Dunkin' Brands Reports Third Quarter 2012 Results

              Dunkin' Brands Reports Third Quarter 2012 Results

- Revenue up 5% and adjusted operating income up 12.5%

- Adjusted operating income margin at approximately 50%

- Adjusted net income up 34.4%

- Comparable store sales growth across all four business segments including
2.8 percent in Dunkin' Donuts U.S.

- Company returned nearly $470 million to shareholders through share
repurchases and dividends

PR Newswire

CANTON, Mass., Oct. 25, 2012

CANTON, Mass., Oct. 25, 2012 /PRNewswire/ --Dunkin' Brands Group, Inc.
(Nasdaq: DNKN), the parent company of Dunkin' Donuts (DD) and Baskin-Robbins
(BR), today reported results for the third quarter ended September 29, 2012.

(Logo: http://photos.prnewswire.com/prnh/20120516/NE07970LOGO )

"The third quarter marked our fifth quarter as a public company, and our fifth
consecutive quarter with double-digit adjusted earnings per share growth. We
continue to leverage our asset-light, nearly 100-percent franchised model to
drive strong shareholder returns," said Nigel Travis, Chief Executive Officer,
Dunkin' Brands Group, Inc., and President, Dunkin' Donuts U.S. "With the
exceptional growth of the Dunkin' Donuts brand over the past two years and our
intense focus on franchisee profitability, our franchisees are seeing very
strong unit economics and in turn are driving our robust restaurant expansion
across the U.S. Together, we are delivering on our core strategies as well as
utilizing new operational and marketing tactics to compete and grow in today's
challenging environment."

Consolidated Key Highlights

($ in millions, except         Quarter 3               Increase (Decrease)
per share data)
                               2012       2011         $/#         %
System-wide Sales Growth       4.7%       8.9%
DD U.S. Comparable Store       2.8%       6.0%
Sales Growth
BR U.S. Comparable Store       1.1%       1.7%
Sales Growth
DD International
Comparable Store Sales         2.1%
Growth
BR International
Comparable Store Sales         3.0%
Growth
Consolidated Net POD           187        98           89          90.8%
Development
DD Global PODs at period       10,283     9,900        383         3.9%
end
BR Global PODs at period       6,920      6,625        295         4.5%
end
Consolidated Global PODs       17,203     16,525       678         4.1%
at period end
Revenues                 $     171.7      163.5        8.2         5.0%
Operating Income^1             70.3       54.1         16.2        30.0%
Operating Income               41.0%      33.1%
Margin^1
Adjusted Operating       $     85.4       75.9         9.5         12.5%
Income^2
Adjusted Operating             49.7%      46.4%
Income Margin^2
Net Income               $     29.5       7.4          22.1        298.4%
Adjusted Net Income^2          42.1       31.3         10.8        34.4%
Earnings (Loss) Per
Share - Basic and
Diluted
 Class L - basic and $     n/a       4.46         n/a       n/a
diluted
 Common - basic and        0.26       (1.01)       1.27        n/a
diluted
Diluted Adjusted
Earnings per Pro Forma
Common
 Share^2                    0.37       0.28         0.09        32.1%
Pro Forma Weighted
Average Number of Common
 Shares – Diluted (in       115.1      113.3        1.8         1.6%
millions)
(amounts and percentages may not
recalculate due to rounding)


^1Operating income for Q3 2011 includes a $14.7 million expense related to the
termination of the Sponsor management agreement upon completion of the
Company's initial public offering.



^2Adjusted operating income and adjusted net income are non-GAAP measures
reflecting operating income and net income adjusted for amortization of
intangible assets, impairment charges, and other non-recurring, infrequent, or
unusual charges (including the expense referred to above in footnote 1), net
of the tax impact of such adjustments in the case of adjusted net income.
Diluted adjusted earnings per pro forma common share is a non-GAAP measure,
calculated using adjusted net income, and gives effect to the conversion of
Class L common stock as if the conversion were completed at the beginning of
the respective fiscal period for which such shares were outstanding. Please
refer to "Non-GAAP Measures and Statistical Data," "Dunkin' Brands Group, Inc.
Non-GAAP Reconciliations," and "Dunkin' Brands Group, Inc. Diluted Adjusted
Earnings per Pro Forma Common Share" for further detail.



