Church's Chicken(R) Unveils Its First-Ever Modular Restaurant Model Shaves 20-30 Percent off the Cost of a Franchise

Mayor of Lawrenceville Proclaims April 1st, "Start Up a Franchise, Start Up the Economy" Day

Lawrenceville, Ga.--(BUSINESS WIRE)--Church's Chicken® will unveil the brand's latest store prototype to its network of franchisees in Lawrenceville, Georgia, on April 1, 2009. Large flat-bed rigs will haul and massive cranes will put into place a modular restaurant concept, which Church's officials say will cut the overall cost of a new store by 20-30 percent. The structure is a 100-percent factory-built unit and can be fully finished and ready for business in less than three days. In honor of the event, Mayor Rex A. Millsaps of Lawrenceville, will proclaim April 1, 2009, "Start Up a Franchise, Start Up the Economy" Day.

Church's President and CEO, Harsha V. Agadi said, "Modular technology makes the prospect of owning and operating a Church's faster, easier and more affordable by cutting costs in development, insurance premiums and equipment. An added advantage to the modular unit is its instant marketability which will have franchisees up and running faster without compromising value, quality or safety."

Franchises are an integral part of our economy. Within the Quick Service Restaurant industry, franchised businesses (franchisor and franchisee-owned) create and employ over 3,153,207 people, according to IFA's Economic Impact Study. With the backdrop of a turbulent economy looming, franchisees, across the board, are finding credit is nearly impossible to obtain or extend; and bank loans are nearly impossible to secure.

Franchisees will save on the cost of insurance premiums because of the modular building's steel infrastructure, which added to the unit's mobility, allows the restaurant to be depreciated like equipment, cutting a considerable amount of routine taxes and fees. Speaking of equipment, franchisees save approximately 55 percent on all store equipment by utilizing re-manufactured items.

Since the modular building is fully manufactured offsite, franchisees eliminate the risks associated with a general contractor, giving them more control over the development process by reducing the risk of the 'x factors' connected with the construction process.

The new modular unit takes another innovative leap forward with energy efficiency and intelligence. The Light Stat energy management system will cut the annual utility costs by over 10%.

As of January 2009, the Church's system consists of more than 1,600 locations worldwide in 21 countries, with system sales approaching $1.2 billion. Church's provides development options through conversions, food courts, convenience stores, and inline formats. Church's continues to expand their franchising options in 2009 by going mobile – introducing new technologies like a 350 sq foot kiosk that can offer the brand's full menu. Church's strategic planning provides a solid remedy to its franchisees with remarkable returns on investment and support. Church's Chicken is recognized as one of the winning franchise companies in Franchise Business Review's 2009 Franchise Satisfaction Awards.

About Church's

Founded in San Antonio, Texas, in 1952, Church's Chicken® is a highly recognized brand name in the QSR sector and is one of the largest quick-service chicken concepts in the world. Church's Chicken® serves freshly prepared, high quality, flavorful chicken and tenders with signature sides and hand-made from scratch biscuits at low prices and differentiates from its competitors in care and attention given in preparation of food, and is positioned as the Value Leader in the Chicken QSR category. As of January 2009, the Church's system consisted of more than 1,600 locations worldwide in 21 countries, with system sales exceeding $1 billion.



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