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[[file:University of Denver campus pics 107.jpg|thumb|left|The first Chipotle near the campus of the [[University of Denver]]]]
[[file:University of Denver campus pics 107.jpg|thumb|left|The first Chipotle near the campus of the [[University of Denver]]]]


Founder Steve Ells attended the [[Culinary Institute of America]] in [[Hyde Park, New York]]; afterward, he became a line cook for [[Jeremiah Tower]] at [[Stars (restaurant)|Stars]] in [[San Francisco, California]].<ref name="parrish">{{cite news|url=http://www.post-gazette.com/pg/07140/786933-34.stm|title=Fresh and fast: Chipotle Mexican Grill chain buys from family farms|last=Parrish|first=Marlene|date=2007-05-20|publisher=Pittsburgh Post-Gazette|accessdate=2009-09-14}}</ref> There, Ells observed the popularity of the [[taquería]]s and [[San Francisco burrito]]s in the [[Mission District]]. In 1993, Ells took what he learned in San Francisco<ref>{{cite news|url=http://www.expressmilwaukee.com/article-763-food-with-integrity.html|title=Food with Integrity|last=Biondich|first=Sarah |date=2008-02-06|publisher=Express Milwaukee|accessdate=2009-09-14}}</ref> and opened the first Chipotle in [[Denver]], [[Colorado]], in a former Dolly Madison Ice Cream Store near the [[University of Denver]] campus using an $85,000 loan from his father.<ref name=rocky/> Ells and his father calculated that the store would need to sell 107 burritos per day in order to be profitable; however, after one month, the original restaurant was selling over 1,000 burritos a day.<ref name=rocky2/> Ells had originally planned to use funds from the first Chipotle in order to open a fine-dining restaurant, but instead focused on Chipotle Mexican Grill when the restaurants saw success.<ref name=Wall/><ref>{{cite news|url=http://www.fastcompany.com/magazine/124/ode-to-a-burrito.html?page=0%2C1|title=Ode To A Burrito|last=Cohen|first=Arrianne |date=2008-03-20|publisher=Fast Company|accessdate=2009-12-15}}</ref>
Founder Steve Ells attended the [[Culinary Institute of America]] in [[Hyde Park, New York]]; afterward, he became a line cook for [[Jeremiah Tower]] at [[Stars (restaurant)|Stars]] in [[San Francisco, California]].<ref name="parrish">{{cite news|url=http://www.post-gazette.com/pg/07140/786933-34.stm|title=Fresh and fast: Chipotle Mexican Grill chain buys from family farms|last=Parrish|first=Marlene|date=2007-05-20|publisher=Pittsburgh Post-Gazette|accessdate=2009-09-14}}</ref> There, Ells observed the popularity of the [[taquería]]s and [[San Francisco burrito]]s i fucking hate chipotle. it sucks my long wet hairy dick named chuck. fuck chipotle and qdoba rules.in the [[Mission District]]. In 1993, Ells took what he learned in San Francisco<ref>{{cite news|url=http://www.expressmilwaukee.com/article-763-food-with-integrity.html|title=Food with Integrity|last=Biondich|first=Sarah |date=2008-02-06|publisher=Express Milwaukee|accessdate=2009-09-14}}</ref> and opened the first Chipotle in [[Denver]], [[Colorado]], in a former Dolly Madison Ice Cream Store near the [[University of Denver]] campus using an $85,000 loan from his father.<ref name=rocky/> Ells and his father calculated that the store would need to sell 107 burritos per day in order to be profitable; however, after one month, the original restaurant was selling over 1,000 burritos a day.<ref name=rocky2/> Ells had originally planned to use funds from the first Chipotle in order to open a fine-dining restaurant, but instead focused on Chipotle Mexican Grill when the restaurants saw success.<ref name=Wall/><ref>{{cite news|url=http://www.fastcompany.com/magazine/124/ode-to-a-burrito.html?page=0%2C1|title=Ode To A Burrito|last=Cohen|first=Arrianne |date=2008-03-20|publisher=Fast Company|accessdate=2009-12-15}}</ref>


