CHICAGO PIZZA & BREWERY INC. CLOSES TWO Restaurants In The Pacific Northwest
Business Editors
MISSION VIEJO, Calif.--(BUSINESS WIRE)--June 23, 1999--Chicago
Pizza & Brewery Inc. Wednesday announced the closing of a BJ's
restaurant and a Pietro's restaurant in the Pacific Northwest.
The company decided not to exercise its option to renew the lease
at its restaurant in The Dalles, Ore. This restaurant had been
converted from a Pietro's to a BJ's Pizza & Grill in February 1998.
Revenues at The Dalles have recently been averaging approximately
$13,000 per week.
Per Paul Motenko, Co-CEO, "While we had achieved fairly strong
initial sales after the conversion of the restaurant in The Dalles, a
community of approximately 12,000 people, it appears that the very low
population density in the area was not sufficient to sustain revenues
necessary to make it a successful restaurant."
The Company estimates that it will incur a write-off of around
$160,000 during its second quarter relating to the restaurant closure.
The Company has also decided not to renew the lease on its
Pietro's location in Springfield, Ore. Per Motenko, "There were
some logistical issues which made it undesirable to convert that unit
to a BJ's restaurant, and we were unable to negotiate terms with the
landlord which would allow us to profitably continue to operate the
restaurant as a Pietro's."
Revenues at the Springfield location were averaging approximately
$15,000 per week. The Company does not currently anticipate any
significant write-off related to the closure of the Springfield unit.
Chicago Pizza & Brewery operates 27 casual dining restaurants,
some of which incorporate brewpubs. Ten of the restaurants are located
in Southern California, one is located in Lahaina, Maui and one is
located in Boulder, Colo. The company operates six BJ's restaurants in
Oregon and nine Pietro's restaurants in Oregon and Washington. BJ's
restaurants offer customers a moderately priced menu that includes
deep-dish Chicago-style pizza as well as sandwiches, salads, desserts,
critically acclaimed hand-crafted beers and more. Visit Chicago Pizza
& Brewery on the Web at bjsbrewhouse.com.
The information presented herein contains certain forward-looking
statements within the meaning of Section 27A of the Securities Act of
1933, as amended, which are intended to be covered by the safe harbors
created thereby. The company's results may differ significantly from
the results indicated by such forward-looking statements. Factors that
might cause such differences include, but are not limited to: (i) the
company's ability to manage growth and conversions,(ii) construction
delays, (iii) restaurant and brewery industry competition and other
such industry considerations, (iv) marketing and other limitations
based on the company's historic concentration in Southern California
and current concentration in the Northwest, (v) consumer trends, (vi)
increased food costs and wages, including, without limitation, the
recent increase in the minimum wage, and (vii) other general economic
and regulatory conditions.
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CONTACT: Chicago Pizza & Brewery Inc.
Paul Motenko, Co-Chief Executive Officer
949/367-8616, Ext. 107
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