CALABASAS HILLS, Calif.--(BUSINESS WIRE)--Nov. 14, 2016--
The Cheesecake Factory Incorporated (NASDAQ: CAKE) (“the Company”) today
announced that it has entered into a strategic relationship with Fox
Restaurant Concepts LLC (“FRC”) with respect to two of its brands, North
Italia and Flower Child. Under the terms of the agreements, the Company
is making an initial minority equity investment and will provide ongoing
growth capital for the concepts. FRC will continue to manage the
day-to-day operations of North Italia and Flower Child. The agreements
allow for the Company to potentially acquire a future majority or full
ownership position in either or both concepts.
“As an entrepreneurial leader known in our industry for his vision and
execution, we are pleased to partner with Sam Fox to support the growth
of these two highly differentiated concepts,” said David Overton,
Chairman and Chief Executive Officer of The Cheesecake Factory
Incorporated. “We share a similar culture and philosophy, making this is
a good strategic fit for both companies.”
“North Italia and Flower Child are such exciting brands within our
family,” said Sam Fox, Fox Restaurants Concepts Founder. “After spending
a good amount of time with David and his team, it became very clear to
me that we share the same values in terms of our commitment to
delivering amazing food and hospitality to our guests, while also
recognizing that our team members are our greatest asset.”
Established in 2002 with nine locations in five states currently, North
Italia turns a modern lens on Italian cooking in the upscale,
full-service, casual dining segment. All dishes are handmade from
scratch daily. Established in 2014 with five locations in three states
currently, Flower Child offers a customizable menu featuring locally
sourced, all natural and organic ingredients in salads, build-your-own
plates, bowls and wraps, all made fresh from scratch daily in a fast
casual setting.
The transactions are not expected to have a material impact on the
financial condition of The Cheesecake Factory Incorporated for the
foreseeable future.
About Fox Restaurant Concepts
Fox Restaurant Concepts is a growing restaurant group today encompassing
16 unique concepts and 53 restaurants spanning eight states with more
than 4,000 employees. Each restaurant is designed to provide guests with
a remarkable dining experience that will leave a lasting impression.
Varying from trend-setting upscale to better casual and walk-up retail,
Fox Restaurant Concepts is dedicated to creating fresh and innovative
cuisine, and offers gracious service in stylish and comfortable
settings. For more information, visit www.foxrc.com.
For more information about North Italia, visit www.northitaliarestaurant.com.
For more information about Flower Child, visit www.iamaflowerchild.com.
About The Cheesecake Factory Incorporated
The Cheesecake Factory Incorporated created the upscale casual dining
segment in 1978 with the introduction of its namesake concept. The
Company, through its subsidiaries, owns and operates 206 full-service,
casual dining restaurants throughout the U.S.A. and Puerto Rico,
including 193 restaurants under The Cheesecake Factory® mark; 12
restaurants under the Grand Lux Cafe® mark; and one restaurant under the
RockSugar Pan Asian Kitchen® mark. Internationally, 13 The Cheesecake
Factory® restaurants operate under licensing agreements. The Company’s
bakery division operates two bakery production facilities, in Calabasas
Hills, CA, and Rocky Mount, NC, that produce quality cheesecakes and
other baked products for its restaurants, international licensees and
third-party bakery customers. In 2016, the Company was named to the
FORTUNE Magazine “100 Best Companies to Work For®” list for the third
consecutive year. To learn more about the Company, visit www.thecheesecakefactory.com.
FORTUNE and 100 Best Companies to Work For® are registered trademarks of
Time Inc. and are used under license. From FORTUNE Magazine, March 3,
2016 ©2016 Time Inc.FORTUNE and Time Inc. are not affiliated with, and
do not endorse products or services of, The Cheesecake Factory
Incorporated.
Safe Harbor Statement
This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
statements involve known and unknown risks, uncertainties and other
factors that may cause the actual results, performance or achievements
of the Company to be materially different from any future results,
performance or achievements expressed or implied by forward-looking
statements, including uncertainties related to: the ability to increase
the number of North Italia and Flower Child restaurants; the future
acquisition by the Company of a majority or full ownership of either
concept; the Company’s ability to deliver consistent and dependable
comparable sales results over a sustained period of time; the Company’s
ability to deliver increases in guest traffic; the strength of the
Company’s brand; the Company’s ability to provide a differentiated
experience to guests; the Company’s ability to outperform the casual
dining industry and increase its market share; the Company’s ability to
leverage sales increases and manage flow through; the Company’s ability
to increase margins; the Company’s ability to grow earnings; the
Company’s ability to remain relevant to consumers; the Company’s ability
to increase shareholder value; the Company’s ability to expand its
concepts domestically and work with its licensees to expand its concept
internationally; the Company’s ability to utilize its capital
effectively and continue to repurchase its shares; factors outside of
the Company’s control that impact consumer confidence and spending;
current and future macroeconomic conditions; acceptance and success of
The Cheesecake Factory in international markets; changes in unemployment
rates; the economic health of the Company’s landlords and other tenants
in retail centers in which its restaurants are located; the economic
health of suppliers, licensees, vendors and other third parties
providing goods or services to the Company; adverse weather conditions
in regions in which the Company’s restaurants are located; factors that
are under the control of government agencies, landlords and other third
parties; and other risks and uncertainties detailed from time to time in
the Company’s filings with the Securities and Exchange Commission
(“SEC”). Investors are cautioned that forward-looking statements are not
guarantees of future performance and that undue reliance should not be
placed on such statements. Forward-looking statements speak only as of
the dates on which they are made and the Company undertakes no
obligation to publicly update or revise any forward-looking statements
or to make any other forward-looking statements, whether as a result of
new information, future events or otherwise, unless required to do so by
securities laws. Investors are referred to the full discussion of risks
and uncertainties associated with forward-looking statements and the
discussion of risk factors contained in the Company’s latest Annual
Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports
on Form 8-K as filed with the SEC, which are available at www.sec.gov.
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Source: The Cheesecake Factory Incorporated
The Cheesecake Factory Incorporated Contacts:
Investors
The
Cheesecake Factory Incorporated
Stacy Feit
(818) 871-3000
investorrelations@thecheesecakefactory.com
or
Media
Murphy
O’Brien Public Relations
Stacy Lewis / Shelby Fox / Jenny Loeb /
Angela Ibarra / Christena Bruchey
(310) 453-2539
Cheesecake@murphyobrien.com
or
Fox
Restaurant Concepts Media Contact:
Karsha Chang Public Relations
Karsha
Chang
(714) 296-9978
karsha@karshachangpr.com