Hiring the Best

Written by Bob Gershberg, Managing Partner, Dick Wray Executive Search

It is always the mission to hire the absolute best in order to ensure a highly productive and motivated team. The critical challenge: the very best and brightest are always in great demand. As the talent pool continues to tighten we must improve our recruiting techniques and enhance the speed of our process.

Behaviorists have come a long way since Skinner decoded motivation using rats in the 1930s. And likewise, human resource professionals have brought their prowess to the forefront in recent years. Why then are we still asking the same interview questions Robert Half devised in 1948? Just as a clear and comprehensive job description is essential for each position prior to recruitment, so is a well crafted customized set of interview questions. Have a clear understanding of the required success factors for each discipline before conducting the initial phone screen.

It is estimated by SHRM that only 12% of those actively involved in the hiring process have any formal interview training. Behavioral interview questions need to be forward thinking, inquiring as to how one would handle a situation if they had the authority to do so rather than how they handled it in the past. Drop the “Did you” and “Can you” questions and allow for open-ended responses with “Tell me about”, “Discuss” or “Describe. Be mindful of the need to spend most of the interview time listening.

The resume review and subsequent authentication along with a series of telephone and personal interviews are only the beginning. To assure successful hiring extensive background checks, objective behavioral testing and thorough reference checking must be conducted. Recent statistics show that 40% of job applications contain false statements. The most reliable predictor is often a candidate’s past successes. If a person had a successful track during their most recent tenures, barring massive cultural differences they are likely to shine in your organization as well.

The dollars, effort and energy spent on mastering the recruitment process will come back many-fold. And if you really want to maximize the process with extraordinary results, retain a specialized search firm. Sorry friends, I couldn’t resist!

All the best,

Bob Gershberg | Managing Partner
Dick Wray Executive Search
bob.gershberg@dickwray.com

“Dick Wray Executive Search – Maintaining the same ethical recruiting standards for over 34 years.”

According to MCDONALD’S CORP ., PETER BERESFORD, chairman and CEO of McDonald’s U.K and division president of McDonald’s Northern Europe, is assuming a newly created post as leader of strategic global brand development, reporting to global chief marketing officer MARY DILLON.

NOODLES & COMPANY founder , AARON KENNEDY, is stepping down from the 126-unit fast-casual chain as chief executive, effective May 8, to focus on his role as chairman. He will turn over the daily operations to company president KEVIN REDDY. Kennedy said that Reddy, a Chipotle Mexican Grill veteran, will direct Noodles’ growth efforts and added that as chairman he will focus on governance and long-term growth as the brand’s “ambassador.”

MATTHEW GOLDFARB was appointed by CKE RESTAURANTS INC ., to its board of directors, replacing DOUGLAS AMMERMAN, who resigned in January. Goldfarb is a director and senior investment analyst at PIRATE CAPITAL LLC. They recently purchased a large stake in CKE, operator and franchisor of 3,160 Carl’s Jr., Hardee’s and La Salsa Fresh Mexican Grill outlets.

A number of executive appointments and promotions were made recently by CATALINA RESTAURANT GROUP INC ., parent company of 210 units under the brands Coco’s Bakery Restaurant and Carrows Restaurants. KAREN ROGERS was named vice president of quality assurance, and will oversee food safety operations, quality and regulatory affairs. Previously, Rogers worked with Applebee’s International Inc., SSI Foods Inc., Taco Bell and Prandium. In addition to her current position as vice president of food and beverage, HEATHER GARDEA was named vice president of marketing. The former manager of retail consulting for Accenture LLP and director of field store operating budgets with Gateway Inc., THOMAS JAEHNE, was named director of operations and finance. KATHLEEN SORENSEN will be senior director of lease administration and has been with Coco’s and Carrows since 1980. Joining Catalina as deputy general counsel for the company is REBECCA WALSH and ALAN GASWIRTH who accepted the position of controller. Prior to this appointment, Walsh was associate general counsel of Anacomp Inc., and Gaswirth was director of hotel accounting for Sunstone Hotel Properties. Additionally, BILL GARRETT was promoted to regional director for Carrows’ northern region.

JEFFREY S . TICKLE has been hired by BUFFALO’S SOUTHWEST CAFÉ as director of training for BUFFALO’S FRANCHISE CONCEPTS INC. Before joining Buffalo’s, Tickle was general manager of Grady’s American Grill in Mishawaka, Ind.

JAMES BEAR was named vice president and chief financial officer by THE KRYSTAL CO ., operator and franchisor of 420 quick-service units in 12 Southeastern states. He succeeds LARRY BENTLEY, who left Krystal last fall. Bear was the former senior VP and CFO at Indianapolis-based Steak n Shake.

REBECA JOHNSON was promoted by Chili’s Grill & Bar parent BRINKER INTERNATIONAL to chief marketing and brand officer. This is a newly created position encompassing Chili’s and sister chains Romano’s Macaroni Grill, On The Border Mexican Grill & Cantina and Maggiano’s Little Italy. When Johnson joined Brinker in 2004, she served as senior vice president of marketing and brand development; she was promoted to executive VP last June.

According to a Dow Jones wire report, franchisees were informed by MCDONALD’S CORP. that comparable items from both BURGER KING and WENDY’S are outselling McDonald’s new Premium Chicken sandwich, however the segment leader plans to become “best in class in chicken”. The internal document, which was distributed to McDonald’s operators, also indicated that McDonald’s is testing a Southern-style chicken biscuit item and plans to introduce a tortilla-wrapped chicken strip. McDonald’s did not respond to calls seeing confirmation and comment on the wire report.