In 1998, [[McDonald's]] made an initial minority investment in the company. By 2001, they had grown to be Chipotle's largest investor.<ref name=rocky/> McDonald's investment allowed the firm to quickly expand, from 16 restaurants in 1998 to over 500 by 2005.<ref>{{cite news|url=http://www.allbusiness.com/retail-trade/miscellaneous-retail/4440581-1.html|title=McDonald's plans to reduce ownership of Chipotle Mexican Grill|date=2006-04-27|publisher=Allbusiness.com|accessdate=2009-09-14}}</ref> On January 26, 2006, Chipotle made its [[initial public offering]] (IPO), after increasing the share price twice due to high pre-IPO demand. In its first day as a public company, the stock rose exactly 100%, resulting in the best U.S.-based IPO in six years, and the second-best IPO for a restaurant after Boston Chicken (now [[Boston Market]]). The money from the offering was then used to fund new store growth.<ref name="rocky2">{{cite news|url=http://www.rockymountainnews.com/drmn/money/article/0,2777,DRMN_23908_4419634,00.html|title=Feeding frenzy|last=Forgrieve|first=Janet |date=2006-01-27|publisher=Rocky Mountain News |accessdate=2009-09-14}}</ref>
In 1998, [[McDonald's]] made an initial minority investment in the company. By 2001, they had grown to be Chipotle's largest investor.<ref name=rocky/> McDonald's investment allowed the firm to quickly expand, from 16 restaurants in 1998 to over 500 by 2005.<ref>{{cite news|url=http://www.allbusiness.com/retail-trade/miscellaneous-retail/4440581-1.html|title=McDonald's plans to reduce ownership of Chipotle Mexican Grill|date=2006-04-27|publisher=Allbusiness.com|accessdate=2009-09-14}}</ref> On January 26, 2006, Chipotle made its [[initial public offering]] (IPO), after increasing the share price twice due to high pre-IPO demand. In its first day as a public company, the stock rose exactly 100%, resulting in the best U.S.-based IPO in six years, and the second-best IPO for a restaurant after Boston Chicken (now [[Boston Market]]). The money from the offering was then used to fund new store growth.<ref name="rocky2">{{cite news|url=http://www.rockymountainnews.com/drmn/money/article/0,2777,DRMN_23908_4419634,00.html|title=Feeding frenzy|last=Forgrieve|first=Janet |date=2006-01-27|publisher=Rocky Mountain News |accessdate=2009-09-14}}</ref>

Revision as of 16:45, 20 January 2010

Chipotle Mexican Grill, Inc.
Company typePublic (NYSE: CMG)
IndustryRestaurants
Founded1993
HeadquartersDenver, Colorado, United States
Area served
United States and Canada
Key people
Steve Ells (founder, co-chief executive officer and chairman)
RevenueIncrease US$1.331 billion (2008)
Increase US$124 million (2008)
Increase US$78 million (2008)
Number of employees
20,400 (2008)
Websitehttp://www.chipotle.com/

Chipotle Mexican Grill, Inc. (NYSE: CMG) (Template:Pron-en or chih-POAT-lay[1]) is a chain of restaurants in the United States and Canada[2] specializing in burritos and tacos. It was founded by Steve Ells in 1993 and based in Denver, Colorado. The name Chipotle derives from the Mexican Spanish name for a smoked, dried jalapeño chili pepper, and ultimately derives from the Nahuatl language.[3]

The restaurant is known for its large burritos, assembly line production,[4] and use of natural ingredients.[5] The company has released a mission statement called Food with Integrity, which highlights its efforts in using organic ingredients,[1] and serves more naturally raised meat than any other restaurant.[6] Chipotle is one of the first chains of fast-casual dining establishments.[7] In the past, McDonald's Corporation owned a majority interest in Chipotle. McDonald's has since sold their entire stake in Chipotle; full divestment was completed in October 2006.[8]

The company currently has over 900 locations, with restaurants in 33 states, the District of Columbia, and Ontario, Canada.[9][10] Its net income in 2008 was US$78 million, with the company employing over 20,000 staff.[2]

