Retailers displeased with upheld healthcare mandate

 
June 28, 2012
WASHINGTON — The U.S. Supreme Court has given the government permission to tax people for not having health insurance, essentially approving the individual mandate in President Obama’s healthcare law.

“The Affordable Care Act’s requirement that certain individuals pay a financial penalty for not obtaining health insurance may reasonably characterized as a tax. Because the Constitution permits such a tax, it is not our role to forbid it, or to pass upon its wisdom or fairness,” the court said in the ruling.

What this means is the constitutionality of the healthcare-reform package cannot be addressed until after that tax is assessed.

With the individual mandate staying in place, some 40 million Americans identified as uninsured will be required to purchase some level of insurance in 2014. That will drive a good number of patients to medical homes and, in theory, significantly increase the demand for maintenance prescriptions and other preventative or chronic healthcare services.

The ruling did not go over well with the retail industry.

In a just-released statement by the National Retail Federation, president and CEO Matthew Shay said that retailers are dismayed by the Supreme Court’s decision on the Affordable Care Act.

“The Court missed an opportunity to redress the many shortcomings of the law,” said Shay. “As it stands, the law wrongly focuses more on penalizing employers and the private sector than reducing health costs. This law will have a dramatic, negative impact on every employer and employee in the United States and further constrain job creation and economic growth.”

Supreme Court health care ruling meets criticism from restaurant industry

Industry leaders are disappointed by the ruling to uphold the controversial Patient Protection and Affordable Care Act
June 28, 2012 | By Paul Frumkin

Members of the foodservice industry expressed deep disappointment and concern after the U.S. Supreme Court announced its decision on Thursday to uphold President Barack Obama’s highly controversial health care law.

In a narrow 5-4 ruling, Supreme Court judges upheld the constitutionality of the central element of the president’s sweeping Patient Protection and Affordable Care Act, the individual mandate, which requires that all Americans purchase health insurance.

The court’s historic decision is expected to alter the way Americans receive and pay for their medical care.

Industry associations and many restaurant operators have been arguing for the past several years that added costs associated with the law could cut into earnings, force operators to raise prices, eliminate jobs and put the brakes on growth in this already economically challenged environment.

The court’s decision was frustrating for many in the industry.

“Today’s ruling by the Supreme Court is troubling for restaurant operators and business owners across the country,” said Dawn Sweeney, president and chief executive of the National Restaurant Association, in a statement. “We encourage Congress to continue efforts to repeal the law, since the Court’s decision leaves the employer requirements in place, provisions which impact restaurant operators’ ability to grow and create jobs.”

Steve Caldeira, president and chief executive of the International Franchise Association, said the IFA was “deeply disappointed by the high court ruling to uphold the Affordable Care Act, which places undue burdens on the franchise small business community. While it may have been ruled constitutional, the law is unworkable, unaffordable and wrong for our country’s small business owners.”

The Court had listened to three days of arguments in March on the law. The measure was passed by congressional Democrats despite Republican opposition in 2010.

Operators say many elements of the current law have yet to be hammered out and remain unclear to them. “Just because something is found to be legal, that doesn’t necessarily mean that something should be done,” said Jamie Richardson, vice president of government and shareholder relations for White Castle.

“The challenge is going to be understanding how we do it as it has been legislated,” he continued. “The biggest thing still is the uncertainty about how the rules are going to be written. It needs to be made actionable in the real world in a way that doesn’t cripple businesses

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According to the law, operators with 50 or more full-time equivalent employees are required to offer “affordable” health insurance of minimum value to full-time workers and dependents or pay a penalty. The minimum penalty is $2,000 per employee.

Employers must begin offering health care insurance to their full-time employees in 2014.

“The [Affordable Care Act] imposes heavy mandates on employers using punitive penalties for noncompliance,” said Rob Green, executive director of the National Council of Chain Restaurants. “The law will particularly damage the chain restaurant industry, which operates on thin margins and cannot support costly government-imposed mandates. Many chains have indicated they will have no choice but to cut back on workers’ hours or close restaurants in order to avoid penalties.”

Prior to the court’s ruling today, Steve Carley, chief executive of Red Robin Gourmet Burgers, had voiced his unease about the law in an interview with Nation’s Restaurant News. “Personally, I haven’t seen a competitor yet who has put in the long-term forecast for the financial implications of Obamacare,” Carley said. “They are significant and they are dramatic. So much so, that no one has put in the long-term forecast yet, including us.”