JOE ANGHELONE, the new chairman of the NATIONAL FRANCHISEE ASSOCIATION of BK operators, said that BURGER KING CORP. has agreed to pay the rest of the $1.3 million it allegedly owed to the association. He said that after a six-month impasse between the two parties, an agreement was reached during Burger King’s annual convention. According to Anghelone, at an NFA meeting before the Burger King convention, franchisees agreed that it was time to recognize that the NFA’s role is not that of watchdog over the franchisor, but rather to provide services to its members. With their initial public stock offering pending, Burger King Representatives declined to comment, citing Securities and Exchange Commission rules against talking to the media during a pre-IPO “quiet period.”

British brewing and hospitality company, WHITBREAD PLC, said that it is reviewing its franchise and joint-venture holdings of two U.S.-based restaurant concepts, PIZZA HUT and T.G.I. FRIDAY’S. The Marriott hotels held by Whitbread have already been dropped in what ANTHONY HABGOOD, Whitbread’s chairman for the past year, said was “progress towards becoming a leaner, sharper and more focused group.”

KERRI B. ANDERSON has been elected interim Chief Executive Officer and President of WENDY’S INTERNATIONAL, INC. following the decision of JACK SCHUESSLER, the Company’s former chairman and CEO, to retire from Wendy’s after more than 30 years with the organization. Anderson served as executive vice president, chief financial officer and president of the company since 2000. Recognized for her strategic-management skills by Wendy’s, Anderson said she would maintain the company’s focus on improving sales at its namesake brand, reducing costs, and realigning its portfolio of secondary concepts. Also, long-time Board member, JAMES V. PICKETT, was elected as its chairman. Additionally, Pickett succeeds Schuessler as chairman of the Wendy’s-controlled doughnut chain, Tim Horton’s that recently went public and is scheduled to be fully spun off by Wendy’s by year end as part of an investor-spurred restructuring push that occurred in the last months of the Schuessler regime. Pickett has served as a Wendy’s director since 1982 and has been its lead director and is chairman of the Nominating and Corporate Governance committee.

Because of their concerns regarding eroding returns on their investments, dissatisfied Wendy’s operators, who recently formed the unsanctioned OLD FASHIONED FRANCHISE ASSOCIATION, ended a two day inaugural meeting with claims that they have enrolled 20 percent of the chain’s domestic franchisees, representing 870 Wendy’s outlets. Franchisee DAVE NORMAN, one of 10 OFFA directors elected and president of DAVCO RESTAURANTS, said the group wants franchisor Wendy’s International’s new management to “recognize that we need to return to that more-franchisee-oriented spirit they had with DAVE NEAR’s dad”, JIM NEAR, who was Wendy’s chairman and a popular figure among the chain’s franchisees when he died of a heart attack at age 58 ten years ago. Referring to Near’s recent appointment as chief operations officer by Wendy’s International Inc. of its Wendy’s brand worldwide, Norman also said the new leadership changes “have made everybody a lot more optimistic about how things can turn around at the Wendy’s system.” Near and his brother, JASON, have been Wendy’s franchisees in the Austin, Texas, market since 1995. Also, the resignation of JOHN DEANE as executive vice president of operations was disclosed and the company indicated that Near will name a replacement for Deane within 90 days. A Wendy’s spokesmansaid that three franchisee committees in place since the 1970s continue to represent franchisee interests fairly and said company management recently completed a 14-city “listening tour” that welcomed franchisee input into all aspects of the business.

Through the closure and sale of units, with six stores yet to be divested, LUBY’S INC., the 128-unit cafeteria chain, announced that it has completed the retirement of $124 million in outstanding debt. In April 2003, the company announced it would close and sell more than 50 cafeterias and according to the company, the six remaining properties are valued at $4.2 million. Luby’s president and chief executive, CHRIS PAPPAS, said, “While the sale of real estate assets helped to fund the repayment, solid operational performance over the past two years enabled us to reach our goal faster than anticipated.”

A class-action lawsuit, filed on behalf of customers who said they were confused by advertising for a “lobster burrito” and “lobster taco” was settled by RUBIO’S RESTAURANTS INC., operator and franchisor of 150 Rubio’s Fresh Mexican Grill fast casual outlets. Rubio’s denied any wrongdoing, and the Los Angeles Superior Court judge who heard the case made no decision on the allegations. The settlement will give class members and other customers a one-time coupon worth $3 off a $10 purchase at any company owned Rubio’s in California for a limited time. The lawsuit claimed advertising for the menu items that featured langostino was deceptive and unfair and later Rubio’s changed the name of the items to “langostino lobster” burritos and tacos

Miami-based BENIHANA INC. will sell its SUSHI DORAKU restaurant and brand name to KEVIN AOKI, marketing vice president and son of Benihana founder ROCKY AOKI, for $536,000 and the younger executive’s resignation from the company. Aoki will be permitted to expand the Sushi Doraku brand from a single unit in Miami Beach according to the terms of the deal, however, he is forbidden to open restaurants within a seven-mile radius of existing Benihana units in Miami-Dade County. Aoki may continue as a Benihana board member with limited participation rights.

Detroit civic and media personalities PAUL HUBBARD and WADE BRIGGS have launched a CAPTAIN D’S franchise in Nashville, Tenn. ALPHA RESTAURANTS LLC, is expected to open the first of three Captain D’s units in that area by midsummer. Captain D’s, operator and franchisor of nearly 600 quick-service seafood units, is a division of SAGITTARIUS BRANDS, which last month acquired Lake Forest, Calif.-based DEL TACO.

An agreement was made by STAR BUFFET , operator of JB’S and six other family-oriented concepts, to become a franchisee of WESTERN SIZZLIN, the steak-and-buffet chain. Under the agreement, Star Buffet will test a new Western Sizzlin prototype while converting two restaurants to the brand. In an effort to cut costs and streamline operations, Star Buffet and WESTERN SIZZLIN CORP., operator of 137 Western Sizzlin, Great American Steak & Buffet Company and Quincy’s Steakhouse units in 19 states, confirmed their intent to integrate.

