Tims due for a refresh

Article Excerpt

RESTAURANT BRANDS INTERNATIONAL $55.06 (New York symbol QSR; TSINetwork Rating: Average) (905-845-6511; www.rbi.com; Shares o/s: 478.0 million; Market cap: $26.3 billion; Divd. yield: 3.13) plans to spend $700 million over the next four years to refresh and upgrade almost all its Canadian locations within four years. This will include lighter, more nature-focused interiors, including tables made from Canadian maple. New features also include open-concept seating with couches. The renovations are already causing friction with some franchisees. They say the plan is an “ill-conceived” move that will cost individual owners about $450,000 each. They point out that 60% to 80% of their customers use drive-thrus and never enter the stores. However, the company feels the renovations are needed to boost sluggish sales at Tim Hortons and combat intense competition from key rivals McDonald’s and Starbucks. Restaurant Brands is still a hold. hold…