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RISE - Menu Monitor

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Jack in the Box<br />

Headquarters<br />

9330 Balboa Ave., San Diego, California 92123 USA<br />

Tel: (858)571-2121 Fax: (858)694-1592<br />

www.jackinthebox.com<br />

Ownership: Public<br />

Segment: Limited Service Hamburger<br />

System Characteristics 2006 2005 2004<br />

U.S. Systemwide Sales ($000) 2,731,750 2,599,000 2,528,000<br />

Company-owned ($000) 2,031,750 1,996,000 1,998,000<br />

Franchised ($000) 700,000 603,000 530,000<br />

U.S. Number of Units 2,079 2,049 2,006<br />

Company-owned 1,476 1,534 1,558<br />

Franchised 603 515 448<br />

International Sales ($000) - - -<br />

International Units - - -<br />

Average Sales/Unit ($000) 1,340 1,300 1,282<br />

Concept Positioning |<br />

Jack in the Box Inc. operates and franchises Jack in the Box, one of the nation’s largest hamburger chains. The limited-service<br />

chain operates thousands of restaurants in nearly 20 states. Its menu is targeted at the adult fast-food consumer and includes<br />

hamburgers, specialty sandwiches, salads and real ice cream shakes.<br />

The majority of units are freestanding, with several configurations seating 20–100. Restaurants also feature drive-thru service.<br />

Most Jack in the Box locations have been upgraded to feature new signs, menu boards and landscaping designs. An<br />

upgraded décor package includes softer lighting, a warmer color scheme, wood chairs instead of plastic and flat-screen<br />

televisions that play video skits. Jack in the Box started as a drive-thru-only concept; as the first major hamburger chain to<br />

develop the concept of drive-thru dining, it has always emphasized on-the-go convenience. Approximately 85% of guests buy<br />

their food at the drive-thru or for takeout. In addition to drive-thru windows, most restaurants have indoor dining areas and are<br />

open 18-24 hours a day. In 2002, Jack in the Box introduced a new co-branded concept that combined a full-size Jack in the<br />

Box restaurant with the company's proprietary brand of convenience store called Quick Stuff. Jack in the Box operates<br />

currently operates approximately 50 Quick Stuff locations, which include a major-brand gas station as well as a Jack in the<br />

Box.<br />

Robert O. Peterson founded Jack in the Box in San Diego in 1951. The first restaurant outside California opened in 1960 in<br />

Arizona; three years later, the chain expanded to Texas. In 1968, Ralston Purina acquired controlling interest in Foodmaker,<br />

the parent company of Peterson’s business concerns (including Jack in the Box, other restaurants and a food manufacturing<br />

plant) and operated Jack in the Box as a wholly owned subsidiary. Under Ralston Purina, Jack in the Box restaurants<br />

underwent a major expansion. In 1980, the hamburger chain moved away from its previous kid-oriented positioning and into<br />

an adult niche with the launch of the new Supreme sandwich line, along with a television ad campaign that symbolized the<br />

repositioning by blowing up the familiar Jack in the Box clown logo. An investment group, including members of Foodmaker<br />

management, completed a leveraged buyout of the company from Ralston Purina in 1985. Foodmaker went public in 1987,<br />

private in 1988 and then public again in early 1992. In 1999, the company changed its corporate name to Jack in the Box, Inc.;<br />

the trading symbol changed to JBX. In 2003, the company entered the quick-casual category with the acquisition of Qdoba<br />

Mexican Grill. Now operating more than 300 restaurants in 40 states, Qdoba is an emerging leader in the quick-casual<br />

Mexican sector. Jack in the Box anticipates opening up to 40 company-owned and franchised units by early 2008, including 12<br />

units inside Quick Stuff c-stores.<br />

©Technomic Information Services 2007, CIS profiles may not be copied or distributed in any print or electronic format without a license or written consent.<br />

Technomic believes that its sources of information are reliable, but does not assume any responsibility or liability for the accuracy of the information<br />

published.<br />

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