2013 Profile & Analysis: Chain Restaurant Operators

Transcription

1 2013 Profile & Analysis: Chain Restaurant Operators INTRODUCTION TABLE OF CONTENTS Executive Summary...2 Details & Definitions...7 Explanation of Data Elements...8 Statistical Analysis of Contents Index of Leading Companies - Ranked by Foodservice Sales - United States Index of Leading Companies - Ranked by Units - United States...24 Index of Leading Companies - Canada...26 Index of Leading Companies - Hotel/Motel Operators...27 Index of Leading Companies - Foodservice Management Operators Foodservice Industry Profile...28 Franchise Headquarters...38 Major Mergers & Acquisitions...43 State Restaurant Associations...46 Major Trade Associations...54 Calendar of Major Trade Shows...66 Exclusions Index...69 WARNING: It has come to the attention of Chain Store Guides, LLC that subscribers to som e of its publications have, on occasion, used these publications to compile mailing lists, marketing aids, and/or other types of data, which are sold or otherwise provided to third parties. Such use may be illegal and a violation of the federal copyright laws. Chain Store Guides, LLC intends to exercise its right to prohibit and punish such misuse.

2 2 Chain Store Guide Happy 80th Birthday, Chain Store Guide! The year was 1933, the heart of the Great Depression. Unemployment was 25%, banks were failing, and strong winds across the Midwest stripped the top soil from drought-stricken farms to begin several years of the infamous Dust Bowls. If you were lucky enough to have a job, average wages were $1,550 per year. Across the Atlantic, Adolph Hitler became Chancellor of Germany and opened the first concentration camp, setting the stage for what would become World War 2 a few years later. Franklin D. Roosevelt became the 32nd President of the United States and immediately set to work addressing the many issues the country was facing through his New Deal initiatives. Perhaps the only bright spot for some people was the repeal of the 18th Amendment, effectively ending national prohibition. That same year a visionary young businessman named Irving Slobod founded what would become Chain Store Guide when he saw the realization of his dream of creating truly effective business directories that would focus on distinct individual markets. His directories would include companies across the nation and would provide such vital information as the full address, the number of stores operated, and the name of at least one senior executive at each company. The list would be broken out by state then by city within each state. He published the first such directory in 1933, titled The List of Restaurant Chains. It contained information that Irving had personally verified and included listings for no more than a few hundred companies. The direct descendant of Irving s brainchild is now the Database of Chain Restaurant Operators, a compilation of more than 7,000 restaurant-operating companies in the U.S. and Canada that is updated continuously by Chain Store Guide. As Irving Slobod recognized, nothing replaces primary research to ensure accuracy and currency of data, and CSG has maintained this level of scrutiny for the past 80 years. The Threadbare Thirties The economy has certainly come a long way over the past 80 years, and so have consumer tastes and habits. In the 1930s, choices for dining out were pretty limited: automats, cafeterias, coffee shops, and full-service fine dining restaurants. With high unemployment and low wages, eating out wasn t an option that many folks exercised. For those who did venture out, they might have found (depending on where they lived) an A&W Restaurant, Big Boy, Bridgeman s, K&W Cafeteria, Krystal, Pat O Brien s, Peter Luger, S & S Cafeteria, Trader Vic s, or White Castle.

3 2013 CHAIN RESTAURANT OPERATORS The Fighting Forties and Fabulous Fifties The war years of the early 1940s were harsh and new restaurant businesses were slow to open the CSG database includes only 33 new businesses founded in those years. Between 1946 and 1949, that number nearly doubled. Among the notable names that were developed during those years were Baskin-Robbins, Carl s Jr., Dairy Queen, In-N-Out Burger, and Shoney s. The post-war boom in the 1950s saw an increase in the availability of different types of restaurants. Bob Evans, Burger King, Denny s, IHOP, KFC, McDonald s, Pizza Hut, and Taco Bell are just a few of the hundreds of restaurant companies that debuted in that decade. The Swinging Sixties The ten years following the peaceful and prosperous 1950s was highlighted by massive social upheaval. The civil rights movement reached its peak, the Vietnam war was heating up and becoming increasingly unpopular, especially among young people, and the assassinations of Martin Luther King and two of the Kennedy brothers were sober reminders that the world was changing. Many of the so-called baby boomers were in college and no longer content with the status quo, not at all hesitant to protest and express their dissatisfaction. Amid the turbulence, Pete s Super Submarines was opened by a teen-ager named Fred DeLuca in 1965 as an effort to earn enough money for college. That little sandwich shop is now the Subway system, operating nearly 40,000 stores in 100 countries around the world. Arby s, Blimpie, Captain D s, and Hardee s also began selling their sandwiches in that decade. Huddle House, the restaurant that famously never closes, opened its first door in 1964 and was marketed as a place for customers to huddle after the big Friday night football games. Red Lobster and Ruth s Chris Steak House started operating to serve the needs of a more adult diner. The Disco Era By the 1970s, the world was a little more settled. The Vietnam war came to an unsatisfactory conclusion with the fall of Saigon. The hippies had gone home, and disco dominated the music and fashion scene. Women took to the streets and the halls of Congress demanding equal rights, and Richard Nixon was forced to resign in the wake of the Watergate scandal. The 1970s were boom years for restaurant growth, with nearly 800 companies in the CSG Database debuting between 1970 and Women were an increasingly large part of the workforce during this time: According to U.S. government numbers, the participation rate of married women jumped from 27.6% in 1960 to 39.7% in 1970 up to 54.1% by Married women often have families so this movement of women into the workplace began to signal the increasing importance of quality time with their loved ones. Casual-dining chains such as 3

