White Castle's profits have “essentially flatlined over the last eight years,”
Forbes
reported.
During the recent recession, the company closed about 24 locations, many in low-income areas.
The company faces a dilemma, the
Forbes
article said: “Stray from the past and you risk losing cult followers. Fail to change and you risk getting left behind.”
Fourth-generation member Lisa Ingram, 43, became president last year. Three of the seven directors on the board are family members, according to the report.
About half of the more than 400 White Castle locations were built before 1960, and the average manager has 21 years' tenure, the
Forbes
article said.
New products like mini-tacos and salads have failed, but White Castle introduced a chicken-and-waffle sandwich last year and will try smoothies in two markets this year, the report noted. The company is also launching new restaurants: Laughing Noodle (Chinese), Blaze Modern BBQ and Deckers Grilled Sandwiches. It is investing nearly $100 million in renovations to White Castle outlets and expanding its line of frozen foods. However, Ingram told
Forbes
the chain will continue its no-franchising policy. (Source:
Forbes
, Aug. 18, 2014.)
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