Wendy's Reports High Quality Third Quarter Results / Systemwide Sales Up 12%, Margins Expand and Base EPS Increases 21%

Dublin, Ohio (PROTEXT) - Wendy's International, Inc. (NYSE: WEN) today announced results for thethird quarter ended October 3, 1999. The results included strong same-store sales growth at Wendy'sU.S. and Tim Hortons in Canada, margin expansion and a 21% increase in base earnings per share. Third Quarter Highlights * Systemwide sales increased 12.1% to a record $1.9 billion for the three-month period. * Total revenue increased 11.4% to $541 million. * Retail sales grew 13% to $439 million. * Average unit volumes (AUVs) at Wendy's(R) company restaurants in the United States increased7.3% on top of 7.8% growth a year ago. It was the 41st consecutive month of positive AUVs at Wendy'scompany units. AUVs at franchise restaurants grew 6.2%. * Same-store sales at Wendy's U.S. were up 7.1% during the quarter, driven primarily bytransaction growth, and are up 8.4% year to date. * Same-store sales at Tim Hortons(R) in Canada increased 12.5% on top of 9.3% growth a year ago. * Wendy's domestic margin improved to 16.8%, up 40 basis points from the same quarter a year ago. * Net income was $44.5 million versus $42.9 million a year ago. * Base EPS grew 21% from $0.28 a year ago to $0.34. * Total diluted EPS for the third quarter was $0.35, including $0.01 in asset gains. Thatcompared to total EPS of $0.33 a year ago, including $0.05 in asset gains. Third Quarter Diluted Earnings Per Share

3Q 1999

3Q 1998

Increase

Base EPS

$0.34

$0.28

21% Assets Gains

$0.01

$0.05

-- Total EPS

$0.35

$0.33

-- "We had another outstanding quarter at both Wendy's and Tim Hortons," said Chairman, CEO andPresident Gordon F. Teter. "We strengthened our quality brand position with customers. Our top-linegrowth was exceptional due to a focus on maintaining consistent store-level operations, thecontinued rollout of our Service Excellence(TM) program at Wendy's, balanced marketing and qualityproducts. Customer reaction to the French Onion Chicken Grill(TM) promotion at Wendy's and asandwich promotion at Tim Hortons was excellent. "Additionally, we effectively controlled general and administrative costs and we expanded Wendy'sdomestic margins with the strong sales performance and programs to significantly improve store-levelproductivity." Progress on Strategic Initiatives The Company made progress during the quarter on its strategic initiatives to improve return oncapital. * The Company repurchased 2.1 million common shares for $58.8 million during the quarter. Sincethe beginning of the repurchase program in 1998 through October 3, 1999, the Company repurchased atotal of 13.9 million shares for $337 million. The Company's total share repurchase authorization isup to $600 million. * Wendy's domestic margins expanded by 40 basis points during the quarter, despite higher foodcosts and labor inflation, and are up 130 basis points year to date, from 15.5% a year ago to 16.8%.The Company is effectively leveraging strong same-store sales at Wendy's and executing severalstore-level productivity programs. * The Company continues to focus nearly all new store development capital on Wendy's in NorthAmerica and Tim Hortons in Canada, where the Company achieves the highest returns. The Companyexpects to open about 520 new units systemwide during 1999, up approximately 13% compared to 460 ayear ago. * The Company acquired from a franchisee 21 Wendy's stores in Argentina and is now operating themarket as part of its Latin America/Caribbean region. Early in the fourth quarter, the Company advanced its plan to improve corporate profitability andreturn on capital by closing seven company operated Wendy's in the United Kingdom. Theunderperforming units were closed due to high real estate and operating costs. Fourth Quarter and 2000 Plans The Company's strong performance continues in the fourth quarter, with same-store sales duringOctober up about 8.5% at both Wendy's U.S. and Tim Hortons in Canada. Wendy's marketing program during the fourth quarter includes a balance of the current nationalpromotion for the Bacon Mushroom Melt(TM) hamburger, an upcoming national pillar highlighting thepopular Spicy Chicken(TM) sandwich, special cable and print advertising targeting core hamburgerconsumers and a Kids' Meal(TM) promotion featuring Snoopy. Tim Hortons marketing in the fourthquarter features its core coffee products. The Company's year 2000 goal and long-term goal for base EPS growth continues to be in the 12% to15% range. For the year 2000, the earnings goal includes: * Continued same-store sales growth at Wendy's and Tim Hortons. * New store development of at least 525 units systemwide. * Margin expansion at domestic Wendy's. * Store-level productivity gains. * Effective control of general and administrative costs. * Share repurchase. "We continue to make progress executing our strategic plans," said Chief Financial OfficerFrederick R. Reed. "Our sales momentum is strong, the margin expansion is encouraging consideringcost pressures and earnings quality is outstanding. "Looking at the year 2000, we are optimistic that our momentum will continue," said Reed."Overall consumer spending trends are positive, traffic growth in the quick-service restaurantindustry is strong and demand continues to outpace new store supply. Most importantly, we are intenton maintaining a disciplined, long-term approach to managing the business, our brands and ourbalance sheet." Quarterly Dividend Approved The Board of Directors today approved a quarterly dividend of 6 cents per share, payable onNovember 30 to shareholders of record as of November 15. It will be the Company's 87th consecutivedividend payment to shareholders. Wendy's International, Inc. is one of the world's largest restaurant operating and franchisingcompanies with $6.5 billion in systemwide sales during 1998 and two quality brands -- Wendy's andTim Hortons. Wendy's Old Fashioned Hamburgers was founded in 1969 by Dave Thomas and is the third-largest quick-service hamburger restaurant chain with more than 5,400 units in the United States,Canada and other international markets. Tim Hortons was founded in 1964 by Tim Horton and Ron Joyceand is the largest coffee and baked goods restaurant chain in Canada. There are more than 1,700 TimHortons restaurants in North America. NOTE: Snoopy is a registered mark of United Feature Syndicate, Inc.