Global system-wide sales growth in the third quarter was primarily
attributable to Dunkin' Donuts U.S. comparable store sales growth (which
includes stores open 54 weeks or more), global store development, and growth
in Baskin-Robbins International sales.

Dunkin' Donuts U.S. comparable store sales growth in the third quarter was
driven by increased average ticket and higher traffic despite a challenging
consumer and competitive environment. The growth resulted from our continued
focus on product and marketing innovation with strong beverage sales growth
led by cold beverages; strong breakfast sandwich sales across both core
offerings and differentiated breakfast sandwiches; continued growth in Bakery
Sandwiches; and sales of Dunkin' Donuts K-Cup® portion packs. 

Baskin-Robbins U.S. comparable store sales growth was driven by new Flavors of
the Month; new signature cake merchandising; and new beverage messaging around
Flavors of the Month being available as milk shakes.

In the third quarter, Dunkin' Brands franchisees and licensees opened 187 net
new restaurants across the globe. This includes 78 net new Dunkin' Donuts U.S.
locations, 74 net new Baskin-Robbins International locations, 36 net new
Dunkin' Donuts International locations, and one net closure for Baskin-Robbins
U.S. Additionally, Dunkin' Donuts U.S. franchisees remodeled 144 restaurants
during the quarter.

Revenues grew by 5.0 percent compared to the third quarter of 2011, primarily
from increased royalty income driven by the increase in system-wide sales, and
additional company-owned restaurants.

Operating income increased $16.2 million, or 30.0 percent, from the third
quarter of 2011 primarily as a result of $14.7 million of one-time expenses
incurred in connection with the Company's IPO last year, as well as the
increase in royalty income. Adjusted operating income increased $9.5 million,
or 12.5 percent, from the third quarter of 2011 primarily as a result of the
increase in revenues and continued general and administrative expense
leverage.

Net income increased by $22.1 million, or 298.4 percent, compared to the third
quarter of 2011 as a result of the $16.2 million increase in operating income
and a $14.1 million decline in debt refinancing charges, offset by a
corresponding increase in tax expense. Adjusted net income increased by $10.8
million, or 34.4 percent, compared to the third quarter of 2011 as a result of
the increase in adjusted operating income and a $5.1 million decrease in
interest expense, offset by an increase in tax expense.

Company Updates

  oAs previously announced, the Company repurchased 15 million shares of
    common stock from its former private equity owners during the quarter. It
    used $400 million from its recently upsized term loan facility and $50
    million in cash on hand to fund the repurchase. The purchase was made
    concurrently with the closing of a registered offering of shares by those
    former stockholders that, together with the repurchase, eliminated their
    ownership in the Company.
  oThe Company executed a 5-year interest rate swap at 4.37 percent for $900
    million of its $1.8 billion in outstanding long-term debt (inclusive of
    the additional $400 million upsize).
  oThe Company today announced that the Board of Directors declared a fourth
    quarter cash dividend of $0.15 per share, payable on November 14, 2012 to
    shareholders of record as of the close of business on November 5, 2012.

Fiscal Year 2012 Targets

As described below, the Company is updating certain targets and reaffirming
others that it has previously provided regarding its 2012 performance.

  oThe Company expects Dunkin' Donuts U.S. comparable store sales growth to
    be at the low-end of its 4 to 5 percent target range and Baskin-Robbins
    U.S. comparable store sales growth to be in the middle of its 2 to 4
    percent range.
  oThe Company now expects that Dunkin' Donuts U.S. will add between 280 and
    300 net new restaurants (previously the range was 260 to 280 net openings)
    and it continues to expect Baskin-Robbins U.S. will close between 40 and
    60 restaurants net. Internationally, the Company continues to target
    opening 400 to 450 net new units across the two brands. The Company
    expects to open 620 to 710 net new units globally.
  oThe Company now expects revenue growth of between 6 and 7 percent
    (previously the range was 7 to 8 percent). This is a result of a change in
    ice cream shipping terms related to the manufacturing shift to Dean Foods
    that was announced in July 2012, and as a result of expecting to be at the
    low end of the targeted range for Dunkin' Donuts U.S. comparable store
    sales growth. The change in shipping terms will result in a one-time delay
    in revenue recognition that will impact Q4 sales of ice cream products. It
    continues to expect adjusted operating income growth of between 12 and 14
    percent. The targets for revenue and adjusted operating income growth are
    based on a 52-week year in 2011.
  oThe Company is increasing its range for adjusted earnings per share to
    $1.25 to $1.27 which represents 33 to 35 percent growth over its $0.94
    adjusted earnings per share in 2011 and is an increase from the previous
    target of to $1.22 to $1.25.

