LOUISVILLE, KY, May 16, 2002 – Tricon Global Restaurants, Inc. (NYSE:YUM) today announced it received shareholders’ approval to change its corporate name to Yum! Brands, Inc. The Company’s international business will now be called Yum! Restaurants International. The vote came at the Company’s Annual Shareholders’ Meeting held today in Louisville, KY. The name change is effective as of 5:00 p.m. EDT today.
“Yum! Brands better reflects our expanding portfolio of brands and the unique fun and recognition culture we are driving across our global company,” said David Novak, Yum! Brands Chairman and Chief Executive Officer. “It also represents our ticker symbol on the New York Stock Exchange, and reinforces our Customer Mania passion to put a ‘Yum’ on our customers faces all around the world,” Novak said.
Last week, the Company announced both the completion of its acquisition of Long John Silver’s and A&W All-American Food Restaurants from Yorkshire Global Restaurants, and a two-for-one split of its outstanding shares of common stock with a record date of June 6, 2002.
The acquisition of Long John Silver’s and A&W All-American Food Restaurants accelerates the Company’s multibranding strategy of offering consumers two brands and more choice in one restaurant. Yum! Brands already is the worldwide leader in multibranding, with 1,500 such restaurants generating $1.5 billion in annual system sales from various combinations of its category-leading restaurant brands.
“Our customers love the choice and variety multibranding offers, and our returns far exceed our cost of capital, making mutibranding a win-win for our customers and shareholders alike. We view multibranding as a key enabler to accelerate the renewal of our existing asset base in the United States,” said Novak.
Tricon Global Restaurants, Inc, based in Louisville, Kentucky, is the world’s largest restaurant company in terms of system units with over 32,500 restaurants in more than 100 countries and territories. Four of the company’s restaurant brands – KFC, Pizza Hut, Taco Bell and Long John Silver’s — are the global leaders of the chicken, pizza, Mexican-style food and quick service seafood categories, respectively. Since 1919, A&W All-American Food has been serving a signature frosty mug root beer float and all-American pure-beef hamburgers and hot dogs, making it the longest running quick service franchise chain in America.
This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include those identified by such words as may, will, expect, anticipate, believe, plan and other similar terminology. These “forward-looking” statements reflect management’s current expectations regarding future events and operating and financial performance and are based on currently available data. However, actual results are subject to future events and uncertainties, which could cause actual results to differ from those projected in this announcement. Factors that can cause actual results to differ materially include: changes in global and local business, economic and political conditions in the countries and territories where Tricon operates; changes in currency exchange and interest rates; changes in commodity, labor and other operating costs; changes in competition in the food industry, consumer preferences, spending patterns and demographic trends; the effectiveness of our operating initiatives and advertising and promotional efforts; new-product and concept development by Tricon and other food-industry competitors; the success of our refranchising strategy; the ongoing business viability of our franchise and license operators; our ability to secure alternative distribution to our restaurants at competitive rates and to ensure adequate supplies of restaurant products and equipment in our stores; our actuarially determined casualty loss estimates; changes in legislation and governmental regulation; and changes in accounting policies and practices. Further information about factors that could affect Tricon’s financial and other results are included in the company’s Forms 10-Q and 10-K, filed with the Securities and Exchange Commission.