Foodservice Equipment Reports Fortnightly

Welcome to FER Fortnightly Online Newsletter
January 11, 2005

Regulatory Report:
Sponsored by: APW Wyott Innovations

Michigan Gives Restaurants Emergency Action Plan
California Ups Energy Standards—Again
Noise Making Mush Of U.K. Pub Workers’ Ears
No Puffing In Saskatchewan
Online Calculators Give Quick Energy Estimates

Industry Report:
Sponsored by: Manitowoc Foodservice Group

Irinox Debuts U.S. Distributorship
AFC Completes Sale of Church's Chicken
Captain D’s Sails Under New Flag
More New Faces in High Places
Ozon: All Kids, All the Time
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In This Section:
NAFEM Sales Indices Post Strong 3Q Gains
NRA Performance Index Waffles In November
Mountain States Expect Strongest Foodservice Growth
Special Focus: Moderate E&S Growth But Big Price Increases On Tap For 2005

This issue's Regulatory ReportSponsor: APW Wyott Innovations Industry ReportSponsor: Manitowoc Foodservice Group

Industry Report Sponsored by Hatco Corp.

NAFEM Sales Indices Post Strong 3Q Gains
Equipment and supplies manufacturer sales grew strongly in the third quarter of 2004, according to data released by the North American Association of Food Equipment Manufacturers. North American sales posted a 13.9% gain in the period July through September versus the year earlier quarter. This comes on the heels of 1.2% growth in the first quarter and 5.5% growth in the second quarter. Sales on this measure were negative the final three quarters of ’03.

On a quarter to quarter basis, North American sales rose 5.7% in the third quarter compared to 10.7% in the preceding quarter. Export sales rose 4.5% in the third quarter versus the previous quarter.

Through the first three quarters of ’04, combined North American sales grew 6.9% over ’03. Export sales for the first three quarters of the year jumped a whopping 16.3%, largely fueled by torrid growth in the Pacific Rim.

NAFEM, which releases the numbers quarterly in NAFEM in Print, greatly expanded the numbers they are reporting in the most recent issue. The figures are generated from reports by NAFEM members in nine different product categories. Those interested in more details on the NAFEM Industry Index Program can contact Linda Wing at or by phone at 312/673-4741.


Section sponsored by Hatco Corp.

NRA Performance Index Waffles In November
Business during November was disappointing, but operators polled for the National Restaurant Association’s monthly Restaurant Performance Index in December remained reasonably confident about the outlook for the next six months. The Current Situation Index dropped 1.4 points as all four components were negative, and the same-store sales and traffic components took strong hits. The Capital Expenditures component, representing purchases the past three months, was off 0.7 points.

The Expectations Index, on the other hand, rose 0.3 points, though the Capital Expenditures marker, which reflects expected purchases for the coming six months, was off 0.4. Combined, the total Performance Index fell 0.6 points. The numbers are in line with less than robust retail sales numbers during the early Christmas shopping season.

Section sponsored by Hatco Corp.

Mountain States Expect Strongest Foodservice Growth
Fueled by strong population growth in Nevada, Arizona, Utah and Colorado, the Mountain States are projected to post the strongest restaurant industry growth in 2005, according to the National Restaurant Association’s annual forecast. Overall, the eight states of the region are predicted to show foodservice sales growth of 6.5% unadjusted for inflation. NRA forecasts total industry growth at 4.9%.

The Pacific States and the South Atlantic States are figure to outpace the national market, posting growth of 5.8% and 5.6% respectively. The East North Central and West North Central forecasts bring up the rear at 4.3% and 4.5% respectively.

Section sponsored by Hatco Corp.

Special Focus: Moderate E&S Growth But Big Price Increases On Tap For 2005

The equipment and supplies market grew in 2004, and we forecast ’05 will see even better growth….[full story]

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