"We are pleased to continue to deliver such strong shareholder value," said
Paul Carbone, Dunkin' Brands Chief Financial Officer. "Importantly, by locking
in an attractive interest rate for a portion of our outstanding debt, we've
added stability to our already resilient and strong cash flow-generating
business model."

Conference Call

As previously announced, Dunkin' Brands will be holding a conference call
today at 8:00 am ET hosted by Nigel Travis, Chief Executive Officer, Neil
Moses, Chief Global Strategy Officer, and Paul Carbone, Chief Financial
Officer. The dial-in number is (866) 393-1607 or (914) 495-8556, conference
number 39794496. Dunkin' Brands will broadcast the conference call live over
the Internet at http://investor.dunkinbrands.com. A replay of the conference
call will be available on the Company's website at
http://investor.dunkinbrands.com.

The Company's consolidated statements of operations, condensed consolidated
balance sheets, condensed consolidated statements of cash flows and other
additional information have been provided with this press release. This
information should be reviewed in conjunction with this press release.

Forward-Looking Statements

Certain statements contained herein are not based on historical fact and are
"forward-looking statements" within the meaning of the applicable securities
laws and regulations. Generally, these statements can be identified by the
use of words such as "anticipate," "believe," "could," "estimate," "expect,"
"feel," "forecast," "intend," "may," "plan," "potential," "project," "should,"
"would," and similar expressions intended to identify forward-looking
statements, although not all forward-looking statements contain these
identifying words. By their nature, forward-looking statements involve risks
and uncertainties because they relate to events and depend on circumstances
that may or may not occur in the future. These risk and uncertainties
include, but are not limited to: the ongoing level of profitability of
franchisees and licensees; our franchisees' and licensees' ability to sustain
same store sales growth; changes in working relationships with our
franchisees and licensees and the actions of our franchisees and licensees;
our master franchisees' relationships with sub-franchisees; the strength of
our brand in the markets in which we compete; changes in competition within
the quick-service restaurant segment of the food industry; changes in consumer
behavior resulting from changes in technologies or alternative methods of
delivery; economic and political conditions in the countries where we operate;
our substantial indebtedness; our ability to protect our intellectual property
rights; consumer preferences, spending patterns and demographic trends; the
success of our growth strategy and international development; changes in
commodity and food prices, particularly coffee, dairy products and sugar, and
other operating costs; shortages of coffee; failure of our network and
information technology systems; interruptions or shortages in the supply of
products to our franchisees and licensees; the impact of food borne-illness or
food safety issues or adverse public or media opinions regarding the health
effects of consuming our products; our ability to collect royalty payments
from our franchisees and licensees; the ability of our franchisees and
licensees to open new restaurants and keep existing restaurants in operation;
our ability to retain key personnel; any inability to protect consumer credit
card data and catastrophic events.

Forward-looking statements reflect management's analysis as of the date of
this press release. Important factors that could cause actual results to
differ materially from our expectations are more fully described in our other
filings with the Securities and Exchange Commission, including under the
section headed "Risk Factors" in our most recent annual report on Form 10-K 
and in our quarterly report on Form 10-Q for the quarter ended June 30, 2012.
Except as required by applicable law, we do not undertake to publicly update
or revise any of these forward-looking statements, whether as a result of new
information, future events or otherwise.

