representatives on the Miami company's board of
directors will resign, effective June 30. David Bonderman of TPG Capital, Andrew Balson of Bain Capital
Partners and Adrian Jones of the Goldman Sachs Funds will leave, reducing the board of directors to 10
members.
Source: The Associated Press.
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Corner Bakery to Expand Into Mississippi
Corner Bakery Cafe announced it will expand into Mississippi through a partnership with newly formed
Resolute Bakeries, L.L.C. As part of the partnership, Resolute Bakeries will develop five units throughout
the state over the next four years, with the first bakery cafe set to open in the first quarter of 2009. "When it
comes to dining, more and more Americans are starting to demand upscale environments, a higher quality
product and higher levels of service than ever before," said Bridgforth Rutledge, founder, president and
managing member of Resolute Bakeries, L.L.C. "There’s no question in my mind that the fast-casual
segment is ideally positioned to meet these demands. After looking closely at a number of concepts over
the past few years, I’ve continually been impressed by Corner Bakery Cafe’s insistence on
uncompromising quality and the brand’s amazing sales performance. One of Mr. Rutledge’s affiliated
companies (owned by Rutledge, Ferrell and Cocke) currently owns and operates seven Back Yard Burgers
restaurants throughout Mississippi.
Source: Foodbusinessnews.net
Red Robin Gourmet Burgers, Inc. Board of Directors Reaffirms Intent to Repurchase up to $50
million of Common Stock
Red Robin Gourmet Burgers, Inc., announced that during the board of directors meeting on May 28, 2008,
the board reaffirmed its intent, as previously announced in a press release dated August 16, 2007, to
repurchase up to $50 million of the Company’s common stock. Stock repurchases may be made from time
to time in open market transactions and through privately negotiated transactions. The timing and extent to
which the Company repurchases its shares will depend upon market conditions and other corporate
considerations as may be considered in the Company’s sole discretion. The Company currently has
approximately 16.8 million shares of common stock outstanding. On May 28, 2008, the Company’s stock
closed at $33.26 per share.
Source: Red Robin Gourmet Burgers, Inc.
Dussin Family Forms New Restaurant Group
The Dussin Group, headquartered in Portland, Oregon, operates a total of five unique restaurant concepts
and employs 3700. “The creation of The Dussin Group allows us to explore additional concepts that cater
to our broad clientele,” said owner and President Chris Dussin. “We are serving a diverse customer base
from fine dining at Lucier, to a more family casual environment at Blue Sage Café.” The Dussin Group
oversees five concepts including Dussini Mediterranean Bistro, specializing in Mediterranean cuisine
located in San Diego, California; Fenouil, an Urban French Brasserie in Portland’s Pearl District; The Old
Spaghetti Factory, family dining at its best with 37 locations domestically and 4 in Japan; and recent
additions Blue Sage Café, a neighborhood restaurant serving American favorites with a Southwest flair in
West Linn and soon-to-open in Lake Oswego; and Lucier, melding Modern European cuisine and
personalized service in a contemporary, high design environment. Dussin descends from a long line of
successful restaurateurs. His grandfather, Chris Dussin founded Virginia Café, and later opened the New
Virgina Café, both of which were eventually taken over by his son, Guss Dussin. Guss moved on to open
Dussin Union Station (now Wilf’s) located in the train station and The Old Spaghetti Factory in 1969. The
Old Spaghetti Factory, now with 41 locations internationally, serves more than 10 million customers
annually.
Source: The Dussin Group
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Smashburger Appoints Scott Crane President
Smashburger today announced the appointment of Scott Crane as President. The appointment follows the
recent close of a $15 million round of funding by CCP for Smashburger’s planned national expansion.
