CASY
#We're excited about Ohio.
Now these ---+ the sites that we're choosing right now in the western side of Ohio and when we went out there, we noticed that it was a very similar demographic to some of our more seasoned states, like Iowa, Missouri, and Illinois.
A lot of very small communities, very close by for efficiency of distribution of groceries.
So we think we have a tremendous opportunity there in Ohio.
Currently looking into the state of Michigan.
Right now we don't have any sites under contract in Michigan, but we continue to look there, and that will be a state that we will penetrate in the relatively near future.
And in addition to that, <UNK>, we will continue to penetrate Kentucky, Tennessee, Arkansas, and Oklahoma.
Yes, right now we have about 400 ---+ well we'll start with 24 hours.
We have about 980 or so stores that deliver 24 hours.
On pizza delivery, we're about 420, and then on major remodels, we about between 400 and 420 major remodels.
Sure.
Credit card fees for the quarter were $23.5 million.
For the year they were right about $101 million, which is relatively flat to last year.
It's slightly down.
Yes, it's in the prepared food category.
Pizza slices was the big one.
We also took up specialty sandwiches, and then also some of the ---+ what I will call the specialty bakery items as well.
Well it's not so much cost increases because commodities have been in our favor necessarily.
It's just we do monthly pricing surveys on key products throughout the year, and obviously, pizza and a lot of the other prepared food items are key products for us.
So we always look for opportunities to maintain competitive structure with our peers.
We just happened to see an opportunity to strategically raise the prices to be in line with some of the people in our area.
It wasn't necessarily to offset costs.
Yes, we've not seen any elasticity from that price increase.
It's obviously early, but in my time, honestly, I've not seen any elasticity from any of the price increases we've taken.
We're very calculated when we take those price increases to make sure that we are not out of the market.
We are.
We are doing that.
We have a couple small partnerships currently, just a handful of stores right now in that partnership.
But as we get more penetration easterly, that really don't cover the Hy-Vee fuel area, we will look for opportunities to our partner, yes, absolutely.
Thank you
I don't have that information with me, as far as the number of people that download the app relative to the number of people that actually order a pizza.
I think probably the direction I would give you is coming back to the comment we made in the opening narrative: about 7% penetration of whole pie orders right now.
And so that's a number that we continue to look at moving forward.
So obviously, that's one of our goals to get higher penetration.
Well, the leap year would be one I would mention there and we'll bring that up when we get to that time period.
Outside of that, there's really nothing else there.
You're always going to have, in a monthly basis as you probably know, calendar shift time to time that can skew a monthly number, even a quarterly number.
Your ---+ from time to time, you're going to have some weather anomalies that might skew that.
But as far as a one-time thing, there's really nothing outside that leap year.
No, not yet.
We'll continue to monitor that, that's a great question.
But right now, we have not seen any type of trend in that area.
Here's how we handle that, <UNK>.
We put a discount cash-flow model for every site, and when I say every site, every store.
So if it was a 10-store chain, every store in that chain will have a DCF.
With respect to the fuel margin, more times than not, we have stores in that area.
And so we know what the fuel margin environment's like there and we will use of the three-year average of that.
If we don't have stores in that area, we're going to get their financials and look to have some confidence level of their three-year financials with respect.
We rarely take the 12 month, because you never know if there's just an anomaly in a year's time that's going to skew that.
And you hate to pay a multiple on top of a cash flow that may or may not be there; so that's what we do.
You bet.
I'd just like to thank everybody for joining us this morning and look forward to speaking with you in the future.
Have a good day.