Carley said he favored “a more bipartisan conversation so we can get more common-sense solutions that we can all address.”

In a statement from the Profit Per Employee Coalition, Matthew Haime, vice president of government affairs and corporate counsel for Bloomin’ Brands, Inc., operator of Outback Steakhouses and other chains, said the court’s decision “will slow the service economy job creation that has been the catalyst of American economic recovery in recent months. This law must be revisited to remove the burden placed on low-margin businesses.”

Many within the industry warn that the enactment of health care reform as it stands would severely hamper the industry’s fragile growth. “When you couple these new expenses with the lack of growth capital and uncertainty about taxes, this is certainly not a recipe for growth,” Caldeira said.

In the meantime, many are calling for Congress to revisit the law. “This unworkable law cannot stand as is,” the NRA’s Sweeney said. “We need reform that addresses the increasing costs our members are faced with each year. …We ask members of Congress to take action that helps the restaurant industry continue to help create jobs and grow the national economy.”

Veteran foodservice executive and current candidate for the sixth congressional district in Florida Craig Miller said the decision amounts to “the biggest tax increase in American history,” and said if elected to the U.S. House of Representatives, he would “sponsor legislation on my first day of Congress to overturn this erosion of our Constitutional rights.”

The House of Representatives is expected to take up a bill calling for the full repeal of the law the week of July 9.

T.G.I. Friday’s breaks down new cocktail menu

Drinks focus on seasonal ingredients, on-trend flavors and the casual-dining chain’s history
June 26, 2012 | By Bret Thorn
Matthew Durbin, vice president of beverage and bar for Carlson Restaurants, parent company to Friday’s.

Current flavor trends and T.G.I. Friday’s brand heritage are reflected in a new line of cocktails for the casual-dining chain, according to Matthew Durbin, vice president of beverage and bar for Carlson Restaurants, parent company to Friday’s.

Carrollton, Texas-based T.G.I. Friday’s debuted the cocktails last week at its 555 U.S.-based units. The chain has more than 900 locations globally. Durbin discussed drink trends and the menu rollout with Nation’s Restaurant News on Tuesday.


“The spicy Margarita is white-hot right now,” he said. “Smashes are super-hot, and the trend of better versus bigger cocktails has been going on for several years.”

Friday’s own spicy Margarita is in the form of the Tiki Torch, which combines tequila with muddled pineapple, triple sec, lime and chipotle pineapple syrup. It is all shaken, poured and strained “loosely,” so chunks of pineapple drop into the drink, over ice in a glass rimmed with kosher salt, sugar and blackening seasoning. The price varies depending on location, but averages around $8.50.

Durbin said sweet-and-spicy and sweet-and-salty flavor combinations are popular these days, and the Tiki Torch has all three of those flavors.

“It’s one of the chef-inspired cocktails that taps into some of the ingredients in the kitchen,” he added. The sharing of kitchen and bar ingredients is itself another cocktail trend.

T.G.I. Friday’s new Fresh Watermelon Mojito reflects the importance of seasonality, Durbin said. The cocktail includes mint and watermelon lightly muddled and shaken with lime-infused rum, agave nectar and limejuice. It is then poured into a Collins glass, topped with soda and garnished with two watermelon cubes and a mint sprig. The cocktail is priced around $8.25.

Supreme Court health care ruling expected next week

NRN gathers coverage, insights into potential decision and effects on foodservice
June 21, 2012 | By Sarah E. Lockyer
Photo: Thinkstock

The Supreme Court is expected to announce its ruling on President Obama’s health care reform legislation next week, potentially bringing to a conclusion the two-year debate on health care law in this country for individuals and businesses.

The court has ruled on the constitutionality of key parts of The Patient Protection and Affordable Health Care Act of 2010 and is expected to announce its decisions no later than June 28. The majority of foodservice companies and associations have been vocal in their opposition to the legislation, with many citing the law’s potential to reduce earnings, force job cuts and slow industry growth.

Laurence Kretchmer, a partner with chef-restaurateur Bobby Flay, said in 2010, when the legislation was signed, that his company’s health care expenses could increase about 29 percent under the new law. The quick-service chain White Castle reported, also in 2010, that the stated health care legislation could erode 55 percent of its net income.

Ahead of next week’s ruling, Nation’s Restaurant News collected a selection of prior coverage surrounding the health care debate, including insights on what a ruling will mean for restaurants.

