CREMONINI GROUP: acquires the Roadhouse Grill brand for 50 European countries.
Another 11 openings, in addition to the 10 premises already operative, planned in Italy by 2008.
Roadhouse Grill Italia S.r.l., a 100% subsidiary company of Cremonini S.p.A. (Milan: CRM.MI), has obtained ownership and all rights connected with the Roadhouse Grill brand for 50 European countries. The seller, for a value of 1.12 million dollars, was the American company Roadhouse Grill Inc. (Nasdaq: GRLL), which launched the brand in the United States.
Roadhouse Grill is the steakhouse chain located mainly in the central-North of Italy, that the Cremonini Group has developed since 2001, to date utilising the usage right to the brand.
In the first few years the development of the chain was slowed by the effects related to the BSE crisis, however this initial period was decisive for better adapting the original American concept to the peculiarities of the Italian market. From 2004 the Italian Roadhouse Grill brand premises have had constant growth in success. Today the objective of the operation is to further widen the chain at continental level, in addition to continuing the development in Italy, through a plan of openings to be achieved both through direct management and franchising.
France, Switzerland Germany, Spain and Russia are amongst the first target countries.
Roadhouse Grill, which now has 290 employees, earned revenues of 11.8 million Euro in 2006 (almost tripling the 4.3 million Euro in 2003) and served about 650,000 customers in its 10 restaurants in Legnano, Rome, Bologna, Mantova, Piacenza, Rozzano (MI), Reggio Emilia, Corbetta (MI), Ferrara and Bergamo. It is estimated that a figure of a million customers served (+ about 54%) will be reached in 2007, with an expected turnover of over 20 million Euro (+55%).
The expansion plan for the chain in Italy provides for 3 new openings in 2007 (Forlì in September, Verona in November and Padova in December) and another 8 in 2008 (the first few will be in Trezzano, Parma and Modena), against investments in 2007 amounting to about 10.5 million Euro. The development strategy also provides for acquisition of the properties: today over half of the premises already opened are owned.
The Roadhouse Grill commercial formula appeals to a wide public, particularly families, and is characterized by the offer of grilled meats, completed by a variety of gastronomic specialties, in an informal setting with table service. The meat is provided by Inalca: in addition to guaranteeing the complete traceability of the product, the know how of the Cremonini Group's historical production company permits the best balance between quality, origin and price.
All the chain's premises, which are open 7 days a week and are located along the major communication arteries in proximity to the centre of the medium and large cities, have a surface area of between 500 and 700 square metres and offer a full meal at a very competitive average price, generally around 18/20 Euro.
Cremonini (Milan: CRM.MI), with over 7,600 employees, 5,000 of which are in the catering sector, is one of the largest food groups in Europe and operates in three business sectors: production, distribution and catering.
The Group, which had total revenues of 2,348.8 million Euro in 2006, is the absolute leader in Italy in the production of beef and meat-based transformed products (Montana) and the marketing and distribution of food products with MARR (Milan: MARR.MI) to the food service sector. It also has a significant presence in the catering sector and, in particular, the leadership in Italy in on-board train and railway stations catering (Chef Express). Finally the Group is in 2nd place in the Italian motorway catering market.
Castelvetro di Modena, 3 August 2007
Contact: Luca Macario
Cremonini Press Office
Mob.: +39 335 7478179
Email: luca.macario@cremonini.com