“Scott Crane is a 20 year restaurant industry veteran who brings tremendous talent and leadership to
Smashburger in the areas of restaurant operations, real estate selection and development, growth, and
strategic planning,” said David Prokupek, Managing Partner for Consumer Capital Partners. “Smashburger
plans to have 15-20 restaurants by the end of 2008 and ultimately will grow to 500 locations in 30 markets
– Scott has the experience and drive to take us there. We are fortunate to have Scott leading our
Smashburger team.” As President, Crane will oversee all operations including all field operations,
operations support, sales and marketing implementation and food and equipment distribution. Crane
previously served as Executive Vice President of Kansas-based Fugate Enterprises, an operator of over 300
franchise restaurants including Taco Bell, Pizza Hut, Sonic, and Blockbuster Video stores. Crane helped
grow the company from 230 units to nearly 300, leading Fugate through five years of substantial unit
growth and profitability improvement. Crane has also served in operating and management roles at Lone
Star Steakhouse, Amarillo Mesquite Grill, and Houlihan’s. “Smashburger is an exciting new fast casual
concept that provides burgers for burger lovers,” said Crane. “Given my passion for food and guest service,
I am eager to bring the high quality Smashburger flavor to hungry guests throughout the United States.
With the tremendous experience, business leadership and resources of Consumer Capital Partners behind
us, I am confident that Smashburger will ultimately take its place amongst the top names in quality fastcasual dining experiences.”
Source: Smashburger
Applebee's in Sale-Leaseback Deal on Company Land
Pancake-house operator IHOP Corp. said its Applebee's unit signed a deal to sell and lease back 187
company-owned restaurant real estate parcels. IHOP expects about $347 million in gross proceeds from the
sale. The company plans to use proceeds from the agreement to lower its debt. The deal with Drawbridge
Special Opportunities Fund LP Drawbridge Real Assets Fund LP and various affiliates gives the buyers the
right to refuse to purchase up to 15 percent of the restaurant sites if they are deemed to have material
defects. Drawbridge is an affiliate of Fortress Investment Group, a private equity and hedge fund manager.
IHOP previously announced that it plans to franchise most of its Applebee's company-operated restaurants.
The agreement gives Applebee's the chance to assign and transfer lease obligations to franchisees once the
company-operated restaurants are sold. The deal is expected to close by June 16.
Source: Associated Press
Some Yum Stores Hit by Quake
The massive earthquake that struck China last week hit Yum! Brands in its fastest-growing source of profit,
damaging fast-food restaurants and prompting the company to donate $2.3 million to relief efforts.
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Louisville-based Yum has 2,640 KFC and Pizza Hut stores in mainland China, and it recently has been
opening an average of one new location a day. "Our hearts go out to all those affected by this devastating
tragedy, and we are working around the clock in China to help the community in this difficult time," David
Novak, Yum's chief executive, said in a statement. The company said in a statement that a limited number
of Yum restaurants were damaged by the May 12 quake, and that several remain closed but will reopen as
soon as it is safe. A precise number of damaged restaurants was not available. The company's relief efforts
so far have included volunteer work, food, clothing, medical care and other emergency items. The donated
funds also will aid long-term-recovery efforts including counseling, reconstruction and youth education.
Yum reported $375 million in operating profit in its China division last year, a 30 percent increase from
2006. The Associated Press reported that the death toll from the earthquake has passed 40,000, with most
of the deaths in Sichuan province. The overall impact of the disaster on restaurant sales was not
immediately clear.
Source: The Associated Press
Dunkin' Donuts Plans to Open 142 Sstores in Alabama
Dunkin’ Donuts announced it is searching for franchisees to open more than 142 new stores across
Alabama over the next several years. The doughnut and coffee retailer said in a news release it is targeting
Birmingham, Mobile, Montgomery, Tuscaloosa and Huntsville, as well as Pensacola, Fla., for the new
stores. "To fulfill our national expansion goals, Dunkin' Donuts is looking for developers with a strong
organization and the ability to manage multiple restaurants effectively and successfully in the state of
Alabama," said Lynette McKee, vice president of franchising at Dunkin' Brands Inc., its parent company.
