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Saltgrass Steak House<br />

Headquarters<br />

1510 W. Loop South, Houston, Texas 77027 USA<br />

Tel: (713)850-1010 Fax: (713)850-7205<br />

www.saltgrass.com<br />

Ownership: Private<br />

Segment: Full Service Steak<br />

System Characteristics 2006 2005 2004<br />

U.S. Systemwide Sales ($000) 130,000 126,000 120,000<br />

Company-owned ($000) 130,000 126,000 120,000<br />

Franchised ($000) - - -<br />

U.S. Number of Units 36 32 30<br />

Company-owned 36 32 30<br />

Franchised - - -<br />

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

International Units - - -<br />

Average Sales/Unit ($000) 3,700 4,150 4,125<br />

Concept Positioning |<br />

Saltgrass Steak House combines a historic Texas atmosphere with a menu of signature certified Angus beef steaks as well as<br />

chicken, seafood and pork specialties that are reminiscent of the Old Southwest. Landry’s Restaurants operates 42<br />

restaurants in seven states.<br />

Its casual interior décor features a "roadhouse" theme, complete with a fireplace and a saloon-style bar. The theme includes<br />

an extensive use of Texas artifacts and rustic materials as well as barn-wood walls with old license plates tacked to them and<br />

specially selected music and signage. Large parties can be accommodated in each unit’s private dining rooms, or on the<br />

spacious patio. Saltgrass units, which seat 275 guests and average 8,000 sq. ft., are typically freestanding and located next to<br />

major highways.<br />

Named for the historic Saltgrass Trail, which led Texas cattle from coastal salt grass lands to the markets, the first Saltgrass<br />

Steak House opened in Houston in 1990. Cliff Halphen and William Osterhout were its creators. The company also owns and<br />

operates Denis' Seafood Restaurant, acquired in early 1997 from bankruptcy. Landry's Restaurants acquired Saltgrass Steak<br />

House in 2002. In mid-2006, Landry’s retained Wachovia Securities to explore strategic alternatives for Saltgrass and Joe’s<br />

Crab Shack— the latter of which was sold in late 2006 for $192 million—in order to concentrate its focus on core brands<br />

Landry’s Seafood House, Chart House and Rainforest Café.<br />

<strong>Menu</strong> Positioning |<br />

Saltgrass Steak House presents a varied menu for lunch and dinner featuring sandwiches, burgers, chicken and seafood.<br />

Saltgrass Steak House also has 10 signature steaks, weighing between eight and 22 ounces and made with certified Angus<br />

beef seasoned with a unique seven-spice steak seasoning and topped with garlic butter (or served on the side). Each steak<br />

includes a dinner salad, Caesar salad or cup of soup and Shiner Bock Beer Bread, plus a choice of sides, such as french fries,<br />

baked potato, Romano potatoes, Garlic Mashed Potatoes, Texas rice or fresh seasonal vegetables. Additional signature items<br />

include Texas Cheesesteak Sandwich, Tenderloin Tacos, Grilled Chicken Breast & Gulf Shrimp Combo, Hickory Chicken and<br />

Grilled Fresh Salmon. A kids’ menu features BBQ Baby Back Ribs, Shrimp & Chicken Tenders and Trailride Pizza. Desserts<br />

items include Caramel Apple Pecan Pie, Margarita Pie and Brownie Super Sundae. Full liquor service is available. Checks<br />

average $15 for lunch and $19 for dinner.<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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