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Yum!Brands

Yum! Brands, Inc., based in Louisville, Ky., is the world’s largest restaurant company in terms of system restaurants with over 34,000 restaurants in over 100 countries. Four of our restaurant brands – KFC, Long John Silver’s, Pizza Hut and Taco Bell – are the global leaders of the chicken, quick-service seafood, pizza and Mexican-style food categories. A&W Restaurants is the longest running quick-service franchise chain in America. In 2006, Yum! Brands generated more than $9.5 billion in total revenues, including company sales and franchise fees. Yum! is building a vibrant global business by focusing on key growth strategies: building dominant restaurant brands in China, driving profitable international expansion, improving U.S. brand positions and returns, and driving high ROIC and strong shareholder payout.

We have a great China business with tremendous scale and economics, and our goal is to continue to build dominant China brands. We also have a very strong and profitable broad-based international business, which we continue to grow. We are focused on running great restaurants and, we are the worldwide leader of multibranding – combining two brands and greater consumer choice under one roof.

The Yum! China Division (includes mainland China, Thailand and KFC Taiwan), based in Shanghai, has been reported separately since the beginning of 2005 due to its size, unique strength and importance. Today our Yum! China Division has more than 2,600 system restaurants (Q4 2006).

Mainland China is our number one market for new company restaurant development worldwide. In 2006, operating profits for the China Division were more than $290 million. Our strategy is to be the leader in every significant food service category in mainland China. KFC is the number one quick-service restaurant brand and Pizza Hut is the number one casual dining brand in mainland China.





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