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RISE - Menu Monitor

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Expansion Plans |<br />

Schlotzsky’s Deli is being acquired by Roark Capital Group. Terms of the deal were not disclosed. (NRN Daily NewsFax<br />

11/21/06)<br />

Schlotzsky’s Ltd. is planning to open 12 new units in the Houston area over the next five years. The company has already<br />

opened three Houston-area units this year. The company filed for bankruptcy and closed many of its Houston-area stores<br />

three years ago. The expansion is part of a strategy to open 50 new restaurants a year. (Bizjournals.com 7/20/07)<br />

Schlotzsky’s plans to open eight more units in Birmingham, AL, over the next five years. The company is looking for<br />

franchisees to operate the locations. The Birmingham expansion is part of a national growth strategy that includes opening 50<br />

new units each year. (Bizjournals.com 9/6/07)<br />

Schlotzsky’s plans to open four Springfield, MO, locations over the next five years. The chain is seeking new franchisees for<br />

the market, in addition to the two franchisees who operate Schlotzsky’s existing Springfield locations. (Sbj.net 9/13/07)<br />

Schlotzsky’s is planning to nearly double its number of Kansas City locations over the next five years. The chain has six<br />

locations in the Kansas City metro area and is seeking franchisees to open five more. Expansion in Kansas City is part of<br />

Schlotzsky’s national growth strategy to open 50 new restaurants a year. Atlanta-based Focus Brands operates and franchises<br />

approximately 365 Schlotzsky’s in 35 states and internationally in six countries. (Kansas City Business Journal Online<br />

10/15/07)<br />

Promotion Plans |<br />

Schlotzsky’s is offering coupons for 50¢ off a small Smoked Turkey Breast sandwich and 75¢ off a medium Smoked Turkey<br />

Breast sandwich, $1 off any 8-in. individual size pizza after 2 p.m. with the purchase of a fountain drink, $1.50 off any two<br />

medium size sandwiches or two pizzas with the purchase of a fountain drink, and $2 off any two 8-in. individual size pizzas<br />

after 2 p.m. with the purchase of a fountain drink. The coupons are valid until December 31. (Company Website 4/3/07)<br />

<strong>Menu</strong> Development |<br />

Schlotzsky’s introduced three Angus roast beef sandwiches called “The Angus Beef Round Up.” The trio features French<br />

Dipsky, which is made with mozzarella cheese on sourdough bread with a side of jus, Bacon Beefy Smokecheesy, which is<br />

made with bacon, smoked Cheddar and chipotle mayonnaise, and Philly Dilly, which is made with portobello mushrooms,<br />

mozzarella, red peppers, caramelized onions and chipotle mayonnaise. The items are available through May 31. (NRN Daily<br />

NewsFax 3/21/07)<br />

Schlotzky’s rolled out The Angus Beef Round Up, a line of three Angus roast beef sandwiches, for a limited time. Varieties<br />

include the French Dipsky, with mozzarella cheese on toasted sourdough bread with a side of au jus; the Philly Dilly, with<br />

mozzarella, portobello mushrooms, caramelized onions, red peppers and chipotle mayonnaise; and Bacon Beefy<br />

Smokecheesy, with smoked Cheddar, bacon and chipotle mayonnaise. (NRN Daily NewsFax 3/21/07)<br />

Schlotzky’s Ltd. is testing Carvel and Cinnabon items at two Schlotzky’s restaurants in Austin, TX. The outlets will serve<br />

Carvel’s soft-serve and hand-dipped ice cream flavors in cups, cones, sundaes and shakes. Cinnabon offerings include<br />

Classic Rolls, Caramel Pecanbons, Cinnapacks and Cinnabonstix. The locations will also serve Cinnabon’s CarameLatte<br />

Chills, MochaLatta Chills and Chillattas products. (Company Release 3/29/07; NRN Daily NewsFax 3/30/07)<br />

Schlotzsky’s introduced its Ciao Down promotion, featuring three Italian-inspired menu items for a limited time. Selections<br />

include: • Slicey Meatball Sandwich——made with sliced meatballs, mozzarella and marinara sauce • Trio-Topper Pizza—a<br />

sourdough crust topped with tomato pesto sauce, mozzarella and a choice of three toppings • Italian Wrapsky—with ham,<br />

pepperoni, cotto sausage, Genoa salami, mozzarella, olives, peppers, tomatoes and onions topped with Italian dressing (NRN<br />

Daily NewsFax 9/6/07)<br />

Franchise Activity |<br />

Schlotzky’s Ltd. was purchased by Focus Brands of Atlanta for an undisclosed amount. Focus, which is owned by Roark<br />

Capital Group, franchises and operates about 1,400 outlets of Carvel Ice Cream, Cinnabon and Seattle’s Best Coffee in the<br />

U.S., Puerto Rico and 31 international countries. Schlotzky’s has 365 franchised and company-owned outlets. (Austin<br />

Business Journal 11/20/06; Atlanta Business- ournal-Constitution 11/21/06; NRN Daily NewsFax 11/21/06; Company Release<br />

11/21/06)<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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