Health care reform, menu labeling top concerns for operators

According to NRN’s 2012 Outlook, restaurant operators do not think a presidential election will usher in change to American politics. Regardless of who sits at the helm, they said, legislative challenges surrounding health care and menu labeling are top of mind.

Industry associations voice concern on health care mandates

While the court considers four key questions pertaining to the constitutionality of some elements of the health care act, at the heart of the debate is the law’s central requirement that most Americans purchase health insurance or be subject to a fine — referred to as the individual mandate. The National Restaurant Association argued that a health care law shorn of the individual mandate would drive up employers’ costs for insurance.

Employer mandate takes center stage, industry cites cost increases

The NRA and the International Franchise Association renewed their support for lawmakers in Washington, D.C., who were seeking to repeal the employer mandate provision in the new federal health care law. They said it could cut deeply into earnings, force operators to raise prices, eliminate jobs and slow growth in an already economically challenged environment.

Softening the impact of health care reform

Accounting and consulting firm J.H. Cohn discussed a number of key issues operators would face as the new requirements phase in and how they could brace for it, from tax plans to executive packages.

A timeline for health care reform

Kim Monk, managing director of the Capital Alpha Partners consulting group, sketches out a partial timeline for the law’s implementation, should it stand.

Companies, analysts discuss potential costs of health care legislation

Securities analyst Mark Kalinowski breaks down potential dollar figures behind a new health care structure for businesses.

Best Buy goes on offensive to return to CE dominance

 
June 22, 2012 | By Gail Hoffer
Best Buy has been in the news a lot lately, with the scandal involving former CEO Brian Dunn and subsequent resignation of founder and chairman Richard Shulze on top of a fiscal year that saw the company’s GAAP loss widen to $3.36 cents per share and comparable-store sales slip 1.7%.

Understanding that an image overhaul was needed, Best Buy’s leadership went on the offensive at its annual shareholders’ meeting Thursday, ensuring attendees that the company would once again become the leader in consumer electronics and services.

While Best Buy’s earnings and comps were disappointing, interim CEO Mike Mikan noted that during the year the company reported adjusted revenue of $50.7 billion, and that its share of the U.S. CE market grew, especially in such categories as mobile phones and tablets.

Still, Mikan acknowledged that the year was far from perfect and that the company’s “operating performance was well below (its) full potential.”

But Mikan wasn’t there to talk about the past. His focus was on the future and how Best Buy could right its wrongs and create a better customer experience. He spoke on how his new role as interim CEO has enabled him to better understand how things operate from the ground up and what changes needed to be made.

“Since taking the job, I’ve spent a lot of time listening and learning, from the point of view as a manager. I’ve visited Best Buy stores across the country. I’ve chatted with a lot of agents. I’ve listened to a lot of sales associates and Geek Squad agents, and I’ve watched them in action.”

Mikan highlighted the following ways Best Buy would be able to regain position in the marketplace:

  • Become more relevant, more intelligent and more nimble
  • Connect with customers in a deeper way and better understand their needs
  • Become a trusted advisor who solves problems, anticipates needs and meet them with a seamless multi-channel experience
  • Demonstrate renewed commitment to efficiency and productivity
  • Expand services offering, playing to advantage during slow product innovation cycles
  • Invest in employees with more training and better tools to maximize what they can offer to customers


Mikan addressed the two issues that continue to affect the company’s ability to gain market share, show-rooming and growing competition from Amazon.com.

In regards to show-rooming, or the customer practice of checking out the merchandise at retail stores and then buying them for less online, Mikan said that the best way to reverse that practice would be by “improving the customer experience, delivering the best price, and strengthening (the company’s) technology.”

In regards to Amazon.com, Mikan said, “Fair to say they are a competitor, but they are also a partner. No question that Amazon has a formidable technology platform. We’ve made every effort to be very competitive with it. We think that obviously there’s been a level playing field issue with their tax advantage status, we don’t think it is a tax issue as much as it is a fairness issue … We think we can compete on price, know we can compete better on service, because we know we have the service offerings and we know we have the technology experts.”

While Best Buy’s initiatives were all very promising, shareholders no doubt wanted to know how the company could improve its bottom line and increase its value. In that respect, Mikan assured them that the company would be less capital intensive and concentrate on improving returns and delivering cash to investors.
 

Burger King returns to the stock market

The quick-service company traded publicly for the first time since 2010
June 20, 2012 | By Lisa Jennings

Burger King marked its return to the stock market Wednesday, following the closure of a reverse merger with investment vehicle Justice Holdings Ltd.


