Official Publication of the Employees of the Company

Bob hits the airwaves r Promotions create new TUNE YOUR RADIO TO, opportunities at all levels

Rody Davenport IV's recent promotion to president has created a chain of promotions within the company. In the not too distant past, Krystal had to recruit people from other companies for the key mid-level positions of area manager and district manager. Through the efforts of operations management, with the assistance of the human resources and training staffs, promotion from within has become a reality. Many factors have helped this to happen — new If you're in the management training programs, manpower planning, vicinity of six special management skill development training, and the creation Krystal restaurants, you can of the field training manager and regional training tune your car radio to the manager positions. Krystal Parking Lot Network, All of these, plus the ambition and drive of employees station "KPLN." at all levels, means that we can promote 100 percent from There, you will hear Bob, the within. host of KPLN's talk show, As Krystal keeps growing, there will be more opportu­ telling you about special offers nities for promotion. Each member of the Krystal team and inviting you to win prizes, play who has the desire and skill to succeed and a proven games, and get special discounts on Krystal food. record of performance will be able to reap the rewards. Radio KPLN was developed by Krystal's marketing The opportunities are there for all those who strive for department and is being tested at six restaurants— them! Chattanooga 9 and 13, Cookeville, Canton, Jacksonville 1, See promotion announcements on page two.) and Savannah 2. It features a four-minute taped message that entertains Krystal customers while poking fun at the presidential candidates. president" when they reach the drive-thru window. As host of the talk show, Bob chats with celebrity callers "Customers like the humorous parts," said George like the Gipper and "the Chief" of state. Seagrave, manager of the Cookeville Krystal. With signs on Even "the Boss" from Texas calls Bob to find out how all four corners of the restaurant and employees handing out many Krystals he can buy for a billion dollars. flyers in bags, it's getting their attention, he added. Bob wraps up the show by offering a large Coke for the price of a small to everyone who remembers to say "Bob for Continued on page 3 Promotions

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55*^- Earl Beasley has been promoted to district manager in Alan Walker has been promoted to the position of regional Nashville, replacing Alan Walker, who has become regional vice president, north region. vice president. Alan, a ten-year Krystal veteran, started as an assistant Since joining Krystal in 1986, Earl has been the area man­ manager in Atlanta, and moved through the ranks of restau­ ager of two areas in Atlanta. Most recently, he was regional rant manager, Q.S.C. team specialist, assistant area manager, training manager for the south region. Before coming to and area manager. Krystal, Earl worked for Wendy's and Hardees as area In his most recent position as district manager in Nashville, manager. Alan built a team of restaurant managers and area managers who made great improvements in sales, service, and profit­ ability. Alan holds a B.S. degree in industrial management from the Institute of Technology. Alan, his wife Tina, and the /Crystal Gazer their three daughters will soon relocate to Chattanooga.

The Krystal Gazer is published by the Krystal Company for all employees of the company. Please address all correspon­ dence to The Krystal Gazer, Training Department, The Krystal Building, One Union Square, Chattanooga, TN 37402. Susan Thomas Editor Beth Hicks Typesetting In This Issue ...

Bob hits the airwaves 1 Promotions 2 Johnson City breaks opening week record 3 Mike Wilkes has been promoted to regional training Best Pride Shopper scores and speed of service 4 manager in the south region. Mike replaces Earl Beasley, Breakfast test will expand 5 who has gone to Nashville as district manager. Around Krystal 6 Mike worked as an hourly employee for Krystal while still Where does the money go? 8 in school and later became a shift manager in Atlanta. After People 9 holding positions at several other fast-food chains, he re­ New staff 11 turned to Krystal and became an area manager for Atlanta New officers get dunked 12 Central. Later, he moved to the Marietta area, where three of his restaurants achieved training restaurant certification. Marketing