Last month, CAMILLE’S SIDEWALK CAFÉ opened its 100th unit on Tulsa’s historic Cherry Street. DAVID and CAMILLE RUTKAUSKAS founded the café chain in 1996 in Tulsa. The unit is franchised by RICHARD and CAROL WROBBEL.

This year’s theme at the 2006 MULTI-UNIT FOODSERVICE OPERATORS CONFERENCE, or MUFSO, scheduled for Oct. 15-18 at the Hilton Anatole Hotel in Dallas, is “Unleashing the Power of Change”. Financial strategy will be emphasized. Keynote addresses will be delivered by CNN’s ANDERSON COOPER, leadership expert STEPHEN R. COVEY, and Disney hospitality executive LEE COCKERELL. Cooper is the anchor for CNN’s “Anderson Cooper 360° ” program. In a session sponsored by the Elliot Leadership Institute, Covey, a noted author, organizational consultant and leadership expert, will speak on “The 8th Habit: From Effectiveness to Greatness”. In a presentation sponsored by The Coca-Cola Co., Cockerell, executive vice president of operations for Walt Disney World Resorts, will focus on successful training methods.

MARCO ’S FRANCHISING LLC, as part of a recruitment drive for franchisees, is offering to share royalty revenues derived from units of its MARCO’S PIZZA chain that open as a result of the recommendation of a prospective franchisee. The company indicated that thirty percent of the franchisor’s royalty income from the new restaurant would be paid for three years to the referring party.

A contract foodservice and hospitality company, DELAWARE NORTH COS ., has agreed to sell its DELTA QUEEN STEAMBOAT CO. cruise ship division for approximately $47 million to AMBASSADORS INTERNATIONAL, a cruise, travel and event company based in Newport Beach, Calif. Ambassadors Cruise Group LLC, a wholly owned subsidiary, will acquire Delta’s three paddlewheel vessels and operating assets for $3 million in cash, plus the assumption of about $9 million in customer deposits and approximately $35 million in fixed rate debt at 6.5 percent, which is payable through the year 2020 and guaranteed by the U.S. Maritime Administration.

ROLAND SMITH, former Arby’s president and chief executive, has been named by TRIARC COS . INC., parent of ARBY’S RESTAURANT GROUP, or ARG, to succeed Arby’s chief DOUGLAS BENHAM, who is moving into a consulting role. Previously president and CEO of American Golf Corp. and National Golf Properties, Smith was Arby’s Inc.’s president and CEO from 1997 to 1999. The leadership change comes two years after Benham, formerly chief financial officer of Arby’s largest franchisee, Atlanta based RTM Restaurant Group, was appointed president and CEO of ARG predecessor Arby’s LLC., succeeding Michael Howe.

Magazine editor SUSAN UNGARO was named president of the JAMES BEARD FOUNDATION. She will be responsible for the foundation’s visiting-chef dinners as well as its prestigious awards program, events the organization has attempted to separate. Ungaro succeeds EDNA MORRIS, who held the post on a one-year interim basis following the resignation and subsequent embezzlement conviction of Beard president Leonard Pickell in 2005 and was editor-in-chief of Family Circle magazine from 1994 to 2005. Morris has joined Outback Steakhouse Inc. as leader of its upstart Blue Coral seafood concept.

The NEVADA RESTAURANT ASSOCIATION named SCOTT FARBER Restaurateur of the Year. Farber is the director of operations for EMERIL’S NEW ORLEANS FISH HOUSE and DELMONICO STEAKHOUSE. Farber met EMERIL LAGASSE, at Commander’s Palace in New Orleans in 1987 when he was maitre d’ and Lagasse was executive chef there. Later, Farber joined Lagasse at Emeril’s in New Orleans and then moved to Las Vegas, where Lagasse now operates the two locations.

In August, the 15 th location of MITCHELL ’S FISH MARKET is scheduled to be opened by CAMERON MITCHELL RESTAURANTS in Rochester Hills, Mich. CAMERON MITCHELL, president and founder of the company said, “The addition of the Rochester Hills location is a milestone for us; it marks the highest concentration of restaurants outside of our home base of Columbus, Ohio.” The newest unit will have 7,300 square feet and will be located in an $80 million shopping center.

There are plans to open five company-owned BEANER ’S COFFEE units over the next three months in the Detroit market. Specializing in gourmet coffee and teas, Beaner’s Coffee is an operator and franchisor in Michigan, Ohio, Indiana, Wisconsin, Alabama and South Carolina. The company also said that an additional 10 outlets are expected to open by year-end in various Michigan cities.

Contract giant ARAMARK has gained 3,000 office coffee service clients with their acquisition of Dania, Fla.-based PARK AVENUE OFFICE SERVICES which could be a major branding opportunity for DUNKIN’ DONUTS. At the end of last year, Aramark secured rights to supply Dunkin’ Donuts’ regular and decaffeinated coffees in Dunkin’-branded cups through the contractor’s coffee service operation. This deal follows Aramark’s purchase in late March of COUNTRY CLUB COFFEE, based in Davenport, Iowa, and has 1,000 coffee service accounts.

The founder of the 99 RESTAURANT & PUB casual-dining chain died of cancer at 79. CHARLES F. DOE, who grew up in a restaurant family, opened the first 99 Restaurant in downtown Boston in 1952. Many considered him to be a pioneer of the casual-dining segment, and Doe ran his restaurants under the mission statement “We treat people right.” The chain has over 100 outlets in the Northeast and is part of O’Charley’s Inc.

The former executive chef at NORMAN’S,JEFFREY BRAÑA, and wife ANNA ELENA BRAÑA, former assistant to “Floribbean” cuisine pioneer and chef-operator NORMAN VAN AKEN, are negotiating a lease for a fine-dining unit in an expanding market south of Miami after recently resigning their positions. FRANK FERREIRO, Norman’s veteran sous chef, has moved to the top kitchen post.

