NAFEM and Host to collaborate. M&A outlook for 2026. Uncertain becomes the new economic normal. These stories and more This Week in Foodservice.

Wendy’s is not letting the lack of a permanent CEO stop its evolution.

The chain’s Project Fresh initiative aims to “redefine how Wendy's operates, invests and engages with customers to create long-term value,” per a company release. This includes investments in brand revitalization efforts; system optimization that takes a better look at labor allocation across daypart; operational excellence, which will cover areas such as equipment and other forms of technology and capital allocation to align expenditures to drive AUVs.

Ken Cook was named acting CEO for the chain in July.

Foodservice News

• Convenience and affordability represent two factors fueling the continued growth of deli-prepared foods. FMI’s “The Power of Foodservice at Retail 2025” study notes that the number of consumers choosing deli-prepared foods over restaurants grew to 28% in 2025, up 16% from just eight years ago. For the 52-week period ending August 9, 2025, sales of deli-prepared foods increased 1.6% from the previous year.
• Will 2026 be a good year for merger and acquisition activity in the restaurant industry? Will the year be favorable to IPOs? A Bank of America study says “yes” to both questions. After three years of significant decreases, the B of A study expects M&A activity to increase in 2026 due to a “perception of a more favorable merger climate that overcomes hesitation on both sides.” Forecasts calling for the cost of capital to decrease in the coming year won’t hurt, either.
• Along those lines…private equity firm CCMP Growth Advisors has acquired a majority position in A1 Cash & Carry. Based in Ontario, Canada, A1 is a cash and carry distributor that serves independent restaurants and other foodservice customers from its eight store locations and four warehouses, per a company release. Its product mix includes bulk groceries, food packaging, protein, produce, dairy, frozen foods, janitorial products, smallwares and restaurant equipment. Jay Paraviz, A1’s founder and CEO, will continue to lead the company and maintain his family’s ownership position within the business.
• Is nostalgia a sustainable business model? The CEO of the reborn Chi-Chi’s restaurant aims to find out. Roughly 20 years after it closed, the Mexican-inspired chain opened a restaurant in St. Louis Park, Minn., and 30 minutes before opening the doors, there was a line of customers waiting to dine at the restaurant. Some customers offered stories about how their first date was at Chi-Chi’s 40 years ago. The reopened restaurant is not relying on nostalgia alone, though. It offers new takes on classic menu items, like its original chimichanga, as well as items that have become more popular in recent years, like birria tacos, as this Food Institute story points out.
• Rita’s Italian Ice & Frozen Custard’s latest growth plan is kicking into gear. Looking to expand outside of its core markets, the chain is targeting the South through a mix of franchise rollups and new drive-thru builds. The goal is to establish multi-shop regional portfolios that can later be sold to experienced multi-unit operators. To get the ball rolling, Rita’s acquired franchise locations in Savannah, Ga., converting them into the chain’s first corporate-owned shops in more than 15 years, per a release.
• Ark Mfg. acquired Tarpon Stainless Fabricators from the Innovative Foodservice Group, a Florida-based foodservice equipment and supplies dealer. The parent company of AmeriKooler, Ark Mfg. was formed earlier this year and will continue to pursue other acquisition opportunities, per a company release.
• Florida-based restaurant chain Woody’s Bar-B-Q has new owners. Founders Woody Mills and Yolanda Mills-Mawman sold the business they started 45 years ago to Jack Dunsmoor and his partner Kelly Harris. Dunsmoor has been a franchisee since 2013. Jay Vail, Woody’s vice president of operations, will remain with the company to help ensure a smooth transition, per a company release.
• Sun Holdings hopes to shine a little light on Bar Louie. The Dallas-based investment firm purchased the 39-unit gastropub out of bankruptcy. Sun Holdings also owns Taco Bueno, Freebirds World Burrito and Uncle Julio’s. It is also a franchise operator of a variety of concepts. “With Bar Louie, the opportunity lies in improving operations, refreshing the guest experience, and bringing discipline in marketing, menu development and digital channels,” Sun Holdings CEO Guillermo Perales, told The Franchise Times.
• Dunkin’ opened its 10,000th U.S. location. Located in the Chicago suburb of Darien, this unit also represents a major milestone for The Hari Group, as it’s the franchisee’s 100th Dunkin location. The location features a custom Darien-inspired mural on the side of the building, featuring the area’s white oak tree, the Darien flag and the Chicago skyline.
• Organizers of The NAFEM Show and Host Milano are teaming up. The North American Association of Food Equipment Manufacturers and Fiera Milano, S.p.A., which organizes HOST, plan to “collaboratively explore adding unique, new experiences to their respective trade exhibitions, expanding global opportunities for the foodservice industry,” per a release from the two organizations. A formal announcement will take place on October 18 during HOST.
• Kudos to Chef Chad Schoonveld on being named captain for Team USA competing in the 2028 Culinary Olympics. Schoonveld is a professor at and Brookdale Community College in Lincroft, N.J. He also graduated from Brookdale C.C.

Economic News

• The outlook among small business owners was a mixed bag in September. The NFIB Small Business Optimism Index declined two points for the month. Despite posting the first decline in three months, at 98.8, the study remains greater than its 52-year average of 98.0. The Uncertainty Index increased seven points from August for a reading of 100.0, its fourth-highest reading in more than 51 years. The upshot of the study: most owners view their businesses as being healthy, but they must manage rising inflationary pressures, slower sales expectations, and ongoing labor challenges, per a NFIB spokesperson.
• Consumer sentiment did not improve during October. The University of Michigan Index of Consumer Sentiment came in at 55.0 for the month, which is flat compared to September. That said, consumers perceive very few changes in the outlook for the economy from last month. Pocketbook issues like high prices and weakening job prospects remain at the forefront of consumers’ minds. Currently, consumers do not expect meaningful improvement in these factors. Meanwhile, interviews done by Michigan researchers reveal little evidence that the ongoing federal government shutdown has moved consumers’ views of the economy thus far.
• When it comes to the global economy, “uncertainty is the new normal.” That was the message from Kristalina Georgieva, managing director of the International Monetary Fund, as finance ministers and central bankers prepared to meet this week, per a story from The Guardian. While the U.S. is expected to avoid a recession and projections call for the global economy to slow slightly this year, Georgieva says some signs of strain are starting to emerge, namely, the full impact of U.S. tariffs on other trading partners has yet to be realized.
• Is the lack of economic data from the federal government further exacerbating the impact of tariffs? According to a Yahoo! Finance story, the answer is yes. With other potentially significant trade-related developments making headlines late last week, like the potential bursting of the AI bubble as well as the Trump administration threatening China once again, investors and analysts don’t have important economic data like the jobs report to potentially settle their nerves.