Tag Archives: Dunkin Brands Dunkin Donuts

1 Company's Caribou Coffee Closure Celebration

By Andrew Marder, The Motley Fool

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It’s been a year of good news for Starbucks , and this week’s announcement that Caribou Coffee is closing or rebranding a number of its locations is just one more good tiding. Caribou made the announcement that stores would be closing in certain regions starting on April 14. Some of those businesses will be permanently shuttered while others will switch over to Peet’s Coffee locations later this year. The company behind both Caribou and Peet’s is German holding company Joh. A. Benckiser, an investment vehicle for the Reimann family.

White ground to run
While the store closures are a nice touch, the real win for Starbucks is the move to Peet’s locations, which goes some way to validating the moves Starbucks has made recently. Peet’s splits its focus between coffee and tea, and is a more upscale experience than Caribou. That aligns almost precisely with the Starbucks model, which recently added Teavana to its portfolio.

That acquisition is going to put more tea on Starbucks’ shelves, and give the company a stronger foot to extend into tea-heavy markets, like Europe. The addition will also help Starbucks differentiate itself from competitors like Caribou and Dunkin’ Brands‘ Dunkin’ Donuts chain. Dunkin’ has been on a tear recently, with comparable sales up 3% in the U.S. and operating margin surpassing 47% last quarter.

The tea addition should help Starbucks continue its strong growth. But the move from Caribou and Peet’s isn’t the only thing going Starbucks’ way recently.

Coffee fit for a king
In February, Starbucks’ Seattle’s Best Coffee brand became the new coffee for Burger King . The collaboration should help Starbucks compete with McDonald’s McCafe program, which has helped the burger-chucker increase revenue over the past few years. Last quarter, management said that work is continuing behind the scenes to keep McCafe as a driver of long-term growth.

Now, Starbucks has a way to capitalize on that same customer segment through its Burger King partnership. While the move is clearly aimed at the McDonald’s crowd, there’s sure to be some overlap with Dunkin’s customers, as well. That’s a double win for Starbucks, which is successfully tapping both the high and low end of the market in a bid to maintain its dominance.

For now, things look good for the company, and as it expands its tea line over the year, look for news of new international expansion, which the company has said will be more in focus this year.

McDonald’s turned in a dismal year in 2012, underperforming the broader market by 25%. Looking ahead, can the Golden Arches reclaim its throne atop the restaurant industry, or will this unsettling trend continue? Our top analyst weighs in on McDonald’s future in a recent premium report on the company. Click here now to find out whether a buying opportunity has emerged for this global juggernaut.

Source: FULL ARTICLE at DailyFinance

The Coffee War Is Heating Up

By Chris Hill, The Motley Fool

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The following video is from Tuesday’s MarketFoolery podcast, in which host Chris Hill, along with analysts Jason Moser and Bill Barker, discuss the top business and investing stories of the day.

Several months ago, the Benckiser Group acquired Caribou Coffee for $340 million. On Monday, Caribou Coffee said that it’s closing 15% of locations in the United States and converting another 20% into Peet’s Coffee & Tea stores, which is also owned by Benckiser Group. In this installment of MarketFoolery, our analysts discuss these companies, as well as the continuing raging coffee wars among Starbucks , Dunkin’ Brands‘ Dunkin’ Donuts, and Panera Bread .

Investors can be forgiven for thinking that a company that has returned almost 2,500% since going public probably has its best days behind it. But in the case of Panera Bread, there’s reason to believe that the best is still yet to come. The stock has been on an absolute tear over the past five years, and you’re invited to find out why — and what else there is to look forward to — in The Motley Fool’s brand-new premium report on Panera. Included are key areas that investors must watch, as well as opportunities and threats facing the company both today and in the long term. Don’t miss out on this invaluable investor’s resource — simply click here now to claim your copy today.

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Source: FULL ARTICLE at DailyFinance

Do Kids Really Want Bean Sprouts With Their Big Macs?

