El Pollo Loco Awards Advertising Account to Los Angeles-Based Krueger.

Business Editors

IRVINE, Calif.--(BUSINESS WIRE)--March 15, 2004

El Pollo Loco Inc. announced today that it has awarded its $7 million advertising account to Los Angeles-based Krueger.

A uniquely designed agency of senior level-only advertising executives from the top

agencies across the nation, Krueger was a finalist in El Pollo Loco's search last year for a new general market advertising agency following a comprehensive review of more than 60 companies. The search was initiated to jumpstart El Pollo Loco's brand transformation, a mission that entails new products, new advertising and a new prototype restaurant designed to leverage El Pollo Loco's unique position in the quick-service restaurant industry.

"Krueger provides El Pollo Loco an arsenal of strategic muscle and creative genius through a gifted team of advertising professionals you don't often find under one roof," said Karen Eadon, chief marketing officer for El Pollo Loco. "Their collaborative approach and passion for our brand, along with their keen insight into our business, make them ideally suited for this opportunity to generate continued momentum for our business."

Krueger will handle strategic marketing and communications assignments for El Pollo Loco's general market audience beginning in May with the launch of its first advertising campaign for the 315-unit restaurant chain. Krueger will be responsible for all general market creative, including the development of merchandising materials. MMS (Media Marketing Solutions) will continue to handle all general market media assignments and Los Angeles-based cruz/kravetz:IDEAS will continue as El Pollo Loco's Hispanic market agency-of-record. Both companies will work closely with Krueger and El Pollo Loco to further brand El Pollo Loco in the hearts and minds of consumers.

"These are exciting times for El Pollo Loco and we are absolutely thrilled to join this healthy, vibrant brand in shaping its future," said John Krueger, president and chief creative officer of Krueger. "We believe that the greatest results come from being a business partner first and an agency second, a philosophy that fits beautifully with the culture of El Pollo Loco."

Incumbant agency, the Y & R companies, resigned the account to allocate agency resources against new assignments. They will continue to work with El Pollo Loco over the next few months to transition the assignment.

With five consecutive years of record system-wide sales under its belt, El Pollo Loco recently announced plans to expand by more than 130 restaurants over the next five years, primarily through franchise growth. El Pollo Loco is a privately held company with headquarters in Irvine, and owned by New York-based equity investment firm American Securities Capital Partners, L.P. and company management. El Pollo Loco currently operates 315 restaurants (a combination of company- and franchise-owned locations) in California, Arizona, Nevada and Texas. The recent signing of an agreement to develop at least 10 restaurants will mark Illinois as El Pollo Loco's fifth state. For more information, visit the company's Web site at www.elpolloloco.com.

Krueger advertising is a two-year-old ad agency, staffed with senior-only personnel dedicated to providing equally powerful strategy and creative designed to create maximum impact on its clients' businesses. For more information, visit the company's Web site at www.kruegerads.com.

This news release contains forward-looking statements about, among other items, the sales, revenues, products, consumer acceptance, growth rates and growth and franchising potential of El Pollo Loco, Inc. The statements reflect management's current expectations regarding future events. Risk factors that could cause actual results to differ materially from those expressed in the forward-looking statements include, but are not limited to, food-borne-illness incidents; increases in the cost of chicken; our dependence upon frequent deliveries of food and other supplies; our vulnerability to changes in consumer preferences and economic conditions; our ability to compete successfully with other quick service and fast casual restaurants; our ability to expand into new markets; our reliance in part on our franchises; and our ability to support our expanding franchise system; the possibility of unforeseen events affecting the industry in general. Statements about El Pollo Loco, Inc.'s past performance are not necessarily indicative of its future results. El Pollo Loco, Inc. undertakes no obligation to publicly update or revise any forward-looking statement, whether as the result of new information, future events or otherwise.

This information is not offered or disclosed in connection with an offer to sell or the solicitation of any offer to buy any franchise. Any such offer or solicitation is made only through our offering circular and only in jurisdictions where such offers are lawful.