4 4 Chain Store Guide Bennigan s, Cheddar s, Cheesecake Factory, Houlihan s, Ruby Tuesday, and Tony Roma s all premiered during that decade, offering consumers a relaxed, friendly atmosphere where they could congregate with family and friends over adult beverages and eat mostly American food that they didn t have to cook themselves or clean up after. Perhaps because of the burgeoning Subway chain, the era also saw the proliferation of sandwich chains, including Au Bon Pain, Jason s Deli, Cousins Subs, Mr. Submarine, Port of Subs, and Potbelly Sandwich Works. There was also an increasing emphasis on ethnic food, especially from south of the border. Taco Cabana, Taco Mayo, and Taco Maker joined the growing Taco Bell chain in bringing Mexican food to the masses. Baja Cantina, Chili s, El Toro, Hacienda Mexican Restaurants, King Taco, Mighty Taco, and others were part of the movement. Starbucks served its first cup of coffee in 1971, launching the gourmet coffee trend that continues up to today. The Decade of Decadence In 1987, Ronald Reagan challenged the Soviet Union s leader Mikhail Gorbachev to tear down this [Berlin] wall. By the end of the decade Germany was reunified, and the Soviet Union was unraveling. The computer age was well and truly underway with the introduction of personal computers into offices and homes. On the foodservice front, the 80s were the decade of the chicken wing. The most commonly accepted version of the origin of the Buffalo wing phenomenon is that they were first served at the Anchor Bar in Buffalo, NY, in the mid-60s, and were created by the bar s owner to 1) serve unexpected company, 2) prevent them from going to waste or 3) provide a treat on late Friday night to serve their Catholic customers who hadn t eaten meat all day. Wings were typically discarded by restaurants at the time, so finding a profitable use for them was like found money. In 1982, Buffalo Wild Wings opened its first restaurant, followed the next year by Beef O Brady s then Hooters in the mid-decade. We also saw the start of The Wing Machine, Wings N Ribs, and Wings to Go. Another trend noted at the time was a growing desire for gourmet ice cream and treats. Feeding this appetite were Bruster s, Cinnabon, Cold Stone Creamery, Culver s, Dippin Dots, and Marble Slab Creamery. Sandwich chains continued to proliferate with the openings of Jersey Mike s, Penn Station, Philly Franchising. Five Guys Burgers & Fries and Panera Bread ushered in the era of what we now call fast-casual foodservice, with food prepared to order but a lower price point than a traditional casual dining location. More coffee houses opened under the Barnie s and Joffrey s name.. Many of the other restaurant operators that began in that decade were franchisees of varied concepts as the idea of the franchise business model caught on. Among the more than 1,200 restaurant companies founded in those ten years was a proliferation of many different types of ethnic chains, ranging from Mexican to pizza to Chinese to Italian to Vietnamese and beyond.

5 2013 CHAIN RESTAURANT OPERATORS The 1990s began with the invasion of Kuwait by the troops of Iraq s president Saddam Hussein. Although the invaders were quickly turned back by a coalition force from 34 nations, it foreshadowed the violence that was to come. The World Wide Web became available to the public, and computers continued to revolutionize how business was done, particularly as Microsoft technology grew in popularity and dominance. There were two major foodservice trends in the 1990s: the growing popularity of the fast-casual service model and the desire for more and better gourmet coffee. Building on the popularity of the new fast-casual chains Panera and Five Guys, restaurateurs such as Steve Ells, Steven Kolow, and Aaron Kennedy developed the Chipotle, Boston Market, and Noodles & Co. brands. Other well-known fast-casual chains that were started during those ten years are Atlanta Bread, Camille s, Cosi, Firehouse Subs, Pei Wei, and Qdoba. The service model lends itself well to items such as sandwiches, salads, and some ethnic foods, including Mexican and Chinese. The basic characteristics for most of these chains are the lack of freezers and deep-fryers and the availability of customized, made-to-order food. For timestarved consumers, the allure of fresher and healthier food has proved undeniable. Two decades after Starbucks debuted in Seattle in 1971, the company was up to 125 locations. By 1992, there were more than 250 Starbucks coffee houses, and by the end of the decade, there were more than 2,000. The job title of Barista entered the American vocabulary. Among the companies that took note and began their own caffeine-fueled operations during those years are such well-known brands as Caribou Coffee and Tully s, along with regional brands such as Bad Ass Coffee of Hawaii, Blenz, Jittery Joe s, and Port City Java. Buffalo wings continued to be a money-maker for companies, and the decade saw the entry of Wingstop, Wild Wing, and Wing Zone into the market. The New Millennium As in the decade before, the 2000s began with violence and carnage as terrorists attacked America on its own soil. The attacks profoundly altered America s complacency but did not stifle the American spirit. The second Gulf War is finally winding down, and the effects of what has been a worldwide recession are starting to ease. During this decade, the U.S. inaugurated its first non-white president, a milestone that Dr. Martin Luther King would have celebrated. In the restaurant industry, the 21st century has seen the explosion of the fastcasual gourmet hamburger. At the start of the decade, the most well-known of the better burger chains, Five Guys Burgers & Fries, had a grand total of five locations. At the end of 2012, that number had swollen to more than 1,100. Trying to cash in on this movement have been a number of burgermeisters, including BGR The Burger Joint, Cheeseburger Bobby s, The Counter Burger, Smashburger, and Square One. Established restaurant-operating companies jumped into the 5

6 6 Chain Store Guide competition with Front Burner Brands (The Melting Pot) opening Burger 21 locations, Bold Foods (headed by celebrity chef Bobby Flay) debuting Bobby s Burger Palace, and Red Robin Gourmet Burgers Inc. introducing its Burger Works concept, a stripped-down version of its casual dining model. Coffee and Buffalo wing restaurants have continued to be popular, as are ethnic and other fast-casual concepts. Throughout the past 80 years, Chain Store Guide s customers have seen the evolution of Irving Slobod s simple idea of basic contact information compiled in a print directory to the complex and detailed CSG digital database that exists today. He would be proud of the legacy he left behind and the work that Chain Store Guide employees continue to put into it every day. Our customers have always had access to the most current and accurate information on the planet, and we plan to continue Irving s heritage for the next 80 years and beyond. If you have suggestions on how Chain Store Guide can continue to progress to better meet your needs and help your business progress along with us, please contact Senior Editor Linda Helman at lhelman@chainstoreguide.com. Chain Store Guide Business Leads Market Research Celebrating 80 Years

