SOURCE: Panera Bread Company
ST. LOUIS, MO–(Marketwire – October 26, 2010) – Panera Bread Company (
HIGHLIGHTS
-- Company-owned new bakery-cafe AWS increased to $40,950 YTD vs. $37,068
in 2009
-- Acquired 37 bakery-cafes from New Jersey franchisee, accretive in 2011
-- Q3 2010 share repurchase totaled $79 million lifting EPS by $0.01 for
the quarter
-- Q4 2010 EPS target raised to $1.15 to $1.17 (up 21% to 23%)
-- Full Year 2010 EPS target increased to $3.57 to $3.59 (up 28% to 29%)
-- Full Year 2011 EPS target set at $4.30 to $4.35 (up 20% to 22%)
Panera Bread Company (
million, or $0.75 per diluted share, for the third quarter ended September
28, 2010. The third quarter of fiscal 2010 results compare to net income of
$19 million, or $0.61 per diluted share, for the third quarter ended
September 29, 2009, and represent a 23% year-over-year increase in diluted
earnings per share.
For the thirty-nine weeks ended September 28, 2010, net income was $75
million, or $2.42 per diluted share. These results compare to net income
of $56 million, or $1.82 per diluted share, for the thirty-nine weeks ended
September 29, 2009, and represent a 33% year-over-year increase in diluted
earnings per share.
The Company’s third quarter and year-to-date fiscal 2010 consolidated
statements of operations and margin analyses are attached as Schedule I.
The following tables set forth, for the periods indicated, certain items
included in the Company’s consolidated statements of operations (in
thousands, except per share data and percentages):
For the 13 Weeks Ended
-------------------------
September 28, September 29, Percentage
2010 2009 Change
------------ ------------ -----------
Total revenue $ 371,994 $ 335,018 11%
Net income $ 22,797 $ 18,894 21%
Diluted earnings per share $ 0.75 $ 0.61 23%
Shares used in diluted EPS 30,534 31,065
For the 39 Weeks Ended
-------------------------
September 28, September 29, Percentage
2010 2009 Change
------------ ------------ -----------
Total revenue $ 1,114,328 $ 986,521 13%
Net income $ 75,342 $ 56,356 34%
Diluted earnings per share $ 2.42 $ 1.82 33%
Shares used in diluted EPS 31,193 30,925
Third Quarter Fiscal 2010 Results and Business Review
Comparable Bakery-Cafe Sales Growth
In the third quarter of fiscal 2010, system-wide comparable bakery-cafe
sales increased 6.9%, Company-owned comparable bakery-cafe sales increased
5.5%, and franchise-operated comparable bakery-cafe sales increased 7.9%
versus the comparable period in fiscal 2009. Two year system-wide
comparable bakery-cafe sales increased 9.6%, two year Company-owned
comparable bakery-cafe sales increased 8.7% and two year franchise-operated
comparable bakery-cafe sales increased 10.3%.
The Company-owned comparable bakery-cafe sales increase of 5.5% in the
third quarter of fiscal 2010 included the following year-over-year
components: transaction growth of 0.2% and average check growth of 5.3%.
Average check growth in turn was comprised of retail price increases of
approximately 2.0% and mix impact of approximately 3.3%. A schedule of
comparable bakery-cafe sales information is attached as Schedule III.
Operating Margin
In the third quarter of fiscal 2010, the Company generated operating margin
improvement of approximately 20 basis points compared to the third quarter
of fiscal 2009. The current fiscal quarter results included approximately
80 basis points of expense related to the rollout of the Company’s new
MyPanera™ loyalty program.
Capital Deployment
During the third quarter of fiscal 2010, the Company opened 10 new
bakery-cafes and its franchisees opened 12 new bakery-cafes. As a result,
there are now 1,421 bakery-cafes open system-wide as of September 28, 2010.