Continued from page 1 At Jacksonville 1, the customer response is growing each week. "About one out of every five people who come to the drive-thru says Bob for president," said Cathy James, the restaurant manager. "A few people have commented about Bob's jokes. It gives them something to smile about." The message will change every few weeks, along with the special offer. The radio signal extends 300-400 feet, covering the average restaurant parking lot. The Krystal Parking Lot Network was created by the Bloome agency, said Carla Koeffler, director of marketing. "We were looking for an unusual way to deliver a message to cars as they came into the parking lot. We wanted to invite them to play games and win prizes, and to highlight special items on the menu." In two new messages, Bob will be joined by co-announcer Don Pardo. They will be interviewing characters from Krystal late-night radio, like Sylvia the parrot and Jeff the invisible man. The special offer will be a large Coke for the price of a small, with an order of ten Krystals. Real estate and car rental companies have used radio marketing successfully, Carla said. Krystal is the only fast- food company using it. "We will test the strength and appeal of different offers," she added. "The units are very portable. We may buy some that we will move around to different locations for special events." Customers are slowly warming up to KPLN, as they become familiar with it through restaurant signage and bag sniffers. "People don't know what it is yet, but JAX-1 had 75 requests in a week, and thafs encouraging," Carla said.

Johnson City breaks records for opening week

The Johnson City Krystal, which opened on August 31, had sales above $73,500 during opening week, breaking the record set a year ago by Cookeville. Hours before the restaurant opened, cars were backed up around the building and the dining area was "standing room only" with 75 people packed in, said franchisee John Emmett. Employees from Emmetf s first unit, in Greenville, Ten­ nessee, drove over to the new restaurant early to be the first in line. The Johnson City restaurant also broke single-day and hour sales records during opening week. Johnson City, the twenty-fifth franchise Krystal, is the first full-size franchise unit built from the ground up. IHWHWHlfmiTI ( >v f \ Pride Shopper Speed-of~service leaders leaders (3rd quarter, 1992) (3rd quarter, 1992)

North region North region Best district: North 3 (Knoxville) 86.5 Best Area Avg. Lee Mclntire, Sr AM Inside: Nashville South 71 sec. Best area: Knoxville South 87.3 (tie) Darrell Eleam, AM Boyd Schultz, AM Drive-thru: Memphis West 67 sec. Knoxville West 87.3 John Wilkerson, AM Dottie Berry, AM Best Restaurant Avg. Inside: Chattanooga 9 40 sec. Best Kwik: Scottsboro 96.2 Nancy Seavers, RM Kim Dolberry, RM Drive-thru: Nashville 4 47 sec. Best restaurant: Knoxville 3 93.7 Louis Thorpe, RM Brenda Lane, RM

South region South region Best Area Avg. Best district: South 4 (Columbus) 82.9 Inside: Jacksonville East 86 sec. Barry Sutherland, DM Ric Leonard, AM Best area: Atlanta SW 86.4 Drive-thru: Daytona 66 sec. Jim Shubow, AM Bill Algeo, AM

Best Restaurant Avg€7 . Best Kwik: Atlanta 45 95.2 Inside: Jacksonville 10 19 sec. Henry Booker, RM Mike Edwards, RM Best restaurant: Columbus 7 94.8 Drive-thru: Albany 2 40 sec. J Josefine McKibbins, RM Lewis Mimms, RM s- J V J Update on the Pride Shopper program

Since 1986, when the program began, Krystal's Pride The average company restaurant score has moved up Shoppers have conducted more than 35,000 restaurant from 74 points to 82.2. visits and evaluations— an average of 140 visits per The frequency of shops has increased to six per quarter, restaurant. or 25 visits to each restaurant every year. Breakfast test will expand to more restaurants

Twenty-five Krystals with high breakfast sales volume will have compact breakfast stations installed in January. Based on successful early test results at eight company restaurants and two franchise restaurants, Krystal's product development team decided to expand the breakfast test. "At the compact food prep, station, the breakfast maker has everything at her fingertips to prepare cook-to-order breakfasts in record time," said Jimmy Biddle, product development manager. Guests can have a custom breakfast cooked in 90 seconds. The station is equipped with two or three special grills, so the eggs can cook on the top and bottom without turning. Also within easy reach are the heated holding bin, C-Vap cabinet for biscuits and sausage, gravy well, and grits con­ tainer.

Joyce Lane of Chattanooga 16 can cook up breakfast in a hurry at the new, compact prep station.

Crew members who have worked the station say they like it because "everything's in one place." Two compact refrigerators are built in under the counter. And the breakfast station can be moved around in sections for convenience or easily taken apart for washing. Although installing the new equipment is expensive, the breakfast station should pay for itself by helping us get a hot custom breakfast to our guests more quickly than ever before.

