SOURCE: Passport Restaurants, Inc.

August 02, 2006 09:32 ET

Passport Restaurants, Inc. Unveils Accelerated Growth Plan for New York NY Fresh Deli

ORLANDO, FL -- (MARKET WIRE) -- August 2, 2006 -- Passport Restaurants, Inc. (PINKSHEETS: PSPR) (FRANKFURT: PPU), a restaurant holding company, today unveiled its development plan for New York NY Fresh Deli, a fast-casual, sandwich restaurant chain, which it acquired in late March of this year. New York NY Fresh Deli currently has 30 franchised restaurants and signed franchise agreements for another 58 restaurants in the U.S. and the Middle East. Future plans call for increasing the number of restaurants open this year by 30% and more than 200% by 2007.

John Creed, Chairman of Passport Restaurants, Inc., said that franchise sales are being ramped up and there are major efforts underway to enhance the New York NY Fresh Deli menu as well as its seating and décor. New York NY Fresh Deli is about ready to open a new, upgraded prototype restaurant in order to present the concept improvements for future restaurant growth. Additionally, New York NY Fresh Deli is developing real estate options to its standard 2,000 sq. ft. restaurant. These include a design for an 800-1,000 sq. ft. unit to be used in food courts, office buildings, airports and other non-traditional venues, and a 300 sq. ft. Kiosk model, especially appropriate for dual-branding with other concepts. New York NY Fresh Deli already has a comprehensive franchise support program for the training and opening of franchise restaurants. A newer, more interactive local marketing and menu merchandising program is being instituted in order to keep driving individual restaurant sales.

"New York NY Deli has already been named one of the 50 top new franchise concepts in the country. It's a strong concept that we believe is capable, with the expertise of our management team, to improve and grow quickly -- in number of units and in sales volume and customer count. Our mission is to develop New York NY Fresh Deli into a premier nationwide restaurant chain in the burgeoning fast-casual sandwich segment of the U.S. restaurant industry," Creed added.

New York NY Fresh Deli, based in Phoenix, Arizona, features made-fresh signature New York Hot Sub Sandwiches with a fun New York theme, Gourmet Deli Sandwiches and a full line of Fresh Cut Salads.

About Passport Restaurants, Inc.

Passport Restaurants, Inc. is a multi-concept restaurant management and holding company which acquires, develops and grows emerging restaurant concepts in the casual dining and quick-casual dining segments of the U.S. restaurant industry. Passport Restaurants, Inc. currently owns Playa Grill & Margarita Bar, a quick-casual restaurant that features high quality, high value, made-fresh Mexican grilled foods in a casual coastal atmosphere, Steve's Pizza a quick-casual "hometown" pizza restaurant offering a superior quality, affordably priced pizza for dine-in, take-out and delivery and New York NY Fresh Deli. For additional information visit the Passport Restaurant, Inc. website at www.restaurantholdings.com.

Safe Harbor Statement

The information contained in this press release, other than historical information, consists of forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. These statements may involve risks and uncertainties that could cause actual results to differ materially from those described in such statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Important factors beyond the Company's control, including general economic conditions, consumer spending levels, competition from toy companies, motion picture studios and other licensing companies, the uncertainty of public response to the Company's properties and other factors could cause actual results to differ materially from the Company's expectations.

Contact Information

  • FOR FURTHER INFORMATION:

    John M. Creed
    Chairman
    760.754.2722

    Christopher R. Thomas
    President & CEO
    407.240.9190