History

The first Chipotle near the campus of the University of Denver

Founder Steve Ells attended the Culinary Institute of America in Hyde Park, New York; afterward, he became a line cook for Jeremiah Tower at Stars in San Francisco, California.[5] There, Ells observed the popularity of the taquerías and San Francisco burritos i fucking hate chipotle. it sucks my long wet hairy dick named chuck. fuck chipotle and qdoba rules.in the Mission District. In 1993, Ells took what he learned in San Francisco[11] and opened the first Chipotle in Denver, Colorado, in a former Dolly Madison Ice Cream Store near the University of Denver campus using an $85,000 loan from his father.[8] Ells and his father calculated that the store would need to sell 107 burritos per day in order to be profitable; however, after one month, the original restaurant was selling over 1,000 burritos a day.[12] Ells had originally planned to use funds from the first Chipotle in order to open a fine-dining restaurant, but instead focused on Chipotle Mexican Grill when the restaurants saw success.[13][14]

In 1998, McDonald's made an initial minority investment in the company. By 2001, they had grown to be Chipotle's largest investor.[8] McDonald's investment allowed the firm to quickly expand, from 16 restaurants in 1998 to over 500 by 2005.[15] On January 26, 2006, Chipotle made its initial public offering (IPO), after increasing the share price twice due to high pre-IPO demand. In its first day as a public company, the stock rose exactly 100%, resulting in the best U.S.-based IPO in six years, and the second-best IPO for a restaurant after Boston Chicken (now Boston Market). The money from the offering was then used to fund new store growth.[12]

Distribution of Chipotle restaurants throughout North America as of December 2009

In October 2006, McDonald's fully divested from Chipotle.[16] This was part of a larger initiative for McDonald's to divest all of its non-core business restaurants – Chipotle, Donato's Pizza, and Boston Market – so that it could squarely focus on the main McDonald's chain.[17] The company currently trades on the New York Stock Exchange.[12] Competitors in the fast-casual Mexican market include Qdoba Mexican Grill, Moe's Southwest Grill, Rubio's Fresh Mexican Grill, Panchero's Mexican Grill, and Baja Fresh.[18]

Operation and distribution

All of Chipotle's restaurants are company-owned, rather than franchised.[19] As of September 2009, 900 restaurants have since opened throughout the United States and Canada, with locations in 33 states, Ontario, and the District of Columbia.[10][13] Chipotle has plans to expand to Europe, with the first European restaurant slated to open in April 2010 in London, England, with prospective locations in Paris, France and Munich, Germany.[20] Founder Steve Ells serves as chairman and co-chief executive officer of the company.[21]

A Chipotle resturant sign

Chipotle's menu consists of five items: burritos, fajita burritos, burrito bowls, tacos, and salads, with a choice of chicken, pork carnitas, barbacoa, steak, or vegetarian (with guacamole). The price of the items is based on the type of meat chosen. Additional toppings include rice, beans, four types of salsa, sour cream, cheese, or lettuce.[22][23] When asked about expanding the menu, Steve Ells said, "[I]t's important to keep the menu focused, because if you just do a few things, you can ensure that you do them better than anybody else."[24] There are over 65,000 possible combinations of ingredients.[25] Most restaurants sell beer and margaritas in addition to soft drinks and fruit drinks.[10] Quesadillas are made on request, though they are not listed on the menu.[26]

On April 1, 2009, Chipotle began testing a new menu at various restaurants in Denver. The new "low-roller" menu offers smaller portions and lower-priced items, including single tacos, side salads, and soup. If successful, the new menu could be available in most restaurants by the end of 2009.[27][28] A new children's menu is also being tested in various locations, with items like quesadillas, tacos, and a "build your own meal" option.[29][30]

Chipotle accepts fax orders, and in 2005 the company added the ability to order online from their website. For both online and fax orders, customers proceed to the front of the line to pay for pre-ordered food.[31] In 2009, Chipotle released an app for the iPhone that allows users to find nearby Chipotle locations, place an order, and prepay with a credit card.[32]

Nutrition

A Center for Science in the Public Interest report stated that Chipotle's burritos contain over 1,000 calories, which is nearly equivalent to two meals' worth of food.[33][34] MSNBC Health placed the burritos on their list of the "20 Worst Foods in America" because of their high caloric content and high sodium.[35] However, the restaurant has also received praise – Health.com included the restaurant in its list of the "Healthiest Fast Food Restaurants".[36]

