Back Yard Burgers Looking to New Leadership for Continued Strong Growth
March 27 2006 - 2:29PM
PR Newswire (US)
MEMPHIS, Tenn., March 27 /PRNewswire-FirstCall/ -- The growth,
maturity and success of a franchisor can often be followed like
chapters in a book. For Back Yard Burgers, the Memphis-based
quick-serve chain that specializes in charbroiled, freshly prepared
hamburgers and chicken, a new chapter is beginning to unfold. The
173-restaurant chain was founded in 1987 by Lattimore M. Michael, a
former independent grocery store owner. With locations in 20
states, Back Yard Burgers, a publicly traded company listed on The
NASDAQ Stock Market, Inc. (BYBI) has opened 66 new restaurants
since the end of 2003. Systemwide sales in 2005 fell just short of
$140 million, establishing a high-water mark in the company's
history and easily outdistancing 2004 sales of $113 million.
Expansion plans for 2006 include the opening of 25 new franchise
locations to add to the existing 131 franchises and two
company-operated restaurants to add to the current 42 company
operated restaurants. Now, almost 20 years after the company's
founding, the 63-year-old founder is planning to step aside from
day-to-day operations in his current role as chairman and CEO.
Michael will continue to serve as chairman, but the company has
begun a search for an individual to serve in the newly combined
role of president and CEO. Michael W. Myers resigned as Back Yard
Burgers' president and COO in late February. Myers had been with
the company since 1999. Joseph Weiss, a major stockholder and
franchisee who served as president and COO of Back Yard Burgers
from 1993-1999, is serving as interim COO until a CEO/president is
named. "We feel that this is the right time for the company to
combine the positions of CEO and president in one dynamic leader,"
Weiss said. "We offer a concept that is still young, and we have
excellent operators in our system," Weiss said. "We believe that
the pieces are in place for our continued growth." While Back Yard
Burgers was among the first QSR chains to introduce 100% Black
Angus Beef in 2000, other chains quickly jumped on the bandwagon.
Weiss said one of the responsibilities of the new president/CEO
would be to find new avenues to utilize Back Yard Burgers'
strengths and reputation for quality food to differentiate itself
from its competitors. Weiss said the company is not targeting
specific individuals within the franchising industry to become Back
Yard Burgers' president/CEO, but is instead looking for the "right
personality that will mesh well with our products, customers,
employees and franchisees." Added Michael: "We're looking for an
individual to take us forward from where we are now." Having seen
Back Yard Burgers evolve and grow since he opened his first double
drive-thru in Mississippi almost two decades ago, Michael sees the
next several years as a period of transition and evaluation that he
anticipates will make the company stronger. Weiss echoed Michael's
thoughts. "I believe this is an extremely exciting period for us,"
he said. "The individual who becomes our new president/CEO will
play an important role in our future growth and success."
Forward-Looking Statements: This report contains forward-looking
statements within the meaning of the federal securities laws,
including statements regarding the number of company-operated and
franchised restaurants the company anticipates opening during
fiscal year 2006. Forward-looking statements are based upon
estimates, projections, beliefs and assumptions of management at
the time of such statements and should not be viewed as guarantees
of future performance. Such forward-looking information involves
important risks and uncertainties that could significantly impact
anticipated results in the future and, accordingly, such results
may differ materially from those expressed in any forward-looking
statements by or on behalf of the company. The factors that could
cause the company's actual results to differ materially, many of
which are beyond the control of the company, include, but are not
limited to, the following: delays in opening new stores or outlets
because of weather, local permitting, and the availability and cost
of land and construction; increases in competition and competitive
discounting; increases in minimum wage and other operating costs;
shortages in raw food products; volatility of commodity prices;
consumer preferences, spending patterns and demographic trends; the
possibility of unforeseen events affecting the industry generally,
and other risks described from time to time in the company's
periodic reports filed with the Securities and Exchange Commission.
Back Yard Burgers, Inc. disclaims any obligation to update or
revise any forward-looking statement based on the occurrence of
future events, the receipt of new information, or otherwise.
DATASOURCE: Back Yard Burgers CONTACT: Kelly Templer of Sanderson
& Associates, Ltd., +1-312-829-4350,
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