7 2013 CHAIN RESTAURANT OPERATORS Details & Definitions 7 CRITERIA FOR INCLUSION To be included in this directory, companies must generate at least $1,000,000 in annual foodservice sales, either systemwide or corporate. Below are the types of business included in this directory: Chain Restaurant Operators - Chain restaurant companies in this directory must operate two (2) or more units. Example: McDonald s Corporation Foodservice Management Operators - Companies that are indicated with a (=) are those whose primary business is to provide on-site foodservice management and which have at least two (2) foodservice management accounts. Example: ARAMARK Inc. Foodservice Operations - Bowling Alley - Companies whose primary business is the operation of bowling alleys but which provide foodservice (in-house snack bars and restaurants) as a secondary operation. Example: AMF Bowling Centers Foodservice Operations - Casinos - Companies whose primary business is the operation of casinos but which provide on-site foodservice as part of its operations. Example: Caesars Entertainment Foodservice Operations - Hotel/Motels - Hotel/motel companies that are indicated with a cross (:) must control two (2) or more foodservice operations. The company may own and operate its hotels; own but not manage the hotels; or manage but not own the hotels. A company which only franchises out, i.e., sells the rights to use a name (Shoney s Inn), is not qualified. A company which acts only as a referral service (Best Western, Budget Host) is not qualified. Example: Hilton Worldwide Foodservice Operations - Movie Theatre - Companies whose primary business is the operation of movie theatres but which provide foodservice (concessions) as a secondary operation. Example: AMC Entertainment. Foodservice Operations - Theme Parks - Companies whose primary business is the operation of theme parks and family amusement centers but which provide foodservice as a secondary operation. Example: Six Flags Nontraditional Foodservice Operators - Companies which provide foodservice as a secondary operation, e.g., discount stores, department stores; revenues from foodservice are less than 50% of total sales. Example: Kmart Corp.

8 8 Chain Store Guide Explanation of Data Elements Alcohol Sales - This is the percentage of revenue derived from beer, wine and/or liquor sales. Alcohol Served - This lists the types of alcoholic beverages served. Areas of Operation - This lists the US states and territories and Canadian provinces in which the company operates. Average Check - This is the average amount spent for each meal for one person (breakfast, lunch, and/or dinner). Branch Offices - This is the name and location of the company s branch offices. Catering Services - This indicates the company provides off-premises catering at the place of customer s request (e.g., banquet hall). Most restaurants will provide on-premises catering upon request. Co-Branding - This indicates the name of other restaurant concepts or brands which have agreed to operate at the same location. Most are quick-service operations located in gas stations, food courts, convenience stores or in single units with shared signage through franchise licenses. Company - This is the address at which the company receives electronic mail. Personal addresses are not included. Company-Owned Units - This indicates the number of units owned and operated by the company and excludes franchised units. Distribution Centers - This lists the locations in which the company operates distribution centers. Divisional Offices - This is the name and location of the company s divisional offices. Fax Number - This is the company s primary fax number. Foodservice Management Operator - The (=) indicator denotes a company which has on-site or contract feeding operations. Foodservice Management Sales - This is the revenue derived from foodservice management operations. Foodservice Management Venues - This lists the types of institutions for which the company provides foodservice. Foodservice Sales - This is the revenue derived from prepared food sales and includes revenue from institutional foodservice and restaurant foodservice. For chains that franchise, sales include franchise and/or license fees in addition to revenues from company-owned units. Foreign Countries - This indicates the foreign countries in which the company operates. Franchise Affiliation - This lists the name and location of the company s franchise headquarters. Franchisee - The (l) indicator denotes a company that franchises its retail concept from another company. Franchise Headquarters - The (ä) indicator denotes a company that acts as a Franchise Headquarters for other companies. Headquarters - This is the name and location of the company s headquarters office to which this subordinate office reports. Headquarter Offices - This is the name and location of subordinate headquarters offices for corporate listings. Hotel/Motel Operator - The (:) indicator denotes a company that operates a Hotel/Motel retail location. Internet Homepage - This is the company s Internet homepage address. Internet Order Processing - This indicates the company sells products and collects payment via an Internet homepage. Internet Sales - This indicates the percentage of revenue derived from selling products via an Internet homepage. Key Personnel - This lists executive, administrative and buying personnel with their titles as reported by the company. Listing Type - This is the company s position within the corporate hierarchy (e.g., corporate, subsidiary, regional, division). No listing type will appear for Headquarters companies.

9 2013 CHAIN RESTAURANT OPERATORS Explanation of Data Elements 9 Locations Serving Alcohol - This is the number of locations seving specified type of alcoholic beverage. Mailing Address - This is the mailing address, city, state or province, and ZIP or postal code of the company, if it differs from the primary address. New Listing - The (H) indicates a company that was not included in the previous year s edition of this publication. Notes - This is any pertinent company information that does not appear in other data elements collected. Number of Employees - This is the total number of employees of this company. Number of Locations Served - This indicates the number of separate locations served by the foodservice management accounts. On-site Distribution Center - This indicates that the company operates a distribution center at the same address. Parent Company - This is the name and location of the parent company. POS Hardware - This indicates the manufacturer and model information of the point-of-sale terminals and/or in-store POS servers utilized by the company. POS Software - This lists the developer and package of the software used by the company to support/operate its point-of-sale function. Preferred Location Types - This indicates the real-estate types in which the company operates units. Preferred Square Footage - This indicates the standard or projected size of new or remodeled units for the company. Primary Distributors - This indicates the name and location of the wholesale distributors supplying the company with food, equipment and/or supplies. (For full information on the distribution of food, equipment and supplies to restaurant operators, refer to our Directory of Foodservice Distributors). Primary Menu - This indicates the primary type of food served. Projected Openings - This is the number of units the company plans to open during the next 12 months. Projected Remodelings - This is the number of units the company plans to remodel during the next 12 months. Publicly Held - This indicates that company issues shares of unrestricted stock to the general public. Regional Offices - This is the name and location of the company s regional offices. Restaurants in Hotels - This indicates the total number of foodservice operations in hotels/motels. Self-Distributing - This indicates the company operates its own distribution centers and distributes to its units. Subsidiaries - This is the name and location of the company s subsidiaries. Systemwide Sales - This indicates the estimated foodservice revenue generated by units which are company-owned and/or franchised to others. Companies which only franchise from another company have no systemwide sales. Sales include international revenues when applicable. Total Foodservice Mgmt. Accounts - This indicates the number of foodservice management accounts the company currently serves. Total Sales - This is the most current sales figure available for the company and typically represents the company s most recent fiscal year end. Sources for sales figures are: 1) an estimated sales figure provided by the company; 2) an exact sales figure taken from the annual report of a public company; 3) an estimate derived by CSG through industry research. CSG estimates are noted with an (e). Total Units - This is the total number of units the company currently operates and/or franchises to others. Trade Names - This indicates the trade names the company uses to do business, and the number of units operating under each name. Type of Business - This is the type of business in which the company engages.

