Dollar drinks, sandwiches set for Arby's menu

CHICAGO (AP) — Dollar drinks, sandwiches and desserts will join more Arby's menus as the struggling fast-food chain jumps on the deep-discount bandwagon aimed at wooing customers who have fled from its higher-priced meals.

The plan is a bid to boost sales at the chain that led its parent company, Wendy's/Arby's Group Inc. on Thursday to post a thin profit for the third quarter.

The fast-food chain is already trying to attract customers with its $5 combo meals for certain roast beef sandwiches. But executives said Thursday that they will make a newly developed $1 menu more widely available in hopes of improving performance the chain's performance.

The menu, which includes chicken, ham and cheese, and small roast beef sandwiches, has been in testing for 10 months, mostly in the Southeast.

Arby's, owned along with Wendy's by Wendy's/Arby's Group Inc., saw revenue slide nearly 7 percent during the third quarter. Meanwhile, sales in restaurants open at least a year sank 9 percent because fewer customers ate its sandwiches and drank its shakes.

The poor results continued into October, after the quarter ended.

Wendy's and its cheaper menu fared better than its higher-priced sibling, with flat sales at sites open at least a year. Executives hinted that they plan to expand Wendy's deeply discounted offerings next year as well.

For the quarter ending Sept. 27, the chain earned $14.7 million, or 3 cents a share. That included a 3-cent charge related to last year's merger. Revenue was $903.2 million.