Highlights for the 12 weeks ended 14 July 2009 compared to the 12 weeks ended 15 July 2008:
“We continued to make strong progress against our strategic initiatives in the second quarter despite a challenging operating environment,” said James D White, president and CEO, Jamba Inc. “We successfully completed the sale of $35m in convertible, preferred stock. The sale proceeds, which were used to repay our senior term note and eliminate all of our long-term debt, have strengthened our balance sheet. We expanded food into almost 300 locations and made good progress in our brand licensing initiative. We grew our franchise base and are making progress in our refranchising programme. We also continue to advance our cost management initiatives. In the face of an intensely difficult macro-economic climate, we implemented our ‘Blend’ plan, which is mitigating some of the headwinds we face.
“We’re pleased with the initial response to the grab-and-go food offerings launched in June. Based on our preliminary analysis, our stores in California, which were the first to offer grab-and-go food items, are showing an increase in customer visits and average check. The introduction of great tasting, high quality, value-priced, better-for-you food is a game-changing proposition for Jamba and we’re fully committed to its success. These foods are a great fit with the Jamba brand and a perfect complement to our beverages. We recently expanded our food offering to the East Coast with the launch of our California Flatbreads into the New York City marketplace in July and, as we announced today, the launch of a full menu of offerings into the Chicago marketplace.
“We’ve made good progress on our franchise development initiative. We opened six new franchise locations and are on pace with our plans to open 40 to 45 new outlets, primarily franchised locations, by year end. In July, we announced the sale of nine Company stores in Oregon to an existing franchisee, which followed the earlier sale in the first quarter of 2009, of 10 Company locations to an existing franchisee in Arizona. We expect to close a number of additional deals this year.”
© FoodBev Media Ltd 2021
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