WENDY'S INTERNATIONAL, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except per share data - Unaudited)

Third Quarter Ended Year-to-Date Ended

10/3/99 10/4/98 10/3/99

10/4/98

(39 wks)

(40 wks) REVENUES

Retail sales

$438,868 $388,881 $1,251,026 $1,205,942

Franchise revenues

99,456 85,017

282,354

249,068

Asset gains

2,385 11,277

12,422

15,702

Total

540,709 485,175 1,545,802

1,470,712 COSTS & EXPENSES

Cost of sales

276,082 241,756

784,528

755,862

Company restaurant

operating costs

96,061 88,319

273,476

275,262

Operating costs

19,857 14,516

57,386

47,028

General & administrative

expenses

48,369 46,578

144,169

136,432

Depreciation &

amortization

of property & equipment 24,796 23,267

72,439

72,347

Other expense (income)

1,585

19

3,639

(399)

Interest, net

2,249

908

6,948

1,461

Total

468,999 415,363 1,342,585

1,287,993 INCOME BEFORE INCOME TAXES 71,710 69,812

203,217

182,719 INCOME TAXES

27,250 26,877

77,222

70,347 NET INCOME

$44,460 $42,935 $125,995

$112,372 Basic earnings per common

share

$0.37

$0.34

$1.03

$0.87 Diluted earnings per common

share

$0.35

$0.33

$0.99

$0.85 Base diluted earnings per

common share*

$0.34

$0.28

$0.93

$0.78 Basic shares

121,482 126,567

122,887

129,673 Diluted shares

130,739 135,182

132,080

138,471 * excludes asset gains

SAFE HARBOR UNDER THE PRIVATE

SECURITIES LITIGATION REFORM ACT OF 1995 Certain information in this news release, particularly information regarding future economicperformance and finances, and plans, expectations and objectives of management, is forward looking.The following factors, in addition to other possible factors not listed, could affect the Company'sactual results and cause such results to differ materially from those expressed in forward-lookingstatements: Competition: The quick-service restaurant industry is intensely competitive with respect toprice, service, location, personnel, and type and quality of food. The Company and its franchiseescompete with international, regional, and local organizations primarily through the quality,variety, and value perception of food products offered. The number and location of units, qualityand speed of service, attractiveness of facilities, effectiveness of advertising and marketingprograms, and new product development by the Company and its competitors are also important factors.The Company anticipates that intense competition will continue to focus on pricing. Certain of theCompany's competitors have substantially larger marketing budgets. Economic, Market and Other Conditions: The quick-service restaurant industry is affected bychanges in national, regional, and local economic conditions, consumer preferences and spendingpatterns, demographic trends, consumer perceptions of food safety, weather, traffic patterns, andthe type, number and location of competing restaurants. Factors such as inflation, food costs, laborand benefit costs, legal claims, and the availability of management and hourly employees also affectrestaurant operations and administrative expenses. The ability of the Company and its franchisees tofinance new restaurant development, improvements and additions to existing restaurants, and theacquisition of restaurants from, and sale of restaurants to franchisees is affected by economicconditions, including interest rates and other government policies impacting land and constructioncosts and the cost and availability of borrowed funds. Importance of Locations: The success of Company and franchised restaurants is dependent insubstantial part on location. There can be no assurance that current locations will continue to beattractive, as demographic patterns change. It is possible the neighborhood or economic conditionswhere restaurants are located could decline in the future, thus resulting in potentially reducedsales in those locations. Government Regulation: The Company and its franchisees are subject to various federal, state, andlocal laws affecting their business. The development and operation of restaurants depend to asignificant extent on the selection and acquisition of suitable sites, which are subject to zoning,land use, environmental, traffic, and other regulations. Restaurant operations are also subject tolicensing and regulation by state and local departments relating to health, sanitation and safetystandards, federal and state labor laws (including applicable minimum wage requirements, overtime,working and safety conditions, and citizenship requirements), federal and state laws which prohibitdiscrimination, and other laws regulating the design and operation of facilities, such as theAmericans with Disabilities Act of 1990. Changes in these laws and regulations, particularlyincreases in applicable minimum wages, may