SOURCE: Boddie-Noell Enterprises, Inc.

August 28, 2007 10:00 ET

Boddie-Noell Purchases 34 Hardee's Restaurants in North Carolina

ROCKY MOUNT, NC--(Marketwire - August 28, 2007) - Boddie-Noell Enterprises, the nation's largest Hardee's franchise operator, announced the purchase today of 34 Hardee's restaurants in North Carolina from Hardee's Food Systems. The purchase represents the largest single expansion in the company's 45-year history and provides Boddie-Noell a substantial Hardee's presence in Raleigh-Durham and the surrounding market.

"This is a big day for Boddie-Noell and our employees because it propels us into the next phase of our company's expansion with a brand that has momentum and potential for more growth," said Bill Boddie, Boddie-Noell's president and chief executive officer in making the announcement.

The addition of the 34 restaurants brings the number of Hardee's the company operates across four states to 343 and provides Boddie-Noell an expanded footprint in Raleigh, Rocky Mount, Goldsboro, Durham and some 20 other towns and cities in central and eastern North Carolina, said Mike Boddie, president of the company's Restaurant Division.

"We see potential for growth in these markets since there are a lot of 'hungry young guys and gals' who crave the Thickburger™ which has been central to the renewed success of Hardee's along with the Made From Scratch™ breakfast biscuits," said Bill Boddie.

Terms of the purchase were not disclosed. Hardee's parent CKE announced earlier this year its intention to make available for purchase some 200 company-owned restaurants to help facilitate development of Hardee's in CKE's own core markets.

CKE president and chief executive officer Andrew F. Puzder commented, "I couldn't be more pleased with our sale of restaurants in North Carolina to Boddie-Noell Enterprises. I have known Mayo, Nick, Bill and Mike Boddie for many years and have a very high degree of confidence in them both personally and professionally. This is a great move for Hardee's and Boddie-Noell Enterprises. As our largest Hardee's franchisee, Boddie-Noell has been a key contributor to the revitalization of the Hardee's brand, and we view their acquisition of these restaurants as further commitment to the brand's future and continued growth. Mayo and Nick were among the first franchisees and when you are building a brand for the long term, history and continuity are important. Hardee's has always looked to the Boddies to help grow this brand and, in 45 years, we have never been disappointed."

Boddie-Noell's purchase of the additional Hardee's locations increases its flagship brand by more than 10 percent. The company will now own and operate more than 135 Hardee's in North Carolina, most of which are in the eastern half of the state. The largest concentration of the newly acquired restaurants will be the six locations in Raleigh.

The company will also acquire five Hardee's locations in Rocky Mount. The acquisition serves as a point of pride for Boddie-Noell because for the first time the company will operate Hardee's in its Rocky Mount hometown where the company was founded. Boddie-Noell was founded by brothers Mayo and Nick Boddie and their uncle Carlton Noell in 1962. The brothers' first franchise restaurant opened in Fayetteville, N.C.

Echoing the company's motto "We Believe in People," Bill Boddie said the company will bring on the 750 employees who work at the acquired restaurants. "We welcome these Hardee's leaders and restaurant teams as well as their customers to the Boddie-Noell family," said Boddie.

With the addition of the new restaurants, Boddie-Noell will have some 5,550 employees in North Carolina making it one of the largest privately held employers in the state. Overall, the company has more than 12,750 employees engaged primarily in the company's restaurant and land development businesses.

Initially, customers at the newly purchased Hardee's restaurants shouldn't notice too many changes. Later the company plans remodeling and other updates at many of the acquired restaurants to provide them with a contemporary Hardee's décor and signage, the company said.

For more information about Boddie-Noell, visit the company's website at www.bneinc.com

Boddie-Noell Enterprises (BNE) is a diversified family-owned business engaged primarily in restaurants and land development. BNE is the largest Hardee's franchise operator in the United States with 343 restaurants across four states. The company-owned restaurant brands include Texas Steakhouse & Saloon, and Café Carolina and Bakery cafes. It also operates Moe's Southwest Grill restaurant franchises as well as the historic Rose Hill Conference Center. The company has major land-development projects completed or under way along the North Carolina coast and in Virginia. BNE employs more than 12,750 people and is headquartered in Rocky Mount, NC. For more information about the company, visit www.bneinc.com or contact Rick Rountree Communications at 919-878-1144 or rick@rickrountree.com

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