CHICAGO (Reuters) - Wendy's/Arby's Group Inc is slashing the number of Wendy's restaurants selling breakfast and hopes to relaunch breakfast across the United States in 2011, the company's chief executive said on Tuesday.
The company is also working on improving margins at its Wendy's restaurants, said Roland Smith, the president and CEO of Wendy's/Arby's, who also serves as CEO of the Wendy's brand.
Wendy's/Arby's was formed when Triarc, the owner of the Arby's sandwich chain, acquired Wendy's International Inc for $2.2 billion on September 29.
Smith, speaking at a Cowen and Company conference, said Wendy's would focus on the Pittsburgh, Kansas City and Phoenix markets this year with a revamped breakfast menu. After testing its plans, it aims to launch breakfast nationally in 2011.
In a slide for Smith's presentation, Wendy's/Arby's said it would reduce the number of Wendy's locations selling breakfast to between 450 and 475, down from 850.
The move is a sharp contrast to the plan Wendy's laid out in 2007, prior to the merger. At that time, Wendy's added breakfast to hundreds of U.S. locations as a key initiative in Wendy's plan to revitalize its business.
McDonald's Corp
In the past, Wendy's breakfast offerings have included a Steak and Egg sandwich, a Grande Breakfast Burrito, and a Buttermilk Frescuit -- a type of biscuit made with egg, cheese and bacon.
(Reporting by Jessica Wohl; Editing by Derek Caney)