Non-GAAP Measures and Statistical Data

In addition to the GAAP financial measures set forth in this press release,
the Company has included certain non-GAAP measurements, adjusted operating
income, adjusted operating income margin, adjusted net income, and diluted
adjusted earnings per pro forma common share, which present operating results
on a basis adjusted for certain items and/or reflecting the conversion of our
previously outstanding Class L common stock into shares of common stock. The
Company uses these non-GAAP measures as key performance measures for the
purpose of evaluating performance internally. We also believe these non-GAAP
measures provide our investors with useful information regarding our
historical operating results.  These non-GAAP measures are not intended to
replace the presentation of our financial results in accordance with GAAP. Use
of the terms adjusted operating income, adjusted operating income margin,
adjusted net income, and diluted adjusted earnings per pro forma common share
may differ from similar measures reported by other companies. Adjusted
operating income and adjusted net income are reconciled from the respective
measures determined under GAAP in the attached table "Dunkin' Brands Group,
Inc. Non-GAAP Reconciliation."

On August1, 2011, the Company completed its initial public offering.
Immediately prior to the offering, each share of the Company's Class L common
stock converted into 2.4338 shares of common stock. The number of common
shares used in the calculation of diluted adjusted earnings per pro forma
common share for the three months ended September 24, 2011 gives effect to the
conversion of all outstanding shares of Class L common stock at the conversion
factor of 2.4338 common shares for each Class L share, as if the conversion
was completed at the beginning of the fiscal period. The calculation of
diluted adjusted earnings per pro forma common share also includes the
dilutive effect of common restricted shares and stock options, using the
treasury stock method. Diluted adjusted earnings per pro forma common share is
calculated using adjusted net income, as defined above. See the attached table
"Dunkin' Brands Group, Inc. Diluted Adjusted Earnings per Pro Forma Common
Share" for further detail.

Additionally, the Company has included metrics such as system-wide sales
growth and comparable store sales growth, which are commonly used statistical
measures in the quick-service restaurant industry and are important to
understanding Company performance.

The Company uses "System-wide sales growth" to refer to the percentage change
in sales at both franchisee- and company-owned restaurants from the comparable
period of the prior year. Changes in system-wide sales are driven by changes
in average comparable store sales and changes in the number of restaurants.

The Company uses "DD U.S. comparable store sales growth," "BR U.S. comparable
store sales growth" and "International comparable store sales growth," which
are calculated by including only sales from franchisee- and company-owned
restaurants that have been open at least 54 weeks and that have reported sales
in the current and comparable prior year week.

About Dunkin' Brands Group, Inc.

With more than 17,000 points of distribution in nearly 60 countries worldwide,
Dunkin' Brands Group, Inc. (Nasdaq: DNKN) is one of the world's leading
franchisors of quick service restaurants (QSR) serving hot and cold coffee and
baked goods, as well as hard-serve ice cream. At the end of the third quarter
2012, Dunkin' Brands' nearly 100 percent franchised business model included
more than 10,000 Dunkin' Donuts restaurants and nearly 7,000 Baskin-Robbins
restaurants. For the full-year 2011, the company had franchisee-reported sales
of approximately $8.3 billion. Dunkin' Brands Group, Inc. is headquartered in
Canton, Mass.



