Cke Restaurants, Inc. Reports Positive Period Two Blended Same-store Sales

Both Brands Record Highest Period Two Average Unit Volumes in Recent History

(Wednesday, April 04, 2007) - CKE Restaurants, Inc. (NYSE: CKR) announced today period two same-store sales for the four weeks ended March 26, 2007, for Carl's Jr.(R) and Hardee's(R).

Brand Period 2 Year to Date
FY 2008 FY 2007 FY 2008 FY 2007
Carl's Jr. +1.2% +4.3% -0.8% +7.2%
Hardee's +2.9% +7.2% +2.2% +5.7%
Blended +2.1% +5.8% +0.7% +6.5%



Commenting on the Company's performance, Andrew F. Puzder, president and chief executive officer, said, "We are pleased to report positive blended same-store sales for period two. We are particularly pleased to note that Hardee's had its 17th consecutive period of positive sales and, on a two-year cumulative basis, had positive same-store sales of more than 10%. Both of our major brands rolled over challenging prior-year comparisons through the successful combination of our new product introductions and cutting-edge advertising. Going forward, we believe our continued focus on innovative premium products, customer service, remodels and dual-branding conversions can contribute to near- and long-term sales gains."

"Carl's Jr. promoted the Buffalo Chicken Sandwich(TM) during period two. Featuring a crispy chicken breast fillet dipped in Frank's(R) RedHot(R) buffalo wing sauce, and topped with ranch dressing, tomato and lettuce, the sandwich received media support for the entire period, including a television commercial starring model/actress Ashley Hartman, as well as its own micro- website, www.spicybuffalo.com ," said Puzder.

"Carl's Jr. also introduced Boneless Buffalo Wings on March 21, but advertising for the product did not begin until the final day of the period. The brand also featured the Chipotle Chicken Salad(TM) during the period. On a two-year cumulative basis, same-store sales at Carl's Jr. have increased more than five percent. Average unit volumes for period two were higher than any comparable period two ever." Revenue for period two from company-operated Carl's Jr. restaurants (exclusive of franchise-related revenue and royalties) was approximately $46.2 million.

"At Hardee's, the Buffalo Chicken Sandwich was the primary promotion during the period. The brand also featured the Big Twin(R), the Southwest Chicken Salad(TM), and the Monster Biscuit(TM) during the breakfast daypart," Puzder continued. "On a two-year cumulative basis, Hardee's same-store sales have increased more than ten percent. In addition, Hardee's period two average unit volume was higher than any comparable period two since 1994, which is as far back as we can check." Revenue for period two from company-operated Hardee's restaurants (exclusive of franchise-related revenue and royalties) was approximately $50.7 million.

For period two, consolidated revenue from company-operated restaurants (exclusive of all franchise-related revenue and royalties) was approximately as follows:


Carl's Jr. $ 46.2 million
Hardee's $ 50.7 million
La Salsa Fresh Mexican Grill $ 3.4 million
Total $ 100.3 million


Same-store sales results for period three of fiscal year 2008, ending April 23, 2007, will be reported on or about May 2, 2007.

As of the end of its fiscal fourth quarter on Jan. 29, 2007, CKE Restaurants, Inc., through its subsidiaries, had a total of 3,105 franchised or company-owned restaurants in 43 states and in 13 countries, including 1,087 Carl's Jr. restaurants, 1,906 Hardee's restaurants and 96 La Salsa Fresh Mexican Grill(R) restaurants.

SAFE HARBOR DISCLOSURE

Matters discussed in this news release contain forward-looking statements relating to future plans and developments, financial goals and operating performance that are based on management's current beliefs and assumptions. Such statements are subject to risks and uncertainties that are often difficult to predict, are beyond the Company's control and which may cause results to differ materially from expectations. Factors that could cause the Company's results to differ materially from those described include, but are not limited to, whether or not restaurants will be closed and the number of restaurant closures, consumers' concerns or adverse publicity regarding the Company's products, the effectiveness of operating initiatives and advertising and promotional efforts (particularly at the Hardee's brand), changes in economic conditions or prevailing interest rates, changes in the price or availability of commodities, availability and cost of energy, workers' compensation and general liability premiums and claims experience, changes in the Company's suppliers' ability to provide quality and timely products to the Company, delays in opening new restaurants or completing remodels, severe weather conditions, the operational and financial success of the Company's franchisees, franchisees' willingness to participate in the Company's strategies, the availability of financing for the Company and its franchisees, unfavorable outcomes in litigation, changes in accounting policies and practices, effectiveness of internal controls over financial reporting, new legislation or government regulation (including environmental laws), the availability of suitable locations and terms for the sites designated for development, and other factors as discussed in the Company's filings with the Securities and Exchange Commission.

Forward-looking statements speak only as of the date they are made. The Company undertakes no obligation to publicly update or revise any forward- looking statement, whether as a result of new information, future events or otherwise, except as required by law or the rules of the New York Stock Exchange.

SOURCE CKE Restaurants, Inc.

John Beisler, Vice President, Investor Relations of CKE Restaurants, Inc.,
+1-805-745-7750

http://www.ckr.com

View all Carl's Jr Press Releases

This article has been read 166 times.

Printer Friendly