Hardee's(R) Sells 34 Restaurants in North Carolina as Part of Ongoing Strategic Refranchising

CARPINTERIA, Calif., Aug. 28 /PRNewswire-FirstCall/ -- CKE Restaurants, Inc. announced today the sale of 34 restaurants as part of its ongoing strategic refranchising program that was originally announced in April, 2007. The initiative is expected to involve approximately 200 Hardee's restaurant locations in a number of markets across the Midwest and Southeast. To date, the Company has sold 80 restaurants to franchisees and secured commitments for 38 new franchise restaurants under development agreements for those markets.

The Company most recently completed the sale of 34 restaurants in North Carolina to Boddie-Noell Enterprises, the largest Hardee's franchise operator. Boddie-Noell has also committed to build eight new Hardee's restaurant locations in these markets over the next five years.

"Our purchase of the 34 Hardee's in the Raleigh-Durham market propels us into the next phase of our expansion strategy with a brand that has momentum and the leadership to keep it going," said Boddie-Noell President and Chief Executive Officer Bill Boddie. "CKE has both engineered and led the turnaround of Hardee's over the past several years, and we have confidence in them and the Hardee's brand as we go forward."

The Company's president and chief executive officer Andrew F. Puzder commented, "We are very pleased to continue our strategic refranchising program with the sale of 34 restaurants in North Carolina to our largest Hardee's franchisee, Boddie-Noell Enterprises. For the past 45 years, we have looked to the Boddie's to help grow this brand and have never been disappointed. Boddie-Noell has been a key contributor to the revitalization of the Hardee's brand, and we view their acquisition of these restaurants as a further commitment to the brand's future and continued growth."

"As our refranchising program proceeds, we continue to focus on growing the Hardee's brand in our core markets while simultaneously accelerating development in our franchise markets. We are very excited about Hardee's future and growing the brand with our franchise community."

As of the end of its fiscal 2008 first quarter ended May 21, 2007, CKE Restaurants, Inc., through its subsidiaries, had a total of 3,022 franchised, licensed or company-operated restaurants in 43 states and in 13 countries, including 1,101 Carl's Jr. restaurants and 1,905 Hardee's restaurants.

SAFE HARBOR DISCLOSURE

Matters discussed in this news release contain forward-looking statements relating to future plans and developments, financial goals and operating performance that are based on management's current beliefs and assumptions. Such statements are subject to risks and uncertainties that are often difficult to predict, are beyond the Company's control and which may cause results to differ materially from expectations. Factors that could cause the Company's results to differ materially from those described include, but are not limited to, whether or not restaurants will be closed and the number of restaurant closures, consumers' concerns or adverse publicity regarding the Company's products, the effectiveness of operating initiatives and advertising and promotional efforts (particularly at the Hardee's brand), changes in economic conditions or prevailing interest rates, changes in the price or availability of commodities, availability and cost of energy, workers' compensation and general liability premiums and claims experience, changes in the Company's suppliers' ability to provide quality and timely products to the Company, delays in opening new restaurants or completing remodels, severe weather conditions, the operational and financial success of the Company's franchisees, franchisees' willingness to participate in the Company's strategies, the availability of financing for the Company and its franchisees, unfavorable outcomes in litigation, changes in accounting policies and practices, effectiveness of internal controls over financial reporting, new legislation or government regulation (including environmental laws), the availability of suitable locations and terms for the sites designated for development, and other factors as discussed in the Company's filings with the Securities and Exchange Commission.

Forward-looking statements speak only as of the date they are made. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law or the rules of the New York Stock Exchange.