Amounts and percentages may not recalculate due to rounding
                           Three months ended
                           September 29,    September 24,  Increase (Decrease)
Dunkin' Donuts U.S.        2012             2011           $          %
                          ($ in thousands except as otherwise noted)
Comparable store sales     2.8%             6.0%
growth
Systemwide sales growth    5.6%             8.3%
Franchisee reported sales  $         1,501.5        81.8       5.4%
(in millions)              1,583.3
Revenues:
Royalty income             $         80,659         4,669      5.8%
                           85,328
Franchise fees             7,913            9,653          (1,740)    -18.0%
Rental income              23,720           22,259         1,461      6.6%
Sales at company-owned     5,913            2,969          2,944      99.2%
restaurants
Other revenues             748              1,326          (578)      -43.6%
Total revenues             $          116,866        6,756      5.8%
                           123,622
Segment profit             $         88,992         2,130      2.4%
                           91,122
Points of distribution     7,157            6,895          262        3.8%
Gross openings             108              91             17         18.7%
Net openings               78               57             21         36.8%
                           Three months ended
                           September 29,    September 24,  Increase (Decrease)
Dunkin' Donuts             2012             2011           $          %
International
                          ($ in thousands except as otherwise noted)
Comparable store sales     2.1%
growth
Systemwide sales growth    1.2%             13.7%
Franchisee reported sales  $         161.5          1.9        1.2%
(in millions)               163.4
Revenues:
Royalty income             $         3,175          49         1.5%
                            3,224
Franchise fees             379              405            (26)       -6.4%
Rental income              69               49             20         40.8%
Other revenues             (1)              40             (41)       n/m
Total revenues             $         3,669          2          0.1%
                            3,671
Segment profit             $         2,496          (94)       -3.8%
                            2,402
Points of distribution     3,126            3,005          121        4.0%
Gross openings             71               70             1          1.4%
Net openings (closings)    36               (24)           60         n/m
                           Three months ended
                           September 29,    September 24,  Increase (Decrease)
Baskin Robbins U.S.        2012             2011           $          %
                          ($ in thousands except as otherwise noted)
Comparable store sales     1.1%             1.7%
growth
Systemwide sales growth    -2.2%            -0.5%
Franchisee reported sales  $         149.3          (3.4)      -2.2%
(in millions)               145.9
Revenues:
Royalty income             $         7,488          (107)      -1.4%
                            7,381
Franchise fees             262              357            (95)       -26.6%
Rental income              969              1,180          (211)      -17.9%
Sales of ice cream         908              947            (39)       -4.1%
products
Sales at company-owned     -                104            (104)      n/m
restaurants
Other revenues             2,147            2,347          (200)      -8.5%
Total revenues             $         12,423         (756)      -6.1%
                           11,667
Segment profit             $         7,140          929        13.0%
                            8,069
Points of distribution     2,492            2,528          (36)       -1.4%
Gross openings             11               12             (1)        -8.3%
Net closings               (1)              (18)           17         -94.4%
                           Three months ended
                           September 29,    September 24,  Increase (Decrease)
Baskin Robbins             2012             2011           $          %
International
                          ($ in thousands except as otherwise noted)
Comparable store sales     3.0%
growth
Systemwide sales growth    5.2%             13.2%
Franchisee reported sales  $         389.5          20.3       5.2%
(in millions)               409.8
Revenues:
Royalty income             $         2,489          436        17.5%
                            2,925
Franchise fees             435              336            99         29.5%
Rental income              143              157            (14)       -8.9%
Sales of ice cream         26,210           24,644         1,566      6.4%
products
Other revenues             (56)             44             (100)      n/m
Total revenues             $         27,670         1,987      7.2%
                           29,657
Segment profit             $         14,276         1,771      12.4%
                           16,047
Points of distribution     4,428            4,097          331        8.1%
Gross openings             121              126            (5)        -4.0%
Net openings               74               83             (9)        -10.8%



DUNKIN' BRANDS GROUP, INC. AND SUBSIDIARIES
Consolidated Statements of Operations
(In thousands, except per share data)
(Unaudited)


