The company will open between 35 and 38 new Pei Weis next year,with a larger proportion to be opened in new or underpenetratedmarkets, including Detroit, Tampa, Fla., Memphis, Miami, Boston,and metro Philadelphia. The company also plans to open 18 to 20 newBistros next year.

Though second quarter revenues rose 14% to nearly $226 million,comparable-store sales decreased 1.0% at the Bistro and dropped3.9% at Pei Wei. Net income declined to $8.1 million from $9.3million, in part because of accounting changes. Now, the companyhas cut its comp-sales expectations for both the Bistro and PeiWei, as diners literally tighten their belts.

"You have to go back over 15 years to find an environment wherethe consumers has responded as they are today," said Rick Federico,chairman and CEO, later adding that in 1991 consumers also werecoping with a Middle East war and economic woes. "But we do notbelieve the current environment will be extended into thefuture."

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