Company- Franchise- Total
owned operated System
---------- ---------- ----------
Bakery-cafes as of June 29, 2010 595 804 1,399
Bakery-cafes opened 10 12 22
Bakery-cafes closed - - -
---------- ---------- ----------
Bakery-cafes as of September 28, 2010 605 816 1,421
========== ========== ==========
Average weekly sales (“AWS”) for Company-owned new units year-to-date
through the third quarter of fiscal 2010 was $40,950 compared to $37,068 in
the same period of fiscal 2009. AWS for Company-owned new units in the
third quarter of fiscal 2010 was $39,990 compared to $36,930 in the third
quarter of fiscal 2009. AWS for franchise-operated new units year-to-date
through the third quarter of fiscal 2010 was $37,719 compared to $35,680 in
the same period of fiscal 2009. AWS for franchise-operated new units in
the third quarter of fiscal 2010 was $36,643 compared to $35,133 in the
third quarter of fiscal 2009. A schedule of the third quarter fiscal
2010 AWS is attached as Schedule II.
On September 29, 2010, the Company completed the purchase of substantially
all the assets and certain liabilities of 37 bakery-cafes owned by its New
Jersey franchisee. The Company’s results for the third quarter of fiscal
2010 were not impacted by the purchase as the acquisition was completed
following the close of the quarter.
During the third quarter of fiscal 2010, the Company repurchased 1,007,984
shares at an average share price of $78.51. The share buyback had a
favorable impact of $0.01 on the Company’s third quarter earnings per
diluted share. To date, the Company has repurchased a total of 1,932,969
shares under the program for an aggregate purchase price of approximately
$152 million, which represents a year-to-date impact of $0.04 per diluted
share. The Company has approximately $448 million available under the
existing $600 million repurchase authorization.
Fourth Quarter 2010 Outlook
Fourth Quarter Targets
Diluted EPS Target
For the fourth quarter of fiscal 2010, the Company is raising its target
for earnings per diluted share to $1.15 to $1.17 versus $0.95 per diluted
share in the fourth quarter of fiscal 2009 based on $0.03 accretion from
shares repurchased since the second quarter earnings call and $0.01 impact
from an improved operating margin outlook. This earnings per diluted share
target does not assume any additional share buyback. The Company expects
the acquisition of its New Jersey bakery-cafes to have only minimal impact
on its fourth quarter earnings as a result of integration and transaction
costs associated with the acquisition. If the Company meets its $1.15 to
$1.17 target, diluted earnings per share will grow 21% to 23% in the fourth
quarter of fiscal 2010 versus the comparable period in fiscal 2009.
This fourth quarter of fiscal 2010 diluted earnings per share target
includes the following key assumptions:
Comparable Bakery-Cafe Sales Growth
The range for the Company’s fourth quarter fiscal 2010 Company-owned
comparable bakery-cafe sales growth remains targeted at 4.0% to 6.0% versus
the comparable period in fiscal 2009. The two year Company-owned
comparable bakery-cafe sales target is 11.3% to 13.3%. The assumptions
underlying this comparable bakery-cafe sales growth target for the fourth
quarter are transaction growth of 1.0% to 3.0% and average check growth of
approximately 3.0%, with average check growth comprised of retail price
increases of approximately 2.0% and favorable mix impact of approximately
1.0%.
The Company announced today system-wide comparable bakery-cafe sales in the
first 27 days of the fourth quarter of fiscal 2010 were up approximately
4.9%, Company-owned comparable bakery-cafe sales were up approximately
4.4%, and franchise-operated comparable bakery-cafe sales were up
approximately 5.4%, during the same period. Two year comparable system-wide
bakery-cafe sales growth for the same period was 11.9%, Company-owned
comparable bakery-cafe sales growth was 11.2%, and franchise-operated
comparable bakery-cafe sales growth was 12.5%, during the same two year
period. The Company expects its comparable bakery-cafe sales to accelerate
in November and December given an increased sequential media spend and the
rollout of our loyalty program in Company-owned locations to be nearly
complete by the end of October 2010.
Operating Margin Improvement
In the fourth quarter of fiscal 2010, the Company is targeting 25 to 75
basis points of improvement in operating margin.
