FESmag

Joseph Carbonara

NRA Applauds Economic Stabilization Act, Reuters Article Says Prime Real Estate on Menu for Restaurants and FEDA Releases 2009 Convention Information
October 6, 2008

The ripple effect of the larger economic stories of the day continues to have an impact on the foodservice industry. Here are a few developments worth noting.

NRA Applauds Economic Stabilization Act
It comes as no surprise that restaurant operators would be in favor of any measure that’s designed to bring stability and, hopefully, trust back to the U.S. economic climate. What did draw my attention, though, was the following statement by NRA President and CEO Dawn Sweeney: “Even so, many of our members tell us they would like to expand their restaurant operations and create new jobs, but they simply cannot because capital is not available from their local financial institutions.”

That’s a pretty optimistic outlook when you consider that the NRA’s Restaurant Performance Index continues to come in at less than 100, which is an indication that the industry is not growing very much. Still, perhaps it’s a sign of good things to come for the foodservice industry, which has been hit with the one-two punch of rising food and other operating costs at a time when foot traffic is on the decline due to consumers’ having less personal disposable income.

To read the NRA's complete statement, click here.

Reuters Article Says Prime Real Estate on Menu for Restaurants
Retail locations that were once the exclusive domain for high-end tenants are, apparently, being made available to foodservice operators, according to a Reuters article. This piece also discusses how some multi-unit operators with a sound balance sheet are able to push forward with expansion efforts during a time when the rest of the market continues to move in the opposite direction. I guess it just goes to show that all market conditions really do favor someone. Click here to read the article.

FEDA Releases 2009 Convention Information
Our friends at FEDA have released their preliminary information about the association’s 2009 convention, which takes place March 25 – 29 a the JW Marriott Las Vegas Resort and Spa. From the looks of things, it appears as if the content will attempt to address a burning question that everyone in the industry continues to wrestle with in some way, shape or form. The theme “Profitability Matters” promises “a serious discussion of why our industry faces lower profitability and what can be done about it.” The one session that really caught my eye was “Managing Business Cycle Changes.” Everyone is subject to these and I am curious to see what the speaker lays out during his presentation.

Click here for a quick look at what's planned for the FEDA Convention.

Posted by Joseph Carbonara on October 6, 2008 | Comments (1)