Restaurants Post Large Gains in UNH Franchise Index in Third Quarter
By Lori Wright, Media Relations
November 24, 2010
The University of New Hampshire Rosenberg Center Franchise 50 Index, which tracks publicly traded companies in the United States engaged in business format franchising, rose 11.5 percent in the third quarter of 2010 on the strength of double-digit gains by most restaurant companies.
The best performer was DineEquity (DIN), the owner, operator and franchisor of casual dining restaurant chains Applebee's Neighborhood Grill and Bar and International House of Pancakes. Strong financial results and speculation on a possible takeover pushed DineEquity up 61.2 percent. The third quarter also was marked by the acquisitions by private investment firms of Rosenberg Center Franchise 50 Index components Burger King and CKE Restaurants.
The Rosenberg Center Franchise 50 Index tracks a representative set of 50 publicly traded companies in the United States engaged in business format franchising. The index is up 15.8 percent over the year, compared to an increase of 2.3 percent for the S&P 500. Since its inception in 2000, the index is up 89.23 percent, compared to a drop of 18.2 percent for the S&P 500 over the same period.
For more information on the Rosenberg International Center of Franchising or the Rosenberg Center Franchise 50 Index, please visit the center’s Web site at http://franchising.unh.edu.