Full Year Fiscal 2010 Targets
Updating Full Year Fiscal 2010 Targets
Diluted EPS Target
The Company is raising its full year earnings per diluted share target to
$3.57 to $3.59 based on its third quarter of fiscal 2010 performance and
the impact of its share repurchases since the second quarter earnings call.
If the Company meets its target, it would generate diluted earnings per
share growth of 28% to 29% in fiscal 2010.
The fiscal 2010 diluted earnings per share target assumes the following key
assumptions:
Comparable Bakery-Cafe Sales Growth
The Company is maintaining its fiscal 2010 target for Company-owned
comparable bakery-cafe sales growth of 7.0% to 8.0%. The two year
Company-owned bakery-cafe sales growth target is 9.4% to 10.4%. The 2010
target assumes transaction growth between 1.5% and 2.0% and average check
growth of 5.5% to 6.0%.
Operating Margin Improvement
The Company’s target remains an improvement of approximately 100 to 150
basis points in operating margin for fiscal 2010.
Capital Deployment
The Company is targeting new unit development at the low end of its
original range of 80 to 90 system-wide new unit openings for fiscal 2010
with average weekly sales for Company-owned new units at or above the
high-end of its original $36,000 to $38,000 target range.
The Company’s full year diluted EPS target includes $0.10 impact from share
buyback completed to date in 2010 and minimal impact from the acquisition
of the New Jersey bakery-cafes.
Full Year 2011 Targets
Establishing Full Year Fiscal 2011 Targets
Diluted EPS Target
The Company is today setting its initial target for fiscal 2011 diluted
earnings per share at $4.30 to $4.35, which would represent an increase of
20% to 22% in year-over-year diluted earnings per share from the fiscal
2010 target.
Comparable Bakery-Cafe Sales Growth
The Company’s fiscal 2011 target assumes Company-owned comparable
bakery-cafe sales growth of 4.0% to 6.0%. The two-year Company-owned
bakery-cafe sales growth target is 11.5% to 13.5%. This fiscal 2011
Company-owned target assumes transaction growth between 2.0% and 4.0%,
supported by the loyalty program, increased media spending and average
check growth of approximately 2.0%. The Company is projecting that it will
take modest price increases of approximately 1.5% during fiscal 2011 to
cover inflation.
Capital Deployment
The Company is targeting approximately 95 to 105 new unit openings in
fiscal 2011. Average weekly sales for new Company-owned units is targeted
to be $36,000 to $38,000 in fiscal 2011.
The earnings per diluted share target includes accretion of $0.06 to $0.08
from the acquisition of the New Jersey bakery-cafes and the full year
impact of approximately $0.25 per diluted share of repurchases made during
fiscal 2010, but does not include any incremental share repurchases in the
fourth quarter of fiscal 2010 or full year of fiscal 2011.
Concluding Comment
Bill Moreton, CEO, commented, “We are pleased to report the investments
that we have made to improve the quality of our customers’ experience
continue to pay off. Our 23% year-over-year earnings growth in the third
quarter marks the ninth quarter out of the last 10 that we have generated
earnings growth of 20% or greater. Third quarter results were driven by our
6.9% increase in system-wide comparable bakery-cafe sales. We believe our
two year system-wide comparable bakery-cafe sales of 9.6% puts us among the
very best in our industry. We have been able to achieve these results at
the same time we have invested in a number of initiatives, including the
rollout of our MyPanera™ loyalty program, to elevate our customers’
experience and create real, sustainable points of competitive difference.
We believe these investments position us well for another year of 20% or
greater earnings growth in 2011.”
Notes:
The Company will host a conference call that will be broadcast on the
Internet at 8:30 A.M. Eastern Time on Wednesday, October 27, 2010 to
discuss third quarter fiscal 2010 results, preliminary comparable
bakery-cafe sales results for the first 27 days of the fourth quarter of
fiscal 2010, full year and fourth quarter fiscal 2010 targets and business
outlook for 2011. To access the call or view a copy of this release, go to
http://www.panerabread.com/investor. Access to the call will be made
available for 14 days after the call, and the release will be archived for
one year.