10 10 Chain Store Guide Explanation of Data Elements Type of Foodservice - This indicates the type of restaurants operated by the company, or the type of foodservice provided by foodservice management operators: l Cafeteria - self-service, varied menu, cafeteria-type line at counter. Examples: K & W Cafeteria, Luby s. l Casual Dining - limited menu, full-service, menu identity (seafood, steaks, Italian, etc.), may serve beer, wine, liquor. Examples: Red Lobster, Ruby Tuesday, Olive Garden. l Family Restaurant - full-service, sit-down, table service, wider range menu, typically does not serve beer, wine, liquor. Examples: Friendly s Restaurants, Perkins Restaurant & Bakery. l Fast Casual - limited menu, food prepared to order, limited table service often provided, may serve beer or wine. Examples: Panera Bread, Baja Fresh. l Fine Dining - gourmet meals, tablecloth, full service. Examples: Ruth s Chris, Morton s of Chicago. l Full-Service Sit-Down Dining - table service, menu selection (in foodservice management venues). l In-Store Feeder - restaurants/snack bars within existing retail units (e.g., department stores, drug stores, supermarkets, etc.). Examples: Kmart, Walmart. l Mobile Units/Kiosks - typically small foodservice units with limited menu, capable of being moved to meet demand (in foodservice management venues). l Quick Serve - quick-service/self-service, limited menu (hamburger, chicken, pizza, etc.). Examples: McDonald s, Burger King. l Vending Machines - automated units with limited selections to provide snacks, sandwiches, beverages, etc (in foodservice management venues). Units Franchised From - This indicates the number of units franchised from a franchise headquarters. Units Franchised To - This indicates the number of units franchised to other companies. Year Founded - This is the year in which the company was established. ALSO AVAILABLE ELECTRONICALLY Areas of Expansion - This lists the states and provinces in which the company anticipates opening new stores, when provided by the company. CBSA - This is the Core Base Statistical Area code of the company, assigned by the US Bureau of Census. FIPS - This is the Federal Information Processing Standards Code assigned by the US Government. Latitude - This is the latitude coordinate of the company, based on the primary address. Longitude - This is the longitude coordinate of the company, based on the primary address. Projected Closings - This is the number of units the company plans to close during the next 12 months.

11 2013 CHAIN RESTAURANT OPERATORS Statistical Analysis of Contents 11 Chain Restaurant Operators - United States Total Listings Corporate Offices 27 Headquarters 5,259 Subsidiaries 3 Regionals 77 Divisions 40 Branches 1 Distribution Centers 83 Total Listings 5,490 Total Foodservice Revenues (Headquarters and Subsidiaries) Total $236,405,486,000 Personnel Total Personnel Listed 25,996 Breakdown by Number of Units (Headquarters and Subsidiaries) Companies Operate 1, units 4,659 Foodservice Units* 1, units 10,130 Foodservice Units* 1, units 35,801 Foodservice Units* units 39,936 Foodservice Units* units 28,988 Foodservice Units* ,000 units 32,118 Foodservice Units* 43 1,001+ units 24,947 Foodservice Units* Breakdown of Companies by Market Share (Headquarters and Subsidiaries) Companies Sales Market Share 2-4 unit companies $8,374,309, % 5-10 unit companies $14,638,965, % unit companies $41,330,813, % unit companies $36,429,031, % unit companies $24,848,284, % 501-1,000 unit companies $24,922,801, % 1,001+ unit companies $85,861,283, % * All references to units include franchisor and franchised operations which could result in some double-counting of number of units.

12 12 Chain Store Guide Statistical Analysis of Contents Chain Restaurant Operators - United States Breakdown by Type of Foodservice (Headquarters and Subsidiaries)* Type of Foodservice Companies Units** Cafeteria Casual Dining 1,805 35,948 Family Restaurant ,519 Fast Casual ,284 Fine Dining 520 2,470 In-Store Feeder 94 10,680 Quick Serve 2, ,977 Breakdown by Type of Menu (Headquarters and Subsidiaries)* Menu Type Companies Units** American 1,202 34,009 Asian 92 1,442 Bagels 24 1,438 Bar-B-Q 142 1,715 Cajun/Creole Californian Caribbean Chicken ,358 Chinese 46 2,031 Coffee 81 21,859 Eastern European 9 57 French/Continental German 6 5 Greek/Mediterranean Hamburger 1,428 89,106 Health Foods 28 2,133 Hot Dogs 51 1,502 Menu Type Companies Units** Indian Italian 404 5,488 Japanese Latin American/Cuban Mexican 301 7,009 Middle Eastern Miscellaneous Pizza ,642 Sandwiches/Deli ,291 Seafood 335 4,865 Snacks ,391 Southern Southwest/Tex-Mex 74 2,857 Spanish Steak 206 3,895 Steak/Seafood Taco ,207 Thai 9 30 * Companies can have more than one type of foodservice and menu. ** All references to units include franchisor and franchised operations which could result in some double-counting of number of units.

13 2013 CHAIN RESTAURANT OPERATORS Statistical Analysis of Contents 13 Chain Restaurant Operators - United States Breakdown by Type of Location (Headquarters and Subsidiaries)* 149 companies operating in Airports 386 companies operating in Community Malls 176 companies operating in Convenience Stores/Gas Stations 87 companies operating in Discount Dept. Stores 621 companies operating in Downtown 3,751 companies operating in Freestanding locations 37 companies operating in Grocery Stores 162 companies operating in Hotel/Motels 110 companies operating in Institutions (college/hospital) 64 companies operating in Kiosk Facilities 141 companies operating in Lifestyle Centers 36 companies operating in Mixed-Use Centers 43 companies operating in Mobile Units 201 companies operating in Office Complexes 118 companies operating in Other 67 companies operating in Outlet Malls 39 companies operating in Parks 539 companies operating in Regional Malls 67 companies operating in Stadiums 1,410 companies operating in Strip Malls 74 companies operating in Travel Plazas Breakdown by Liquor Service (Headquarters and Subsidiaries) 2,277 companies serving Beer 2,134 companies serving Wine 1,777 companies serving Liquor Specialty Services Offered (Headquarters and Subsidiaries) 1,409 companies offering off-premise catering service Breakdown of Opening/Remodeling Projections 538 companies project 10,853 new unit openings 153 companies project 6,699 remodeled units 15 companies project 163 unit closings * Companies may have more than one type of location.

