Retailers, consumers and prices
Check out California Pizza Kitchen’s confirmation it is exploring its options, including a possible sale.
The 25-year-old restaurant chain, which also raised its first-quarter profit forecast, said it is weighing financial and strategic alternatives, including a sale.
California Pizza, known for its gourmet hearth-baked pizzas and creative salads, said its board authorized management to consider a variety of alternatives to enhance shareholder value and has hired investment bank Moelis & Co as its financial advisor in the review. Options could include changes in its capital structure, or a possible sale, merger or other business combination.
On Friday, a source familiar with the deal said California Pizza was seeking buyers. Private equity groups have been smelling opportunity in the casual dining sector of late, as financing becomes more accessible and consumers show more of a willingness to eat out.
Last month, we wrote a blog about a controversy over Starbucks decision not to ban guns in its cafes.
The fracas started when groups of pistol-packing, open-carry gun rights activists exercised their rights by visiting Northern California restaurants and cafes. Their actions prompted companies like Peet’s Coffee & Tea and California Pizza Kitchen to prohibit firearms in their outlets. But Starbucks, even when pressed by the influential Brady Campaign to Prevent Gun Violence, has declined to follow suit — a position that has been lauded by gun rights supporters and condemned by people who only want to see the police and military packing heat at Starbucks.
Wine sales at restaurants and bars are falling as diners trade down to less expensive options or skip wine altogether to save a buck. But some restaurants are cooking up contrarian strategies to squeeze sales from the vine.
California Pizza Kitchen took its wine list more upscale and wine sales followed.