1. Yum! Brands, Inc. (YUM) by Amanda Fitzpatrick

2. Overview  Yum! Brands, Inc. is a “quick service” restaurant company  Operates restaurants in the U.S., as well as internationally  Franchise and license a system of restaurants which sell and prepare various foods items  Restaurants include: KFC, Taco Bell, Long John Silvers, Pizza Hut, and A&W All-American Food  Market Cap.: $24.33 B  52 week range: $46.27-$57.75  Annual Dividend Rate: $1.14  Traded on NYSE

3.  Recent Price : $52.84 (fair value= $56.00)  Purchase Price : $29.07  Shares : 54  YTD Return: 4.2%  Holding Return:75.89%  P/E: 20.2 Industry: 20.2  Debt/Equity: 154.92 Industry: 84.22  EPS Growth 5 Yr: 13.3 Industry: 19.93  Net Profit Margin: 10.24 Industry: 4.69  ROE: 69.71 (TTM) Industry: 25.62 (TTM) Key Statistics

4. Recent News  October 2011- dividends go up by 14%, $.285 quarterly  Sept. 22, 2011- announced agreements to sell Long John Silver’s and A&W All-American Restaurants to two key franchisees (LJS Partners LLC and A Great American Brand LLC)  Strong international development with 331 new restaurants opened, including 138 new units in China  are now expecting to open 600 new units in China this year

5. Stock Evaluation

6. Chart- 5 years $29.07

7. Chart- 1 year

8. Analysts Recommendations  Strong Buy: 7  Buy: 7  Hold: 7  Underperform: 1  Sell: 0

9. Recommendation - Hold - Even though it only meets 5/10 of our investment criteria, should hold because: - Good dividends - dividend yield= 2%, $1.14 annually/share - $1.14 * 54 = $61.56/ annually - Global expansion into China