Question-and-Answer Session
Operator
The question and answer session will be conducted electronically. (Operator Instructions) Our first question comes from David Tarantino with Robert W. Baird.
David E. Tarantino – Robert W. Baird & Co.
First question, G. J. you mentioned that you’re not changing the long term growth model that you outlined in December. Should we assume that you might reaccelerate the unit growth rate as you look out into 09? Or, I guess a follow up to that would be what are you looking for in 08 to determine what type of rate you might grow in 09?
G. J. Hart
I think right now it’s uncertain as to what we will do in 09. We first have to see what 08 brings us so as we said in the remarks we really need to analysis what inflation, what pricing looks like, all the things that we talked about. But again, as we said, we’re not changing that long term growth strategy so you might see us go back to that depending on what the results look like in 2008.
David E. Tarantino – Robert W. Baird & Co.
Okay. Thanks. Then, just a question on some of the assumptions that are embedded in guidance in terms of pricing that you’ve already taken with the 1.1%, have you assumed any additional pricing in the guidance for the balance of the year?
G. J. Hart
No.
David E. Tarantino – Robert W. Baird & Co.
Then, a follow up to that, have you assumed any benefits related to the initiatives related to food yield or the new labor module in the guidance?
Scott M. Colosi
I think what our message to you is that we’re not prepared at this time pretty much for competitive reasons to talk about what pricing we may take or may not take going forward as there’s a lot of things going on in the industry that we’re seeing with our competition. So I think, we’re going to keep that pretty close to the vest but chances are we’re going to do something. I think on the yields, it’s really too early to tell. We’re optimistic about it sitting here today as we are optimistic about the floating beef cost that we had but, we don’t have specific guidance for any of those items that we’re willing to share with everybody.
Operator
Our next question will come from Jason West with Deutsche Bank.
- To read the full transcript on Seeking Alpha, click here »