14 14 Chain Store Guide Statistical Analysis of Contents Chain Restaurant Operators - Canada Total Listings Corporate Offices 2 Headquarters 218 Subsidiaries 4 Regionals 8 Divisions 2 Distribution Centers 12 Total Listings 246 Total Foodservice Revenues (Headquarters and Subsidiaries) Total $6,677,355,000 Personnel Total Personnel Listed 1,200 Breakdown by Number of Units (Headquarters and Subsidiaries) Companies Operate units 114 Foodservice Units* units 264 Foodservice Units* units 2,208 Foodservice Units* units 4,111 Foodservice Units* units 2,898 Foodservice Units* ,000 units 3,613 Foodservice Units* 4 1,001+ units 9,004 Foodservice Units* Breakdown of Companies by Market Share (Headquarters and Subsidiaries) Companies Sales Market Share 2-4 unit companies $188,371, % 5-10 unit companies $307,905, % unit companies $1,575,400, % unit companies $1,917,784, % unit companies $442,883, % 501-1,000 unit companies $272,747, % 1,001+ unit companies $1,972,265, % * All references to units include franchisor and franchised operations which could result in some double-counting of number of units.

15 2013 CHAIN RESTAURANT OPERATORS Statistical Analysis of Contents 15 Chain Restaurant Operators - Canada Breakdown by Type of Foodservice (Headquarters and Subsidiaries)* Type of Foodservice Companies Units** Cafeteria 3 48 Casual Dining 102 3,112 Family Restaurant Fast Casual 28 1,096 Fine Dining In-Store Feeder Quick Serve 94 17,140 Breakdown by Type of Menu (Headquarters and Subsidiaries)* Menu Type Companies Units** American 64 2,345 Asian Bagels 3 59 Bar-B-Q Cajun/Creole 2 24 Caribbean 1 2 Chicken Chinese Coffee Eastern European 1 3 French/Continental 8 99 Greek/Mediterranean Hamburger 27 2,595 Health Foods Hot Dogs 2 12 Menu Type Companies Units** Indian 2 4 Italian Japanese Mexican 2 1 Miscellaneous Pizza 28 1,715 Sandwiches/Deli Seafood Snacks 20 6,528 Southwest/Tex-Mex 2 20 Steak Steak/Seafood 6 40 Taco 3 12 Thai 2 6 * Companies can have more than one type of foodservice and menu. ** All references to units include franchisor and franchised operations which could result in some double-counting of number of units.

16 16 Chain Store Guide Statistical Analysis of Contents Chain Restaurant Operators - Canada Breakdown by Type of Location (Headquarters and Subsidiaries)* 18 companies operating in Airports 51 companies operating in Community Malls 8 companies operating in Convenience Stores/Gas Stations 2 companies operating in Discount Dept. Stores 50 companies operating in Downtown 154 companies operating in Freestanding locations 4 companies operating in Grocery Stores 12 companies operating in Hotel/Motels 20 companies operating in Institutions (college/hospital) 10 companies operating in Kiosk Facilities 4 companies operating in Lifestyle Centers 4 companies operating in Mobile Units 29 companies operating in Office Complexes 6 companies operating in Other 9 companies operating in Outlet Malls 3 companies operating in Parks 78 companies operating in Regional Malls 7 companies operating in Stadiums 109 companies operating in Strip Malls 4 companies operating in Travel Plazas Breakdown by Liquor Service (Headquarters and Subsidiaries) 121 companies serving Beer 117 companies serving Wine 104 companies serving Liquor Specialty Services Offered (Headquarters and Subsidiaries) 90 companies offering off-premise catering service Breakdown of Opening/Remodeling Projection) 46 companies project 365 new unit openings 20 companies project 520 remodeled units 4 companies project 19 unit closings * Companies may have more than one type of location.

17 2013 CHAIN RESTAURANT OPERATORS Statistical Analysis of Contents 17 Foodservice Management Operators - United States and Canada Total Listings Corporate Offices 1 Headquarters 103 Subsidiaries 7 Regionals 23 Divisions 17 Branches 46 Total Listings 197 Total Foodservice Revenues (Headquarters and Subsidiaries) Total $42,987,691,000 Personnel Total Personnel Listed 939 Breakdown by Type of Foodservice (Headquarters and Subsidiaries)* Companies Type of Foodservice 67 Cafeteria 4 Fast Casual 25 Full-Service Sit-Down Dining 8 Mobile Units/Kiosks 33 Quick Serve 28 Vending Machines Breakdown by Foodservice Management Venues (Headquarters and Subsidiaries)* Companies Type of Foodservice 69 Business and Industry 49 College and University 37 Health Care 6 Lodging 8 Military Feeding 25 Other 15 Parks and Recreation 12 Prison Feeding 37 Schools 10 Sports Venues 17 Transportation 2 Travel Plazas * Companies can have more than one type of foodservice and management venue.

18 18 Chain Store Guide Statistical Analysis of Contents Hotel/Motel Companies - United States and Canada Total Listings Corporate Office 1 Headquarters 211 Subsidiaries 3 Regionals 5 Divisions 1 Total Listings 221 Total Foodservice Revenues (Headquarters and Subsidiaries) Total $23,342,690,000 Personnel Total Personnel Listed 2,119 Breakdown by Type of Foodservice (Headquarters and Subsidiaries)* Companies Type of Foodservice 6 Cafeteria 197 Casual Dining 16 Family Restaurant 16 Fast Casual 134 Fine Dining 44 Quick Serve Breakdown by Number of Restaurants in Hotels (Headquarters and Subsidiaries) 16,134 Restaurants * Companies can have more than one type of Foodservice.

