The outlook for the restaurant industry remains optimistic going into 2006, as the National Restaurant Association's comprehensive index of restaurant activity held steady in November. The Association's Restaurant Performance Index - a monthly composite index that tracks the health of and outlook for the U.S. restaurant industry - stood at 101.5 in November, unchanged from its October level. In addition, November represented the 31st consecutive month above 100 - a level which represents expansion in the Association's composite index of eight key industry indicators.
"The November performance of the Restaurant Performance Index is a positive sign for the restaurant industry heading into the new year," said Hudson Riehle, senior vice president of Research and Information Services for the Association. "Of particular note is restaurant operators'optimistic outlook for the overall economy, which rose to its strongest level in nine months."
The Restaurant Performance Index is based on the responses to the National Restaurant Association's Restaurant Industry Tracking Survey, which is fielded monthly among restaurant operators nationwide on a variety of indicators including sales, traffic, labor and capital expenditures. The Index consists of two components - the Current Situation Index and the Expectations Index.