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WENDY'S PROFITS UP 30 PERCENT IN FIRST QUARTER

 WENDY'S PROFITS UP 30 PERCENT IN FIRST QUARTER
 DUBLIN, Ohio, April 29 /PRNewswire/ -- Wendy's International, Inc.


(NYSE: WEN) reported a 30 percent increase in profits as the company posted record systemwide sales and revenues in the first quarter ended March 29, 1992.
 Net income for the first quarter was $7.7 million, or $.08 per share, versus $5.9 million, or $.06 per share a year ago. These were the highest first quarter earnings recorded in six years.
 Revenues for the quarter increased 13.2 percent to a first quarter record of $279 million from $246 million a year earlier.
 The board of directors approved a quarterly dividend of $.06 per share, payable May 22 to shareholders of record May 11.
 "These results clearly demonstrate that Wendy's has successfully maintained momentum in an uncertain economy," said James W. Near, Wendy's chairman and chief executive officer. "We have stayed focused on our key business strategies of improving restaurant operations, creating consistent marketing, fostering a performance-driven culture, and aggressively building restaurants."
 Company restaurant operating margins improved to 11.7 percent, from 10.7 percent in the first quarter last year. Average net sales per domestic company restaurant rose 5 percent over 1991 to $216,400, making it the 13th consecutive quarter of year-to-year sales gains. Near noted that all-time sales records were established for 12 of the 13 weeks in the quarter.
 Systemwide sales, or sales of both company and franchise restaurants, were a record $808 million for the quarter versus $743 million a year ago.
 Near said a key factor in Wendy's improved performance has been the increases in per-store sales. Customer transactions rose 5 percent for the quarter while prices actually decreased almost 1 percent, part of the company's continuing commitment to value pricing.
 "We have attracted more customers into the restaurants with special sandwiches, such as the Chicken Cordon Bleu and our increasingly popular Super Value Menu products at 99 cents each everyday," Near added. "We're confident the introduction of our five Fresh Salads To Go will continue this momentum into the second quarter."
 There were a total of 3,832 Wendy's Old Fashioned Hamburgers restaurants open worldwide as of March 29, 1992, 107 more than a year ago. The company plans to open or have under construction 250 restaurants systemwide this year and reach 5,000 restaurants by the mid-1990s.
 WENDY'S INTERNATIONAL, INC. AND SUBSIDIARIES
 CONSOLIDATED STATEMENT OF INCOME
 (In thousands except per share data)
 Quarter Ended Quarter Ended
 March 29 March 31
 1992 1991
 Revenues:
 Retail sales $255,453 $223,745
 Royalties 20,327 19,561
 Other 2,783 2,723
 Total 278,563 246,029
 Costs & expenses:
 Cost of sales 151,594 132,516
 Company restaurant
 operating costs 73,979 67,192
 General and administrative
 expenses 22,681 20,054
 Depreciation and
 amortization of property
 and equipment 14,966 13,959
 Interest, net 3,332 3,004
 Total 266,552 236,725
 Income before income taxes
 and extraordinary loss 12,011 9,304
 Income taxes 4,324 3,396
 Income before extraordinary
 loss 7,687 5,908
 Extraordinary loss on early
 extinguishment of debt (net
 of income tax benefit of $9) (14) --
 Net Income $ 7,673 $ 5,908
 Per share data (primary and
 fully diluted):
 Income before extraordinary
 loss $.08 $.06
 Extraordinary loss -- --
 Net income $.08 $.06
 Dividends $.06 $.06
 Primary weighted average
 shares outstanding 101,083 98,260
 Systemwide sales $808,000 $743,000
 Average net sales per
 domestic restaurant:
 Company $216,400 $206,000
 Franchise 207,800 194,800
 Total domestic 210,500 198,000
 Number of restaurants:
 Company 1,166 1,066
 Franchise 2,666 2,659
 Total 3,832 3,725
 -0- 4/29/92
 /CONTACT: Denny Lynch of Wendy's International, Inc., 614-764-3413/
 (WEN) CO: Wendy's International, Inc. ST: Ohio IN: LEI SU: ERN


KK -- CL006 -- 4206 04/29/92 09:19 EDT
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Publication:PR Newswire
Date:Apr 29, 1992
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