LAURENT TOURONDEL, New York City chef-restaurateur and operator of four restaurants, has signed a lease to open a restaurant in Washington at I and 16th streets, Northwest and will be the second unit of BLT STEAK.

THE RESTAURANT CO ., or TRC, parent of the PERKINS RESTAURANT & BAKERY chain, announced its intention to acquire the MARIE CALLENDER’S RESTAURANT & BAKERY chain, based in Aliso Viejo, Calif. The two chains are both controlled by investment funds organized and managed by CASTLE HARLAN INC., a New York-based private-equity firm. The deal is expected to involve a stock for-stock exchange with TRC repaying Marie Callender’s debt with a $100 million loan secured by the assets of the combined businesses. TRC president and chief executive, JOSEPH TRUNGALE, would become president and CEO of the merged company. Marie Callender’s president and chief executive, PHILLIP RATNER, will continue to run the casual-dining, pie specialty chain.

In Washington, a restaurant called THE SOURCE BY WOLFGANG PUCK will be opened by chef-restaurateur WOLFGANG PUCK in the 641,000-square-foot Freedom Forum multiuse complex. The opening is expected in the fall of 2007 and will feature signature dishes from his California operations — Spago, Chinois on Main and Postrio — as well as new items inspired by regional ingredients. LEE HEFTER, executive chef, and chef-partner MATT BENCIVENGA, will help develop the concept and Puck’s brother, KLAUS, will oversee operations.

According to a spokeswoman, a condominium-hotel will be opened by chef-restaurateur CHARLIE PALMER one block west of the Strip in Las Vegas. The interior of the Charlie Palmer Hotel will be designed by ADAM TIHANY and will include three restaurants.

CARL HOWARD, chief operating officer at DAMON INTERNATIONAL, parent of the 100-unit Damon’s Grill casual-dining brand, was promotedto president and chief executive in conjunction with the completion of ALLIANCE DEVELOPMENT GROUP’s purchase of the brand. He replaced SHANNON FOUST, who was Damon’s leader since 1999 and was among the equity holders who agreed to the sale to Alliance, a real estate company based in Charlotte, N.C. According to Alliance, Damon’s headquarters will remain in Columbus and most of its management would stay intact, although additional hiring was planned. WILLIAM BURK, president of Alliance, said plans call for expansion of Damon’s into “growing and emerging markets” and for the buyer to use its expertise to acquire new properties, build restaurants faster and help out franchisees with growth.

As part of $3.2 billion in deals that would fund completion of the contractor’s acquisition of Chicago-based LEVY RESTAURANTS, the COMPASS GROUP PLC has decided to sell its proprietary fast-food brands and U.S.-based airport concessions business. Last month, the world’s largest contract caterer announced that it had sold SELECT SERVICE PARTNER, or SSP, to EQT, a Stockholm, Sweden-based consortium of private equity funds. At the same time, Compass’s MOTO service station chain was divested to a group led by Australian-based MACQUARIE BANK LTD. According to Compass, approximately $870 million of the proceeds would be used to repurchase its stock.

GREG BRENNEMAN , chief executive of BURGER KING CORP., stepped down last month and JOHN CHIDSEY, the chain’s president and chief financial officer, was named as his successor. Brenneman’s departure came right before the company’s planned Initial Public Offering that had been announced in February and is expected to be completed before June 30 th. His announcement came a day after the company reported its eighth consecutive quarter of increased samestore sales. Brenneman said he and Burger King’s board had decided the preferable time to change leadership was before instead of after the IPO. Earlier in the year, the company said that “the success of our business to date has been, and our continuing success will be, dependent to a large degree on the continued services of our executive officers, including our chairman and chief executive officer, Greg Brenneman.” During his time at Burger King, Brenneman, whose employment agreement didn’t expire until 2007, helped raise the company’s results by cutting costs, rolled out new products and mended relations with franchisees. He plans to return to Turnworks Inc., his private-equity firm, to pursue business turnarounds. Additionally, he plans to work with the Burger King board as a consultant in connection with the transition from a private to a public company and he will remain a shareholder. Also, independent director BRIAN SWETTE, was appointed nonexecutive chairman, and BEN WELLS, senior vice president and treasurer, replaced Chidsey as CFO.

According to FAMOUS DAVE ’S OF AMERICA INC., an agreement was made by BACKYARD BBQ INC. to open seven Famous Dave’s Legendary Pit Bar-B-Que restaurants in Orange County, Calif. With the exception of the Knott’s Berry Farm theme park, this agreement will give Backyard BBQ exclusive rights to the territory.

A 12-unit chain featuring Italian ice cream, pizza, salads and subs, GELATO DI ROMA, announced that as part of an area pact, RHONDA MORIN agreed to open 150 units in Michigan over the next 10 years. Morin is the current owner of one Gelato di Roma in Royal Oaks, Mich. According to ALLIE T. MALLAD, founder, president and chief executive of Gelato di Roma, she would recruit franchisees and oversee store construction, operational and marketing support and training,

A class-action sex discrimination lawsuit was filed by the U.S. EQUAL EMPLOYMENT OPPORTUNITY COMMISSION in U.S. District Court against Pasadena, Calif.-based LAWRY’S RESTAURANTS INC. on behalf of male applicants rejected for server positions. After attempts to reach a voluntary settlement were unsuccessful, the suit was filed seeking back pay and compensatory and punitive damages and corrective relief. The lawsuit cites a Lawry’s policy dating back to 1938 of hiring only women as servers. It says male employees at the four domestic branches of Lawry’s The Prime Rib are relegated to lower-paying jobs which is in violation of the Civil Rights Act of 1964.