Nobody else offers a custom-cooked breakfast with so many options, and with eggs and toast prepared to order. Krystal featured in music video

Singer Billy Ray ("Achy Breaky Heart") Cyrus filmed part of his newest country music video in the parking lot of Nash­ ville 8 late on the night of September 9. Billy, who loves Krystals and buys them by the bag full, ordered eight to eat on the way home. Drive-thru employee Juan Riley made Pictured with the star are, from left: Cindi St. John, N-5 secretary; change and handed out the food. He will Carlene Mullis, marketing secretary; and Gina Williams, N-5 field appear in the video, which features the trainer. song "Where am I going to live?" coming out this month on the country music station. Pace setters Play ball

Knoxville 2 set a sales record for the day on Saturday, September 5. Dora Elliott manages the restaurant.

Nashville 6 broke its breakfast record on Saturday, Sept. 12. John Corman is the manager.

Oak Ridge had a record breakfast and day on Nolan Snider threw out the first ball at the Saturday, September 19. June Burton is the Nashville Sounds game recently. Lou Snider, area manager. manager in Nashville, is Nolan's dad. Phillips elected to COMEC board

Doyle Phillips, district manager in Memphis, has been elected to the board of directors of COMEC (the commission on missing and exploited children). Close to 1.5 million American children disappear from their homes each year, according to the Memphis police department. Krystals in Memphis will be working with COMEC by sponsoring a photo I.D. session for children and providing them with fingerprint cards.

Officer Stump Edwards of COMEC displays the photo I.D. pre­ sented to three-year-old Dee Johnson at Memphis 8.

Productive m partnership

Andy Johnson and Lisa Pitts from the product development staff McNeely elected to went to Calhoun, Georgia, to say "thank you" to the crew of the Bryan Meats plant, who have produced almost five million Krystal cornpups. From left: Andy Johnson, Ken Bobay, plant real estate executive manager; and Lisa Pitts, food technologist. board

Phil McNeely, vice president of real estate and con­ struction, has been elected to the board of directors of NACORE, an international association of 3,400 real estate executives and professionals. The members of NACORE represent corporations active in industry and manufacturing, retail, restaurants, and finance. Department Profile Where does the money go? Ask the folks in cash control

As cash control supervisor, Pat Penney makes sure that all the cash and checks from your restaurant reach the main bank near Krystal's home office. Every Tuesday and Wednesday, the cash control group keys into the computer seven days of sales reports and cash data that 230 restaurants send in on their weekly operating reports. After making sure that each deposit is properly validated, they report all late or missing bank deposits to the company's operations controller, Ed Hurt. If any money is missing, they charge it to the restaurant as a shortage. "Rain or shine, one of us walks down to First bank once a day, carrying a tape with the total of the previous day's deposits," Pat said. "Everyone takes a turn." The staff of five— Pat, Joan, Linda, Kay, and Melisa— Melisa Brookshire, a 12-year Krystal veteran, sorts out the deposit together have 69 years of service to Krystal. Pat came to tickets and register tapes. Krystal from a carpet mill, which was quite a change. "There involves a lot of paperwork. One week a month, they open we were always a month behind. When I came here, they'd the Pony Express bags and sort the mail that goes to all pitch in and and help you. The working conditions were departments in the home office. good, and everyone was nice." To be a cash control clerk, you have to be good with Which may explain why this group of Krystal veterans has numbers and know the touch system on a ten-key pad, Pat stayed so long— Pat, in her 29th year, has worked in several Continued on page 12 areas of the accounting department. Assistant supervisor Joan Houston recently celebrated her 15th anniversary. Although Pat and her staff work ten-hour days, they only work four days a week. "Everybody has a three-day week­ end— we love it!" she said. When they aren't counting up the cash or making bank deposits, they pay all city, county and state sales taxes, which

Kay Roberts gets ready to sort the day's mail. Pat checks the week's sales reports with Joan Houston, assistant supervisor of cash control. 8 People

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• ft m VPs Jim Compton and Jim Ventura award a TJTC check to Doris Whaley, restaurant manager of Atlanta 25.

Katrina Barber, service leader at JAX-10, received a hospitality award from John Patrick, area manager. Katrina's service skills contributed to a 110 Shopper score.

District manager David Groves presents Sam Charlotte Cox receives her ten-year award John Crook, manager of restaurant account­ Johnson with his five-year award. Sam is from Joe Pope, area manager. Charlotte is a ing, receives his 15-year service award from area manager of Atlanta South. shift leader at Atlanta 22. Cam Scearce, VP.