We include in this release information on Company-owned, franchise-operated
and system-wide comparable bakery-cafe sales percentages. Company-owned
comparable bakery-cafe sales percentages are based on sales from
Company-owned bakery-cafes included in our base store bakery-cafes. In
fiscal 2010 we modified the method by which we determine bakery-cafes
included in our comparable bakery-cafe sales percentages to include those
bakery-cafes with an open date prior to the first day of our prior fiscal
year. Previously, comparable bakery-cafe sales percentages were based on
bakery-cafes that had been in operation for 18 months. Similarly, for
fiscal 2010, franchise-operated bakery-cafes include only those
bakery-cafes with an open date prior to the first day of our prior fiscal
year.
Franchise-operated comparable bakery-cafe sales percentages are based on
sales from franchised bakery-cafes, as reported by franchisees, that are
included in our base store bakery-cafes. Acquired Company-owned and
franchise-operated bakery-cafes and other restaurant or bakery-cafe
concepts are included in our comparable bakery-cafe sales percentages after
we have acquired a 100 percent ownership interest and such acquisition
occurred prior to the first day of our prior fiscal year. Comparable
bakery-cafe sales exclude closed locations.
Comparable bakery-cafe sales percentages are non-GAAP financial measures,
which should not be considered in isolation or as a substitute for other
measures of performance prepared in accordance with Generally Accepted
Accounting Principles, or GAAP, and may not be equivalent to comparable
bakery-cafe sales as defined or used by other companies. We do not record
franchise-operated bakery-cafe sales as revenues. However, royalty
revenues are calculated based on a percentage of franchise-operated
bakery-cafe sales, as reported by franchisees. We use franchise-operated
and system-wide sales information internally in connection with store
development decisions, planning, and budgeting analyses. We believe
franchise-operated and system-wide sales information is useful in assessing
consumer acceptance of our brand; facilitates an understanding of our
financial performance and the overall direction and trends of sales and
operating income; helps us appreciate the effectiveness of our advertising
and marketing initiatives which our franchisees also contribute based on a
percentage of their sales; and provides information that is relevant for
comparison within the industry.
Panera Bread Company owns and franchises 1,421 bakery-cafes as of September
28, 2010 under the Panera Bread®, Saint Louis Bread Co.®, and Paradise
Bakery & Café® names. Our bakery-cafes are principally located in
suburban, strip mall and regional mall locations. We feature high quality,
reasonably priced food in a warm, inviting, and comfortable environment.
With our identity rooted in handcrafted, fresh-baked, artisan bread, we are
committed to providing great tasting, quality food that people can trust.
Nearly all of our bakery-cafes have a menu highlighted by antibiotic free
chicken, whole grain bread, and select organic and all-natural ingredients,
with zero grams of artificial trans fat per serving, which provide
flavorful, wholesome offerings. Our menu includes a wide variety of
year-round favorites complemented by new items introduced seasonally with
the goal of creating new standards in everyday food choices. In
neighborhoods across this country and in Ontario, Canada, our customers
enjoy our warm and welcoming environment featuring comfortable gathering
areas, relaxing decor, and free internet access. Our bakery-cafes
routinely donate bread and baked goods to community organizations in need.
Additional information is available on the Company’s website,
http://www.panerabread.com.
Matters discussed in this news release and in our public disclosures,
whether written or oral, relating to future events or our future
performance, including any discussion, express or implied, on our
anticipated growth, operating results, plans, objectives, and future
earnings per share, contain forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. These statements are often identified by
the words “believe”, “positioned”, “estimate”, “project”, “target”,
“continue”, “intend”, “expect”, “future”, “anticipate”, and similar
expressions that are not statements of historical fact. These statements
are not guarantees of future performance and involve certain risks,
uncertainties and assumptions that are difficult to predict. Our actual
results and timing of certain events could differ materially from those
anticipated in these forward-looking statements as a result of certain
factors, including, but not limited to, those discussed from time to time
in our Securities and Exchange Commission reports, including our Form 10-K
for the year ended December 29, 2009 and our quarterly reports on Form
10-Q. All forward-looking statements and the internal projections and
beliefs upon which we base our expectations included in this release are
made only as of the date of this release and may change. While we may
elect to update forward-looking statements at some point in the future, we
expressly disclaim any obligation to update any forward-looking statements,
whether as a result of new information, future events or otherwise.
