Spending at US eateries improves

SPENDING at family-dining restaurants, including Cracker Barrel Old Country Store Inc, Bob Evans Farms Inc and Denny’s Corp, is improving after a winter-time slump, helping to offset concerns that US consumption may soften.

“Sales in the second half of the year probably would be better than the first” amid “encouraging signs” the economic recovery is aiding these establishments’ core customers: middle-income households earning about US$40,000 to US$75,000 a year, says Malcolm Knapp, a New York-based consultant who has monitored the industry since 1970.