19 2013 CHAIN RESTAURANT OPERATORS Breakdown by Total Companies 19 State Listings State Listings Alabama 75 Alaska 14 Arizona 117 Arkansas 52 California 661 Colorado 156 Connecticut 80 Delaware 28 District of Columbia 25 Florida 409 Georgia 224 Hawaii 31 Idaho 28 Illinois 277 Indiana 89 Iowa 45 Kansas 90 Kentucky 104 Louisiana 79 Maine 34 Maryland 103 Massachusetts 169 Michigan 165 Minnesota 109 Mississippi 46 Missouri 121 Montana 19 Nebraska 45 Nevada 62 New Hampshire 21 New Jersey 123 New Mexico 45 New York 298 North Carolina 165 North Dakota 10 Ohio 248 Oklahoma 75 Oregon 66 Pennsylvania 193 Puerto Rico 18 Rhode Island 18 South Carolina 80 South Dakota 14 Tennessee 156 Texas 468 Utah 61 Vermont 11 Virgin Islands 1 Virginia 139 Washington 110 West Virginia 28 Wisconsin 71 Wyoming 15 Total 5,891 CANADA Province Listings Alberta 27 British Columbia 49 Manitoba 14 New Brunswick 6 Newfoundland/Labrador 1 Nova Scotia 5 Ontario 115 Prince Edward Island 1 Quebec 40 Saskatchewan 5 Total 263

20 20 Chain Store Guide Index of Leading Companies Chain Restaurant Operators - United States Ranked by Foodservice Sales Rank Company, Headquarters' Location Latest Preceding Prior Page 1 McDonald's Corporation, OAK BROOK, IL $27,567,000,000 $27,006,000,000 $24,074,600, YUM! Brands Inc., LOUISVILLE, KY 1 $13,633,000,000 $12,626,000,000 $11,343,000, Starbucks Corporation, SEATTLE, WA 2 $11,744,788,000 $10,639,876,000 $9,838,709, Darden Restaurants Inc., ORLANDO, FL 3 $7,998,700,000 $7,500,200,000 $7,113,100, Bloomin' Brands Inc., TAMPA, FL 4 $3,987,795,000 $3,841,443,000 $3,628,466, Brinker International Inc., DALLAS, TX 5 $2,820,722,000 $2,761,386,000 $2,858,498, Walmart Stores Inc., BENTONVILLE, AR $2,744,900,000 $2,641,860,000 $2,602,610, Chipotle Mexican Grill Inc., DENVER, CO $2,731,224,000 $2,269,548,000 $1,835,922, The Wendy's Company, DUBLIN, OH $2,436,207,000 $2,355,250,000 $2,277,012, Target Corporation, MINNEAPOLIS, MN $2,158,800,000 $2,053,980,000 $1,973,580, Cracker Barrel Old Country Store Inc., LEBANON, TN $2,011,978,000 $1,932,941,000 $1,911,662, Panera Bread Company, SUNSET HILLS, MO $1,981,358,000 $1,685,744,000 $1,407,352, Burger King Worldwide Inc., MIAMI, FL $1,966,300,000 $2,335,700,000 $2,502,200, Army & Air Force Exchange Service (AAFES), DALLAS, TX $1,836,860,000 $1,749,651,000 $1,728,140, Doctor's Associates Inc., MILFORD, CT 6 $1,810,000,000 $1,660,000,000 $1,520,000, Landry's Restaurants Inc., HOUSTON, TX 7 $1,800,000,000 $1,207,000,000 $937,752, Pilot Flying J, KNOXVILLE, TN $1,775,000,000 $1,775,000,000 $1,707,000, The Cheesecake Factory Incorporated, CALABASAS HILLS, CA $1,756,556,000 $1,685,034,000 $1,586,274, Panda Restaurant Group Inc., ROSEMEAD, CA $1,650,000,000 $1,568,300,000 $1,406,000, Walt Disney World Co., LAKE BUENA VISTA, FL $1,550,000,000 $1,420,000,000 $1,291,320, Jack in the Box Inc., SAN DIEGO, CA 8 $1,544,971,000 $1,662,344,000 $1,899,553, Bob Evans Farms Inc., COLUMBUS, OH $1,339,744,000 $1,356,936,000 $1,411,092, CKE Inc., CARPINTERIA, CA 9 $1,326,000,000 $1,280,327,000 $1,330,645, Ruby Tuesday Inc., MARYVILLE, TN $1,325,836,000 $1,265,162,000 $1,194,796, Texas Roadhouse Inc., LOUISVILLE, KY $1,263,331,000 $1,109,226,000 $1,004,993, Includes KFC, Pizza Hut, Taco Bell 2 Includes Seattle s Best, Starbucks Coffee 3 Includes Bahama Breeze, Eddie V s, LongHorn Steakhouse, Olive Garden, Red Lobster and The Capital Grill 4 Includes Bonefish Grill, Carrabba s, Fleming s, Outback Steakhouse, Roy s 5 Includes Chili s, Maggiano s 6 DBA Subway 7 Includes Chart House, Claim Jumper, Landry s Seafood House, McCormick & Schmick, Rainforest Café, and others 8 Includes Jack in the Box, Qdoba 9 Includes Carl s Jr, Green Burrito, Hardee s

21 2013 CHAIN RESTAURANT OPERATORS Index of Leading Companies 21 Chain Restaurant Operators - United States Ranked by Foodservice Sales Rank Company, Headquarters' Location Latest Preceding Prior Page 26 P.F. Chang's China Bistro Inc., SCOTTSDALE, AZ 10 $1,245,000,000 $1,238,755,000 $1,242,799, TravelCenters of America LLC, WESTLAKE, OH $1,207,500,000 $1,183,329,000 $894,372, Whataburger Restaurants LLC, SAN ANTONIO, TX $1,160,000,000 $1,149,400,000 $991,900, Buffalo Wild Wings Inc., MINNEAPOLIS, MN $1,040,530,000 $784,478,000 $613,256, Buffets, Inc., EAGAN, MN 11 $1,030,000,000 $1,180,000,000 $1,239,600, Carlson Restaurants Worldwide, CARROLLTON, TX 12 $1,025,000,000 $1,200,000,000 $1,200,000, Arby's Restaurant Group, ATLANTA, GA $1,000,000,000 $1,042,000,000 $1,040,975, NPC International Inc., OVERLAND PARK, KS 13 $999,729,000 $937,810,000 $934,809, Red Robin Gourmet Burgers Inc., GREENWOOD VILLAGE, CO $977,132,000 $914,850,000 $864,269, American Blue Ribbon Holdings LLC, NASHVILLE, TN 14 $909,300,000 $333,000,000 $244,890, Disneyland Resort, ANAHEIM, CA $775,200,000 $708,000,000 $646,000, Cinemark Holdings Inc., PLANO, TX $771,395,000 $696,764,000 $642,322, Regal Entertainment Group, KNOXVILLE, TN $748,413,000 $707,996,000 $724,298, Flynn Restaurant Group LLC, INDEPENDENCE, OH 15 $735,000,000 $695,600,000 $557,000, Biglari Holdings Inc., SAN ANTONIO, TX 16 $733,905,000 $705,403,000 $671,646, DineEquity Inc., GLENDALE, CA 17 $712,580,000 $929,519,000 $1,192,311, AMC Entertainment Inc., KANSAS CITY, MO $709,884,000 $664,111,000 $646,721, Papa John's International Inc., LOUISVILLE, KY $708,652,000 $628,987,000 $597,779, BJ's Restaurants Inc., HUNTINGTON BEACH, CA $708,325,000 $620,943,000 $513,860, Domino's Pizza LLC, ANN ARBOR, MI $638,799,000 $631,306,000 $610,277, California Pizza Kitchen Inc., PLAYA VISTA, CA $633,600,000 $638,550,000 $635,809, Logan's Roadhouse Inc., NASHVILLE, TN $629,987,000 $593,073,000 $557,528, In-N-Out Burger, IRVINE, CA $625,000,000 $596,000,000 $553,000, Waffle House Inc., NORCROSS, GA $589,000,000 $584,000,000 $598,000, Macaroni Grill LLC, DALLAS, TX $585,000,000 $615,000,000 $606,000, Includes Pei Wei, P.F. Chang s 11 Includes Fire Mountain, HomeTown Buffet, Old Country Buffet, Ryan s Family Steak House, Tahoe Joe s 12 DBA T.G.I. Friday s 13 DBA Pizza Hut 14 Includes Bakers Square, Max & Erma s, Ninety Nine Restaurants, O Charley s, Village Inn 15 Includes Applebee s, KFC, other Yum! Brands 16 Includes Steak n Shake, Western Sizzlin 17 Includes Applebee s, IHOP

