NRA News

The National Restaurant Association’s Restaurant Performance Index was off to a strong start this year because of improved optimism among restaurant operators, but that optimism recently lost momentum. The more subdued outlook caused the RPI to decline in June for the third straight month and stood below 100 for the second month in a row.

“Although the current situation indicators registered a modest improvement in June, each of the four expectations indicators dipped for the second consecutive month,” said Hudson Riehle, senior vice president, research and knowledge, NRA. 

The RPI stood at 99.5 in June, down 0.3 percent from May and the lowest index level since February.

Travel and tourism season in full swing and restaurants are serving up meals to international visitors and domestic travelers from coast to coast. According to National Restaurant Association research, August is the most popular month of the year to dine out, much thanks to those traveling diners.

This year is off to a good start when it comes to tourism. Spending by tourists in the United States increased at a solid annual rate of 3.9 percent in the first quarter of 2010, according to recent Commerce Department data. In comparison, tourism spending declined by 1.5 percent in the last quarter of 2009. This positive trend bodes well for the restaurant industry, as tourism is a main driver of sales growth.

We want to make you aware of a new study on the Gulf Coast oil spill created in collaboration with our partner organization, the U.S. Travel Association. The study shows the spill's impact on travel and tourism will likely last three years and could cost up to $22.7 billion in lost spending. It also reinforces the need for a substantial and significant marketing program, that could cut that economic damage by one-third.

We join USTA in calling on responsible parties, the government and others to take immediate action to mitigate the certain economic damage our industry and others face.

Research shows that the oil spill will have long-term effects on businesses and jobs in the Gulf Coast region unless action is undertaken to mitigate the long-term impact and save restaurant industry and other jobs. We have been working with USTA to launch a "Roadmap to Recovery" to aid the Administration and the Congress in its work to safeguard the Gulf Coast and prepare for future crises as well.

The IRS has called for comments on a new information-reporting requirement for businesses.

The requirement — included in the health care reform bill, but not related to health care — would force businesses to file an IRS Form 1099 for all payments they make of more than $600 a year to providers of property and services, including corporations that provide property and services. The rule would take effect in 2012. Congress included the reporting measure in the health care bill as a revenue-raiser to offset the bill’s costs.

A new business-management tool from the National Restaurant Association can help you gauge how your restaurant stacks up to the competition — and where you might be able to cut costs to become more efficient.

The 2010 edition of the Association's popular Restaurant Industry Operations Report is based on an analysis of financial data submitted by 600-plus restaurants. Deloitte and National Restaurant Association produced the report.

The National Restaurant Association launched a new electronic newsletter today — the National Restaurant Association Edition of NRN a.m. Subscribers will get the latest industry news, updates from the Association, and and resources to boost business in their inbox for free each weekday morning.

"We are pleased to launch this daily newsletter, in partnership with Nation's Restaurant News, to keep you informed of the latest industry developments, legislative and regulatory updates, and tools and solutions to help grow revenues, increase profitability, and develop employees," said Dawn Sweeney, National Restaurant Association president & CEO.

Last month, the Association announced a strategic partnership with NRN that includes the new e-newsletter, a monthly "NRA Insights" page in the magazine, and discounted magazine subscription rates for National Restaurant Association members.

Sign up to receive the National Restaurant Association Edition of NRN a.m. now.