Wrapsters to Acquire 60 Unit New York Burrito, the Second Fastest Growing Restaurant Chain in America
PHOENIX--(BUSINESS WIRE)--Aug. 10, 1999--Wrapsters Inc. (OTC BB:WRAP) and NYB Foods Inc. announced Tuesday that it has signed a letter of intent to acquire Mesa, Ariz. based New York Burrito restaurants, franchisor of the largest Wrap chain in America.
Since January 1997 when only two stores were open New York Burrito has averaged an opening pace of one new restaurant every 11 days. New York Burrito is the second fastest growing restaurant chain in America when compared to the Top 50 Growth Chains as outlined in the July 15, 1999 issue of Restaurant Business just ahead of Quizno's© (Nasdaq:QUIZ - news) and Pappa Johns Pizza© (Nasdaq:PZZA - news).
NYB Foods Inc. began franchising its limited cooking, central preparation concept in 1996 and specializes in serving giant exotic burritos, gourmet wraps and smoothies under its brand name New York Burrito Gourmet Wraps.
It now has operations in 18 states and Puerto Rico. Current annualized system-wide sales are approximately $15 million. The brand includes two upscale design concepts, Classic and High Tech plus a highly efficient kiosk alternative for dual branding.
New York Burrito is also a national co-branding partner with TCBY© (NYSE:TBY - news). The latest expanded High Tech look, New York Burrito ``Uptown Cantina' will debut later this year in Charlotte, N.C.
Tom Metzger, president and Clyde Culp III co-founders of Wrapsters Inc., remarked that ``they are excited about the prospects for the future with the addition of the New York Burrito brand and we expect to complete the acquisition by September 1. They further announced that Robert Palmer upon completion of this acquisition, will assume the post of chairman of Wrapsters.'
Palmer said, ``I am very excited about this new direction and look forward to building and expanding not only the New York Burrito brand, but placing ourselves in the position of expanding with other brands as well. We all feel very confident that using the New York Burrito brand can build Wrapsters Inc. into a very viable market force in a very short time.'
For more information, visit Wrapsters at www.wrapsters.com and New York Burrito at www.newyorkburrito.com.
Forward Looking Statements:
This news release contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which provides a new ``Safe Harbor' for these types of statements.
To the extent statements in this news release involve, without limitation, product development and introduction plans, the company's expectations for growth, estimates of future revenues, earnings, cash flow, franchise sales, balance sheet items, forecasts and/or demand for product and for the industries in which the company operates or any other guidance of future periods, these statements are forward looking.
The company assumes no obligation to update forward looking statements.
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Contact:
Wrapsters Inc.
Bill Gallagher, 210/824-2496
or
NYB Foods Inc.
Robert Palmer, 800/711-4036 |
