EXHIBIT 99-A
Contact: Troy Cook
Senior Vice President Finance and
Chief Financial Officer
NPC International, Inc.
(913) 327-3109
FOR IMMEDIATE RELEASE
NPC INTERNATIONAL, INC. ANNOUNCES TERMS AND COMPLETION OF 64 PIZZA
HUT UNIT ACQUISITION FROM PIZZA HUT, INC.
PITTSBURG, Kansas, (June 8, 2000) - NPC International, Inc.
(NASDAQ:NPCI) today announced the terms of its acquisition from
Pizza Hut, Inc. (PHI) of 64 Pizza Hut units located in Iowa (58),
Illinois (4), and Georgia (2). The units acquired in Iowa are
located in and around Des Moines (10), Cedar Rapids/Waterloo (9)
and the Quad Cities (8), as well as, the surrounding rural areas.
The 38 restaurants and 26 delivery/carryout units generated over
$41 million in sales during the 52 weeks ended March 2000. The
Company entered into a Letter of Intent to acquire these
restaurants on May 4, 2000 and completed the transaction effective
today.
NPC acquired the 64 units for $18,650,000, which will be
funded through the Company's existing credit line. Consistent
with the terms of the recent acquisitions from PHI, NPC will pay
an ongoing royalty rate of 6.5% of sales in accordance with Pizza
Hut's current franchise agreement. As assets are upgraded to meet
current re-build standards, as established by PHI, the Company
will commence paying a 4% royalty rate for such assets over a new
20-year period. NPC expects the majority of the acquired assets
will meet upgrade standards within eight years.
With the exception of historical information, certain of the
matters discussed in this news release are forward-looking
statements that involve estimates, risks and uncertainties
including, but not limited to, economic conditions, consumer
demand, availability of real estate, competitive conditions and
pricing, food costs, labor costs, and other risks indicated in
filings with the Securities and Exchange Commission.
NPC International, Inc. is the world's largest Pizza Hut
franchisee and operates 845 Pizza Hut restaurants and
delivery/carryout units in 27 states.
For more information contact Troy D. Cook, Senior Vice
President Finance and Chief Financial Officer, NPC International,
Inc., 14400 College Boulevard, Suite 201, Lenexa, Kansas 66215
Telephone Number: (913) 327-3109.
00-06
