Dunkin' makes the dough from more than just a doughnuts menu By Associated Press, adapted by Newsela staff on 11.01.17 Word Count 423 Level 1120L An assortment of Dunkin' Donuts ring, cream-filled and glazed doughnuts is pictured in a box in Washington, D.C., June 5, 2015. Photo by Eva Hambach/Getty Images Dunkin' Donuts is still deciding whether to drop the second part of its name, but the doughnuts won't be disappearing from the menu. CEO Nigel Travis said last week that the chain wants to remain the "No. 1 retailer of doughnuts." He said a second store with just the Dunkin' name will open in Quincy, Massachusetts, the city where the company was founded. It will open in the next year or so. A location in Pasadena, California, is already testing the shortened name, though Travis said no decision has been made on whether to use only the name Dunkin' nationwide. "My two young kids think it should stay Dunkin' Donuts forever," he said. This article is available at 5 reading levels at https://newsela.com. 1
Franchise Changes To Menu At about 1,000 Dunkin' Donuts locations, the company has been making cuts to its overall menu. They have removed some doughnut varieties to make the stores easier to run for franchisees, Travis said. He said too many different types of coffee syrups, sandwich breads and other items make it harder on employees. Higher sales at its Dunkin' Donuts stores boosted revenue in the third quarter at Dunkin' Brands Group Inc., which also owns Baskin Robbins, the company said last week. Sales of coffee and espresso at Dunkin' Donuts stores climbed, while frozen beverage sales fell. Travis said that the morning sales at Dunkin' Donuts increased at a faster rate than full-day sales, due to its two-for-$2 egg and cheese wraps. He said he's confident about its latest promotion, two-for-$5 egg and cheese croissants. Value Menu Means Higher Sales Value menus have been a success with customers. McDonald's this week credited $1 soft drinks, coupons on its app and a two-for-$5 promotion called McPick 2 for higher sales. The fast-food giant plans to offer more cheap eats next year, with items priced at $1, $2 and $3. Dunkin' reported its revenue for the three months that ended September 30. Revenue, which is the total amount of money a company makes, rose to $224.2 million from $207.1 million. That beat the $213.8 million that experts were looking for. The Canton, Massachusetts-based company earned $52.2 million in the quarter. Earnings are different from revenue. Earnings are profit which means it is the money that is leftover after the company pays its workers, taxes and other expenses. The latest earnings were still a little less than what experts on Wall Street were hoping for. Last week, shares of Dunkin' Brands rose 40 cents to cost $55.79 each. Dunkin' anticipates full-year earnings in a range of $2.40 to $2.43 per share. This article is available at 5 reading levels at https://newsela.com. 2
Quiz 1 Read the sentences from the article. 1. Sales of coffee and espresso at Dunkin' Donuts stores climbed, while frozen beverage sales fell. 2. Travis said that the morning sales at Dunkin' Donuts increased at a faster rate than full-day sales, due to its two-for-$2 egg and cheese wraps. 3. McDonald's this week credited $1 soft drinks, coupons on its app and a two-for-$5 promotion called McPick 2 for higher sales. 4. Revenue, which is the total amount of money a company makes, rose to $224.2 million from $207.1 million. Which two sentences, taken together, provide the BEST evidence to support the idea that offering deals to customers can improve a company's sales? 1 and 2 2 and 3 1 and 4 3 and 4 2 Which sentence from the article BEST explains WHY Dunkin' Donuts removed some items from its menu? CEO Nigel Travis said last week that the chain wants to remain the "No. 1 retailer of doughnuts." At about 1,000 Dunkin' Donuts locations, the company has been making cuts to its overall menu. He said too many different types of coffee syrups, sandwich breads and other items make it harder on employees. The latest earnings were still a little less than what experts on Wall Street were hoping for. This article is available at 5 reading levels at https://newsela.com. 3
3 The CENTRAL idea of the article is developed by: emphasizing the popularity of coffee and espresso at Dunkin' Donuts stores describing the reasons why Dunkin' Donuts wants to keep doughnuts on the menu outlining how some recent changes to Dunkin' Donuts have affected its revenues comparing the types of deals that are offered by Dunkin' Donuts and McDonald's 4 Which of these statements would be MOST important to include in an objective summary of the article? Dunkin' Donuts hopes that new changes to its name and menu items will continue to improve sales. Dunkin' Donuts will need to do more than offer deals on breakfast to increase its future earnings. Dunkin' Donuts should never change its name if it hopes to continue as the top doughnut retailer. Dunkin' Donuts' revenue has been seriously underestimated by most of the experts on Wall Street. This article is available at 5 reading levels at https://newsela.com. 4
Answer Key 1 Read the sentences from the article. 1. Sales of coffee and espresso at Dunkin' Donuts stores climbed, while frozen beverage sales fell. 2. Travis said that the morning sales at Dunkin' Donuts increased at a faster rate than full-day sales, due to its two-for-$2 egg and cheese wraps. 3. McDonald's this week credited $1 soft drinks, coupons on its app and a two-for-$5 promotion called McPick 2 for higher sales. 4. Revenue, which is the total amount of money a company makes, rose to $224.2 million from $207.1 million. Which two sentences, taken together, provide the BEST evidence to support the idea that offering deals to customers can improve a company's sales? 1 and 2 2 and 3 1 and 4 3 and 4 2 Which sentence from the article BEST explains WHY Dunkin' Donuts removed some items from its menu? CEO Nigel Travis said last week that the chain wants to remain the "No. 1 retailer of doughnuts." At about 1,000 Dunkin' Donuts locations, the company has been making cuts to its overall menu. He said too many different types of coffee syrups, sandwich breads and other items make it harder on employees. The latest earnings were still a little less than what experts on Wall Street were hoping for. This article is available at 5 reading levels at https://newsela.com. 5
3 The CENTRAL idea of the article is developed by: emphasizing the popularity of coffee and espresso at Dunkin' Donuts stores describing the reasons why Dunkin' Donuts wants to keep doughnuts on the menu outlining how some recent changes to Dunkin' Donuts have affected its revenues comparing the types of deals that are offered by Dunkin' Donuts and McDonald's 4 Which of these statements would be MOST important to include in an objective summary of the article? Dunkin' Donuts hopes that new changes to its name and menu items will continue to improve sales. Dunkin' Donuts will need to do more than offer deals on breakfast to increase its future earnings. Dunkin' Donuts should never change its name if it hopes to continue as the top doughnut retailer. Dunkin' Donuts' revenue has been seriously underestimated by most of the experts on Wall Street. This article is available at 5 reading levels at https://newsela.com. 6