- Quiznos renegotiated it’s debt load and took in an infusion of equity capital from JP Morgan and other existing shareholders. You can read both good and bad into this. The good being the investors saw enough upside to invest more, the bad being Quiznos desperately needed this to happen so their financial soundness probably isn’t strong.
- Chipotle still showing a growing customer base with 1st quarter same-store sales up 4.3%. They plan to open a new store every three days in 2010.
- Fuddruckers filed for bankruptcy a few weeks ago. It received approval to sell 62 Fuddruckers and a dozen Koo Koo Roo (similar to Boston Market) for $65 million. It also plans to close 20 restaurants with “lease issues or low-foot traffic” stores. Sales were down 10% in 2009.
- I woudn’t consider Fuddruckers part of the “better burger” craze of Five Guys and Counter, the brand is simply too old and retail square footage is way too large. Red Robin’s are large in size too, but it invested plenty of capital in marketing and bradning to keep its brand appealing to the next generation of customers…much more so than Fuddruckers.
- Plans to offset its entire “carbon footprint” by paying a percentage of sales to a company to construct renewable energy facilities.