Shelly Archibald and Edna Wyatt (Atlanta 5) receive excellence Katherine Giles, field training manager, receives her five-year awards from Rody III and Cam Scearce during the officers' tour. award from Reiss Tatum and the district south-3 staff. People

Charlotte Pearson receives her 15-year award from Reiss Tatum. Charlotte George Gordon and Rhonda Jorola received the 2nd quarter manages Jacksonville 15. Pride Shop award. Their restaurant, Jacksonville 5, won with a 93.5 average. At right is Terry Phillips, the lst-quarter

Brenda Jones, secretary to the operations JoAnn Smith, Q.S.C. specialist at Atlanta 16, Macon 7 received its training restaurant cer­ and training departments, receives her one- receives an excellence pin from Carl Long tification on August 25. From left are Alex year pin from Dave Rusk, director, and during the officers' tour. Daunter (ARM), Woody Reilly (field train­ Wilma Elliott, administrative assistant. ing manager), Tom Fisher (RM), and Albert Thomas (ARM).

Stacey Bright receives an excellence pin from Vicki Ford, Sheila Mahan of Atlanta 7 was awarded an excellence pin by Rody III and district manager, for exhibiting outstanding Cam Scearce during the officers' tour. service attributes.

10 New staff

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Stephanie Broddie has joined Krystal as product quality assurance technologist. Jessica Motsenbocker has joined Krystal as field market­ Originally from Detroit, Stephanie holds a bachelor's ing manager. She will be working closely with franchisees degree from Spelman College in Atlanta. She has over six and company restaurants to develop and implement market­ years of experience with Domino's Pizza and other chains in ing programs at the local and restaurant levels. food quality control, sanitation, and related areas. Jessica had her first job in the fast-food business while still As quality technologist, Stephanie will spend a large part in college. She worked in operations, training and develop­ of her time on the road, dealing with Krystal's suppliers and ment at a district office. distributors, performing audits in the plants, and keeping Later, she had six years with . She comes to everyone producing to Krystal's specifications. She will also Krystal from Del Taco in Atlanta, where she was manager of play a role in product testing and resolving product inci­ marketing services for 270 restaurants, working with franchi­ dents. sees of the Del Taco, Taco Villa, and Taco Tico companies. She has over ten years' experience in the hospitality indus- try. Robin Reinhardt has joined Krystal as construction project r manager. In this Training for the future position, she will help the construction department develop new company and franchise restaurants. Robin will be based in Atlanta. She comes to Krystal from Fried Chicken, where she was a construction engineer. Before KFC, she served as a construction manager for Hardees. Robin, who has 10 years of experience in construction, received her Bachelor of Science degree from Georgia Tech. She also holds a Master of Public Administration degree With Katherine Giles are newly promoted assistant res­ from Georgia State University. taurant managers in Jacksonville, Fl. (1. to r.): Randy Murphy, Ed Wheeler, David Harville, and George Gordon, training V restaurant manager. 11 New officers get dunked!

Krystal franchisees, top management, and vendors partici­ pated in the annual Krystal golf tournament, which was held at Council Fire in Chattanooga on September 15. After the tournament, prizes were awarded at a cook-out, and Krystal's newly promoted officers received a watery surprise!

New president Rody Davenport IV comes up smiling, with his District managers (wearing head towels) get ready to throw Jim red president's blazer on, after being tossed into the pool. Ventura, the new vice president of operations, into the pool.

Continued from page 8 Immortalized on explained. "Our job has gotten easier over the years, thanks to the computer," she said. "The old hand-written reports that Mount Rushmore restaurants used to send in (called the red sheets) were very hard on the eyes." "We used to have to balance all the sales figures manually. Now the computer does it for us, which has speeded up the data entry process a lot." The red sheets have been replaced by the computerized restaurant reporting system, known as RSS. From time to time, Pat finds deposit tickets that haven't been properly validated or deposits that weren't put into the bank. "Once a manager slid a bank deposit under his car seat and forgot it was there for two days," she said. "If the money isn't there, it will eventually show up." "We make sure all the sales and deposit tickets balance. Thaf s a very important part of our function. Along with our other responsibilities, we try to be a support group. We are always here to help the restaurants, any time they need us." Carl Long, Krystal's chairman and past president, takes his rightful place next to some other great leaders!

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