"We also look for some prior restaurant operations and real estate development experience." In August
2007, Dunkin' Donuts told the Birmingham Business Journal it plans to open 72 locations in the
Birmingham area as part of an aggressive push to triple its size to 15,000 locations by 2020. At the time,
officials with Dunkin' Brands Inc. said new local stores could open in the next 12 to 18 months in shopping
centers, convenience stores, retail establishments and free-standing facilities.
Source: Birmingham Business Journal
Dallas-Based Brinker to Open Chili's Locations in Toronto
Restaurant operator Brinker International Inc. on last week said it agreed to open five Chili's Grill & Bar
restaurants in the southwestern part of the Toronto metropolitan area. The Dallas company will work with
Top Down Enterprises Inc., a new franchise partner, to develops the restaurants in the Ontario towns of
Brampton, Hamilton, Kitchener, Mississauga, Richmond Hill and Oakville. Top Down is expected to
develop the restaurants by 2013. Chili's Grill & Bar restaurants already operate in the Canadian provinces
of Saskatchewan and Alberta.
Source: Brinker International Inc./The Associated Press
Sizzler’s Postponed Sale Example of Restaurants Troubles
Australia's Pacific Equity Partners has announced that it has postponed the auction of Sizzler USA
Restaurants Inc. due to market conditions. Pacific Equity hired Houlihan Lokey Howard & Zukin in early
February to explore a sale of the chain. The auction, which was to only take six months, was announced at
about the same time as CEO and president, Ken Cole had resigned from his position to go to Quaker Steak
& Lube -- no joke, it’s a real restaurant name. Pacific Equity Partners scooped up Sizzler along with Pat &
Oscar's and 112 KFC franchises when it conducted a $210 million purchase of Sherman Oaks, Calif.-based
Worldwide Restaurant Concepts, its' parent company, in 2005.
Source: The Deal.com
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Starbucks Acquires Assets and Development Rights for its Quebec and Atlantic Canada Operations
Starbucks Coffee Canada, Inc., a wholly-owned subsidiary of Starbucks Coffee Company announced it has
reached an agreement to acquire substantially all of the assets, including development and operating rights
from Coffee Vision, Inc. (“CVI”) and Coffee Vision Atlantic, Inc. (“CVAI”), its licensee in Quebec and
Atlantic Canada. Upon closing this transaction on August 25, 2008, Starbucks will transition approximately
40 licensed locations to company-operated locations. In addition, Starbucks will also acquire full
development and operation rights for retail stores in these provinces. As part of the agreement, more than
740 CVI and CVAI employees are expected to become partners (employees) of Starbucks Coffee Canada.
“CVI and CVAI have been great partners for us, and their employees have done a tremendous job creating
an environment that truly delivers the Starbucks Experience,” said Colin Moore, president of Starbucks
Coffee Canada. “Specifically, the ‘Café Starbucks Coffee’ brand and the unique offerings in Quebec have
demonstrated our respect for the local culture and tradition.” According to CVI’s president Michael
Aronovici, the agreement has a positive outcome for all concerned. “I am proud of what we've created in
Quebec and Atlantic Canada and so grateful to our employees for their dedication and commitment,” he
said. “This is a great time for Starbucks Canada to step in and continue growing the business. This is also
an exciting time for me and my team. Over the last 18 years, we've been tremendously successful at
growing great restaurant brands, including Starbucks, and we're thrilled with our future prospects.”
Starbucks has been a part of the communities in Quebec and Atlantic Canada since the first Starbucks
location opened its doors to customers in 1997.
Source: Starbucks Coffee Company
Sodexo Becomes Majority Shareholder of West Born in France
Sodexo, Paris, France, a world leader in Food and Facilities Management services, announced today that it
has signed an agreement to acquire a majority interest in West Born, a specialist in providing concierge
services to corporate clients in France. West Born offers clients innovative, attractive solutions in concierge
services, employee motivation and employee loyalty programs. This acquisition reinforces Sodexo’s
expertise in services which improve the Quality of Life and will provide important synergies with all
Sodexo client segments in France, in both the Food and Facilities Management services and the Service
Vouchers and Cards activities. Expertise also will be exchanged with Circles, a leader in concierge services
in North America acquired by Sodexo in 2007. West Born was founded in 2005 in Paris by Xavier
Chouraqui-Servière, who will continue as CEO of the company.