A judge in Los Angeles threw out two of five charges against RICHARD BOYD, former vice president of the IN-N-OUT BURGER chain, amid litigation prompted by his allegations that the heir to the IN-N-OUT BURGER chain was plotting an accelerated takeover. In a court session that did not address In-N-Out’s other charges of fraud, embezzlement and misuse of company funds, the judge said claims of breaches of contract and fiduciary duty were legally unsustainable. In a separate case, pending the outcome of the civil litigation, Boyd, who was fired in January as VP of real estate and development and removed from the company’s board, was temporarily suspended by a probate court as co-trustee of three trusts holding the majority of the stock of the family owned chain. NORTHERN TRUST BANK OF CALIFORNIA was appointed interim co-trustee with In-N-Out’s VP of operations and a company director, MARK TAYLOR.

The first co-branded chicken outlet between KFC parent YUM! BRANDS INC. and the Russian firm ROSTIK RESTAURANTS LTD. opened in Moscow under a previously reported joint venture agreement. GRAHAM ALLAN, president of Dallas-based YUM! RESTAURANTS INTERNATIONAL, said that the 364-seat remodeled Rostik’s is intended to be a model for some 300 co-branded KFC-Rostik’s outlets that would open in Russia and neighboring nations. Within the next 18 months, all existing KFC and Rostik’s restaurants in the former Soviet Union will be remodeled. Under the five-year agreement between Yum and Rostik, the Russian company has the option to transfer ownership to Yum or extend the agreement at the end of the term.

In a lawsuit against DENNY’S CORP., four former Denny’s servers are charging they were unfairly terminated after refusing to serve food on dishes that had not been properly washed. They are seeking $65 million in damages and lost wages. According to a Denny’s spokesman, the company plans to dispute the allegations, which they said were made by disgruntled former employees and are without merit. The suit alleges that last July, Denny’s in Newhall, Calif. ran out of dishwasher detergent and was serving guests using wares that had only been rinsed with water. They claim the manager continued the practice without warning customer and the servers walked off the job and later picketed the restaurant.

In Chicago last month, several hundred protesters gathered on behalf of the COALITION OF IMMOKALEE WORKERS, or CIW, at the site of McDonald’s landmark Rock ’n’ Roll restaurant demanding higher pay (at least a penny per pound of tomatoes) and improved working conditions for Florida harvesters of the chain’s winter tomatoes. The CIW said it had decided to focus protest efforts also against the CHIPOTLE MEXICAN GRILL chain, in which McDonald’s owns a 70-percent stake.

In Myrtle Beach, S.C., HARD ROCK INTERNATIONAL has licensed rights to open a 140-acre Hard Rock rock-and-roll-themed amusement park at a cost of $400 million. HRP MYRTLE BEACH OPERATIONS LLC will develop, own and operate the facility and funding will be provided in part by New York developer ZIEL FELDMAN. According to Hard Rock International, based in Orlando, Fla., the park will employ 3,000 people and will be divided into six zones.

With units in five western and mountain-region states, a Las Vegas KRISPY KREME licensee, WESTWARD DOUGH, has secured rights from franchisor Krispy Kreme Doughnuts Inc. to add three more states to its territory for an immediate gain of 12 stores.

Both RED LOBSTER and OLIVE GARDEN with 38 and 24 years respectively in the casual-dining segment still have enough flavor to propel corporate earnings and sales growth in the future according to officials at DARDEN RESTAURANTS INC. Some restaurant analysts, however, do not share that belief and contend Darden needs to develop or purchase a viable growth chain in order to continue expansion and build sales. Darden, though, says they will count on the "continued evolution" of the Red Lobster chain and "ramped up" new-unit openings at Olive Garden to help the company achieve necessary growth.

In an effort to build their dinner business, SUBWAY RESTAURANTS started a new ad campaign featuring comedian Jon Lovitz. While Subway is popular with office workers at lunch time, few people consider sandwich shops for their evening meal. If they do, they often turn to fast food burger chains or pizza joints instead. According to Sandleman & Associates, a market-research firm out of San Clemente, California, fast-food restaurants account for approximately 60% of restaurant dinners while sandwich restaurants like Subway account for 8% of the dinner business. At Subway, a third of their business is from dinner and the rest is from lunch. TONY PAGE, chief marketing officer for the Subway Franchisee Advertising Fund Trust says, “If we could just get a small portion of the folks who frequent us for lunch to come to us for dinner, we’d have a pretty big addition to the business.” Other sandwich restaurants attempting to capture some of the dinner business include QUIZONS SUB, who now offers a prime-rib sandwich and BLIMPIE, who is offering three “hot classic” subs aimed at the dinner crowd with plans to unveil new Italian-themed sandwiches, too.

In a poll conducted by RESTAURANT MAGAZINE, a Yountville restaurant, FRENCH LAUNDRY, was voted as the best restaurant in North and South America. CHEZ PANISSE, located in Berkeley, was selected by 560 chefs, critics and restaurateurs as the 20 th best in the magazine’s annual list of the World’s 50 Best Restaurants. The World’s Best Restaurant award went to EL BULLI, located in northern Spain, toppling Britain’s FAT DUCK, who moved to second place.

In 2004, MCDONALD’s CORP. received a lot of criticism when a documentary was aired entitled “Super Size Me”. It chronicled the declining health of Morgan Spurlock, a film maker, as he experimented with an all-McDonald’s diet. Now, with a movie version release scheduled this fall of a best seller entitled, “Fast Food Nation” by Eric Schlosser, McDonald’s is preparing a stronger response including sending out a “truth squad” with a team of “ambassadors of the brand” to spread the message that they offer a healthy menu along with providing good jobs. WALT RICKER, McDonald’s spokesman, said McDonald’s has “a responsibility to set the record straight. What you’re talking about is a rewrite of a book that’s five years old. We welcome tough, objective feedback.” McDonald’s has overhauled its menu over the last few years and they now offer more nutritious foods including a new line of premium salads. Marketing, too, has shifted to emphasize exercise featuring Ronald McDonald in publicity shots as an ”ambassador of a balanced lifestyle” in a running position.