In its first day on the New York Stock Exchange, the Miami-based burger chain’s new parent company, Burger King Worldwide Inc., traded under the ticker symbol “BKW.” The stock opened at $14.50 per share, traded as high as $16.21, before slipping to close at $15.01.

In April, the company said the publicly traded Justice Holdings, based in the U.K., had agreed to take a 29-percent stake in Burger King for $1.4 billion. Current owner 3G Capital, which had only just taken the chain private in October 2010, retained a 71-percent stake.

Justice Holdings was created in an initial public offering in early 2011 by a group that included William Ackman, chief executive of hedge fund Pershing Square Capital Management. The deal came at a time when Burger King’s status as the No. 2 burger chain in sales behind McDonald’s was slipping behind Wendy’s. However, turnaround efforts by 3G over the past two years appear to be taking hold.

In its March-ended first quarter, Burger King reported a same-store sales increase of 4.2 percent in the U.S. and Canada — its best performance in about two years. At Wendy’s, by comparison, first quarter same-store sales rose 0.8 percent at company-owned locations in North America, and 0.7 percent at franchised units.

Burger King also in April debuted its biggest menu expansion in its 58-year history, adding premium salads, snack wrap sandwiches, fruit smoothies and chicken strips — which in some ways brought the menu more in line with that of segment leader McDonald’s. The new menu launch was accompanied by a celebrity-focused marketing campaign, featuring stars like soccer stud David Beckham and Aerosmith’s Steven Tyler, that boosted consumer awareness and attempted to broaden the burger chain’s audience beyond its previous target of young men.

Securities analyst Conrad Lyon of B. Riley & Co. said, “The sentiment is that Burger King is starting to market share from McDonald’s, but it’s been so far removed from being a real competitor in the space, there’s a lot of runway in front of them.”

Lyon said he was impressed by the innovation in Burger King’s more recent summer promotion of a line of barbecue-inspired sandwiches, like Memphis-style pulled pork and regionally themed twists on Whoppers — as well as a headline-grabbing ice cream sundae made with bacon.

The company also has aggressive plans for growth, primarily overseas, and last year began reworking its global restaurant portfolio by refranchising company-owned locations in the U.S. and establishing more strategic partnerships and joint ventures to accelerate development internationally.

Burger King’s goal is to reduce capital expenses and vulnerability to cost pressures while building royalty revenues and freeing management to focus on rebuilding the brand, international expansion and marketing, the company said in filings with the Securities and Exchange Commission. In May, for example, Burger King sold 278 company-owned units to the chain’s largest franchisee, Carrols Restaurant Group Inc., based in Syracuse, N.Y. In return, Carrols agreed to remodel 450 of its locations within about three years.

Looking internationally, last week Burger King announced a joint venture that will bring 1,000 units to China. Similar deals have also been announced for Russia and Brazil.

As of March 31, the chain had 12, 534 restaurants worldwide, including 6,554 franchised and 934 company-owned locations in the U.S. and Canada.

Outlook underwhelms at Bed Bath & Beyond

 
June 21, 2012 | By Mike Troy

 

UNION, N.J. — The growth prospects of the nation’s leading home goods retailer is being questioned following a solid first quarter performance and weaker-than-expected outlook.

Bed Bath & Beyond reported first quarter sales that increased 5.1% to slightly more than $2.1 billion and same-store sales that increased 3% for the period ended May 26. Profits grew at a much faster pace, increasing 24% to 89 cents a share or $206.8 million compared with72 cents or $180.6 million. The earnings per share figure was five cents better than the 84 cents analysts expected. However, same-store sales decelerated from the 7% gain recorded during the first quarter of 2011 and the 8.4% increase seen in the first quarter of 2010. A weaker-than-expected profit forecast for the remainder of the year sent shares of the company sharply lower in after hours trading. The company said it expect profits for the second quarter to range from 97 cents to $1.03, well below the $1.08 analysts forecast.

While the company’s outlook was lower than expected, Bed Bath & Beyond outlined a number of growth initiatives, several of which are impacting short term profits, but are expected to drive growth for the next decade.

For starters, the company announced two acquisitions recently, the larger of which is the pending $495 million cash purchase of the 259 unit Cost Plus home good chain. The deal is expected to negatively affect second quarter results but contribute to profit long term. News of that deal was followed by the more recent announcement of a $105 million acquisition of Linen Holdings, a business-to-business distributor of textile products, amenities and other goods.