Source: SODEXO
Panda Express Commits $1 Million to Disaster Relief Efforts in China and Myanmar
Panda Restaurant Group, Inc. announced that Panda Express will donate $1 from the sale of every 3-entrée
plate at all locations from Monday, May 19 to Sunday, June 1. During the two-week period, guests will
have the opportunity to help victims of the China earthquake and Myanmar cyclone when they visit any
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Panda Express restaurant across the country and purchase a 3-entrée plate. Money raised from this
campaign will be donated to the American Red Cross China Relief Fund and the Tzu Chi Foundation, a
compassion relief organization dedicated to helping all people. “We are extremely saddened by the
devastation and lives lost in China and Myanmar,” said Peggy Cherng, co-chairman of Panda Restaurant
Group, Inc. (PRG), the parent company for Panda Express. “Not only is the world community affected by
these disasters, but many of our associates have experienced very personal tragedies as a result, so we are
deeply committed to supporting the relief efforts.” PRG is committed to raising up to $800,000 through the
in-store fundraiser, which will take place at all Panda Express locations across 36 states from Monday, May
19 to Sunday, June 1. An additional $100,000 will be raised by PRG’s 18,000 associates nation-wide,
which includes a $100,000 matching fund from the company.
Source: Panda Restaurant Group
Yum! Brands Appoints Robert D. Walter to Board
Yum! Brands, Inc. announced the appointment of Robert D. Walter, 62, to its Board of Directors. Walter is
Founder and Executive Director of Cardinal Health, Inc., a global provider of products and services that
improve the safety and productivity of health care. “Bob Walter is an extraordinary business leader who has
built one of the world’s great companies from scratch. His entrepreneurial spirit and constant focus on
customer service will add tremendous value to our Board of Directors,” said David C. Novak, Yum! Brands
Chairman and Chief Executive Officer. Walter founded Cardinal Health at the age of 26, transforming the
company from its inception as a food wholesaler into the leading provider of products and services
supporting the health care industry. Today, Cardinal Health is ranked #19 on the Fortune 500 list,
employing more than 40,000 people on five continents with annual revenues in excess of $87 billion.
Listed on the New York Stock Exchange, Cardinal Health went public in 1983 at a split-adjusted price of
$1.04 per share and has attained a better than 5,000 percent increase in share value since that time. Walter
served as Chief Executive Officer until April 2006.
Source: Yum! Brands, Inc.,
There’s a New Taco Coming to Town! Del Taco, Nation’s No. 2 Mexican Quick-Serve Chain, Signs
Development Deal for Charlotte
For years, when consumers in the Charlotte, North Carolina area had a taste for tacos, they had only one
option. But soon lovers of Mexican fast food will have a fresh choice. California-based Del Taco, the
nation's No. 2 Mexican quick-service chain, announces a development agreement with experienced
restaurant operators Jeff and Janette Marx to open three Del Taco’s in the Charlotte area. Charlotte is an
ideal market for Del Taco, according to Ron Petty, president of development for Sagittarius Brands, parent
company of Del Taco. At Del Taco, Mexican and American items are made to order using fresh product,
freshly grated cheddar cheese, beans made from scratch, chicken grilled every hour and fresh California
strawberries in the shakes. “Our research shows that consumers in Charlotte are hungry for something new
in the Mexican quick-serve category,” Petty said. “We expect Del Taco to be well received and are excited
to have such quality franchisees to bring our brand to this new market.” Jeff and Janette Marx had
previously lived in Southern California where Del Taco is a cultural icon. “We are excited to bring
something new to Charlotte, especially a trendsetting brand that has such a following as Del Taco. We've
had only one major player in this category, and we think the timing and market are ready for another especially one of the caliber of Del Taco,” said Jeff Marx.
