Rus News Journal

It is impossible to eat all

interview to the president Rosinter Restorants Sergey Beshevym

In 2009, despite crisis and a flu epidemic, to the leader of the Russian restaurant market of the company Rosinter Restorants it was possible to keep a gain at previous year level. Having counted on a turn, the company has flown lower the average check, but has increased the traffic. The president has told about development strategy in 2010 in interview to the correspondent daily poline the BYHOVSKY Rosintera SERGEY BESHEV.

- Sergey, as far as I know, you have come in Rosinter from MTS.

- Yes, MTS office is here nearby. I periodically went to have dinner in a land Planet and IL the Patio . But one business to eat at restaurants, another matter them to head.

- the concept of development of a restaurant network was born at dinner? In what it consists?

- Having come in Rosinter I first of all have analysed the markets on which we are present, and have thought how to strengthen our positions. For example, last year we have opened in Hungary with three concepts - American (TGI Friday s), Japanese ( a land Planet ) and Italian ( IL the Patio ) . However later the decision to remain there only with two concepts - American and Japanese, at them as it has appeared, the greatest potential in Hungary was accepted. The Italian cuisine market there is sated enough.

in Petersburg, on the contrary, a considerable quantity of players in the market of a land and the empty market of the Italian meal. According to it we also will build the development in this city. In Moscow IL the Patio and a land Planet are in demand. Are popular and TGI Friday s, these restaurants hold a niche of young active people which love noisy parties and dialogue with friends.

- as you have endured crisis? How built relations with suppliers and owners of premises this uneasy year?

- We centralised purchases to increase volumes and to receive discounts from suppliers. Besides, held tenders. As a result, despite devaluation of rouble, an expense for products have not changed, remained at level of 2008. Lessors too met half-way. In the beginning of year we have carried on with them negotiations and have received discounts from 5 to 50 % depending on a restaurant site, and then have agreed that they will receive the income in the form of percent from a gain.

- people should be dismissed?

- Now for us works more than 8 thousand persons at 350 restaurants. For all crisis we have reduced about 3 % of employees - basically in administrative apparatus and the support centre. And the others zamotivirovali. People have promoted in the salary, on reaching tasks in view - bonuses, and also to all employees is given 20 - a percentage discount at our restaurants. A lot of attention we give as well to non-material motivation, we try to praise and encourage those who is capable to do break, instead of simply to go for work completely.

- From - for crisis the traffic of visitors has fallen, probably?

- it is unconditional, the quantity of visitors in first half of 2009 decreased, and traffic falling has reached on the average on the company of 20 %, then it began to grow, and by the end of the year decrease made hardly more than 8 %. To it there are some explanations. In - the first, revival of consumer activity, in - the second, our marketing strategy: if in first half of year we compensated the traffic growth of the average check in second half of year we have counted on a turn, that is have gone on small decrease in the average check, for 3-5 %, but have received bolshy a stream of visitors. As a whole on a year our average check remained almost invariable - an order 600 rbl.

- As it has affected profitability and financial indicators of the company?

- In first half of 2009 level of profitability EBITDA has grown on 1,3 % (as percent from the general goods turnover) in comparison with the similar period of 2008. Simultaneously we could increase considerably our operational monetary stream, including at the expense of more efficient control the working capital. In the fourth quarter we have made good jerk, having increased a turn by 12,7 % in comparison with the third quarter. As a whole this uneasy year we have finished with small, but a positive indicator of growth of a turn - on 0,7 %.

- How many restaurants plan to open this year?

- In 2009 we have opened 50 restaurants, from them of 50 % on a franchise, and have entered into such new cities, as Cherepovets, Ivanovo, Kishinev, Izhevsk, Krasnodar, Saratov. We assume that in 2010 rates of increase will be where - that in these limits. Also we should finish the scale and serious project - opening of 13 objects of public catering in the Sheremetyevo, in the terminal D . A dining room for employees, the industrial complex, restaurants and coffee houses Here enter. Specially we have developed a new brand for this project - Rush`s Mum it is restaurant of Russian home cuisine in a format free flow.

- the Prices there will be above, than in a city?

- Usually at the price airports above on 10-15 % from - for more expensive rent.

- new restaurants will open independently or there are plans on purchase of ready objects?

- Is not present, such plans are not present. For today we consider more favourable and effective to build own restaurants with zero. As to geography and development strategy new cities and the countries we will open basically on a franchise, probably, we will add in business - a portfolio one more CIS country, and korporativno we will extend in presence cities, thus to a choice of objects we will approach very much tochechno.

- you stake On what brands in 2010?

- At us three key brands - IL the Patio a land Planet and TGI Friday s on which we direct our basic focus. Restyling " has been some years ago made; land Planets . I think, has come to freshen a turn our Italian concept to give it more modern kind and comfortable atmosphere. Beer restaurants the Siberian crown develop at regional level. Also at us is 1 - 2 - 3 cafes in Moscow which specialise on Russian cuisine. We think that it is a perspective segment as experience of the different countries shows that sooner or later the local cuisine becomes one of in the lead. Besides, we develop sovmest - but with British Whitbread a network of coffee houses Costa Coffee (today them already 17), and I am assured, in this direction at us it is a lot of prospects. Strongly to be diversified on brands we do not gather - it is impossible to eat everything, it is possible to receive nesvarenie.

- And for investors there will be something tasty?

- Actions Rosintera show good growth, analysts have quite positively estimated results of last year and give on us good forecasts. In the middle of last year the action price made 3 dollars, by the end of the year - an order 10 dollars, and now - 11-12 dollars

- What financial tools will use in 2010? Will reduce or increase a debt?

- Throughout the 20 - summer activity Rosinter Used various financial tools: private investments, loans, bonds, IPO. In 2009 we have reached considerable improvement in structure of our debts which total amount has decreased within a year on 12,3 %, to 72,5 million dollars the share of short-term debts has thus decreased to 48,9 % in comparison with 95,5 % for December, 31st, 2008. The share of rouble debts makes 72,9 %. In 2010 we will continue work in this direction, being focused on efficient control monetary streams and careful control of costs. Open Society Rosinter Restorants Holding operates 350 restaurants to Russia and the CIS from which 95 work on a franchise. Own trade marks: IL the Patio a land Planet and 1 - 2 - 3 cafes . The marks used under the licence: TGI Friday s and the Siberian crown . The company also develops a network of coffee houses Costa Coffee (17 coffee houses) within the limits of the joint venture with Whitbread Plc. In 2009 the consolidated gain Rosintera has grown on 0,7 % in comparison with 2008 and the Gain of comparable restaurants (like - for has made 8,53 mlrd rbl. - like) has decreased on 16,1 %. Shares of company bargain in RTS and on the Moscow Interbank Stock Exchange.

Sergey Beshev is appointed by the president of Open Society Rosinter Restorants Holding in June, 2009. With 2007 - go till March, 2009 - the director MTS - Moscow in 2005-2007 - the commercial director of the telecommunication company Akado in 2001-2005 took positions of the director for marketing, then - the commercial director the Megaphone - Moscow . In 1997-2001 worked in a staff - apartment in Germany and in the Russian representation Motorola as the manager on business development. Has begun professional career in 1996 adviser Deloitte & Touche. Has ended the Moscow aviation institute on a speciality the engineer - system engineerings and REA it. Plehanova on a speciality the economist . Has degree MVA.