Danny Meisenheimer appointed interim CEO and President in place of Tim
Taft, who is retiring effective September 30, 2016
Suspends Taco Cabana separation process, and Suspends Pollo Tropical new
restaurant development in Texas; Other development to continue.
DALLAS--(BUSINESS WIRE)--
Fiesta Restaurant Group, Inc. (“Fiesta” or the “Company”) (NASDAQ:FRGI),
parent company of the Pollo Tropical® and Taco Cabana® fast casual
restaurant brands, today announced that its Board of Directors (the
“Board”) has appointed Danny Meisenheimer interim CEO and President of
the Company. Mr. Tim Taft is retiring as CEO and President, and
resigning as a director effective September 30, 2016.
As previously announced, a committee of independent directors of the
Board has already commenced a search for a permanent successor to Mr.
Taft. This committee is being chaired by Stacey Rauch and includes Barry
Alperin and Steve Elker. The committee has retained the services of an
executive search firm, Heidrick & Struggles, and will consider both
internal and external candidates for the permanent CEO role. This
committee, in conjunction with the same executive search firm, will also
commence a search for an experienced restaurant executive to serve as a
non-executive director to fill Mr. Taft’s Board seat.
Mr. Meisenheimer has been Chief Operating Officer and Vice President of
Pollo Tropical since 2013. Mr. Meisenheimer previously served as Chief
Brand Officer of Pollo Tropical in 2012. Prior to joining Pollo
Tropical, Mr. Meisenheimer was Chief Operating Officer at Souper Salad,
Inc. from 2010 to 2012 and Chief Brand Officer at Souper Salad, Inc.
from 2008 to 2010. Before that, Mr. Meisenheimer was Vice President,
Brand Management at Pizza Inn, Inc. from 2005 to 2008.
While the Company is continuing to review its strategic plan, the
Company has decided to suspend additional development of Pollo Tropical
restaurants in Texas and to review its strategy for development in the
state while it continues to build brand awareness, affinity and off
premise consumption through several initiatives currently in process.
The Company will continue developing and opening Pollo Tropical
restaurants across Florida and in Atlanta, Georgia, and in 2017 expects
to open 14-17 new Pollo Tropical restaurants primarily in Florida and
8-10 Taco Cabana restaurants in Texas.
Additionally, taking into account the current challenging market
conditions, the Board has reevaluated the previously announced
separation of Taco Cabana and concluded that continued brand ownership
is in shareholders’ best interest. Accordingly, the Company will suspend
its search for a Taco Cabana brand CEO. Separately, Todd Coerver, Chief
Operating Officer and Vice President of Taco Cabana, has resigned from
the Company, effective October 20, 2016. The Company also announced that
it has appointed Mark Phillips as interim Chief Operating Officer for
Taco Cabana. Mr. Phillips has been with Taco Cabana for over 20 years,
and has served in various leadership positions including as Vice
President Operations since 2012.
Danny Meisenheimer, Fiesta Interim CEO said, “I am honored to lead
Fiesta and intend to work closely with the Board to advance the
Company’s strategic initiatives. I have the utmost confidence in our
management team and its ability to execute on our business plan,
including continued Pollo Tropical restaurant development in Florida and
Atlanta and continued Taco Cabana restaurant development in Texas.
Enhancing operations and generating additional awareness of the Pollo
Tropical brand among consumers remain top priorities.”
Jack A. Smith, Fiesta Chairman of the Board, said, “Considering the
persistent challenging market conditions impacting the restaurant
industry as a whole, and constructive feedback from investors, we have
decided it is in the best interests of all shareholders to maintain
ownership of the Taco Cabana brand. Our entire focus remains on taking
proactive steps to maximize long-term shareholder value, and our
priority in this process involves identifying a seasoned industry
professional to serve as Fiesta’s permanent CEO. The Board has full
confidence in Danny’s ability to lead the Company during this interim
period.”
About Fiesta Restaurant Group, Inc.
Fiesta Restaurant Group, Inc. is the parent company of the Pollo
Tropical and Taco Cabana restaurant brands. The brands specialize in the
operation of fast-casual, ethnic restaurants that offer distinct and
unique Caribbean and Mexican inspired flavors with broad appeal at a
compelling value. The brands feature made-from-scratch cooking, fresh
salsa bars, drive-thru service and catering. For more information about
Fiesta Restaurant Group, Inc., visit the corporate website at www.frgi.com.
Forward-Looking Statements
Except for the historical information contained in this news release,
the matters addressed are forward-looking statements. Forward-looking
statements, written, oral or otherwise made, represent Fiesta's
expectation or belief concerning future events. Without limiting the
foregoing, these statements are often identified by the words "may,"
"might," "believes," "thinks," "anticipates," "plans," "expects,"
"intends" or similar expressions. In addition, expressions of Fiesta's
strategies, intentions or plans are also forward-looking statements.
Such statements reflect management's current views with respect to
future events and are subject to risks and uncertainties, both known and
unknown. You are cautioned not to place undue reliance on these
forward-looking statements as there are important factors that could
cause actual results to differ materially from those in forward-looking
statements, many of which are beyond Fiesta's control. Investors are
referred to the full discussion of risks and uncertainties as included
in Fiesta's filings with the Securities and Exchange Commission.

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Source: Fiesta Restaurant Group, Inc.