Cash infusion to help keep Pittsburgh hotel afloat

The former Hilton Pittsburgh, struggling to make ends meet without a hotel flag, will get an infusion of cash to help it through the winter.

Lawyers for Shubh Hotels Pittsburgh LLC, owner of what is now called the Grand Pittsburgh Downtown, and lender BlackRock Financial Management Inc. reached agreement Friday on a $1.35 million loan to get the hotel through the next three weeks.

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Burger King's U.S. sales continue to struggle

The launch of Burger King's new breakfast menu helped drive traffic to stores during the first quarter, but it wasn't enough to turn around sales trends at U.S. restaurants.
Burger King said Wednesday that sales at restaurants in the U.S. and Canada open at least a year declined 4.2 percent for the quarter ending Sept. 30, compared to the same period last year. Worldwide same store sales declined 1.7 percent.

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San Francisco mayor vetoes 'Happy Meal' ban

SAN FRANCISCO, Nov 13, 2010 (AFP) - San Francisco Mayor Gavin Newsom has vetoed a ban on sales of McDonald’s Happy Meals with children’s toys as too intrusive.
"Parents, not politicians, should decide what their children eat, especially when it comes to spending their own money," Newsom said Friday in announcing the veto.
The city’s board of supervisors passed the legislation forbidding giveaways of toys with kids meals unless they met strict dietary criteria. McDonald’s Happy Meals, seen as the target of the ban, do not meet the board’s criteria.

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Stimulus Waste Panel Cancels Ritz-Carlton Meeting.

A panel advising the independent agency charged with rooting out waste, fraud and abuse in the stimulus plan announced Friday night that it had pulled the plug on a public meeting which was to have taken place at the Ritz-Carlton in Phoenix, Arizona.
The Washington Examiner reported on the Recovery Independent Advisory Panel’s hotel choice Thursday, calling it a “super-luxe” destination and quoting the hotel website’s boasts of a “picturesque” location, nearby shopping and golf facilities and the “casual elegance, relaxed atmosphere and uniquely inviting ambiance” of its restaurant.

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BHA Chief Executive Ufi Ibrahim to be keynote afternoon speaker at 5th Annual BAHA Hospitality Finance Conference and IT Exhibition

Hospitality Bussiness News (November 13, 2010)

There can be few better qualified and more influential industry leaders to give a keynote address on ‘Tourism – the significance for the UK economy’ at the forthcoming 5^th Annual BAHA Hospitality Finance, Revenue Management and IT Professionals Conference and Exhibition, than the new Chief Executive of the British Hospitality Association (BHA).

Formerly Chief Operations Officer of the World Travel & Tourism Council (WTTC) – where she worked with governments and industry across the world, advising on policymaking and the development of planning frameworks for the long-term success of travel and tourism – BHA Chief Executive Ufi Ibrahim (see ‘Notes to Editors’ for biography) will be presenting the keynote speech kick-starting the afternoon sessions at the one-day BAHA Annual Conference on Thursday, 25 November 2010 at the Sofitel Hotel, London Heathrow at Terminal 5.

Having welcomed Prime Minister David Cameron’s speech in August which extolled the importance of tourism, the BHA Chief Executive believes it is now time to create the conditions in which the hospitality, tourism and leisure industry can grow and prosper. In this objective, she has been supported by the findings of the recently published study into ‘Economic Contribution of the UK Hospitality Industry’ – commissioned by the BHA and undertaken by Oxford Economics, which highlighted the importance of the hospitality industry to the UK economy.

The report revealed that hospitality is the UK’s fifth largest industry in job terms – employing over 2.4 million people (1 in 13 of total jobs), contributing £34 billion in gross tax revenue. It also forecasted 236,000 net additional jobs, compared to today, by 2015 – provided a supportive government framework was put in place. Achieving this is a BHA priority concern.

The study lays the base for setting BHA’s agenda and future actions, enabling the Association to lead the industry in positive partnership with government. “We are seeking a real change from the new Government so that it champions the hospitality industry through a strong partnership that benefits the BHA’s members, the wider society and the UK economy in general,” explained the BHA Chief Executive.

She believes that at a time when the Government’s spending review could lead to redundancies and job losses, the hospitality industry could become one of the key drivers of economic recovery and sustainable growth.

BAHA Chief Executive Carl Weldon is delighted to welcome Ufi Ibrahim as the keynote speaker opening the afternoon and educational workshop sessions at the Conference. “We are really pleased that Ufi can attend her first BAHA Annual Conference and Exhibition as leader of the national trade association for the hotel, food service and leisure industry. She is already making a significant mark on the industry; and her presentation is a great opportunity to remind delegates of what a fantastic profession they are part of. We wish Ufi and the BHA every success in their endeavours on the industry’s behalf.

“We totally support last month’s BHA report – entitled ‘Creating Jobs in Britain - A Hospitality Economy Proposition’, outlining what the profession has to offer the UK economy and how the Government can work in partnership with the industry to help drive economic recovery. We applaud Ufi and the BHA in challenging the Coalition Government to make an enduring commitment at the highest level to help make Britain a world-class destination for tourism and business.”

