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| Type | Private, with publicly traded income fund (TSX: AW.UN) |
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| Industry | Fast food |
| Founded | 1956 in Winnipeg, Manitoba, Canada |
| Headquarters | North Vancouver, BC, Canada |
| Key people | Paul F.B. Hollands, President and CEO |
| Products | Hamburgers, french fries, onion rings, fried chicken, root beer, hot dogs |
| Revenue | $967 million CAD (2011) |
| Employees | 21,801 (2011) |
| Website | www.aw.ca |
A&W is a Canadian fast food restaurant chain. It was originally part of the U.S.-based A&W Restaurants chain, but was sold to Unilever in 1972, and then bought out by management in 1995. It no longer has any connection to A&W operations outside Canada.
The Canadian operation is presently owned and operated by the privately held A&W Food Services of Canada Inc., based in North Vancouver, British Columbia, and consists of over 700 locations[1] in Canada.
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The first Canadian A&W restaurant opened in Winnipeg, Manitoba in 1956.[2] The Canadian restaurants were part of the American chain until 1972 when they were sold to Unilever.
In 1975, facing competition from the growing Canadian operations of McDonald's, the company launched what was to have been a temporary advertising campaign starring an orange-clad mascot, The Great Root Bear. The bear and the tuba jingle that accompanied him became a long-running campaign (the tune, entitled "Ba-Dum, Ba-Dum", was released as a single by Attic Records, credited to "Major Ursus", a play on Ursa Major or "great bear"). The mascot was so successful that he was eventually adopted as the mascot by the American A&W chain as well. The famous tuba jingle was played by famed Vancouver jazz, classical and session trombonist Sharman King. King also did the ads for the "Book Warehouse" chain of discount book stores, which he owns.[citation needed]
In the early 1980s, the drive-in style of restaurant was phased out. It was replaced with a modern, pastel-coloured fast food outlet which included healthier options. While the chain continued to open some standalone restaurants, A&W also aggressively pursued shopping mall locations, and as a result A&Ws are still commonly found in Canadian malls of various sizes.
In 1995, the chain was bought out from Unilever by senior management. During 1997 and 1998, Drew Carey served as a spokesperson for the chain, appearing in TV ads alongside the Great Root Bear; he was dismissed (with legal action ensuing) after a November 1998 episode of The Drew Carey Show featured Carey eating at a McDonald's location in China.[3]
By the end of the 1990s, marketing and products began to take on a more retro approach. Former menu items, such as the Burger Family, were re-introduced, and marketing became more targeted toward the baby boomer generation. The Great Root Bear and (in English Canada) the "ba-dum ba-dum" theme were also retired from most advertising (the tuba theme is still used in French-language ads). A new restaurant design was introduced, featuring a bright orange and yellow exterior, reminiscent of the 1950s, while the interior is decorated with memorabilia associated with the same period. Existing restaurants were renovated to match the new style. Meanwhile, with malls in decline, A&W began to focus on opening new standalone restaurants, particularly in smaller markets where McDonald's was often the only major hamburger chain. The last drive-in style restaurant closed in 1999, in Langley, British Columbia.
On February 15, 2002, the A&W Revenue Royalties Income Fund was listed on the Toronto Stock Exchange. The initial public offering was 8.34 million units at $10 each. The fund owns the A&W trademarks in Canada and licenses them to A&W Food Services of Canada Inc. Revenue is generated by charging a three percent royalty on gross sales of each restaurant. There are currently 750 A&W restaurants in Canada - with the 750th location being located at Toronto Pearson International Airport. Television advertisements are filmed at the Mission, British Columbia, Abbotsford, British Columbia and Chilliwack, British Columbia locations. In June 2006, A&W celebrated 50 years in Canada. As of the beginning of 2011, A&W Revenue Royalties Income Fund shares are worth $23.02 each.
Two new restaurant concepts were introduced in fall 2009. The new standalone restaurant design is ultra modern but with some architectural markings reminiscent of the design in the earlier buildings erect from A&W back in time. There is also a new separate format for urban (e.g. downtown) locations, where some of the baby-boomer aspects are scaled back in favour of a more modern look.
Apart from the namesake brand of root beer, the A&W menu is focused on The Burger Family, a lineup of hamburgers introduced by the U.S. A&W chain in the early 1960s, mostly discontinued in the 1980s in favour of a more standard menu, then reintroduced in Canada and expanded upon beginning in the late 1990s.
The "classic" Burger Family lineup consists of:[4]
This has more recently been expanded to include:
The only current non-"Family" member of A&W's beef burger lineup is the Mozza Burger, consisting of a beef patty, lettuce, tomato, bacon, mozzarella cheese, and Mozza sauce on a sesame seed bun.
Another 1960s-era offering, Chubby Chicken, returned to the menu shortly after the reintroduction of the Burger Family. This includes fried chicken pieces as well as breaded chicken strips and breaded chicken burgers. A grilled chicken sandwich, the Chicken Grill, is also available.
Breakfast menu items include the Bacon N' Egger, Sausage N' Egger, and Ham N' Egger, each consisting of the respective meat as well as an egg and processed cheese on a sesame-seed hamburger bun (unlike most fast-food chains which serve breakfast sandwiches on English muffins or biscuits).
Other offerings include the Veggie Deluxe (veggie burger with mozzarella cheese, lettuce, tomato, onion and pickles), and traditional hot dogs as well as the Whistle Dog (topped with cheese and bacon). Available sides include french fries, poutine, and thick-cut onion rings. Drinks include the aforementioned A&W Root Beer and other Coca-Cola soft drinks, Allen & Wright coffee, milkshakes, and A&W Root Beer floats (made with pre-portioned scoops of frozen ice cream).
The Canadian menu has some similarities to the current offerings of the American chain, but (not surprisingly given their independent management) also diverges in many respects. The only Burger Family product currently available by name in U.S. locations is the Papa Burger, although it differs significantly (adding lettuce, tomato, and cheese slices which are not included by default on the Canadian product). However, the American "Original Bacon Cheeseburger" appears to be almost exactly equivalent to the Teen Burger available in Canada. Notable products on the U.S. menu not available in Canada include deep-fried cheese curds, cheese fries, and soft serve-based products such as sundaes.[5]
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