By Rich Duprey, The Motley Fool

Jay Leno's Garage

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The Center for Science in the Public Interest issued a report last week detailing that when it comes to kids’ meals, fast-food chains such as McDonald’s , Wendy’s , and Burger King offer up a healthy dose of unhealthy food.

After testing the restaurants’ meals, the researchers found they aren’t healthy because they contain too high amounts of fat, salt, and sugary drinks and recommended that more wholesome fare become the norm.

Pictured: Big Mac. Source: McDonald’s.

The CSPI report singled out Buffalo Wild Wings as being one of the worst offenders, with one meal for kids having twice the recommended intake of sodium.

Also discovered: Water is wet
I can’t be the only one not surprised by the findings. While we might wish that McDonald’s served bean sprouts with its Happy Meals, two things need to be remembered: That’s not what kids want to eat, and that’s not what you’re looking to buy when you go to a fast-food restaurant. It’s also something for parents to do in their home, not for public-policy advocates to give meddlesome politicians like New York City‘s nanny mayor, Michael Bloomberg, another avenue to attack individual choice.

Besides, fast-food restaurants have tried the healthy kick before, and it’s typically been a failure. Does anyone remember Wendy’s Super Bar salad bars or the Tomato Surprise? How about McDonald’s McLean Deluxe (with seaweed extract!) or the McSpaghetti? Does the Dairy Queen Breeze frozen yogurt drink ring any bells?

More than likely, if you tried them, you’re trying to forget them, and I apologize for dredging up bad memories — but it’s delusional to think you go to a greasy-burger joint for healthy fare. If you want that for lunch, go to Whole Foods. They’re building greenhouses on their rooftops to pick fresh veggies.

I yam what I yam
At least some of the restaurants the CSPI surveyed didn’t disguise the fact that their food is a guilty pleasure, for adults and kids alike. Of the top 50 chains, 18%, including Domino’s Pizza, Dunkin Brands‘ Dunkin’ Donuts, and Papa John’s didn’t have a so-called “kids’ menu.”

I’m sure the researchers realized that a kid-oriented menu doesn’t automatically mean healthy food (I’d kinda expect the exact opposite, as a matter of fact). Rather, it simply means a smaller portion of an adult meal. Parents do have to monitor what their kids eat, but they can be allowed to splurge, too. And there are alternatives out there: Subway, sushi bars, and — again — organic food stores abound.

Do as I say, not as I do
Sounding a lot like Mayor Bloomberg, the CSPI recommends that restaurants remove sugary drinks from their kids’ menus, offer more fruit and vegetables — and make them the default menu option instead of fries — and serve more whole grains. 

Yet when first lady Michelle Obama foisted healthier school lunches on students after her Let’s Move! organization got the president to sign a bill mandating them, follow-up surveys found that …read more

Source: FULL ARTICLE at DailyFinance

Starbucks' Thrill of Victory and Bloomberg's Agony of Da Sweets

By Chris Hill, Jason Moser, and Ron Gross, The Motley Fool

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The following video is from Monday’s Investor Beat, in which host Chris Hill and analysts Ron Gross and Jason Moser dissect the hardest-hitting investing stories of the day.

A judge blocks New York City‘s ban on large-sized sugary drinks. The ban was set to take effect on Tuesday. Starbucks had said it would defy the ban, while Dunkin’ Brands‘ Dunkin’ Donuts was ready to comply. In this installment of Investor Beat, our analysts discuss what the sugary soap opera means for investors.

The king of fast food, McDonald’s, must also be rejoicing now that the ban on large sugary drinks has been stricken down. After making investors rich in 2011, McDonald’s has been one of the worst-performing blue-chip stocks of 2012. Our top analyst on the company will tell you whether you should be worried by this trend, and he’ll shed light on whether McDonald’s is a buy at today’s prices. Click here now to read our premium research report on the company.

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Source: FULL ARTICLE at DailyFinance