MONCTON, NB, Feb. 17 /CNW/ - PDM ROYALTIES INCOME FUND (TSX: PDM.UN, PDM.DB) (the "Fund") today reported an increase of 0.1 percent in same store sales for the fourth quarter of 2008 for the royalty-pooled Pizza Delight(R), Mikes(R), Scores(R), and Baton Rouge(R) restaurants. These results compare favourably to a 2007 fourth quarter same store sales decrease of 0.5%. Full year same store sales increased 0.6 percent for the four brands compared to an increase of 1.4 percent in the same period last year.
- Pizza Delight led all brands in the fourth quarter with an increase of 5.0%, compared to 1.7 percent growth in the same quarter last year. This is the twenty second quarter in a row of same sales growth which is very impressive in the restaurant industry. For the full year, Pizza Delight achieved same store sales growth of 4.3 percent compared to 3.6 percent in 2007; - Mikes also continued its trend with an impressive 4.6% increase during the fourth quarter compared to a decrease of 1.7 percent in the same quarter last year. For the full year, Mikes was up 3.5% compared to a decrease of 2.1 percent the previous year. Management is confident that the Mike's brand turnaround strategy is working for its customers and franchisees. - Scores recorded a 4.0% decrease in same stores sales in the fourth quarter compared to a 1.1% increase in the same quarter of 2007. For the full year, Scores recorded a 3.9 percent decrease in same store sales compared to a 6.3 percent increase in 2007. - Baton Rouge same store sales decreased 5.3% compared to a 0.1% decrease in the same quarter of 2007. For the full year, Baton Rouge same store sales decreased 1.9 percent compared to growth of 0.7 percent in 2007.
"Imvescor's diversity of brands and geographic locations continue to provide stable overall financial and operating performance with certain segments and regions continuing to report strong trends despite the very difficult economic climate," said William Lane, Chief Financial Officer of Imvescor.
About PDM Royalties Income Fund
PDM Royalties Income Fund (the "Fund") is a limited purpose open-ended trust established under the laws of Ontario. The Fund makes monthly distributions of its available cash to holders of units. The Fund indirectly owns the trademarks and intellectual property for the Pizza Delight(R), Mikes(R), Scores(R) and Baton Rouge(R) brands and has licensed them to Imvescor in consideration for a royalty equal to 4% of system sales for Pizza Delight and Mikes, and in the case of Scores and Baton Rouge, the royalty rate is 6%.
Imvescor is a privately owned corporation, headquartered in Moncton, New Brunswick. It operates franchised and corporate restaurants under the brand names Pizza Delight, Mikes, Scores, and Baton Rouge restaurants. Pizza Delight operates primarily in Atlantic Canada, where it dominates the family/mid-scale segment. Mikes and Scores restaurants operate primarily in Quebec in the family and casual dining segments and the take-out and delivery segments. Baton Rouge has operations in Quebec and Ontario in the high end casual segment.
Certain information regarding the Fund contained herein may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although the Fund 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. The Fund cautions that actual performance will be affected by a number of factors, many of which are beyond the Fund's control, and that future events and results may vary substantially from what the Fund currently foresees. Discussion of the various factors that may affect future results is contained in the annual information form of the Fund dated March 28, 2008 which is available at www.sedar.com. The Fund's forward-looking statements are expressly qualified in their entirety by this cautionary statement.