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Domino's, Denny's And Wendy's All At Risk Of Going Broke (w/obligatory Palin snark included)
Pop Blend ^ | July 4, 2011 | Jacob Sundstrom

Posted on 07/04/2011 1:19:27 PM PDT by 2ndDivisionVet

We live in a backwards world where great things happen to bad people, bad things happen to good people, and where Sarah Palin is considered a legitimate presidential candidate. The greatest example of the inverse nature of our universe is the success, or lack of success found by restaurants around the world, particularly the United States. We live in a world where Noah’s Bagels nears bankruptcy while McDonalds thrives on our fatty flesh (and charging for sauce packets? GET THE HELL OUT OF HERE.).

In a list published by The Street, twenty restaurant chains are at risk of going under. Some are on their way up, others on their way down, and some are just chilling out in mediocrity. The list was compiled using an Altman score which combines a bunch of different factors to measure the health of a company (and its investment quality). Over a 3.1, you’re all good; under a 1.8 and you’re screwed; anywhere in between is a glorious grey mass. It should be noted that a company filing for bankruptcy does not equal its’ speedy dismissal from this Earth. Marie Callender’s went bankrupt earlier this year, and while they’ll be closing many of their mediocre restaurants; I’m almost positive the one outside Six Flags Magic Mountain will remain open. Thank God, how else am I supposed to get free parking for Six Flags? Oh, and expensive pies.

Red Robin and Sonic are both on their way out of despair, which is a shame; there is nowhere more mediocre than a Sonic restaurant. It’s the kind of place people go to because they can’t come up with anything more interesting, or after they've already been to Carl’s Jr. four times that week. Red Robin is overpriced, and the service has always been “meh”. Seriously, charge me fifteen dollars for a burger without smiling? Screw you, bro.

Noah’s Bagels is also recovering, which is great; because I’d probably cry if the only decent bagel place in my area shut down. Domino’s Pizza is also considered a bankruptcy risk, although its’ stock has risen 85% over the past year. It remains 29% lower than it was pre-recession, but that’s partially because the pizza tasted like cardboard until about a year ago. Moral of the story: bad companies have a harder time selling their slop when no one has any money.

DineEquity, the restaurant group that owns Applebee’s and IHOP is also struggling mightily, although the almost-as-good-as-TGI-Fridays casual restaurant chain has experienced some growth recently due to a revitalization of the brand. IHOP has continued to struggle though, probably because the pancakes suck, and Denny’s is at least perceived as having a greater swath of options than a place that is dedicated 100% to pancakes, more or less.

Apparently not as many people are thinking Arby’s as the commercials claimed; the Wendy’s/Arby’s group is diverging, so that the company can focus on their namesake brand (Wendy’s). First step: Enough of the damned sea-salt french fries. My hamster loves them, but hey, he also licks a block of salt all day just to get his kicks. This is one company that is moving downwards right now, which seems to be the exception and not the rule on this list.

Denny’s is a weird one because while it has turned a profit four straight years, it has a negative Altman score. I’m obviously not a stock expert, but this seems weird to me. Apparently the chain has underperformed and taken heat for giving away too much food; all I know is that those grand slam breakfasts are freaking awesome -- as is the heartburn that follows.

Here’s a list of the twenty riskiest restaurant stocks, better head out to your favorite’s to hopefully push them back towards the black! The list goes from least risky to most risky:

Red Robin Gourmet Burgers
Sonic
Ruby Tuesday
J. Alexander’s
Carrols Restaurant Group
Einstein Noah Restaurant Group
O’Charley’s
Kona Grill
Ruth’s Hospitality Group
McCormick & Schmick’s Seafood Restaurant
Bravo Brio Restaurant Group
Domino’s Pizza
Rick’s Cabaret International
DineEquity
Morton’s Restaurant Group
Wendy's/Arby's
Granite City Food & Brewery
Denny’s
Good Times Restaurants
Cosi


TOPICS: Business/Economy; Food
KEYWORDS: bankruptcy; business; economy; food; jobs; obama; recession; restaurants
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To: 2ndDivisionVet

1) Sonic survives because in many small town, it’s the ONLY fast food joint for miles.

2) I have been saying this since 2008, Kiss Wendy’s Goodbye.

3) Why go to Denny’s, especially in urban areas. it’s basically a black hang out with Open Season on whitey actually listed on the menu.

4) Arbys will be a crap shoot.

5) Domino’s are located near military bases and college campuses. They already have a built in market of stoned college kids and 24 hour enlisted guys who will always by their product.


51 posted on 07/04/2011 2:38:58 PM PDT by Le Chien Rouge
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To: 2ndDivisionVet
how else am I supposed to get free parking for Six Flags?

Typical liberal. Maybe taking up parking spaces that would be used by paying customers is cutting into the sales, but apparently he doesn't care as long as he gets free parking for Six Flags. Liberals claim to care about other people, but really its all only ever about themselves.

52 posted on 07/04/2011 2:40:29 PM PDT by Teotwawki (To Him be the glory throughout all generations.)
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To: buccaneer81

I love 5 Guys french fries and hot dogs but their burgers make sick to my stomach.


