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Restaurant Performance Index Declined in November
Jan 3, 2011
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A decrease in U.S. restaurant same-store sales and customer traffic caused the National Restaurant Association’s Restaurant Performance Index (RPI) to fall below 100 in November and the capital spending index was down slightly as well.

The November RPI doesn’t necessarily mean the restaurant recovery is in peril, according to Hudson Riehle, senior vice president of the Research and Knowledge Group for the association. “Like the economy as a whole, the restaurant industry’s road to recovery will be one with occasional bumps along the way.”

The RPI, a monthly composite index tracking the health and outlook for the U.S. restaurant industry, stood at 99.9 in November, down 0.8% from October. November marked the first time in three months that the RPI moved below 100. An index above 100 signifies expansion in the index of key industry indicators.

40% of operators said they made a capital expenditure for equipment, expansion, or remodeling in the last three months, down slightly from 42% who reported similarly last month.

"Overall, the economic fundamentals of the restaurant industry remain positive, which will likely lead to stronger sales results in the months ahead,” Riehle said.

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