As a business, Marx said Del Taco is appealing because it has the highest sales volume of any Mexican
quick-service restaurant; its average unit volume (of nearly $1.2 million) is significantly higher than the
No. 1 chain in its category. For more than 40 years, Del Taco has offered menu items that appeal to a broad
range of tastes with a strong emphasis on quality and value. Del Taco is a privately held company that
operates or franchises more than 500 Mexican quick-service restaurant locations throughout the United
States.
Source: Del Taco
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National Restaurant Association Releases Employment Outlook for Summer of 2008
Despite sluggish Economy, Restaurant Industry Anticipates Solid Job Growth
The National Restaurant Association released recently its employment projections for the summer of 2008.
Nationally, eating and drinking places are projected to add 402,900 jobs during the 2008 summer season,
representing a 4.2 percent increase over their March 2008 employment level. America's 945,000 restaurants
remains one of the largest employers in the nation with its 13.1 million employees—a number projected to
grow by 2 million positions in the next decade. "The nation's restaurants are still posting solid job growth
rates despite current economic challenges," said Hudson Riehle, senior vice president of research and
information services for the Association. "While growth is slightly slower than in past years, the industry is
still a strong creator of career and employment opportunities and a driver of the nation's economy. As the
summer months are typically the peak season for travel and tourism, restaurants tend to increase staffing to
accommodate additional customer traffic." Eating and drinking places added 499,900 jobs (a 5.3 percent
increase) during the 2007 summer season, and 415,300 jobs (4.5 percent increase) during the 2006 summer
season. The restaurant industry is the nation’s second largest creator of seasonal jobs during the summer
months – ranking only behind the construction industry, which generally adds approximately 700,000 jobs
during the summer season. The states projected to add the most eating and drinking place jobs during the
2008 summer season are California (35,200), New York (34,700), Texas (25,500), Massachusetts (22,700),
Illinois (22,000) and New Jersey (20,100). The states projected to register the largest proportional
employment increase during the 2008 summer season are Maine (30.2 percent increase) and Alaska (24.0
percent increase). Due to the fact that their busiest seasons for travel and tourism are not in the summer
months, two states are projected to register declines in eating and drinking place employment during the
2008 summer season: Florida (-18,300) and Arizona (-3,900). Summer employment is defined as the
average number of jobs in June, July and August. The number of summer jobs is the difference between the
projected total 2008 summer employment and the March 2008 employment level. Generally, the U.S.
restaurant industry begins to ramp up its summer seasonal hiring in April, and it peaks in June, July and
August.
Organic To Go Acquires Seattle Café Chain Comprised of Mel’s Market, Joelle’s and Simon’s
Organic To Go, the nation’s first fast casual café chain to be certified as an organic retailer, announced it
has acquired a privately held chain of three Seattle quick serve restaurants from FPO, Inc. which includes
Mel’s Market, Joelle’s and Simon’s. Terms of the purchase, which include cash and stock, were not
disclosed. In addition to 9 Seattle area cafés, Organic To Go’s delicious organic food is also currently
available in 12 cafés in Los Angeles/Orange County and eight cafés in San Diego. Founded by Larry J.