Chipotle has a number of vegetarian options, including rice, black beans, fajita veggies, salsa, guacamole, and cheese, although the pinto beans contain bacon.[37] All items other than the meats, pinto beans, cheese, sour cream, and honey vinaigrette dressing are vegan.[38] The cheese is processed with vegetable-based rennet in order to be suitable for vegetarians, and the sour cream comes from cows that are not treated with bovine somatotropin (rBGH).[23] In October 2009, Chipotle introduced the vegan Garden Blend burrito, containing a plant-based meat alternative marinated in chipotle adobo, at its Dupont Circle restaurant in Washington, D.C.[39] The flour tortillas used for the burritos and soft tacos contain gluten,[40] and the red tomatillo salsa, chips, and hard taco shells could contain gluten.[38]

In 2008, Chipotle was implicated in a norovirus outbreak in Kent, Ohio, where over 400 people became ill after eating at a Chipotle restaurant.[41]

Food sourcing

In 2001, Chipotle released a mission statement called Food With Integrity, which highlighted Chipotle's efforts to increase their use of naturally raised meat, organic produce, and dairy without added hormones. All of Chipotle's chicken and pork are naturally raised – defined by the company as open-range, antibiotic free, and with a vegetarian diet – as well as 65% of the beef. Approximately 30% of the beans are organically grown.[1][42] Chipotle serves more naturally raised meat than any other restaurant.[6] The company pledges to use more local produce when possible,[43][44] using "35 percent of at least one of its produce items for every restaurant sourced from small and midsize local farms throughout the growing season."[1] Chipotle advertises its support of family farms, such as Niman Ranch, a California "natural" meat producer that contracts with farms in the Midwest to raise pork and other livestock.[45]

The Coalition of Immokalee Workers protested Chipotle, among other companies, in order to raise wages and improve working conditions for Florida tomato-pickers, beginning in 2006.[46] The makers of Food, Inc. (along with 31 other leaders in the sustainable food industry) joined the coalition and signed a letter of protest against the company's tomato-sourcing.[47] In September 2009, Chipotle reached an agreement to pay a penny more per pound of tomatoes purchased from East Coast Growers and Packers, raising the wages for its Floridian tomato-pickers by 64%.[48] By buying their Floridian tomatoes from East Coast Growers, Chipotle ensures that the money will go directly to the workers, instead of held in an escrow account where most wage increases from other companies are being held.[49]

Advertising and publicity

People line up outside a Chipotle in East Lansing, Michigan during a "Free Burrito Day"

Chipotle does not advertise on television; instead, the company relies mainly on billboards, radio ads, and word-of-mouth.[16] Chipotle has run many promotions giving out free food to potential customers, especially when opening a new store. Stores also give out free burritos on certain holidays; for instance, on Halloween, some locations have promotions in which free burritos are given to people who come dressed as a burrito. Chipotle gave away free burritos to reporters during the 1997 trial of Timothy McVeigh, which took place in Chipotle's hometown of Denver.[50] In addition, stores offered free burritos to those displaced by Hurricane Katrina.[51] Chipotle also received attention when Ozzy Osbourne's reality show The Osbournes featured the company's burritos heavily.[12] Chipotle was mentioned throughout the "Dead Celebrities" episode of the television series South Park.[52]

Chipotle sponsors Team Garmin-Slipstream (formerly Team Garmin-Chipotle) of the International Cycling Union,[53][54] and is an official team partner of the Boston Celtics,[55] and the Boston Bruins.[56] In June 2009, Chipotle sponsored free screenings of Food, Inc., a film which criticizes the corporate food industry. Founder Steve Ells stated that he hoped the film would make customers appreciate Chipotle's Food With Integrity policy.[57] From May until September 2009, Chipotle ran a contest on "mychipotle.com", a microsite which had a competition for the best user-created audio and video presentations about different combinations of ingredients.[58][59]

Architecture

The exterior of a Chipotle in Durham, North Carolina

Architecturally, all Chipotle restaurants are built using most of the same materials, although each store is unique.[5] The interiors have been described as having an "industrial, sheet metal look".[60] However, Chipotle has begun to build new restaurants using white ceramic tile instead of stainless steel, citing the relative ease of recycling white tile compared to steel.[61] It costs the company approximately $900,000 to open a new restaurant.[62] Chipotle restaurants display wood-and-metal sculptures of human figures, made by sculptor Bruce Gueswel, who also designed the chairs.[5] All Chipotle locations display a picture of the original restaurant,[63] which is near the University of Denver campus on Evans Avenue.[5]