Schedule I
PANERA BREAD COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
(In thousands, except per share amounts)
For the 13 Weeks Ended
September 28, September 29,
2010 2009
----------- ------------
Revenues:
Bakery-cafe sales $ 315,231 $ 285,871
Franchise royalties and fees 21,521 19,369
Fresh dough and other product sales to
franchisees 35,242 29,778
----------- ------------
Total revenue 371,994 335,018
Costs and expenses:
Bakery-cafe expenses:
Cost of food and paper products $ 89,869 $ 83,715
Labor 103,192 92,682
Occupancy 25,071 24,200
Other operating expenses 45,786 39,880
----------- ------------
Total bakery-cafe expenses 263,918 240,477
Fresh dough and other product cost of sales to
franchisees 30,272 24,812
Depreciation and amortization 16,300 16,988
General and administrative expenses 24,297 20,195
Pre-opening expenses 1,211 624
----------- ------------
Total costs and expenses 335,998 303,096
----------- ------------
Operating profit 35,996 31,922
Interest expense 165 163
Other (income) expense, net (540) 1,248
----------- ------------
Income before income taxes 36,371 30,511
Income taxes 13,656 11,617
----------- ------------
Net income 22,715 18,894
Less: net loss attributable to noncontrolling
interest (82) -
----------- ------------
Net income attributable to Panera Bread
Company $ 22,797 $ 18,894
=========== ============
Earnings per common share attributable to Panera
Bread Company:
Basic $ 0.75 $ 0.61
=========== ============
Diluted $ 0.75 $ 0.61
=========== ============
Weighted average shares of common and common
equivalent shares outstanding:
Basic 30,273 30,748
=========== ============
Diluted 30,534 31,065
=========== ============
Schedule I (continued)
PANERA BREAD COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
(In thousands, except per share amounts)
For the 39 Weeks Ended
September 28, September 29,
2010 2009
----------- ------------
Revenues:
Bakery-cafe sales $ 950,155 $ 840,397
Franchise royalties and fees 64,025 57,153
Fresh dough and other product sales to
franchisees 100,148 88,971
----------- ------------
Total revenue 1,114,328 986,521
Costs and expenses:
Bakery-cafe expenses:
Cost of food and paper products $ 270,894 $ 248,765
Labor 306,905 272,892
Occupancy 74,112 71,558
Other operating expenses 129,244 114,736
----------- ------------
Total bakery-cafe expenses 781,155 707,951
Fresh dough and other product cost of sales to
franchisees 82,909 74,582
Depreciation and amortization 50,224 49,986
General and administrative expenses 73,414 59,041
Pre-opening expenses 2,367 1,370
----------- ------------
Total costs and expenses 990,069 892,930
----------- ------------
Operating profit 124,259 93,591
Interest expense 498 537
Other expense, net 2,776 1,090
----------- ------------
Income before income taxes 120,985 91,964
Income taxes 45,774 34,807
----------- ------------
Net income 75,211 57,157
Less: net (loss) income attributable to
noncontrolling interest (131) 801
----------- ------------
Net income attributable to Panera Bread
Company $ 75,342 $ 56,356
=========== ============
Earnings per common share attributable to Panera
Bread Company:
Basic $ 2.44 $ 1.84
=========== ============
Diluted $ 2.42 $ 1.82
=========== ============
Weighted average shares of common and common
equivalent shares outstanding:
Basic 30,879 30,577
=========== ============
Diluted 31,193 30,925
=========== ============
Schedule I (continued)
PANERA BREAD COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS
MARGIN ANALYSIS
(unaudited)
The following table sets forth the percentage relationship to total
revenues, except where otherwise indicated, of certain items included
in the Company's consolidated statements of operations for the period
indicated. Percentages may not add due to rounding:
