Wendy's/Arby's Reports Loss for Third Quarter

Wendy's/Arby's Group (WEN) reported a net loss of $900,000 for the third quarter, compared with a profit of $14.7 million for the third quarter of 2009.

Revenues at the fast-food company dropped to $861.2 million for the quarter, compared with $903.2 million a year earlier, the company said in a statement. Sales at stores open at least one year fell 1.7% in North America.

Wendy's / Arby's also incurred after-tax special charges of $20.7 million in the third quarter of 2010.

"These third quarter results are simply not satisfactory," CEO Roland Smith said. "We will not be satisfied until we are driving consistent and positive same-store sales."

The company said it will spend an extra $170 million on share repurchase, taking the total available for repurchases to $250 million. Wendy's / Arby's will also up its quarterly cash dividend by 33%.

Smith said that same store sales will improve in the fourth quarter, but that "market conditions remain challenging."