Those acquisitions add to the company’s organic efforts that saw the company open 12 stores year to date out of a full year plan for 40 new units. The company ended the first quarter with a total of 1,180 stores, consisting of 995 Bed Bath & Beyond stores, 72 Christmas Tree Shops, 68 buybuy BABY stores and 45 stores under the banners of Harmon and Harmon Face Values.

Co-chairman Leonard Feinstein re-iterated the company’s view of its longer term expansion potential and indicated growth can come from leveraging the merchandise assortments off the different formats and the soon-to-be acquired Cost Plus stores.

 

“We believe throughout the United States and Canada, again excluding cost plus world markets stores as the transaction has not yet been completed, there is an opportunity to operate in excess of 1,300 Bed Bath & Beyond stores as well as grow our Christmas Tree shops and bubuy BABY concepts from coast to coast,” Feinstein said during a recorded statement released after financial results were reported. “Additionally, we will continue to open Harman Face Value stores and place health and beauty care offerings in selected stores across all our concepts as well as World Market food departments in selected Bed Bath & Beyond stores.”
Although Bed Bath & Beyond does not conduct a live conference call with analysts, it was apparent from the recorded statements that the company isn’t going to relinquish online business to Amazon.com without a fight. Amazon.com launched a home goods offering called Casa.com earlier this year and now Bed Bath & Beyond expects its investments in online initiatives will ding profits by 9 cents a share during the back half of the year.

CFO Gene Castagna said the additional operating costs the company expects to incur are related to development of an enhanced Website, the opening of an 800,000-sq.-ft. e-commerce fulfillment center in Pendergrass, Ga., and the initial phase of a new information technology data center.

Whether online or in stores, CEO Steve Temares indicated the company’s fundamental business strategy remains unchanged of offering a broad assortment of merchandise at everyday low prices with superior customer service.

“As always, we will continue to invest in all aspects of our company and work to enhance our customer’s overall experience in store, online and through mobile devices and social media,” Temares said. “We remain committed to being our customer’s first choice for the merchandise categories we offer domestically, interactively and over the longer term, internationally.”

Bed Bath & Beyond is a partner in a joint venture which operates two stores in the Mexico City market under the Home & More banner.

Children’s Place loses COO

 
June 20, 2012 | By Gail Hoffer
SECAUCUS, N.J. — Eric Bauer, COO of The Children’s Place Retail Stores, has left the company effective June 19, the company announced Wednesday. Jane Elfers, president and CEO, will resume oversight of the company’s supply chain, store operations, finance, information technology and real estate functions.

Commenting on Bauer’s departure, Elfers said, “We thank Eric for his contributions and wish him well in his future endeavors.”

Bauer joined Children’s Place as COO in May 2011, after spending eight years with Gap Inc., culminating in his appointment as EVP brand operations, COO for Gap North America where he was responsible for finance, store operations, real estate, distribution, logistics, information technology and their Canadian operations.

For it’s most recent quarter, the company reported sales that were negatively impacted by the unseasonably warm weather this winter. The company said that comparable-store sales for the quarter declined 2.7%, and net sales were up only slightly (0.9%) to $457.5 million from $453.2 million for the fourth quarter of 2010.

Children’s Place also reported a drop in income from continuing operations after tax from $32.7 million, or $1.24 per diluted share, to $24.2 million, or 97 cents per diluted share.

Johnny Rockets expands overseas

 
June 19, 2012 | By Lisa Jennings
Johnny Rockets’ large Dominican Republic location features 200 seats

Johnny Rockets is rapidly expanding its overseas footprint by moving into a handful of new countries this year, including the Dominican Republic, Indonesia, Nigeria, Russia, Brazil, Pakistan and Morocco.

Including expanded agreements with some existing franchisees, the Aliso Viejo, Calif.-based burger chain has 180 restaurants under development internationally, more than doubling the 68 restaurants it currently operates overseas in 16 countries, John Fuller, Johnny Rockets’ chief executive, told Nation’s Restaurant News Tuesday.


Johnny Rockets, which operates or franchises 222 locations domestically, is among a growing number of U.S.-based restaurant chains racing to plant their flags overseas.

This week, Burger King said it would open 1,000 franchise locations in China over the next five to seven years.

Starbucks said Tuesday it will open its first unit in Costa Rica this week, part of its continuing push for growth throughout Latin America, with hundreds of locations planned for Brazil, Argentina and Mexico.

