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September 29, 1995 - Image 42

Resource type:
Text
Publication:
The Detroit Jewish News, 1995-09-29

Disclaimer: Computer generated plain text may have errors. Read more about this.

BAGEL page 41

12 MONTH
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5.75%

INTEREST RATE

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010

60 MONTH
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625

0, 0

INTEREST RATE



390/0

A.P.Y./*

These are fixed rate certificates of deposit that are insured by Federal Deposit
Insurance Corporation (FDIC). A minimum opening deposit and balance of $500.00
is required to obtain the stated Annual Percentage Yield.

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*Annual percentage yield when compounded quarterly. Rate is accurate as of 9/29/95. Penalty for early withdrawal from certificate accounts may be assessed.

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Charlie and Helen Kaye of the upscale Bean & Bagel in Farmington Hills, a
coffeehouse/bagelry.

of people who don't have precon-
ceived notions that you can only
get hot bagels in the morning. We
have regulars that stop on the
way to work and on the way
home," he said.
Bruegger's Bagel Bakery
opened its first metro area loca-
tion a year ago in Grosse Pointe.
The response was "absolutely in-
credible," says Bruce Phillips, vice
president of Quality Dining, the
Detroit-area franchisee of Brueg-
ger's.
In fact, 90 or more percent of
Bruegger's locations outside
Michigan are in non-Jewish ar-
eas, proving that bagels indeed
have "spread across ethnic
boundaries," he says.
But it's the convenience and
versatility of the bagel, too, that
have solidified its place in Amer-
ican culture, he says.
Bruegger's, which opened its
ninth store in the metro area last
week, offers an array of flavored
cream cheeses and sandwiches
and coffee. But not cappuccino,
espresso or latte. That would
slow the service, Mr. Phillips
says.
"We've taken the traditional
bagel carryout place and trans-
ferred it into a cafe or restaurant
setting. That's what the custorrier
wanted. That's obvious from our
business," he says. "Our empha-
sis is more on the bagel, and oh
yes, we serve a very good cup of
coffee. But the bagel is still most
important to us."
Five years from now, Brueg-
ger's will have 25 locations in the
area, Mr. Phillips says.
"What is happening is not that
we're trying to put people out of
business, but in actuality there
are more people eating more
bagels more frequently. There's
still a place for traditional car-
ryouts. There's probably a good
segment of the population that's
still more comfortable with the
tried and true. There's still a big
market out there (for carryouts)
— if (the carryouts) continue to
do well with their product," he

says.

These days, the distinction
between the traditional carryout

bagel bakeries and the fancy
kind, however, is not as clear.
Manhattan Bagel in West
Bloomfield, for example, looks
more like a traditional bagelry —
bagels heaped in bins, a few cas-
es for cream cheese, lox and juice
and a few scattered tables. Meat
sandwiches are on the menu, too.
But it steams rather than boils
its bagels, and offers them in
newfangled flavors like banana
walnut, chocolate chip and multi-
grain.
Detroit Bagel, the largest local
chain and the oldest after New
York Bagel, is also embracing the
modern, at least in one of its 14
locations.
Recognizing an emerging mar-
ket, owner Richard Steinik plans
to turn his La Mirage location in
Southfield into a combination cof-
feehouse-bagel shop. He also
plans to add a 15th Detroit Bagel
on Jefferson Avenue in Detroit
early next year.

Bagels are a fact of
life in America.

But he isn't as certain as Mr.
Kaye that bagel shops will be-
come as ubiquitous as say,
oil change stations or McDon-
ald's restaurants. Employee
wages are higher these days,
mainly because of competition
against other fast-food chains,
he says.
And, he believes the market
may not be able to bear so many
bagel purveyors.
"There are a lot more people
coming into the market to test
the waters, but the original bak-
eries in Detroit have held their
own, to my knowledge," he con-
tinues. "I understand these peo-
ple are spending between
$300,000 and $400,000 to open a
bakery, and that's all well and
good if you have the money, but
you have to get your investment
back. Some will do well and oth-
ers will find you can only put so
many bakeries in one market and
eventually some aren't going to
make it." ❑

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