Kerrii Anderson, interim CEO and president, says the company'ssecond quarter marks the "best same-store sales period for theWendy's brand in more than a year and a half." However, whileexecutives gloat in the silver lining, the company's Baja FreshMexican Grill continues to lag with same-store sales declining 5.5%to 5.8%. This follows the chain's comp loss of 3.7% in thecompany's first quarter.

In hopes of regaining investor confidence, company execs assurethat they are on track to achieve $100 million in cost savings,thanks to approximately 115 full-time US employees electing toaccept voluntary early retirement packages. The employees whoaccepted the voluntary early retirement packages comprise afraction of the total 350 to 375 positions targeted in thecompany's workforce reduction plan.

The company is now expecting to incur charges during the secondquarter as a result of its voluntary early retirement plan,severance related to its planned reduction in workforce and otherexpenses related to the cost-reduction initiative. The charges,execs say, will contribute to a lower 2006 second-quarter earningsper share compared to the second quarter of 2005.