Chipotle's architectural design team incorporates the principles of sustainable architecture in their projects. One example is the "green" restaurant in Gurnee, Illinois. It features an on-site six kilowatt wind turbine, which generates about 10% of the restaurant's electrical needs. The Gurnee restaurant has received Platinum level LEED certification from U.S. Green Building Council.[64] A restaurant in Tulsa, Oklahoma, uses recycled drywall, low-VOC paint, and energy-efficient appliances.[65] A Chipotle restaurant in Austin, Texas, was the first to receive a four-star rating from the city's Green Building Program.[66] Additionally, Chipotle has made arrangements to add solar panels to 75 of its restaurants.[64]

References

  1. ^ a b c d "Integrity is key to Chipotle brand". Times Union. 2009-11-05. Retrieved 2009-11-05.
  2. ^ a b ""2008 Annual Report for Chipotle Mexican Grill"".
  3. ^ "Chipotle". Dictionary.com. Retrieved 2009-09-14.
  4. ^ Hesser, Amanda (2005-02-27). "The Way We Eat". The New York Times Magazine. Retrieved 2007-04-25.
  5. ^ a b c d e Parrish, Marlene (2007-05-20). "Fresh and fast: Chipotle Mexican Grill chain buys from family farms". Pittsburgh Post-Gazette. Retrieved 2009-09-14.
  6. ^ a b "Chipotle`s Ells Testifies Before House Committee in Support of "Preservation of Antibiotics for Medical Treatment Act" (Press Release)". Reuters (UK). 2009-07-13. Retrieved 2009-12-15.
  7. ^ Jennings, Lisa (2006-07-17). "Mexican fast-casual chains revamp offerings as parents mull spinoffs". Nations Restaurant News. Retrieved 2009-04-02.
  8. ^ a b c "Chipotle founder had big dreams". Rocky Mountain News. December 23, 2006. Retrieved 2008-06-28. {{cite news}}: Cite has empty unknown parameter: |coauthors= (help)
  9. ^ Christmann, Samantha Maziarz (2009-12-09). "Chipotle location to open Friday". The Buffalo News. Retrieved 2009-12-15.
  10. ^ a b c "Chipotle Mexican Grill Inc". CNN. 2008-12-12. Retrieved 2009-12-16.
  11. ^ Biondich, Sarah (2008-02-06). "Food with Integrity". Express Milwaukee. Retrieved 2009-09-14.
  12. ^ a b c d Forgrieve, Janet (2006-01-27). "Feeding frenzy". Rocky Mountain News. Retrieved 2009-09-14. Cite error: The named reference "rocky2" was defined multiple times with different content (see the help page).
  13. ^ a b Debaise, Colleen (2009-09-17). "Starting Chipotle From Scratch". The Wall Street Journal. Retrieved 2009-09-18.
  14. ^ Cohen, Arrianne (2008-03-20). "Ode To A Burrito". Fast Company. Retrieved 2009-12-15.
  15. ^ "McDonald's plans to reduce ownership of Chipotle Mexican Grill". Allbusiness.com. 2006-04-27. Retrieved 2009-09-14.
  16. ^ a b "Burrito Buzz—And So Few Ads". BusinessWeek. 2007-03-12. Retrieved 2009-09-14.
  17. ^ "McDonald's Serves Up Another Sale". Forbes. 2008-02-22. Retrieved 2009-10-05.
  18. ^ "Fresh-Mex restaurants expand outlets in Valley". The Arizona Republic. 2010-01-05. {{cite news}}: |access-date= requires |url= (help); Text "http://www.azcentral.com/arizonarepublic/business/articles/2010/01/04/20100104biz-freshmex0105.html" ignored (help)
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  20. ^ "Chipotle to open London store in April". Reuters. 2009-11-17. Retrieved 2009-11-18.
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  25. ^ Seery, Megan (2008-12-05). "Chipotle Mexican Grill Inc". Jacksonville Business Journal. Retrieved 2009-09-15.
