New COO for Arby's - Analyst Blog

Arby's Restaurant Group Inc., a division of Wendy's/Arby's Group Inc. (WEN), announced the appointment of Diana Petrovich-Tao, as Chief Operating Officer (COO).  Diana Petrovich succeeds Michael Lippert, who left the Atlanta-based company in June, 2010.

Petrovich-Tao, 51, was serving at Burger King Corp. since 2003. At Burger King, she was responsible for training initiatives in the U.S. and 70 countries. Prior to her tenure at Burger King, Petrovich-Tao held senior leadership positions at Mrs. Fields Brands and  Kinkos Inc. Petrovich-Tao was in charge of 3,800 franchise units across seven brands in her 3 years of service at Mrs. Fields. She joined Kinkos in 1998 and played a crucial role in improving the performance of 150 stores. She also has worked for Taco Bell Corp. a subsidiary of Yum! Brands Inc. (YUM), Packaging Corp. of America (PKG), Coca-Cola Enterprises Inc. (CCE) and Castle & Cooke Foods.

Management believes Petrovich-Tao's vast industry experience, leadership quality and capability to execute innovative development programs, should benefit Wendy's/Arby's Group in its turnaround plan. The restaurant company has outlined a multi-year turnaround plan to improve restaurant operating margins, reinvigorate brands, revitalize comparable-store sales and expand internationally.

Arby's has struggled in recent years to reverse falling sales and traffic. In the recently concluded quarter, Arby's system-wide same-store sales dropped 5.9%. Wendy's/Arby's is taking initiatives such as value menu offerings to drive traffic and improve sales at Arby's. We expect Petrovich-Tao's experience and expertise to aid the company in achieving its growth objective.

Wendy's/Arby's is one of the leading quick-service restaurant companies. It was formed through the merger of Triarc, the franchisor of the Arby's restaurant chain, and Wendy's, the owner-operator-franchisor of the eponymous fast food chain. Wendy's and Arby's continue to operate independently, with Wendy's headquartered in Dublin, Ohio and Arby's in Atlanta, Georgia.

 
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