Wetzel’s Pretzels opened its first Asia location in Tokyo earlier this year, with 10 more planned in two years. The pretzel chain also has agreements for franchise development in Singapore, Malaysia, Thailand and China.

Johnny Rockets began its aggressive international growth in 2008, about a year after the chain was acquired by private-equity firm RedZone Capital.

Fuller said the 26-year-old brand has particular appeal in other countries because of its very American theme.

“Internationally, we sell Americana. The currency we use is burgers, shakes and fries,” he said.

The challenge, however, has been finding the right partners, Fuller said. Johnny Rockets would like to move into China and India, which the company sees as huge potential markets, but they haven’t yet found the right franchisees, he said.

This week, Fuller said he will reveal the promotion of Steve Devine, former executive vice president, franchise development, to president of a newly created international division for Johnny Rockets.

Johnny Rockets’ recent international growth has included:

• The first location opened in Santo Domingo, Dominican Republic, last week, is the chain’s largest restaurant at 6,000 square feet and 200 seats. It is operated by franchisees Axel and Gamal Hache, brothers who are also former professional basketball players, who plan to open five locations in the Dominican Republic.

• The first of five restaurants planned for Indonesia and the first of five restaurants in Nigeria are scheduled to open this fall.

• Franchisee the American Diner Co. Ltd. has signed an agreement to open about 40 locations in Russia. So far, two have opened in Moscow.

• The first location in Brazil is scheduled to open in São Paulo this fiscal year. The agreement there calls for 30 locations.

• Ten restaurants are planned for Pakistan, and construction has begun for the first of 10 in Morocco.

• The Johnny Rockets franchisee for the United Arab Emirates has signed on to add Oman to its territory. Three restaurants are planned there, and the group currently operates six units in Dubai and Abu Dhabi.

• Franchisee Shinsegae Food Co. Ltd. has opened five locations in Korea and recently signed on for another 30.

• Domestically, the chain plans to add about 15 to 20 new franchise locations this year

Jamba Juice works to make smoothies more healthful

 
Elizabeth Ward of the chain’s new Healthy Living Council discusses some changes to Jamba’s smoothies
June 18, 2012 | By Lisa Jennings
Jamba Juice recently expanded its line of fresh juices.

When smoothies began appearing on menus at McDonald’s, Burger King and Starbucks, Jamba Juice began working to differentiate its brand.

Smoothies have gotten a bad reputation lately for being high in sugar and not always made with fruit.

James White, chief executive of Jamba Juice parent Jamba Inc., has been working on the 750-unit smoothie chain’s menu over the past two years to position the brand as a more healthful alternative.


 


This summer, Jamba Juice launched a “Make It Light” option for its 10 classic smoothies, which cuts calories, sugar and carbohydrates by a third. The “Make It Light” version replaces the nonfat frozen yogurt or sherbet used in classic smoothies with a lower-calorie dairy base sweetened with Splenda.

A 16-oz. classic Banana Berry smoothie, for example, has 270 calories and 57 grams of sugar. The Make It Light version, however, has 170 calories and 32 grams of sugar.

The menu has also been diversified over the past couple of years to include options like All Fruit smoothies; Fruit & Veggie blends that include nutrient-rich vegetables like spinach, kale and beets; fruit-and-yogurt parfaits with no frozen yogurt or sherbet; functional smoothies with additions like probiotics or protein; and fresh-squeezed juices and juice blends.

In May, Jamba created a new Healthy Living Council of nutritionists and dietary experts to help the brand evolve with more healthful offerings, as well as educate consumers and work with schools on healthy living and anti-obesity efforts.

One of those nutrition experts is Elizabeth Ward, a registered dietitian and spokesperson for the American Dietetic Association who has written several books, including “MyPlate for Moms, How to Feed Yourself & Your Family Better.”

Ward spoke with Nation’s Restaurant News about the evolution of Jamba Juice’s smoothies.

Smoothies have been criticized by dietitians in recent years. How do you see that reputation changing?

There’s been a big evolution of smoothies, from something regarded as a treat to what Jamba is trying to do, to make it a drink that delivers good nutrition on many levels. The Healthy Living Council is helping the company make even more of a transition — they’ve already made huge strides — but to make it even better and to respond to what people want. Making something with fewer calories is great, but you also need to look at what else is in there, like higher protein content or the vitamins and minerals that are delivered in these drinks. The focus is on what can I get in that cup, and that’s where Jamba is going.