recent survey by The National Restaurant Association revealed that the restaurant industry is still facing its toughest times and suggested that the grim outlook would continue unless the economy shows signs of rebound. Consumers are spending less and are dining out seldom.
Rising food and labor costs are eating away a major portion of the restaurant margins. Most companies have either scaled back plans for new units or postponed further unit development. Restaurants that operate in the casual dining segment, like Famous Dave’s of America , Cosi Inc. , BJ’s Restaurants (NasdaqGS: BJRI - News), California Pizza Kitchen (NasdaqGS: CPKI - News) and Red Robin Gourmet Burgers (NasdaqGS: RRGB - News), are experiencing declining same-store sales and traffic counts.
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http://finance.yahoo.com/news/Recession-Still-Devouring-zacks-4187351263.html?x=0&.v=1
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