SCHLOTZSKY’S: a chain of sandwich-shop restaurants, closed six of its 35 company operated locations last weekend and may shutter more as it seeks to pare expenses. The Austin-based franchiser said it will eliminate about 20% of its corporate staff, or 19 positions citing continued revenue declines. Restaurants that closed include two in Houston, two in Raleigh, NC, and one each in Springdale, AZ and Murfreesboro, TN.
HARD ROCK CAFÉ INT’L: has entered into a $126.5 million agreement to develop and manage the Paramount Hotel in New York. The hotel will be re-branded Hard Rock Hotel New York and will undergo a multi-million dollar refurbishment to commence at the beginning of 2005.
ACTIVISION: has released the Carnival Cruise Lines Tycoon TM, video game. This is the first CD-ROM game to be licensed by Miami-based Carnival Cruise Lines. The license agreement was brokered by Carnival’s licensing agent Midland Park, NJ-based Marathon Projects.
MCDONALD’S: plans to open a new Chicago flagship location in April 2005 in celebration of the QSR’s 50th anniversary. The bold, one-of-a-kind futuristic restaurant design will meld the past with the future incorporating the red and white design of the first McDonald’s while offering customers a contemporary restaurant with Wi-Fi and other features. The flagship will feature a new double-lane drive-thru and more than 300 seats.
MUSICLAND GROUP: has launched an online auction site for members of its Replay loyalty program. Replay members can earn “Showbidz Bucks” by shopping and participating in promos—such as renewing Replay membership, giving an e-mail address or accepting a trial offer for Entertainment Weekly. Members use Showbidz Bucks to bid online on entertainment-related goods such as guitars, CDs and movie posters autographed by performers; memorabilia; and tickets to concerts and movie screenings.
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