Despite a 2.5-percent dip in revenues, PAPA JOHN’S INTERNATIONAL posted a 60.6-percent jump in first-quarter earnings to $16 million crediting better store margins and a $3.4 million gain from the consolidation of results from a cheese purchasing arm.

Even with a 3-percent decline in domestic same-store sales for the March 26-ended first quarter, DOMINO’S PIZZA INC. posted a 6-percent increase in net earnings for the period, helped by strong international results, lower cheese prices and reduced general and administrative expenses.

First-quarter earnings per share at IHOP CORP. rose 36 percent on a same-store sales increase of 5.1 percent, a 3-percent reduction in general and administrative expenses and 7.7-percent fewer shares outstanding. Sales increases for the operator and franchisor of 1,252 restaurants were attributed to two limited-time offers and National Pancake Day, which benefited several charities for children.

A 14.2-percent drop in first-quarter profits was reported by APPLEBEE’S INTERNATIONAL on restaurant impairment and closure costs and expenses for stock-based compensation.

With improved sales at its flagship Chili’s Grill & Bar chain, BRINKER INTERNATIONAL INC. reported a 17.4-percent increase from a year earlier in third-quarter profits and a 12.6-percent jump in corporate revenues to $1.09 billion. At Chili’s, same-store sales increased 3.4 percent for the quarter ended March 29.

For the first quarter ended March 25, YUM! BRAND INC.’s net income rose 11 percent from a year ago to $170 million as revenues increased 2 percent to $2.09 billion and systemwide sales grew 5 percent. According to the company, U.S. revenues for the quarter were flat at $1.34 billion, with company-store sales slipping 1 percent to $1.19 billion as systemwide domestic same-store sales of all its brands rose 5 percent.

First-quarter net income at RUTH’S CHRIS STEAK HOUSE INC., operator and franchisor of 94 namesake units, more than doubled from a year earlier to $5.9 million on revenues that rose 15.5 percent to $65.4 million. Additionally, the company noted that it had entered into a definitive agreement to acquire seven franchised restaurants, with an option to acquire an eighth unit, for $37 million in cash from longtime franchisee THOMAS J. MORAN.

First-quarter operating income rose 2 percent to $923.8 million at MCDONALD’S CORP., however the company’s earnings per share fell 13 percent, as it previously forecasted, as a result of a tax benefit in the year-earlier quarter.

An advisory council set up in late 2004 by the U.S. SECURITIES & EXCHANGE COMMISSION proposed that smaller public companies be exempted from parts of the Sarbanes-Oxley Act of 2002 that set strict rules on financial reporting and auditing procedures. Many restaurant companies over the past two years that fit into the “microcap” or “smallcap” tier of public companies or those whose market capitalization was less than $787.1 million cited escalating costs for Sarbanes-Oxley compliance as a reason for their decisions to seek various going-private transactions. About 55 publicly owned restaurant companies, based on market capitalizations, could qualify for at least partial relief from those regulations if the committee’s proposal is adopted by the SEC. The SEC was expected to make a decision after the committee presented its final report at the end of April.

Sales for the first quarter ended April 4 at COSI INC., operator and franchisor of 100 fast-casual outlets, grew 8.5 percent to $29.5 million for its 95 corporate units and same-store sales rose 5.3 percent.

For the fourth quarter and fiscal year ended Jan. 29, KRISPY KREME DOUGHNUTS INC. expects to post a net loss on quarterly revenues that fell 25.9 percent from a year earlier to about $120 million and annual revenues that plummeted 23.6 percent to about $540 million marking the second consecutive fiscal year that the operator and franchisor of 395 namesake shops posted a preliminary net loss.

Domestic comparable-store sales for March at MCDONALD’S CORP were boosted by new breakfast items and extended operating hours. In Europe, McDonald’s units reported a 1.6-percent same-store sales rise for the month, and units in the Asia/Pacific-Middle East-Africa region recorded a gain of 5 percent. Also, most recent quarterly results were expected to reflect a reduction to earnings of 1 cent per share from currency exchanges, a charge of 4.5 cents related to store closures and franchisee buyouts, and a 3.5-cent gain from the January initial public stock offering of CHIPOTLE MEXICAN GRILL INC. McDonald’s has retained a 69-percent stake in Denver-based Chipotle.

With a nearly $50 million first-quarter pretax gain from the January initial public offering of 500-plus-unit CHIPOTLE MEXICAN GRILL, McDonald’s Corp. said it will divest its remaining 69-percent stake in the Denver-based chain by year-end to focus on the McDonald’s brand.

A 1.1- percent increase in samestore buffet store sales was reported by PIZZA INN INC., operator and franchisor of about 378 namesake buffets, delivery locations and express units for their third quarter which ended March 26. The company said that the sales increase at buffet units, which represent about 80 percent of the system’s unit count, was the first positive result after seven consecutive quarters of declining same-store sales.

First-quarter earnings-per-share expectations at CALIFORNIA PIZZA KITCHEN INC., operator and franchises 190 casual-dining restaurants were raised by 1 cent because of better-than-expected same-store sales results and corporate revenues. For the quarter ended April 2, the company now expects to earn between 22 cents and 23 cents per share, including the expensing of stock-based compensation.

For the 12-week first quarter ended March 22, GOLDEN CORRAL, operator and franchisor of 470 grill-buffet restaurants, said systemwide sales rose 10.2 percent to $346.5 million as same-store sales grew 4.2 percent.

Cincinnati-based franchisee, FRISCH’S RESTAURANTS, operator of 34 Golden Corrals, said same-store sales fell 1.5 percent during for its third quarter, ended March 5.

A Wendy’s franchisee, BBB SERVICE CO. INC., sold 23 restaurants to Princeton, N.J.-based SOVEREIGN INVESTMENT CO. and leased back the outlets for 20 years. BBB Service Co. received $39.6 million in the deal.

