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WENDY'S PROFITS UP 35 PERCENT IN FOURTH QUARTER; 26 PERCENT FOR 1992

 DUBLIN, Ohio, Feb. 23 /PRNewswire/ -- Continued increases in average restaurant sales coupled with significant new unit growth helped Wendy's International's (NYSE: WEN) profits jump 35 percent in the fourth quarter and 26 percent for the year ended Jan. 3.
 Net income for the fourth quarter of 1992 was $14.7 million, up 35 percent over the $10.9 million posted a year ago. Fully diluted earnings per share were $.14 versus $.11 in 1991.
 Revenues for the quarter were up 13 percent to $306 million, compared with $270 million, and systemwide sales topped $901 million, versus $817 million.
 Net income for all of 1992 was $64.7 million, compared with $51.3 million a year earlier. Earnings per share for the year were $.63 on a fully diluted basis, versus $.52 in 1991. Revenues rose 17 percent to an all-time record $1.24 billion, versus $1.06 billion. Systemwide sales also reached a record $3.6 billion, compared with $3.2 billion in 1991. The 1992 figures include an extra week, taken during the second quarter, because of fiscal year accounting policy.
 "I'm proud that our strong sales and profit momentum is continuing," said James W. Near, Wendy's chairman and CEO. "We know we are outperforming our hamburger competitors in sales and transaction growth. This remains a simple, but intense business with increasing competition. Our challenge is to maintain our total commitment to exceed the customer's expectations," he added.
 1992 Highlights
 -- Third consecutive year of net income growth exceeding 25
 percent
 -- Third consecutive year of earnings per share growth of more
 than 20 percent
 -- 16 consecutive quarters of year-to-year sales gains
 -- All-time sales records set in 49 out of 53 weeks
 -- 1992 had the 13 highest sales weeks in Wendy's history
 -- Systemwide average net sales for all domestic restaurants hit
 $912,000, an all-time record
 -- Shareholders' equity reaches a record $529 million, or $5.35
 per share
 -- Stock price increased 28 percent during the calendar year
 DIVIDEND ANNOUNCED
 The board of directors approved a quarterly dividend of $.06 per share, payable March 19 to shareholders of record March 5.
 Average store sales up
 Average net sales per domestic company restaurant rose 5.7 percent for the year, while average prices declined about 2 percent, resulting in a nearly 8 percent real sales growth. Customer traffic was up almost 4 percent for all of 1992.
 "I'm extremely gratified that our sales growth is coming from customers choosing Wendy's more often, not price increases. This means we're taking better care of our customers; however, I know we still have a lot of room for improvement," Near said.
 Near added that the Wendy's system opened 235 restaurants during 1992 and finished the year with 4,010 stores open or under construction worldwide. He said development will accelerate in 1993, with 350 new restaurants planned.
 "We know one of the keys to sustained growth is an aggressive but responsible development plan. We want to open a lot of restaurants as soon as we can, but they must be profitable. We're not building for the sake of adding numbers," Near explained.
 Value, Taste & "Dave" Important
 Near said the company has been successful at selling products at both ends of the price spectrum, balancing the 99-cent everyday Super Value Menu products with specialty sandwiches like the Wendy Melt and Spicy Chicken that are offered for a limited time.
 "Our menu has the broadest consumer appeal in our history, and we have in Dave Thomas the best advertising spokesman in the industry. Dave's ads continue to appeal to everyone and we plan to continue his straight-talking, old fashioned commercials," Near said.
 WENDY'S INTERNATIONAL, INC. AND SUBSIDIARIES
 CONSOLIDATED STATEMENT OF INCOME
 (In thousands except per share data)
 Quarters Ended Year-to-Date Ended
 1/3/93 12/29/91 1/3/93 12/29/91
 (13 Wks.) (13 Wks.) (53 Wks.) (52 Wks.)
 Revenues:
 Retail sales $277,997 $245,975 $1,123,868 $ 962,793
 Royalties 24,093 21,161 96,403 85,518
 Other 3,782 2,551 18,258 12,070
 305,872 269,687 1,238,529 1,060,381
 Costs & expenses:
 Cost of sales 164,916 143,397 662,892 563,245
 Company restaurant
 operating costs 74,090 70,098 306,356 274,312
 General and admini-
 strative expenses 25,157 22,183 94,068 76,077
 Depreciation and
 amortization of
 property and
 equipment 16,104 14,425 61,686 56,071
 Interest, net 2,690 3,119 12,414 12,303
 282,957 253,222 1,137,416 982,008
 Income before income
 taxes and extra-
 ordinary loss 22,915 16,465 101,113 78,373
 Income taxes 8,249 5,598 36,401 26,672
 Income before
 extraordinary loss 14,666 10,867 64,712 51,701
 Extraordinary loss
 on early extinguish-
 ment of debt (net
 of income tax benefits
 of $9 and $242) (14) (396)
 Net income $ 14,666 $ 10,867 $ 64,698 $ 51,305
 Per share data:
 Primary net income $.14 $.11 $.64 $.52
 Fully diluted
 net income $.14 $.11 $.63 $.52
 Dividends $.06 $.06 $.24 $.24
 Primary shares
 outstanding 102,144 99,464 101,414 99,386
 Fully diluted shares
 outstanding 110,277 99,573 109,650 99,508
 Systemwide sales: $901 M $817 M $3,613 M $3,224 M
 Average comparable
 net sales per
 domestic restaurant:
 Company $230,750 $217,300 $924,050 $874,200
 Franchise 228,400 211,350 906,600 842,700
 Total domestic 229,150 213,100 912,000 851,800
 Number of restaurants:
 Company 1,208 1,162 1,208 1,162
 Franchise 2,754 2,642 2,754 2,642
 Total 3,962 3,804 3,962 3,804
 -0- 2/23/93
 /CONTACT: Denny Lynch of Wendy's International, Inc., 614-764-3413/
 (WEN)


CO: Wendy's International ST: Ohio IN: LEI SU: ERN

KK -- CL010 -- 9373 02/23/93 11:20 EST
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Date:Feb 23, 1993
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