Hamlin, Mel’s Market, located at 3rd & Madison, has been serving breakfast and lunch in Seattle &
Bellevue since 1988 and has earned a reputation for serving “not fast food, but good food delivered
quickly.” Joelle’s and Simon’s are located nearby. A successful restaurant entrepreneur and consultant for
the past 36 years, Hamlin’s industry roots run deep, having operated 30 restaurants ranging in size from
quick serve to full serve white tablecloth. Hamlin joins the Organic To Go team and is enthusiastic about
the opportunity to offer health-conscious customers new delicious organic selections. Organic To Go is on
the forefront of an important and exciting trend in foodservice,” said Hamlin. “I am thrilled to be a part of
this growing company as one of its newest shareholders and to have the opportunity to contribute in a
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meaningful way in a variety of areas including operations and strategic planning.” Jason R. Brown, founder
and CEO of Organic To Go, said that, “A key factor in our decision to bring Mel’s, Joelle’s and Simon’s
into the Organic To Go family was not only the opportunity to build upon these successful and highly
regarded local operations but to work closely with Larry and his dedicated team. Larry is well respected for
his business acumen and has earned a reputation as an innovative consultant and collaborative retailer. I am
pleased and proud to have him join us and we all look forward to working together.” Recent studies show a
continued upswing in demand for organic products with increasing belief that organic food is safer for the
environment and that it is a healthier alternative. In response to the fact that Organic To Go’s catering
customers and café diners enjoy eating a wide range of ‘normal American cuisine,’ last month the
Company launched Pizza Organico, a new line of organic stone hearth pizzas. The 18 inch pizzas are made
fresh in wood-fire stone hearth ovens and the Company deploys its fleet of Toyota Prius vehicles and
delivers hot pizzas in brown, not bleached, pizza boxes made from recycled materials.
Source: Organic To Go
Ruby Tuesday Names Rockwell Its Finance VP
Ruby Tuesday, Inc. announced that Steve Rockwell, a Wall Street veteran with more than 25 years of
experience in financial analysis and management, has been named its Vice President of Finance. Rockwell
will direct investor relations, financial planning and banking functions for the company and serve as an
executive on the Finance team, led by Chief Financial Officer Margie Duffy. “Steve brings so much talent,
skill, and experience to our company,” said Sandy Beall, Ruby Tuesday founder, Chief Executive Officer,
and Chairman. “He has a thorough understanding of our industry and is well respected on Wall Street and
by the nation’s banking and financial service firms. He adds depth and strength to our already-strong
financial team, and we are fortunate to have him here.” Prior to joining Ruby Tuesday, Rockwell was a
portfolio manager and analyst at Brown Advisory, Director of Research at regional banking firm Ferris
Baker Watts, and a Managing Director and Senior Research Analyst at Alex. Brown & Sons for nearly 20
years, where he spearheaded the firm’s restaurant practice.
Source: Ruby Tuesday
Former U.S. Foodservice Division President Joins Florida Group Purchasing Firm
FMS Purchasing and Services Inc., a group purchasing organization based in Clearwater, Florida,
announced the addition of Gary Lee Rose as Vice President of National Accounts. A 23-year veteran of
U.S. Foodservice Inc., Rose joins the team to both oversee the further development and expansion of the
organization’s manufacturer value incentive program. Rose, 45, joined the Knoxville Division of U.S.
Foodservice as a Sales Trainee, shortly after graduating with honors from the University of Tennessee in
June of 1985. Throughout his career with U.S. Foodservice he held several managerial posts including Vice
President of Sales in Knoxville; President of the Ormond Beach (FL) Division; Zone President for the
company’s multi-division North Region; and, most recently, President of the Tampa Division. He is a
native of Franklin, Ohio. Timothy Gregson, President of FMS Purchasing & Services, Inc., made the
announcement saying, “The addition of Gary Rose to FMS’ management allows us to launch new business
initiatives to grow our business and expand the range of products and services we can provide to our
customers. Gary’s management skillset along with his high personal and business standards are a great fit
to the FMS values and mission we have established over the past nineteen years. Gary’s industry
knowledge and network of contacts will be invaluable to our growth model.”
Source: FMS Purchasing and Services, Inc.
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If you would like to have news about your company, please send all editorial contributions to Mario
Schacher: marioschacher@yahoo.com
Thank you for reading The Global Foodservice E-newsletter from American Recruiters!
Craig Wilson
847-303-0560 Ext. 203
cwilson@ariteam.com
Michael Page
847-303-0560 Ext. 201
mpage@ariteam.com
Ted Agins
847-303-0560 Ext. 202
tagins@ariteam.com
Mario Schacher
847-303-0560 Ext. 208
mschacher@ariteam.com
John Daschler
847-303-0560 Ext. 207
jdaschler@ariteam.com
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