Denny's Kicks Off National Re-imaging Program

Business Wire, May 17, 1999

SPARTANBURG, S.C.--(BUSINESS WIRE)--May 17, 1999--

Advantica's Largest Family Restaurant Chain

Launches "Denny's Diner 2000"

Everyone knows Denny's, a long-standing fixture in America's neighborhoods. But the old, familiar brand is singing a new tune-- one from the `50s, to be exact.

This month, Advantica Restaurant Group, Inc. (Nasdaq: DINE), Denny's parent company, embarks on a major re-imaging effort that will eventually result in a new appearance and attitude for Denny's existing restaurants. Emphasis will be on classic American foods and a fun, inviting atmosphere. As the first major upgrade for Denny's since 1994, this move signals a revitalization of the brand.

"The idea for our re-imaging stemmed from Denny's beginnings as a breakfast diner 45 years ago," said John A. Romandetti, Denny's president and chief executive officer. "This is a nostalgic return to our heritage, but with an updated, modern touch that appeals to consumers of all ages."

Denny's is broadening its appeal to include younger customers by capitalizing on young Americans' resurgent interest in retro styles and music. Magazines, recently released movies and even advertisements demonstrate that bowling, swing dancing, roller skating, card games, and '40s and '50s music are now in vogue. The two re-image concepts, identified as the "premiere" and "streamline" designs, capture the essence of that period with stainless steel exteriors, neon lighting, retro decor, rotating pie cases and Wurlitzer juke boxes. The premiere design reflects the ultimate diner of the future with a fun and flashy purple, blue and red color scheme. The streamline design showcases a more retro style, with art deco touches and a green, orange and black color scheme. New employee uniforms featuring colorful bowling-style shirts complement the diner theme.

The new Denny's diner menu features comfort food items including turkey, meatloaf and pot roast open-faced sandwiches, meatloaf dinner, tuna melt, burgers, and shakes. Classic traditional favorites like Denny's Original Grand Slam Breakfast(R), omelettes, and classic sandwiches will still remain on the menu.

Test markets have shown extremely positive responses to the concept among consumers. As a result, Denny's is moving forward with the re-imaging of 150 existing Denny's restaurants in 1999.

"Denny's is once again demonstrating leadership in the full-service family restaurant category through these changes," Romandetti said. "We believe consumers are ready for a new Denny's experience, and they will find one that will keep them returning."

Denny's is the nation's largest full-service family restaurant chain with more than 1,700 company-owned and franchised restaurants in the United States, Canada, Guam, New Zealand, Puerto Rico and Singapore.

Advantica is one of the largest restaurant companies in the United States, operating over 2,600 moderately-priced restaurants in the mid-scale and quick-service dining segments. Advantica owns and operates the Denny's, Carrows, Coco's and El Pollo Loco restaurant brands.