adversely affect financial results. The operation of theCompany's franchisee system is also subject to regulation enacted by a number of states and rulespromulgated by the Federal Trade Commission. The Company cannot predict the effect on itsoperations, particularly on its relationship with franchisees, of the future enactment of additionallegislation regulating the franchise relationship. Growth Plans: The Company plans to increase the number of systemwide Wendy's and Tim Hortonsrestaurants open or under construction. There can be no assurance that the Company or itsfranchisees will be able to achieve growth objectives or that new restaurants opened or acquiredwill be profitable. The opening and success of restaurants depends on various factors, including the identificationand availability of suitable and economically viable locations, sales levels at existingrestaurants, the negotiation of acceptable lease or purchase terms for new locations, permitting andregulatory compliance, the ability to meet construction schedules, the financial and otherdevelopment capabilities of franchisees, the ability of the Company to hire and train qualifiedmanagement personnel, and general economic and business conditions. International Operations: The Company's business outside of the United States is subject to anumber of additional factors, including international economic and political conditions, differingcultures and consumer preferences, currency regulations and fluctuations, diverse governmentregulations and tax systems, uncertain or differing interpretations of rights and obligations inconnection with international franchise agreements and the collection of royalties frominternational franchisees, the availability and cost of land and construction costs, and theavailability of experienced management, appropriate franchisees, and joint venture partners.Although the Company believes it has developed the support structure required for internationalgrowth, there is no assurance that such growth will occur or that international operations will beprofitable. Disposition of Restaurants: The disposition of company-operated restaurants to new or existingfranchisees is part of the Company's strategy to develop the overall health of the system byacquiring restaurants from, and disposing of restaurants to, franchisees where prudent. Theexpectation of gains from future dispositions of restaurants depends in part on the ability of theCompany to complete disposition transactions on acceptable terms. Transactions to Improve Return on Investment: The sale of real estate previously leased tofranchisees is generally part of the program to improve the Company's return on invested capital.There are various reasons why the program might be unsuccessful, including changes in economic,credit market, real estate market or other conditions, and the ability of the Company to completesale transactions on acceptable terms and at or near the prices estimated as attainable by theCompany. Year 2000: The Company anticipates timely completion of its program to address year 2000 issues.However, if the new information systems are not implemented on a timely basis, modifications toexisting systems cannot be accomplished on a timely basis, information technology resources do notremain available, or other unanticipated events occur, there would be adverse financial andoperational effects on the Company. The amount of these effects cannot be ascertained at this time. Although the Company has not been informed of material year 2000 issues by third parties withwhich it has a material relationship or franchisees, there is no assurance that these entities willbe year 2000 compliant on a timely basis. Unanticipated failures or significant delays in furnishingproducts or services by third parties or general public infrastructure service providers, or theinability of franchisees to perform sales reporting and financial management functions or to maketimely payments to the Company or suppliers, could have a material adverse effect on results ofoperations, financial condition and/or liquidity. Readers are cautioned not to place undue reliance on forward-looking statements, which speak onlyas of the date thereof. The Company undertakes no obligation to publicly release any revisions tothe forward-looking statements contained in this release, or to update them to reflect events orcircumstances occurring after the date of this release, or to reflect the occurrence ofunanticipated events. ots Original Text Service: Wendy's International, Inc. Internet:http://www.newsaktuell.de Contact: John D. Barker of Wendy's International, Inc. (USA) 614-764-3044, or john_barker@wendys.com Web site: http://www.wendys.com

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