Burger King Holdings, Inc. Reports Preliminary Third Quarter Fiscal 2009 Results

Miami, Apr. 15 - Burger King Holdings, Inc. announced today that it expects its third quarter fiscal 2009 earnings per share to be in the range of $0.33 – $0.35.

Earnings per share were negatively impacted by significant traffic declines in the month of March resulting in lower than expected company restaurant margins for the quarter. The negative impact of lower than forecasted company restaurant margins on earnings was more than offset by continued revenue growth, improved general and administrative (G&A) costs, lower interest expense and a lower than forecasted tax expense.

Worldwide company restaurant margins were lower than expected primarily due to an unanticipated traffic slowdown in the month of March across most company-owned restaurant markets. Germany, the company’s second largest company-owned restaurant market, and Mexico, the only company-owned market in Latin America, experienced the largest declines.

In response to the consumer slowdown in these two markets, the company has taken immediate actions to reignite sales. In Germany, the initiatives include: a new promotional concept called ‘King Deals’ or value-priced combo meals; the re-launch of the €0.99 value menu; increased competitive hours of operation during the breakfast daypart with expanded product offerings; and an increase in advertising expenditures aimed at promoting the company’s value message.

In Mexico, the company will aggressively promote its COME COMO REY^® (or Eat Like a King) everyday value menu featuring the WHOPPER JR.^® sandwich via a nationally televised advertisement and has launched a cross-promotional national coupon campaign with VIVA, Mexico’s largest premium laundry detergent brand. In addition, advertising expenditures aimed at promoting value and everyday affordable indulgence have been increased.

Revenues for the quarter were $600 million, up 1% over the same quarter last year, driven by a trailing twelve-month net restaurant count increase of 355 and worldwide positive comparable sales of 1.0%, partially offset by $44 million due to currency exchange rate fluctuations. United States and Canada positive comparable sales were 1.6%. All comparable sales figures reflect an approximate one point negative calendar shift as third quarter fiscal 2008 included an extra day due to leap year.

The company’s G&A costs improved significantly, as compared to the same period last year, as the result of on-going cost containment initiatives and the favorable impact from the movement of currency exchange rates on expenses.

Interest expense also improved over the prior year period primarily due to lower average interest rates in addition to the impact of the retirement of $40 million in debt within the quarter.

The third quarter tax rate, which is still pending, is estimated to be significantly less than prior year’s third quarter tax rate of 36.9%. This quarter’s tax rate benefited from the resolution of various tax audits and changes in reserves, positively impacting earnings per share by approximately $0.05.

As forecasted last quarter, currency exchange rate fluctuations continued to negatively impact earnings but the impact was within the expected range for the quarter.

April to-date, the company has experienced improvements in comparable sales, primarily due to the calendar shift of the Easter holiday and the initiatives implemented in Germany and Mexico. Additionally, worldwide company restaurant margins continue to benefit from improving commodity costs.

At this time, the company is completing its financial close for its fiscal 2009 third quarter and will provide additional information on the quarter and an outlook for the full fiscal year as part of its quarterly earnings release and webcast scheduled on April 29, 2009.

(Revenues stated in $ millions)

Preliminary and Un-audited*

*Data provided is preliminary and subject to change as the company completes its third quarter fiscal 2009 financial close.