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  33. ^ "Fresh Mex: Not Always Healthy Mex". Center for Science in the Public Interest. 2003-09-30. Retrieved 2009-10-11.
  34. ^ "Chipotle Nutrition" (PDF). Chipotle Mexican Grill. Retrieved 2009-09-14.
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  37. ^ "Chipotle Food". Chipotle Mexican Grill. Retrieved 2009-10-31.
  38. ^ a b "Chipotle - Speak". Chipotle Mexican Grill. Retrieved 2009-10-31.
  39. ^ Smyre, Miranda (2009-10-26). "Garden Blend: Chipotle's Other White (Non-)Meat". NBC Washington. Retrieved 2009-10-31.
  40. ^ "Chipotle Allergen Card" (PDF). Retrieved 2009-04-03.
  41. ^ "State: Test results in on food samples taken from Kent Chipotle". WKYC. 2008-04-28. Retrieved 2009-12-15.
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  45. ^ Adelman, Jaco (2008-06-02). "Ranchers prosper by ignoring factory-farm model". Fox News. Retrieved 2009-09-14.
  46. ^ Arellano, Kristi (2006-09-13). "Chipotle squeezed over Fla. tomatoes". Denver Post. Retrieved 2009-04-14.
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  48. ^ Glover, Katherine (2009-09-10). "Chipotle Agrees to Raise Tomato Wages (Finally)". BNET. Retrieved 2009-09-10.
  49. ^ Walker, Elaine (2009-09-11). "Florida tomato grower will raise workers' wages". The Miami Herald. Retrieved 2009-09-19.
  50. ^ Adamy, Jane (2007-11-23). "Chain a natural success". The Wall Street Journal. Retrieved 2009-04-03.
  51. ^ "Chipotle Mexican Grill SEC 2005 Filing". secinfo.com. Retrieved 2009-04-03.
  52. ^ Modell, Josh (2009-10-07). "Dead Celebrities". A.V. Club. Retrieved 2009-10-07.
  53. ^ Rogers, Neal (2008-11-25). "Garmin presents 2009 squad to packed house in Boulder". VeloNews.com. Retrieved 2009-04-14.
  54. ^ Valentinsen, Thomas (2008-12-08). "Team Garmin-Chipotle Changes Name to Team Garmin-Slipstream; Announces New Anti-Doping Partner". Roadcycling.com. Retrieved 2009-04-14.
  55. ^ "Celtics team up with Chipotle Mexican Grill". Boston Globe. 2009-10-23. Retrieved 2009-10-26.
  56. ^ "Bruins and Chipotle Mexican Grill Announce Multi-year Partnership Agreement". NHL.com. 2009-11-11. Retrieved 2009-11-12.
  57. ^ Palmer, Alex (2009-06-13). "Chipotle Serves Free 'Food, Inc.' Screenings". Brandweek. Retrieved 2009-09-11.
  58. ^ Stogel, Chuck (2009-05-12). "Chipotle Tells Consumers: Make Your Own". Adweek. Retrieved 2009-09-10.
  59. ^ Harden, Mark (2009-09-14). "Denton man wins Chipotle ad contest". Dallas Business Journal. Retrieved 2009-09-30.
  60. ^ Sherman, Chris (2005-04-14). "Mexican food, fast and from scratch". St. Petersburg Times. Retrieved 2009-09-14.
  61. ^ Chronister, Bill (2009-03-10). "New Powell Chipotle reflects chain's 'green' goal". The Columbus Dispatch. Retrieved 2009-09-14.
  62. ^ "Americans learn joys of eating out on truck tops". Reuters. 2009-09-08. Retrieved 2009-09-14.
  63. ^ Braun, Joanne (2006-08-31). "Chipotle Mexican Grill arrives in Pennsylvania". yourmoontownship.com. Retrieved 2009-03-31.
  64. ^ a b Shoemaker-Galloway, Jace (2009-10-26). "Chipotle to Use Solar Power at 75 Restaurants". Triplepundit. Retrieved 2009-12-15.
  65. ^ Kelly, Katharine (2008-01-02). "Food With a Conscience". Urban Tulsa Weekly. Retrieved 2009-09-14.
  66. ^ "Case Study: Chipotle Mexican Grill". austinenergy.com. Retrieved 2009-09-14.
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