53 posted on 07/04/2011 3:01:19 PM PDT by proudofthesouth (Democratic Party - The party of genocide.)
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To: trumandogz

They serve food at Rick’s but thats now what men go there for! LOL


54 posted on 07/04/2011 3:15:34 PM PDT by Astronaut
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To: 2ndDivisionVet

Bite me, Bozo (to the author of the article)


55 posted on 07/04/2011 3:33:33 PM PDT by Babu
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To: Venturer

Yea I shoulda stopped there, but I didn’t and was subjected to his “suggestion” for Wendy’s: “First step: Enough of the damned sea-salt french fries.”

The Sea Salt Natural Cut fries are the best thing Wendy’s has done for a while. Second being the Applewood bacon.

Now where Wendy’s fraked up (besides the entire getting into bed with Arby’s after Dave Thomas died) was spending money on developing vanilla frosties and frosty shakes. Neither are frosties and neither are any good.

Jack in the Box’s shakes are thicker than Frosty shakes and the fake frosty blizzard knockoffs are straw food where they should be spoon food. So may as well go to DQ if I want a Blizzard.

Hell even Arctic Circle does better and you don’t see many of them around any longer, unless you find one that’s a bizarre marriage of KFC/Arctic Circle.

Don’t even get me started on the downfall of KFC ever since Col Sanders passed away....

Whoa sorry went off on a rant...


56 posted on 07/04/2011 3:46:28 PM PDT by Domandred (Fdisk, format, and reinstall the entire .gov system.)
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To: 2ndDivisionVet

I think that restaurants are suffering economic stresses from have a limited work pool. Fast food restaurants were a source of high school and collage student jobs. So you had bright,energetic, ethical, hygienic individuals who worked hard . They viewed a fast food job as a stepping stone. Now we have illegals and lower class people working at fast food places that cost these businesses more. The current work pool individuals are not reliable, make mistake that result in waste, don’t show for work or do something that results in litigation.


57 posted on 07/04/2011 3:47:41 PM PDT by pterional
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To: Cvengr

Little Caeser’s Veterans Program
http://franchise.littlecaesars.com/VeteransProgram/VeteransProgramInformation.aspx


58 posted on 07/04/2011 3:49:59 PM PDT by 2ndDivisionVet (I'll raise $2million for Gov. Sarah Palin. What'll you do?)
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To: I still care

I watched a FOX interview with an owner of some IHOP restaurants who said Obamacare is basically going to cause him to raise his prices by 5%. He owns 10 IHOPs in Illinois and his revenue per employee is $58,000 per year and profit is 3,000 per employee per year.

The penalty for not providing health insurance under Obamacare will be $2,000 per employee and the penalty isn’t deductible, so he’ll actually have to make $2,800 additional profit per employee. Most restaurant profits per employee are similar, so Obamacare will directly cause a 5% increase in the price of eating out. And his workers still won’t have health insurance.


59 posted on 07/04/2011 3:55:08 PM PDT by Kellis91789 (There's a reason the mascot of the Democratic Party is a jackass.)
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To: Domandred

Wow! Arctic Circle. I haven’t been to one since I was a kid in Montana. Glad to see they still exist.
I second that motion on KFC. The Colonel would be spinning in his grave if he knew how low-rent his product has become.


60 posted on 07/04/2011 4:00:59 PM PDT by boop ("Let's just say they'll be satisfied with LESS"... Ming the Merciless)
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To: 2ndDivisionVet

doesn’t surprise me in the least about Wendy’s, they won’t take a bill larger than a $20. Corporate decision, even though they know it’s costing them money, they don’t care.

It only costs $1 for a large iced tea at Mc’d’s


61 posted on 07/04/2011 4:02:56 PM PDT by conservativesister
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To: SeaHawkFan

They went bankrupt didn’t they? They closed all but a couple in NC. I think Greensboro and Charlotte are the only two left.


62 posted on 07/04/2011 4:11:00 PM PDT by kalee (The offenses we give, we write in the dust; Those we take, we engrave in marble. J Huett 1658)
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To: 2ndDivisionVet

“... I’m obviously not a stock expert”

Not much of a writer either.


63 posted on 07/04/2011 4:16:35 PM PDT by count-your-change (You don't have be brilliant, not being stupid is enough.)
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To: pterional

Not to mention folks like me that really pay attention to what type of workers they have- I even peek in the back if I possibly can. If I suspect the crew are illegals I will never ever return. I would rather deal with a spaced out teen that has no idea how to make change- at least they are likely citizens and they need to learn how to work somewhere- I encourage them every chance I get.


64 posted on 07/04/2011 4:23:17 PM PDT by Tammy8 (~Secure the border and deport all illegals- do it now! ~ Support our Troops!~)
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To: Maine Mariner
"I think a good number of Fuddruckers restaurants have already closed across the county."

In my geographical area, I know of five closed Fudds I could drive to in 30 minutes, and only one still in operation.