Last month, CBRL GROUP INC . priced and commenced its “Dutch auction” tender offer to purchase up to 16.75 million shares of its outstanding common stock saying it would pay between $42 and $46 per share. Its stock has traded between $44.26 and $47.95 per share since CBRL revealed its share repurchase plan on March 17.

A 9.6-percent increase was posted by RUBY TUESDAY INC. in its third-quarter profits from a year earlier on total revenues that rose 17.1 percent to $338.6 million. For the 13 weeks ended Feb. 28, the company said its improved results reflected the many investments it has made during the past 12 months.

For the first quarter ended Feb. 26, the franchisee of 48 Wendy’s and five O’Charley’s restaurants, MERITAGE HOSPITALITY GROUP INC., narrowed its net loss to $1.3 million from a loss of $1.8 million the year before. For the period, revenues rose 4.2 percent to $13.8 million.

In a company issued statement in March, HARD ROCK INTERNATIONAL INC. posted higher annual revenues and operating profits for its fiscal year 2005 on improved same-store sales at its namesake cafes, and an "exceptional performance" by its hotel and casino division.

For the five weeks ended April 1, OUTBACK STEAKHOUSE INC. reported a 1.9-percent dip in systemwide same-store sales by its namesake steakhouse chain which marked the 10th period of negative comparable sales during the past 12 months.

For the three months ended Dec. 28, EL POLLO LOCO, operator and franchisor of 340 restaurants, posted a 12.8-percent increase in fourth-quarter revenues to $59.8 million, reflecting same-store sales that advanced 12.1 percent. After a $3.1 million charge for expenses related to the acquisition of the company in November by Trimaran, capital operating income fell to $2.1 million, from $4.7 million the year before.

Same-store sales for the 12-week fourth quarter ended March 26 at BENIHANA INC., operator of 74 Japanese restaurants, jumped 10.3 percent, versus year-earlier results, as total sales increased 11.7 percent to $60.8 million.

For the five weeks ended April 2, same-store sales at DARDEN RESTAURANTS INC. increased between 13 percent and 14 percent from a year earlier, reflecting guest counts that grew 6 percent to 7 percent and a check average increase of 7 percent to 8 percent.

For the first quarter ended April 2, WENDY’S INTERNATIONAL INC. reported lower same-store sales for its Wendy’s and Baja Fresh Mexican Grill chains. For Wendy’s namesake hamburger chain, domestic same-store slid 4.8 percent at company operated restaurants and 5.2 percent at franchised units. In Canada, same-store sales for Tim Horton’s jumped 8.7 percent and 9.8 percent in the United States.

First-quarter operating income fell 25.6 percent to $66.8 million and net profit was flat at $51.2 Wendy’s told shareholders that they will seek to halt this sales slump with the launch of a 99-cent chicken sandwich and a half-pound double hamburger melt.

RYAN’S RESTAURANT GROUP INC . said same-store sales rose 0.2 percent for the four weeks ended March 29 and 1.7 percent for the quarter ended the same date. Total sales were $67.8 million for the month and $213.9 million for the quarter.

For the four weeks ended March 2, CKE RESTAURANTS INC. said same-store sales rose 7.2 percent at Hardee’s and 4.3 percent at Carl’s Jr.

Same-store sales for the first quarter, ended April 2 at P.F. CHANG’S CHINA BISTRO INC. rose 1.3 percent at its namesake chain, but fell 2 percent at Pei Wei Asian Diner.

For the four weeks ended March 24, BOB EVANS FARMS INC. said same-store sales fell 0.5 percent at its Bob Evans chain and rose at Mimi’s Cafe chain rose 1.3 percent

A net loss of $397,000 was posted by SMITH & WOLLENSKY RESTAURANT GROUP , operator of 16 high-end restaurants for the fourth quarter ended Jan. 2, versus a profit of $1.3 million the year before.

A Burger King franchisee, SRM INC., with 73 units in Iowa and Nebraska, has refinanced $70 million in senior debt through a sale leaseback transaction with the CYPRESS GROUP, an investment company that purchased an unspecified number of SRM’s units, which were then leased back to the Omaha, Neb.-based operator.

“The Truth, the Whole Truth, and Nothing But…”

By: Bettie Biehn

Most of us have embellished a story or two in our lifetime. The length of that fish we caught, the length of the putt we made, the amount of money that we earn….you get the picture. And in these situations, as long as no harm was done, no one got hurt, and no laws were broken, it was probably o.k. This is not to condone outright lying in day-to-day life, but to simply acknowledge that stretching the truth is something that most of us do, with few consequences.

But your resume is definitely not the place to embellish or stretch the truth. This is one place where telling the whole truth is by far the best action. Perhaps you've heard stories about folks who have fabricated a college degree, "enhanced" their job responsibilities or titles, or inflated their salaries. They did so in hopes of impressing prospective employers, and to be hired in higher-level positions with greater salaries. Some of these candidates got away with it.

Others, however, got caught, some during the interview process and others after being hired. They had not factored in the network that hiring managers and HR directors have for checking resume accuracy, validity of references, and overall character of applicants. Yes, the days of full disclosure by former employers are gone, but many employers are still willing to answer some of the questions posed by hiring companies. After all, the favor will often be returned.

But reasons for telling the truth go far beyond the risk of getting caught. If you "tell it like it is" throughout your job search, you never have to remember any embellishments, you never have to fear that someone will "out" you, and, most importantly, you can feel good about yourself throughout the entire process. And feeling good about yourself can boost your self-confidence and enhance (honestly) your chances of success in those interviews. And that is reason enough to tell the truth.

Bettie Biehn, a career human resources (HR) professional, is founder and president of Career Change Central, LLC, a premier resume writing and career coaching business. Bettie is also a freelance writer, and her published magazine articles address key HR issues. Contact Bettie at bbiehn@careerchangecentral.com, and visit her website, www.careerchangecentral.com .

