CASE 6-9 EAT AT MY RESTAURANT -LIQUIDITY REVIEW With this case, we review the liquidity of several restaurant companies. The restaurant com panies reviewed and the year-end dates are as follows: 1. Yum Brands, Inc. (December 25, 2010; December 26, 2009) consist of six operating segments: KFC-U.S., Pizza Hut-U.S., Taco Bell -U.S. Long John Silver's ("LJS") _ U.S. and A&W All American Food Restaurants ("A&W") - U.S., YU Restaurants China ("China Division")." 10-K Source: Yum! Brands, Inc. and Subsidiaries 2010 10-K M Restaurants International("YRI" or "International Division") and YUM 2. Panera Bread (December 28, 2010; December 29, 2009) "Panera Bread Company and its subsidiaries, referred to as "Panera Bread," "Panera," the "Company," "we," "us," and "our," is a national bakery-caf concept with 1,453 Company-owned and franchise-operated bakery-caf locations in 40 states, the District of Columbia, and Ontario, Canada." 10-K Source: Panera Bread 2010 10-K 3. Starbucks October 3, 2010; September 27, 2009) "Starbucks is the premier roaster and retailer of specialty coffee in the world, operating in more than 50 countries." 10-K Source: Starbucks 2010 10-K Yum Brands, Inc. 2010 2009 94 73 .69 36 Panera Bread 2010 1.56 1.27 Starbucks Data Reviewed Current ratio Acid test 2009 2.26 1.93 2010 2009 1.55 .98 1.29 .59 Required a. For each company, indicate the trend in liquidity b. Give your opinion as to the relative liquidity of each of these companies. How would