For the 13 Weeks Ended
September 28, September 29,
2010 2009
----------- -----------
Revenues:
Bakery-cafe sales 84.7% 85.3%
Franchise royalties and fees 5.8 5.8
Fresh dough and other product sales to
franchisees 9.5 8.9
----------- -----------
Total revenue 100.0% 100.0%
Costs and expenses:
Bakery-cafe expenses (1):
Cost of food and paper products 28.5% 29.3%
Labor 32.7 32.4
Occupancy 8.0 8.5
Other operating expenses 14.5 14.0
----------- -----------
Total bakery-cafe expenses 83.7 84.1
Fresh dough and other product cost of sales to
franchisees (2) 85.9 83.3
Depreciation and amortization 4.4 5.1
General and administrative expenses 6.5 6.0
Pre-opening expenses 0.3 0.2
----------- -----------
Total costs and expenses 90.3 90.5
----------- -----------
Operating profit 9.7 9.5
Interest expense - -
Other (income) expense, net (0.1) 0.4
----------- -----------
Income before income taxes 9.8 9.1
Income taxes 3.7 3.5
----------- -----------
Net income 6.1% 5.6%
Less: net loss attributable to noncontrolling
interest - -
----------- -----------
Net income attributable to Panera Bread
Company 6.1% 5.6%
=========== ===========
(1) As a percentage of Company bakery-cafe sales.
(2) As a percentage of fresh dough and other product sales to franchisees.
Schedule I (continued)
PANERA BREAD COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS
MARGIN ANALYSIS
(unaudited)
The following table sets forth the percentage relationship to total
revenues, except where otherwise indicated, of certain items included in
the Company's consolidated statements of operations for the period
indicated. Percentages may not add due to rounding:
For the 39 Weeks Ended
September 28, September 29,
2010 2009
----------- -----------
Revenues:
Bakery-cafe sales 85.3% 85.2%
Franchise royalties and fees 5.7 5.8
Fresh dough and other product sales to
franchisees 9.0 9.0
----------- -----------
Total revenue 100.0% 100.0%
Costs and expenses:
Bakery-cafe expenses (1):
Cost of food and paper products 28.5% 29.6%
Labor 32.3 32.5
Occupancy 7.8 8.5
Other operating expenses 13.6 13.7
----------- -----------
Total bakery-cafe expenses 82.2 84.2
Fresh dough and other product cost of sales to
franchisees (2) 82.8 83.8
Depreciation and amortization 4.5 5.1
General and administrative expenses 6.6 6.0
Pre-opening expenses 0.2 0.1
----------- -----------
Total costs and expenses 88.8 90.5
----------- -----------
Operating profit 11.2 9.5
Interest expense - 0.1
Other expense, net 0.2 0.1
----------- -----------
Income before income taxes 10.9 9.3
Income taxes 4.1 3.5
----------- -----------
Net income 6.7% 5.8%
Less: net (loss) income attributable to
noncontrolling interest - 0.1
----------- -----------
Net income attributable to Panera Bread
Company 6.8% 5.7%
=========== ===========
(1) As a percentage of Company bakery-cafe sales.
(2) As a percentage of fresh dough and other product sales to franchisees.
PANERA BREAD COMPANY
Schedule II - Supplemental Sales and Bakery-Cafe Information
Historical System-Wide AWS
2009 2008 2007 2006
------- ------- ------- --------
AWS $39,926 $39,239 $38,668 $ 39,150
Year-Over-Year
Change in
2010 Company-Owned AWS By Year Opened Company-Owned AWS
---------------------------------------- -------------------
2010 2009 2008 2010 2009 2008
Opens Opens Opens Acquisi- Opens Opens AWS
[a] [a] & Prior tions Total [b] & Prior Total
------- ------- ------- -------- ------- ----- ----- -----
Bakery-Cafes 21 30 551 3 605
Q1 10 $56,113 $37,384 $41,193 - $41,040 -10.8% 10.2% 9.8%
Q2 10 $39,523 $36,343 $42,326 $ 32,542 $41,940 2.1% 10.0% 9.0%
Q3 10 $39,990 $34,841 $40,871 $ 29,144 $40,487 -5.7% 4.2% 3.3%
2010 YTD $40,950 $36,184 $41,448 $ 27,338 $41,121 -2.4% 8.1% 7.3%
[a] 2010 Company-owned AWS excludes 2010 and 2009 acquisition data.
