Wendy’s puts up the ‘for sale’ sign as costs rise

[Gefn]

 —
Wendy’s may be up for sale.

In a Tuesday filing with the Securities and Exchange Commission, Wendy’s chairman, Nelson Peltz, said that his management fund, Trian Partners, wants to explore a possible sale or merger for the burger chain. Other options to increase shareholder value are also on the table, according to the filing.

Wendy’s (WEN) stock popped about 11% Wednesday morning as investors cheered the move by Peltz, who has sought to shake up Wendy’s (WEN) and other companies in the past. Peltz has been a director at the company since 2008. Before that, starting in late 2005, he launched a campaign against Wendy’s (WEN) management. Trian is the burger chain’s largest shareholder.

“The Board will carefully review any proposal submitted by Trian Partners,” Wendy’s said in a statement Tuesday, adding, “we remain focused on achieving our vision of becoming the world’s most thriving and beloved restaurant brand.”

Early in the pandemic, Wendy’s was easily beating its rivals at breakfast, a key segment in the highly competitive fast food market. The chain launched its breakfast menu in early March 2020, just before Covid hit US shores, and consumers kept coming back even as morning routines shifted and other chains saw their morning sales dry up.

But breakfast hasn’t been enough to boost sales significantly in recent months.

https://www.cnn.com/2022/05/25/business/wendys-sale/index.html

[catfish1957]

Actually one of the better performing fast food chains in the past few years.

Forward thinking board seeing that future growth will be hampered by unreasonable labor cost, Biden induced inflation, and supply chain issues, and the woke war on meat in general.

[Gefn]

I like their salads, potatoes, chili and frosties.

[sneakypete]

I like their salads, potatoes, chili and frosties.

@Gefn

I like their burgers,but LOVE their chili!

I saw a popular Wendy's at the nearest town to me that had not only closed,but been bulldozed to the ground when I went to town last week. No such thing as a sign saying
something like "coming soon,a new "whatever". Just a flattened parking lot with the big Wendy's sign still up by the road.

Used to stop there every time I went to town,and it was usually a busy place.

BTW,the closest fast food (maybe 12 miles) to me is a Hardees,and a lot of times when I decide to stop off there and read and drink coffee just to get out of the house,the dining area is closed because all the people they hire at 14 bucks an hour to clean tables,toilets,and mop the floors only work long enough to qualify for unemployment,and then they are gone.

BTW,my retirement pay and SS retirement checks are the same as they were last year,and there is no way in HELL are they keeping inflation even in sight. Anyone have any idea of how much of a raise we are going to get,if any,come time for the next increase?

[Cyber Liberty]

@Gefn

I like their burgers,but LOVE their chili!

I saw a popular Wendy's at the nearest town to me that had not only closed,but been bulldozed to the ground when I went to town last week. No such thing as a sign saying
something like "coming soon,a new "whatever". Just a flattened parking lot with the big Wendy's sign still up by the road.

Used to stop there every time I went to town,and it was usually a busy place.

BTW,the closest fast food (maybe 12 miles) to me is a Hardees,and a lot of times when I decide to stop off there and read and drink coffee just to get out of the house,the dining area is closed because all the people they hire at 14 bucks an hour to clean tables,toilets,and mop the floors only work long enough to qualify for unemployment,and then they are gone.

BTW,my retirement pay and SS retirement checks are the same as they were last year,and there is no way in HELL are they keeping inflation even in sight. Anyone have any idea of how much of a raise we are going to get,if any,come time for the next increase?

Did you not get a COLA last year?  I got 5.9%, I think, which was pretty large.  It's likely to be more this year because Bidenflation is out of control.

[Wingnut]

@Gefn



. Anyone have any idea of how much of a raise we are going to get,if any,come time for the next increase?

8.6-8.9% is the current estimate

https://finance.yahoo.com/news/social-security-cola-could-exceed-160447085.html

[Gefn]

@Gefn

I like their burgers,but LOVE their chili!

I saw a popular Wendy's at the nearest town to me that had not only closed,but been bulldozed to the ground when I went to town last week. No such thing as a sign saying
something like "coming soon,a new "whatever". Just a flattened parking lot with the big Wendy's sign still up by the road.

Used to stop there every time I went to town,and it was usually a busy place.

BTW,the closest fast food (maybe 12 miles) to me is a Hardees,and a lot of times when I decide to stop off there and read and drink coffee just to get out of the house,the dining area is closed because all the people they hire at 14 bucks an hour to clean tables,toilets,and mop the floors only work long enough to qualify for unemployment,and then they are gone.

BTW,my retirement pay and SS retirement checks are the same as they were last year,and there is no way in HELL are they keeping inflation even in sight. Anyone have any idea of how much of a raise we are going to get,if any,come time for the next increase?

No Hardee’s near me but a lot of other fast food restaurants. I don’t think I’ve ever had Hardee’s.

Wish I lived near in and out burger.

@sneakypete

[Right_in_Virginia]

I like their salads, potatoes, chili and frosties.

Me, too @Gefn   Breakfast is pretty good, too  (there' one down the block)   

[sneakypete]

Did you not get a COLA last year? 