22 22 Chain Store Guide Index of Leading Companies Chain Restaurant Operators - United States Ranked by Foodservice Sales Rank Company, Headquarters' Location Latest Preceding Prior Page 51 Dunkin' Brands Group Inc., CANTON, MA 18 $563,535,000 $528,132,000 $492,146, Boston Market Corporation, LAKEWOOD, CO $549,000,000 $532,300,000 $511,600, Heartland Food Corp., DOWNERS GROVE, IL 19 $547,000,000 $340,000,000 $335,000, Sonic Corp., OKLAHOMA CITY, OK $543,730,000 $545,951,000 $550,926, Carrols Restaurant Group Inc., SYRACUSE, NY 20 $539,608,000 $822,486,000 $796,144, Covelli Enterprises, WARREN, OH 21 $530,000,000 $426,000,000 $346,000, White Castle Management Co., COLUMBUS, OH $530,000,000 $528,400,000 $520,500, Pappas Restaurants, HOUSTON, TX $525,000,000 $540,000,000 $500,000, Bridgeman Foods, LOUISVILLE, KY 22 $510,000,000 $509,000,000 $503,000, Fiesta Restaurant Group Inc., ADDISON, TX 23 $509,726,000 $474,968,000 $439,071, Denny's Corporation, SPARTANBURG, SC $488,363,000 $538,534,000 $548,466, Ignite Restaurant Group, HOUSTON, TX 24 $465,000,000 $405,243,000 $351,327, Chick-fil-A Inc., ATLANTA, GA $460,000,000 $405,000,000 $358,500, Sun Holdings LLC, IRVING, TX 25 $443,000,000 $233,000,000 N/A Golden Corral Corp., RALEIGH, NC $415,000,000 $413,700,000 $408,900, Strategic Restaurants Corp., SAN RAMON, CA 26 $412,900,000 $385,000,000 $380,300, Bravo Brio Restaurant Group Inc., COLUMBUS, OH $409,065,000 $369,245,000 $343,025, Long John Silver's Inc., LOUISVILLE, KY $405,000,000 $295,000,000 $298,000, Il Fornaio Corporation, CORTE MADERA, CA 27 $404,800,000 $353,280,000 $336,104, Boddie-Noell Enterprises Inc., ROCKY MOUNT, NC 28 $400,000,000 $437,100,000 $426,700, Lettuce Entertain You Enterprises Inc., CHICAGO, IL $400,000,000 $392,000,000 $360,000, Ruth's Hospitality Group Inc., WINTER PARK, FL $398,589,000 $369,573,000 $357,625, Einstein Noah Restaurant Group Inc., LAKEWOOD, CO $389,055,000 $389,055,000 $381,306, CEC Entertainment Inc., IRVING, TX 29 $377,491,000 $394,190,000 $398,245, Real Mex Restaurants Inc., CYPRESS, CA $369,675,000 $373,483,000 $437,537, Includes Baskin-Robbins, Dunkin Donuts 19 DBA Burger King 20 DBA Burger King 21 Includes O Charley s, Panera Bread 22 Includes Chili s, Wendy s 23 Includes Pollo Tropical, Taco Cabana 24 Includes Brick House Tavern + Tap, Joe s Crab Shack 25 Includes Arby s, Burger King, Cici s Pizza, Golden Corral, Popeyes, and others 26 Includes Burger King, T.G.I. Friday s 27 Includes Corner Bakery Café, Cucina Italiana e Panetteria 28 Includes Café Carolina, Hardee s 29 DBA Chuck E. Cheese

