EPL Intermediate, Inc. Announces Results for the
Fourth Quarter and Year Ended December 26, 2007
COSTA MESA, CA.-- (BUSINESS WIRE) - March 20, 2008 - EPL Intermediate, Inc. (“El
Pollo Loco” or the “Company”), parent company of El Pollo Loco, Inc., today reported results
for its fourth quarter and year ended December 26, 2007. For purposes of simplicity, the
Company has described the 13-week fourth quarters and fiscal year ended December 26, 2007
and December 27, 2006 as December 31, 2007 and December 31, 2006, respectively.
El Pollo Loco reported operating revenues for the year ended December 31, 2007 of $279.0
million, which is an increase of $19.1 million, or 7.4%, over operating revenues for the year
ended December 31, 2006 of $259.9 million. Operating revenues include both sales at company-
owned stores and franchise revenues. Increases in company-operated restaurant revenue are
attributed to growth in new company-operated restaurants and increases in same store sales.
Same-store sales for the system (includes both company and franchise locations) increased 2.7%
in 2007. Restaurants enter the comparable restaurant base for same-store sales the first full week
after that restaurant’s 15-month anniversary.
Changes in operating expenses in 2007 include:
an increase in product cost of $5.0 million, or 6.7%, to $81.2 million for 2007 from $76.2
million for 2006. These costs were 31.2% as a percentage of restaurant revenue for 2007
compared to 31.4% for 2006. The 0.2% decrease in 2007 resulted primarily from menu
price increases taken in January 2007, offset partially by increases in commodity costs.
an increase in payroll and benefit expenses of $5.9 million, or 9.6%, to $67.5 million for
2007 from $61.6 million for 2006. As a percentage of restaurant revenue, these costs
increased 0.6% to 26.0% for 2007 from 25.4% for 2006. This increase is primarily
attributed to the California minimum wage increase effective January 1, 2007 and higher
spending during the year on manager traini