@Cyber Liberty

If you got one,I am sure I did too. Chemo brain,can't remember a damn thing.

I got 5.9%, I think, which was pretty large.  It's likely to be more this year because Bidenflation is out of control.

You are probably right. I am not hurting because I sold the new truck I owed money on last year,my house is paid for,and I am finally able to pay off my credit cards each month.

BUT.....,sooner or later I am going to have to start paying off some of these massive doctor and hospital bills I have been getting for the last year or so.

Can't pay off everybody at once,so I focused on paying off local bills first,and will start paying the doctors and hospitals as soon as I can get mentally organized enough to decide who and what to pay first. Positive I am going to focus on the smaller bills first,and then work my way up,but right now my memory is so bad I can't keep track of that much info at one time.

So much for the VA "taking care of the disabled vets". They keep refusing to pay my medical bills because they want me to drive  60 miles one-way to see a VA doctor,who will just make me another appointment to see another VA doctor a month down the road. Meanwhile,I can't walk from the parking lot to inside the VA hospital,and all the handicapped parking spaces are always full.

At one time I had a VA card authorizing me to see outside docs and have the VA pay the bills because I lived so far from the closest VA Hospital.  Had to get my congressman involved to make that happen.

Then the VA opened a clinic about 30 miles away,so they killed my pay card and told me I would have to go to the local VA Clinic. Guess what? The local VA clinic basically serves alcoholics and druggies,and refer other patients with serious problems to the big VA hospital 60 miles away. They WILL let me ride their bus from that clinic to the hospital if I am there at 8 AM and willing to spend all day at the big VA hospital before coming back to the clinic to get my car and drive home at the end of the day,though.

Frankly,I don't have the patience to deal with those people and their insane system of maintaining job security. If I go to a VA hospital 5 times,chances are I wanted to strangle a clerk at least once. I did grab one by the throat one day and pull him across his desk and then told him "ONE of us is going to see a doctor today.It is your choice which one of us it is going to be. That was when the VA decided I was "hostile" and sent me to see a shrink. When I explained to him what was going on,he smiled and told me "You understand this better than I do. Have you ever considered becoming a psychiatrist?",and noted on my paperwork I was normal and no threat to society.

I will confess I made that same offer to several clerks,nurses,and whatevers that were giving me unnecessary grief,but that one semi-male clerk that I dragged across his desk is the only one I had to lay hands on.

I did tell a VA Nurse in the VA ER room one Sunday when I had to go there because I was out of pain pills that "ONE of us is going to be taking pain pills at the end of the day. Your choice." She suddenly decided she COULD refill my Valium prescription for me. At that time I lived another 30 miles away from them.

Nobody in the damn ER but me and her,and she couldn't be bothered to fill my damn prescription and wanted me to drive back again on Monday. This AFTER me telling her i hadn't been able to sleep for two days because of the pain.
And "Yes,the VA did know I had a history of back trouble from a bad parachute drop when I was in the army." That was WHY I got the Valium prescriptions to start with.

This was in the early 1970's,and the last time I was there maybe 2 years ago,that bitch was still walking the hallways.

I almost want to hurt somebody right now,just from remembering and writing about this stuff.

The VA doesn't TREAT PTSD,the VA CREATES PTSD.

[Cyber Liberty]

@sneakypete   

We treat our soldiers like shit, and it really bugs me.

[Gefn]

@sneakypete   

We treat our soldiers like shit, and it really bugs me.

I remember as a pre teen when Vietnam ended, my dad who was a WWII vet said the exact same thing.

@Cyber Liberty
@sneakypete

[mountaineer]

I used to work at a Wendy's a long time ago and was impressed by the quality and food safety standards. At least back then, the food really was fresh and healthy. There is essentially no fat in Wendy's chili, by the way.

[ironhorsedriver]

8.6-8.9% is the current estimate

https://finance.yahoo.com/news/social-security-cola-could-exceed-160447085.html

Yea, Medicare increase will probably take most of it.

[Wingnut]

Yea, Medicare increase will probably take most of it.

They owe us a refund on this years Medicare increase as they over estimated the costs.  But with Short bus Joe in office, we'll never see that money paid back. 

[jmyrlefuller]

He added that many of the large restaurant owners already have a burger chain in their portfolio and may not be eager to add another — or go head-to-head against McDonald’s.

Inspire Brands owns Sonic, Restaurant Brands International (QSR) has Burger King in its portfolio, and Yum (YUM) has got Habit Burger Grill, Charles pointed out

“Not only is Wendy’s a competing brand, but [Restaurant Brands] and [Yum] are focused on international development and looking to minimize head-to-head competition with McDonald’s, particularly domestically, where 85% of Wendy’s are located,” he wrote.

The worst part is that McDonald's is really an awful restaurant by every standard. Very little choice, poor quality, sterile environment... they're only still around because of the name recognition.

[IsailedawayfromFR]

Actually one of the better performing fast food chains in the past few years.

Forward thinking board seeing that future growth will be hampered by unreasonable labor cost, Biden induced inflation, and supply chain issues, and the woke war on meat in general.

Saw a documentary on Dave Thomas and Wendy's.
For fast food places
- pioneered drive thru window
- pioneered first milkshake (frosty)
- never frozen patties