Those who subscribe to our for-fee newsletter had this news right away (hint, hint):
- While still a minority, 22% of Coca-Cola shareholders supported a resolution at the May 2, 2010 stockholders meeting urging the company to disclose its plans for dealing with rising concern over bisphenol A (BPA) used in the linings of Coke’s and other beverage makers’ cans.
- With Kroger announcing gluten-free pizza, Schwan’s Food Service, Inc., a major food supplier to schools, as promised to double the whole grain in its products, as well as reducing the sodium content by the fall of 2011. According to the company, nearly ¼ of its foodservice school pizza products contain some whole grains, with 1/3 having above 51% whole grains. It’s a start…
- Yet another restaurant chain is changing hands: Rubio’s Restaurants will sell the 195-unit fast casual Rubio’s Mexican Grill to Mill Road Capital LP for $91MM.[1] The sale was perhaps to stave off further efforts by investor Alex Meruelo and private-equity firm Levine Leichtman Capital Partners whose previous two attempts had been turned down. Same-store sales for the first quarter of 2010 were down 1.8%, which translated into a decrease in transaction volume that was partially offset by an increase in the average check.
- Landry’s announced it had doubled Q1 profits thanks to one-time events even as sales tumbled. The chain acquired the bankrupt Oceanaire Seafood Room chain in April, but did not include it in the announcement.
- BI-LO’s reorganization plan has been approved by its bankruptcy judge allowing the company to keep most of its stores and to receive loans and equity from several sources.
- NexCen Brands is selling its franchises including the Great American Cookie, MaggieMoo’s, Marble Slab Creamery, Pretzelmaker and Pretzel Time brands to an affiliate of the private-equity firm Levine Leichtman Capital Partners for $112.5MM. NexCen has been fighting the usual falling sales and fewer franchise openings, coupled with high debt maintenance.
- General Mills beats Wall Street: the company’s stock split two-for-one for the seventh time since its founding in 1928. It says total return to its shareholders through stock price appreciation and dividends compounded at an 8% annualized rate over the past decade, compared with less than 1% for the Standard & Poors 500.
[1] The Greenwich, Conn.-based Mill Road Capital specializes in publicly traded companies under $250MM, and was already a limited shareholder. The firm sought unsuccessfully to buy Ariz.-based Kona Grill Inc.
We are proud members of the International Licensing Industry Merchandisers Association (LIMA), the recognized, authoritative voice of the licensing industry.