23 2013 CHAIN RESTAURANT OPERATORS Index of Leading Companies 23 Chain Restaurant Operators - United States Ranked by Foodservice Sales Rank Company, Headquarters' Location Latest Preceding Prior Page 76 Hillstone Restaurant Group Inc., BEVERLY HILLS, CA 30 $368,779,000 $361,173,000 $346,805, SWH Mimi's Cafe Holding Company Inc., IRVINE, CA $366,015,000 $380,267,000 $405,998, Mason Harrison Ratliff Enterprises, OKLAHOMA CITY, OK 31 $357,000,000 $355,000,000 $355,000, Del Taco LLC, LAKE FOREST, CA $355,000,000 $335,000,000 $331,000, Benihana Inc., MIAMI, FL $352,077,000 $327,640,000 $311,797, Harman Management Corp., LOS ALTOS, CA 32 $346,000,000 $334,000,000 $361,000, JIB Management Inc., FREMONT, CA 33 $340,000,000 $340,000,000 N/A Barnes & Noble Inc., NEW YORK, NY $339,704,000 $305,497,000 $302,421, The Briad Group, LIVINGSTON, NJ 34 $336,000,000 $308,750,000 $311,790, On The Border LLC, IRVING, TX $335,000,000 $335,000,000 $331,247, Garden Fresh Restaurant Corp., SAN DIEGO, CA 35 $333,000,000 $320,000,000 $305,000, Luby's Inc., HOUSTON, TX $331,769,000 $332,475,000 $231,205, Perkins & Marie Callender's Inc., MEMPHIS, TN $328,060,000 $404,127,000 $478,102, Quality Dining Inc., MISHAWAKA, IN 36 $327,000,000 $250,000,000 $250,000, Krispy Kreme Doughnut Corporation, WINSTON SALEM, NC $321,725,000 $303,739,000 $272,650, Bojangles' Restaurants Inc., CHARLOTTE, NC $317,000,000 $290,000,000 $268,800, Little Caesar Enterprises Inc., DETROIT, MI $315,000,000 $310,000,000 $300,000, Church's Chicken, ATLANTA, GA $315,000,000 $315,000,000 $315,000, Pepper Dining Inc, CHARLOTTE, NC 37 $311,000,000 $310,000,000 $307,500, Doherty Enterprises Inc., ALLENDALE, NJ 38 $310,000,000 $310,000,000 $300,000, Deli Management Inc., BEAUMONT, TX 39 $310,000,000 $310,000,000 $307,200, SeaWorld Entertainment Inc., ORLANDO, FL $309,400,000 $266,155,000 $239,221, HOA Restaurant Group LLC, ATLANTA, GA 40 $302,100,000 $321,100,000 $321,100, The Krystal Co., CHATTANOOGA, TN $296,000,000 $280,000,000 $280,300, Caribbean Restaurants LLC, CATANO, PR 41 $295,000,000 $279,000,000 $277,000, Includes Bandera, Hillstone, Houston s, and others 31 DBA Sonic Drive-In 32 DBA KFC, other Yum! Brands 33 Includes Denny s, Jack in the Box, Sizzler 34 Includes T.G.I. Friday s, Wendy s, and others 35 Includes Souplantation, Sweet Tomatoes 36 Includes Burger King, Chili s, and others 37 DBA Chili s 38 Includes Applebee s, Panera, and others 39 DBA Jason s Deli 40 DBA Hooters 41 DBA Burger King

24 24 Chain Store Guide Index of Leading Companies Chain Restaurant Operators - United States Ranked by Total Units Rank Company, Headquarters Location Latest Preceding Prior Page 1 YUM! Brands Inc., LOUISVILLE, KY 39,014 37,121 37, Doctor's Associates Inc., MILFORD, CT 38,563 36,147 34, McDonald's Corporation, OAK BROOK, IL 34,480 33,510 32, Starbucks Corporation, SEATTLE, WA 18,278 17,244 17, Dunkin' Brands Group Inc., CANTON, MA 17,459 16,794 16, Burger King Worldwide Inc., MIAMI, FL 12,997 12,512 12, Domino's Pizza LLC, ANN ARBOR, MI 10,255 9,742 9, The Wendy's Company, DUBLIN, OH 6,560 6,594 6, American Dairy Queen Corporation, EDINA, MN 4,459 3,600 3, Papa John's International Inc., LOUISVILLE, KY 4,163 3,883 3, Walmart Stores Inc., BENTONVILLE, AR 3,971 3,868 3, DineEquity Inc., GLENDALE, CA 3,615 3,527 3, Sonic Corp., OKLAHOMA CITY, OK 3,549 3,555 3, Little Caesar Enterprises Inc., DETROIT, MI 3,500 3,455 3, Arby's Restaurant Group, ATLANTA, GA 3,480 3,636 3, Kahala Corp., SCOTTSDALE, AZ 3,355 3,353 3, CKE Inc., CARPINTERIA, CA 3,318 3,219 3, Jack in the Box Inc., SAN DIEGO, CA 2,877 2,804 2, The Quiznos Master LLC, DENVER, CO 2,850 3,605 4, AFC Enterprises Inc., DUNWOODY, GA 2,104 2,035 1, Army & Air Force Exchange Service (AAFES), DALLAS, TX 2,100 N/A N/A Darden Restaurants Inc., ORLANDO, FL 2,075 1,936 1, Target Corporation, MINNEAPOLIS, MN 1,778 1,763 1, Orion Food Systems LLC, SIOUX FALLS, SD 1,765 2,024 2, Church's Chicken, ATLANTA, GA 1,700 1,700 1,

25 2013 CHAIN RESTAURANT OPERATORS Index of Leading Companies 25 Chain Restaurant Operators - United States Ranked by Total Units Rank Company, Headquarters Location Latest Preceding Prior Page 26 Chick-fil-A Inc., ATLANTA, GA 1,691 1,609 1, Denny's Corporation, SPARTANBURG, SC 1,688 1,685 1, Panera Bread Company, SUNSET HILLS, MO 1,652 1,541 1, Waffle House Inc., NORCROSS, GA 1,600 1,600 1, Brinker International Inc., DALLAS, TX 1,593 1,574 1, Panda Restaurant Group Inc., ROSEMEAD, CA 1,471 1,458 1, Bloomin' Brands Inc., TAMPA, FL 1,471 1,443 1, Chipotle Mexican Grill Inc., DENVER, CO 1,410 1,230 1, Jimmy John's Franchise LLC, CHAMPAIGN, IL 1,380 1,231 1, Papa Murphy's International Inc., VANCOUVER, WA 1,378 1,362 1, Auntie Anne's Inc., LANCASTER, PA 1,330 1,286 1, Long John Silver's Inc., LOUISVILLE, KY 1,300 1,328 1, NPC International Inc., OVERLAND PARK, KS 1,227 1,187 1, Mrs. Fields Famous Brands LLC, BROOMFIELD, CO 1,150 1,120 1, Five Guys Holdings Inc., LORTON, VA 1, Sbarro Holdings LLC, MELVILLE, NY 1,002 1,007 1, Cinnabon Inc., ATLANTA, GA 1, Carlson Restaurants Worldwide, CARROLLTON, TX Blimpie International Inc., SCOTTSDALE, AZ Land Mark Products Inc., MILFORD, IA Buffalo Wild Wings Inc., MINNEAPOLIS, MN Noble Roman's Inc., INDIANAPOLIS, IN Daylight Donut Flour Company LLC, TULSA, OK Einstein Noah Restaurant Group Inc., LAKEWOOD, CO Jamba Inc., EMERYVILLE, CA