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For Immediate Release Contact: Andy Deloney
March 4,2010
517/377-3931

Industry Posts 3.26 Percent Sales Decline in 2009

LANSING, Mich. – The Michigan Restaurant Association (MRA) announced today that statewide eating and drinking place sales declined by 3.26 percent in 2009.

Sales at table-service restaurants declined by 2.37 percent while sales at quick-service restaurants declined by 1.30 percent. The only market segment to experience growth was hotel dining rooms, whose sales increased by 2.85 percent. The catering and concession segment experienced a 19.8 percent reduction in sales while bars and nightclubs saw revenues fall by 7.27 percent. Overall the industry posted sales of $9.95 billion compared to 2008 sales of $10.28 billion.

Michigan Restaurant Association President and CEO Rob Gifford called 2009 “an extremely challenging year for the foodservice industry,” observing that the results yielded $20 million less in sales tax revenues for state coffers than in 2008. “We look forward to working with elected officials to improve the health of Michigan’s economy and return the industry to growth,” Gifford added.

The Association also reported that industry sales continued to decline in the fourth quarter of 2009, falling by 1.9 percent. The lone bright spot was full-service restaurant sales, which increased by 0.75 percent. All other segments declined in comparison to the fourth quarter of 2008, with quick-service revenues down by 2.32 percent, bars and nightclubs down by 4.65 percent, caterers and concessions down by 21.49 percent, and hotel dining rooms down by 5.07 percent.

The MRA report is based upon sales tax data collected by the Michigan Department of Treasury. Sales details can be found below.

 

2008 Sales

2009 Sales

% Change

Table-Service Restaurants

 

 

 

  1st Quarter

$1,170,321,566.67

$1,119,606,416.67

-4.33%

 2nd Quarter

$1,211,510,283.33

$1,195,129,816.67

-1.35%

 3rd Quarter

$1,311,133,966.67

$1,254,264,766.67

-4.34%

 4th Quarter

$1,170,626,083.33

$1,179,355,700.00

0.75%

 Total

$4,863,591,900.00

$4,748,356,700.00

-2.37%

Quick-Service Restaurants

 

 

 

  1st Quarter

$816,487,050.00

$820,733,650.00

0.52%

 2nd Quarter

$920,389,916.67

$921,965,366.67

0.17%

 3rd Quarter

$1,011,573,950.00

$979,148,716.67

-3.21%

 4th Quarter

$896,722,883.33

$875,893,250.00

-2.32%

 Total

$3,645,173,800.00

$3,597,740,983.33

-1.30%

Bars/Nightclubs

 

 

 

  1st Quarter

$308,520,250.00

$276,625,666.67

-10.34%

 2nd Quarter

$348,205,566.67

$315,545,933.33

-9.38%

 3rd Quarter

$363,998,850.00

$346,347,616.67

-4.85%

th Quarter

$304,579,050.00

$290,412,716.67

-4.65%

 Total

$1,325,303,716.67

$1,228,931,933.33

-7.27%

Caterers/Concessions

 

 

 

  1st Quarter

$89,070,533.33

$73,165,316.67

-17.86%

 2nd Quarter

$99,407,450.00

$73,571,500.00

-25.99%

 3rd Quarter

$109,325,333.33

$93,715,766.67

-14.28%

 4th Quarter

$96,845,516.67

$76,035,800.00

-21.49%

 Total

$394,648,833.33

$316,488,383.33

-19.81%

Hotel Dining Rooms

 

 

 

  1st Quarter

$9,480,716.67

$12,149,183.33

28.15%

 2nd Quarter

$11,509,050.00

$12,993,216.67

12.90%

 3rd Quarter

$19,201,816.67

$17,258,550.00

-10.12%

 4th Quarter

$13,425,666.67

$12,744,666.67

-5.07%

 Total

$53,617,250.00

$55,145,616.67

2.85%

 

 

 

 

Total

$10,282,335,500.00

$9,946,663,616.67

-3.26%

The Michigan Restaurant Association (MRA) is the recognized leader of Michigan's hospitality industry, providing essential services to the foodservice community.  Founded in 1921, the MRA represents more than 4,500 Michigan foodservice establishments.  The industry plays an integral role in Michigan's economy, employing more than 423,600 people and creating more than $13.1 billion in annual sales. For more information please call 800-968-9668.


Copyright 2010 by Michigan Restaurant Association 800-968-9668

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