CKE Restaurants (CKR) SSS Down 4.2% in Q110

CKE Restaurants, Inc. (NYSE: CKR) announced today period one company-operated same-store sales for the period ended February 22, 2010, for Carl's Jr. and Hardee's.

Brand           Period 1



               FY 2011   FY 2010



Carl's Jr.    -2.6 %    -3.6 %



Hardee's     -6.2 %    +3.2 %



Blended      -4.2 %    -0.6 %

"The same-store sales trend improved considerably at Carl's Jr. with the start of media advertising in support of the successful Grilled Cheese Bacon Burger, the continued strong sales of the new line of grilled chicken salads and as we lapped over somewhat weaker results in the prior year. However, Hardee's same-store sales were negatively impacted by severe winter weather in several of its core mid-west and southeast markets and by the roll-over of solid results in the prior year," said Andrew F. Puzder, chief executive officer. "We believe Hardee's sales will benefit in the coming months from the launch and advertising campaign for the Grilled Cheese Bacon Burger. Regardless of when the overall economy turns around, we remain steadfastly focused on protecting our brand image for the long run while trying to grow same-store sales in the short run. We will continue to focus on the excellent value-for-the money of our premium products and new initiatives to improve same-store sales and increase market share.

"We've also been working to quickly expand our franchise presence and we recently signed deals in Vietnam for 25 new Carl's Jr. restaurants."

Period One Revenue Trends

For period one, consolidated revenue from company-operated restaurants (exclusive of all franchise-related revenue and royalties) was approximately as follows:

Brand                   Period 1



($ in millions)    FY 2011   FY 2010



Carl's Jr.          $ 46.0    $ 46.9



Hardee's          $ 34.7    $ 37.0



Total                $ 80.7    $ 83.9

For period one, trailing-13 period average unit volume from company-operated restaurants was as follows:

Brand                    Period 1



($ in thousands)   FY 2011   FY 2010



Carl's Jr.              $ 1,435   $ 1,525



Hardee's                 $ 998     $ 999



Blended                $ 1,203   $ 1,236

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