As in previous years, the Annual Conference of BAHA – the UK’s leading educational organisation for professionals involved in financial management, revenue management and IT within the hospitality industry – will be supported by a growing and increasingly influential exhibition of IT and systems suppliers. They will be providing delegates with a ‘one stop shop’ to view and interact with the latest and ‘best in class’ technologies – covering all eventualities for hospitality businesses, whether they be start-up, established independent, or multi chain-owned, operations.

For regularly updated information on prices/packages and the 2010 BAHA Conference and IT Exhibition, visit the BAHA Conference Website: www.bahaconference.co.uk .  For bookings and further details, contact Phillipa Graham and Wayne Gosden on telephone: 01202 889 430; fax: 01202 887 967; or email: admin@baha-uk.org

The Cadbury Cocoa House opens in Bluewater - the first of many retro-style cafés to come

The world-famous chocolatier, Cadbury, has launched a new brand; the first of which opened at the start of October, in the Bluewater Shopping Centre in Kent. The new venture - a high street café with a difference - is called The Cadbury Cocoa House, and Cadbury plans to open 50 cafés of this type by 2015. Several openings are planned for London in 2011.

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Lending for Some Restaurant Operators Still Gridlocked .

Financing for restaurant operators still shows signs of gridlock, as large lenders are only lending to franchisees that emerged from the downturn relatively unscathed, leaving the bulk of the operators struggling to access capital to expand, remodel stores or upgrade equipment.

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California Pizza Kitchen Announces Financial Results for the Third Quarter 2010

Highlights for the third quarter of 2010 relative to the third quarter of 2009 were as follows:

• Total revenues decreased 0.2% to $164.5 million
• Full service comparable restaurant sales increased 0.7%
• Non-GAAP net income of $5.7 million, or $0.23 per diluted share, excluding the effects of the non-cash impairment write-down of 10 full service restaurants, the proposed settlement of a class-action lawsuit, store closure costs and the related tax benefits (please refer to the reconciliation table).
• Net loss of $7.5 million, or negative $0.31 per diluted share, including the effects of the non-cash impairment write-down of 10 full service restaurants, the proposed settlement of a class-action lawsuit, store closure costs and the related tax benefits.

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J. Alexander’s Corporation Reports Results for Third Quarter and First Nine Months of 2010 Fiscal Year

A summary of the third quarter of 2010, compared to the third quarter of 2009, follows:

• Net sales increased 8.5% to $35,164,000 from $32,423,000.
• Average weekly same store sales per restaurant advanced 8.6%.
• The loss before income taxes was $1,012,000 compared to a loss before income taxes of $2,608,000 in the third quarter of 2009.
• An income tax benefit of $2,490,000 was recorded for the third quarter of 2010 compared to a benefit of $1,289,000 in the third quarter of 2009.

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Wendy’s/Arby’s Group Reports Third Quarter 2010 Results

Roland Smith, President and Chief Executive Officer of Wendy’s/Arby’s Group, stated: “The third quarter was a difficult one for both brands. While the Wendy’s® brand outperformed many quick service restaurant peers with systemwide same-store sales of -1.7%, the lack of growth resulted in sales deleverage. This deleverage effect combined with commodity cost increases caused Wendy’s third quarter restaurant margins to fall by approximately 200 basis points year-over-year, excluding the impact of incremental advertising for Wendy’s new breakfast. Arby’s® systemwide same-store sales were -5.9%. Company-operated restaurant margins were impacted by sales deleverage and commodity cost increases as restaurant margins fell by 170 basis points. On a consolidated basis, adjusted EBITDA¹ was slightly lower than our expectations at approximately $100 million; however, we are reiterating our adjusted EBITDA guidance for 2010.

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Denny’s Announces Opening of First Denny’s Café

The opening of the first Denny’s Café location will take place on November 12, 2010, in Orange, California. Denny’s Café leverages the traditional Denny’s brand image to offer diners the same family restaurant experience in a setting that provides a faster service model, where guests will be able to order from menu boards at the counter, select their table and have the food delivered directly to them. Denny’s Café features a more abbreviated menu, offering most of the traditional favorites found at Denny’s, including the ‘$2 $4 $6 $8’ value menu.

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Sonesta Announces 2010 Third Quarter Earnings

BOSTON, Nov 12, 2010 (GlobeNewswire via COMTEX) -- Sonesta International Hotels Corporation  today reported a net loss of $589,000, or $(0.16) per share, in the quarter ended September 30, 2010, compared to net income of $27,379,000, or $7.41 per share, in the quarter ended September 30, 2009. Operating revenues, excluding other revenues from managed and affiliated properties, were $17,737,000 in the 2010 quarter, compared to $14,517,000 in the 2009 quarter. The Company had an operating loss of $443,000 in the third quarter of 2010, compared to operating income of $148,000 during the same period in 2009.

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