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Max & Erma's<br />

Headquarters<br />

4849 Evanswood Dr., Columbus, Ohio 43229 USA<br />

Tel: (614)431-5800 Fax: (614)431-4100<br />

www.maxandermas.com<br />

Ownership: Public<br />

Segment: Full Service Varied <strong>Menu</strong><br />

System Characteristics 2006 2005 2004<br />

U.S. Systemwide Sales ($000) 223,300 225,669 220,205<br />

Company-owned ($000) 180,300 183,705 182,959<br />

Franchised ($000) 43,000 41,964 37,246<br />

U.S. Number of Units 99 102 98<br />

Company-owned 78 79 78<br />

Franchised 21 23 20<br />

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

International Units - - -<br />

Average Sales/Unit ($000) 2,281 2,344 2,376<br />

Concept Positioning |<br />

Max & Erma's are full-service, casual-dining restaurants offering a varied menu. The restaurants boast a unique family<br />

environment with all-American food and friendly service. The extensive menu of appetizers, salads, soups, burgers, chicken<br />

and steaks caters to a primary customer base of families and young professionals between the ages of 21 and 40.<br />

Restaurants are open from 11:00 a.m. to midnight for lunch and dinner. All food is prepared fresh daily at the restaurant. Max<br />

& Erma’s Restaurants Inc. is the parent company of Max & Erma’s. The company operates approximately 78% of its units; the<br />

remaining stores are franchised. Max & Erma’s has over 60 locations in 12 states; units are located primarily in the Midwest<br />

and Nevada.<br />

Units are primarily freestanding and are found in mostly suburban locations. The current prototype is approximately 5,500–<br />

6,800 sq. ft. with seating for 175–210 customers. Interior décor includes a combination of light and dark brick, creating a cozy<br />

atmosphere accented by antique artifacts and local paraphernalia, ranging in style from local sports team gear to murals. The<br />

full service restaurants are open for lunch and dinner.<br />

Barry Zachs and Todd Barnum bought the original Max & Erma's in Columbus, OH, in 1972 and developed the concept into a<br />

chain. Max & Erma's Restaurants, Inc., was incorporated in 1982. The company's management arm operates under the trade<br />

name Investors Spectrum, Inc. and receives a management fee based on a percentage of each restaurant's gross revenues.<br />

In 2005, Max & Erma's announced an aggressive long-term plan for growth. Over the next 10 years, the company will launch<br />

300 franchised stores in the western U.S.<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 />

401

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