Dick Wray Executive Search is pleased to report that the demand for our service is strong.

The following list is a sampling of our current engagements.

1. CEO, QSR, Mid South
2. CEO, West Coast Start Up
3. COO, Casual Dining, West Coast
4. Sr. VP Marketing, West Coast
5. VP Business Development, Southeast
6. VP Construction, Midwest
7. VP HR, Full Service Concept, West Coast
8. VP Operations Service, Southeast
9. Director of Franchise Development, Northeast
10. Director of Operations, Various

Referrals are the lifeblood of our business. If you know of anyone who may be interested in one of these situations, we would be happy to review their credentials.

A recent article written by William C. Taylor, a founding editor of Fast Company Magazine, focused on recruiting in today’s world. The article emphasizes the need for employers to be creative, spend more time and effort in their recruiting process and not just be content to continue hiring the old-fashioned way by posting open positions in newspapers or on Internet job boards. Jason S. Warner, director of North American recruiting for the Starbucks Corporation, whose company adds approximately 200 employees per day says, “Our aim is to treat our candidates as well as we treat our customers, to do something memorable for them. You can’t treat people shabbily, especially in a world where there are far more open jobs than there is available talent to fill them. We strive to put the humanity back into the recruiting experience.” John J. Sullivan, a management professor at San Francisco State University and critic of traditional hiring practices said, “Whether it’s a store manager or a software developer, there’s a huge gap between the business results that average employees deliver and what stars deliver. If you want to win the battle in the product market, first you have to win the battle in the talent market. The first rule of recruiting is that the best people already have jobs they like, so you have to find them; they’re not going to find you.” Quicken Loans, a mortgage company based in Livonia, Michigan, is a fast growing company with 3,400 employees. One of their most successful avenues of recruiting, according to Michael G. Homula, Quicken’s director of talent acquisition, is utilizing the people who already work there. According to Homula, 64 percent of new hires begin as referrals from current employees. Homula says, “We’ve turned 3,400 people into a massive recruiting force.”

Today, many hotels are now considering their restaurants to be revenue centers. Food and beverage operations have become a priority where restaurants and nightclubs seek to attract local walk-in traffic in addition to serving hotel guests. Gone are the days of average steaks, basic drinks and unappetizing munchies. Today, many hotel restaurants have improved at all levels where signature restaurants are run by celebrity chefs attracting local business to high-quality take out delis and some even feature breakfast kiosks catering to guests on the run. At the RADISSON LEXINGTON HOTEL’s Alma Grill on Manhattan’s East Side, guests are able to select from a menu listing items such as a lobster and avocado omelet with creamy brie or a marinated flat iron steak with caramelized onions and blue cheese. According to a food services consulting firm, TECHNOMIC, domestic hotels can look forward to ringing up $18.5 billion in retail food sales this year. Additionally, as more business travelers work through dinner, room service has improved and is also seeing a boom in sales.

In the spring of next year, the RITZ CARLTON , owned by MARRIOTT INTERTIONAL INC ., will finally open a location in Tokyo. The RITZ CARLTON TOKYO , a posh hotel and apartment complex, will feature 250 guest rooms, a restaurant, a deluxe health club and spa and a glass-walled lobby looking out at Mt. Fuji. Currently, there is a waiting list of 500 prospective tenants and the health club has sold almost 100 advanced memberships. According to RICCO DEBLANK , general manager of the Ritz Carlton Tokyo, reservations are already coming in, particularly for the March 29, 2007 opening date. This opening is a sign of the change in Tokyo’s hotel industry. Until recently, high land prices made it difficult to acquire a site and regulations on building height restricted the development of skyscrapers. A transformation of the city center has begun due to deregulation, super-low interest rates and falling land prices. Analysts say that Tokyo boasts more big corporate headquarters than any other city in the world, making Japan a great opportunity for hotel groups. With the arrival of new competition, some of the older hotels like HOTEL OKURA have begun to renovate their rooms and some are installing spa and health club facilities to stay competitive.

The first major hotel company to step into blogging is STARWOOD HOTELS & RESORTS WORLDWIDEINC. They have a new Web log called TheLobby.com which advertises what is happening at specific hotels in the company’s brands including WESTIN, SHERATON, ST. REGIS and W Hotels as well as it promotes ways for travelers to earn loyalty points through special promotions. Currently, TheLobby.com links to items such as self-weighing luggage and boxer shorts that feature tiny pickets for iPods. The site is professionally written and frequently updated and while the site is still working out the kinks, their effort is ahead of major competitors such as MARRIOTT INTERNATIONAL INC., HILTON HOTELS CORP. and GLOBAL HYATT CORP. none of whom have developed anything close to Starwood’s blog.

COURTYARD BY MARRIOTT is scheduled to open in Manhattan this month and will be the first branded chain hotel to operate in the neighborhood. In addition, hotels including the HOLIDAY INN EXPRESS, HILTON GARDEN INN, HAMPTON INN and several others have expanded over the last decade from suburban to urban areas. With the average hotel room rate reaching $232 a night, these mid priced hotels are finding eager customers. According to ARTHUR ADLER, a managing director of the hotels division of Jones Lang LaSalle, a commercial real estate services firm, “from a consumer standpoint, there’s an incredible need for these types of properties in that many travelers to the city are priced out of full-service and luxury hotels. There’s a tremendous amount of transient business in New York, transient meaning people who just need a room. They don’t necessarily need the fine dining. They don’ need a big ballroom. They just need a good, clean room.” JON MOORE, eastern region vice president for marketing and e-commerce at Courtyard by Marriott noted that “Where the price of real estate is expensive in New York City, it’s easy to put a product together and make it a profitable venture based on the small size of the footprint, since many of these hotels don’t have the full services that do add cost.”