65 posted on 07/04/2011 4:24:48 PM PDT by Lockbar (March toward the sound of the guns.)
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To: max americana
Remember the Chinese Restaurant scene in A Christmas Story?

Ringle Bells, Ringle Bells... LOL

66 posted on 07/04/2011 4:29:28 PM PDT by Kickass Conservative (If Sarah Palin was President, you would have a job by now.)
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To: buccaneer81

“5 Guys is about the same cost as Wendy’s...and 100X better.”

Huh? The only time I went to Five Guys it was 10 bucks for a burger, fries and drink.


67 posted on 07/04/2011 4:30:17 PM PDT by Rebelbase
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To: Rebelbase
At my local stores:

Wendy's...Double Baconator Combo (medium): $7.99

5 Guys: Bacon Cheeseburger (which is 2 patties), regular fries (enough for 2-3 people) and drink: $10.57.

The size of the fries plus the quality of the burger makes 5 Guys a better value, at very close to the same price.

68 posted on 07/04/2011 5:02:58 PM PDT by buccaneer81 (ECOMCON)
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To: Lockbar

Yes I know of at least a dozen that have closed.
But twenty years ago, when they were just starting, people would wait in line for 30 minutes to get in.

My eating experiences there were always good. They actually made malts with malt added.


69 posted on 07/04/2011 5:03:52 PM PDT by Maine Mariner
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To: buccaneer81

All I can think of was my bicycle trips to McDonalds around 1960.

Burgers 15 cents.
Fries a dime.


70 posted on 07/04/2011 5:06:49 PM PDT by nascarnation
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To: boop
The Colonel would be spinning in his grave if he knew how low-rent his product has become.

Go to YouTube and look at what the KFC target demographic was 35 years ago. Now look at today's.

Same with McDonald's...my son calls them "Ghetto Burger" and suggests that Homie the Clown would be a much better mascot today.

71 posted on 07/04/2011 5:07:26 PM PDT by buccaneer81 (ECOMCON)
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To: nascarnation
All I can think of was my bicycle trips to McDonalds around 1960. Burgers 15 cents. Fries a dime.

That's $1.82 today adjusted for inflation.

Price today? $2.00. But the quality in 1960 was far superior, without a doubt.

72 posted on 07/04/2011 5:13:02 PM PDT by buccaneer81 (ECOMCON)
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To: kjo
...never seen anything like the media hit on Palin

Oh, Nixon got it 24/7 from the press, too, BUT He was in office! and they pretty much quit after he resigned.

But you are right, nothing like thae attack on Sarah Palin--AND she is a private citizen!!

She must have them dribbling in their Depends.

73 posted on 07/04/2011 5:28:30 PM PDT by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing.)
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To: buccaneer81

It was a different time. I was 11 or 12 yrs old. Mom gave me two quarters and I rode my bike a couple miles to get there - wow I was hot stuff.


74 posted on 07/04/2011 5:45:37 PM PDT by nascarnation
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To: ChocChipCookie
Our family stopped at a Wendy’s yesterday and the tab came to $31!

You obviously didn't avail yourself of the items on the value menu. Here, I'll help: "junior bacon cheese burger, value fries, small chili, to go". Less than $4. The kids just need to know their place, and their place is the value menu.

75 posted on 07/04/2011 7:39:37 PM PDT by Minn (Here is a realistic picture of the prophet: ----> ([: {()
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To: Minn
You obviously didn't avail yourself of the items on the value menu. Here, I'll help: "junior bacon cheese burger, value fries, small chili, to go". Less than $4. The kids just need to know their place, and their place is the value menu.

Words of wisdom.

76 posted on 07/04/2011 7:47:40 PM PDT by Zhang Fei (Let us pray that peace be now restored to the world and that God will preserve it always.)
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To: radpolis
A Republican attack obama? Are you:1. dreaming. 2.Hallucinating. 3. Joking?

A Republican member of Congress called him when he was lying about obamacare. The other Republicans almost lynched the guy. a lesson learned.

77 posted on 07/04/2011 8:12:36 PM PDT by sport
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To: 2ndDivisionVet

I’m not surprised. We don’t eat at any of these places.


78 posted on 07/04/2011 8:43:23 PM PDT by proudtobeanamerican1 (A house divided against itself cannot stand.” Abraham Lincoln)
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To: Venturer
I dunno, the clown lost me when he threw that dig at Sarah Palin.

Up His.

Yep. Hey jerk writer! We also live in a world where you seem to think people give a s#$%T what you write!!!

79 posted on 07/04/2011 8:48:32 PM PDT by CommieCutter (Promote Liberal Extinction: Support gay marriage and abortion!)
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To: Kickass Conservative

fararararara rarah rah rah


80 posted on 07/04/2011 8:57:49 PM PDT by proudtobeanamerican1 (A house divided against itself cannot stand.” Abraham Lincoln)
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To: proudtobeanamerican1
>”fararararara rarah rah rah”<

I think you have an extra “ra” in there. LOL

Best Christmas movie ever.

81 posted on 07/04/2011 9:37:48 PM PDT by Kickass Conservative (If Sarah Palin was President, you would have a job by now.)
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