[b] Change in Company-owned AWS in 2010 from 2009 compares 30 bakery-cafes
in 2010 against 17 bakery-cafes at the end of the third quarter
of 2009.
Year-Over-Year
2010 Franchise-Operated AWS Change in Franchise-
By Year Opened Operated AWS
---------------------------------------- -------------------
2010 2009 2008 2010 2009 2008
Opens Opens Opens Acquisi- Opens Opens AWS
[c] [c] & Prior tions Total [d] & Prior Total
------- ------- ------- -------- ------- ----- ----- -----
Bakery-Cafes 22 38 753 3 816
Q1 10 $44,220 $36,610 $42,927 - $42,620 4.6% 9.5% 8.8%
Q2 10 $38,330 $38,448 $43,960 $ 32,565 $43,615 4.6% 11.2% 10.5%
Q3 10 $36,643 $37,868 $43,206 $ 32,503 $42,797 7.8% 7.8% 7.2%
2010 YTD $37,719 $37,634 $43,370 $ 32,528 $43,016 5.5% 9.1% 8.5%
[c] 2010 Franchise-operated AWS excludes 2010 and 2009 acquisition data.
[d] Change in Franchise-operated AWS in 2010 from 2009 compares 38
bakery-cafes in 2010 against 30 bakery-cafes at the end of the third
quarter of 2009.
Bakery-Cafe Openings
--------------------------------------------------------
Company Franchise Total Company Franchise Total
------- --------- ----- ------- --------- -----
Q1 10 3 5 8 Q1 09 4 10 14
Q2 10 8 5 13 Q2 09 4 10 14
Q3 10 10 12 22 Q3 09 9 10 19
Q4 10 Q4 09 13 9 22
------- --------- ----- ------- --------- ----
2010 YTD 21 22 43 2009 YTD 30 39 69
AWS - average weekly sales for the time periods indicated.
PANERA BREAD COMPANY
Schedule III - Comparable Bakery-Cafe Sales Information
For the 4 For the 5 For the 4 For the For the
weeks weeks weeks 13 weeks 39 weeks
ended ended ended ended ended
July 27, August September September September
2010 31, 2010 28, 2010 28, 2010 28, 2010
--------- --------- --------- --------- ---------
Company-owned 6.1% 5.7% 4.5% 5.5% 8.3%
Franchise-operated 8.7% 8.3% 6.6% 7.9% 9.1%
System-wide 7.6% 7.2% 5.7% 6.9% 8.8%
Company-owned comparable bakery-cafe sales percentages are based on sales
from Company-owned bakery-cafes included in our base store bakery-cafes.
In fiscal 2010 we modified the method by which we determine bakery-cafes
included in our comparable bakery-cafe sales percentages to include those
bakery-cafes with an open date prior to the first day of our prior fiscal
year. Previously, comparable bakery-cafe sales percentages were based on
bakery-cafes that had been in operation for 18 months. Similarly, for
fiscal 2010, franchise-operated bakery-cafes include only those
bakery-cafes with an open date prior to the first day of our prior fiscal
year. Franchise-operated comparable bakery-cafe sales percentages are
based on sales from franchised bakery-cafes, as reported by franchisees,
that are included in our base store bakery-cafes. Acquired Company-owned
and franchise-operated bakery-cafes and other restaurant or bakery-cafe
concepts are included in our comparable bakery-cafe sales percentages after
we have acquired a 100 percent ownership interest and such acquisition date
occurred prior to the first day of our prior fiscal year. Comparable
bakery-cafe sales exclude closed locations.