                                    Three months ended    Nine months ended
                                    September  September  September  September
                                    29,        24,        29,        24,
                                    2012       2011       2012       2011
Revenues:
 Franchise fees and royalty       $ 107,847    104,562    309,819    288,660
 income
 Rental income                      24,918     23,676     73,859     69,950
 Sales of ice cream products        27,118     25,591     78,283     73,532
 Sales at company-owned             5,913      3,073      16,706     8,409
 restaurants
 Other revenues                     5,923      6,606      17,811     19,142
       Total revenues               171,719    163,508    496,478    459,693
Operating costs and expenses:
 Occupancy expenses - franchised    12,965     13,073     38,797     38,278
 restaurants
 Cost of ice cream products         19,211     18,975     56,000     52,795
 Company-owned restaurant           6,021      3,125      16,967     8,900
 expenses
 General and administrative         55,630     68,340     186,550    170,508
 expenses, net
 Depreciation                       9,011      6,128      22,533     18,350
 Amortization of other intangible   6,669      7,001      20,317     21,106
 assets
 Impairment charges                 564        163        950        1,220
       Total operating costs and    110,071    116,805    342,114    311,157
       expenses
Equity in net income of joint       8,697      7,409      17,314     12,206
ventures:
       Operating income             70,345     54,112     171,678    160,742
Other income (expense):
 Interest income                    126        138        383        403
 Interest expense                   (18,920)   (24,065)   (52,306)   (86,905)
 Loss on debt extinguishment and    (3,963)    (18,050)   (3,963)    (34,222)
 refinancing transactions
 Other losses, net                  (265)      (423)      (472)      (11)
       Total other expense          (23,022)   (42,400)   (56,358)   (120,735)
       Income before income taxes   47,323     11,712     115,320    40,007
Provision for income taxes          18,022     4,300      41,886     17,156
       Net income including         29,301     7,412      73,434     22,851
       noncontrolling interests
       Net loss attributable to     (225)      —          (539)      —
       noncontrolling interests
       Net income attributable to $ 29,526     7,412      73,973     22,851
       Dunkin' Brands
Earnings (loss) per share:
 Class L - basic and diluted      $ n/a        4.46       n/a        6.14
 Common - basic                     0.26       (1.01)     0.63       (2.00)
 Common - diluted                   0.26       (1.01)     0.62       (2.00)



DUNKIN' BRANDS GROUP, INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)


                                                September 29,  December 31,
Assets                                          2012           2011
Current assets:
 Cash and cash equivalents                    $ 165,642        246,715
 Accounts, notes, and other receivables, net    50,049         58,787
 Other current assets                           102,022        100,972
   Total current assets                         317,713        406,474
Property and equipment, net                     176,231        185,360
Investments in joint ventures                   175,902        164,636
Goodwill and other intangible assets, net       2,378,699      2,398,211
Other assets                                    70,156         69,337
   Total assets                               $ 3,118,701      3,224,018
Liabilities and Stockholders' Equity
Current liabilities:
 Current portion of long-term debt            $ 20,000         14,965
 Accounts payable                               8,231          9,651
 Other current liabilities                      243,392        291,924
   Total current liabilities                    271,623        316,540
Long-term debt, net                             1,829,573      1,453,344
Deferred income taxes, net                      566,027        578,660
Other long-term liabilities                     130,016        129,538
   Total long-term liabilities                  2,525,616      2,161,542
Total stockholders' equity                      321,462        745,936
   Total liabilities and stockholders' equity $ 3,118,701      3,224,018



DUNKIN' BRANDS GROUP, INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
                                                  Nine months ended
                                                  September 29,  September 24,
                                                  2012           2011
Cash flows from operating activities:
 Net income including noncontrolling interests  $ 73,434         22,851
 Adjustments to reconcile net income to net
 cash provided by

 operatingactivities:
   Depreciation and amortization                  42,850         39,456
   Loss on debt extinguishment and refinancing    3,963          34,222
   transactions
   Deferred income taxes                          (12,901)       488
   Equity in net income of joint ventures         (17,314)       (12,206)
   Dividends received from joint ventures         6,497          7,362
   Other non-cash adjustments, net                8,058          6,837
   Change in operating assets and liabilities:
      Accounts, notes, and other receivables,     9,401          32,047
      net
      Other current liabilities                   (37,796)       (48,420)
      Liabilities of advertising funds, net       (2,222)        (1,645)
      Other, net                                  (16,540)       (9,951)
        Net cash provided by operating            57,430         71,041
        activities
Cash flows from investing activities:
 Additions to property and equipment              (13,379)       (12,800)
 Other, net                                       (925)          2,115
        Net cash used in investing activities     (14,304)       (10,685)
Cash flows from financing activities:
 Proceeds from (repayment of) long-term debt,     380,559        (385,366)
 net
 Repurchases of common stock                      (450,343)      (286)
 Payment of deferred financing and other          (5,773)        (20,087)
 debt-related costs
 Proceeds from initial public offering, net of    —              390,091
 offering costs
 Dividends paid on common stock                   (54,189)       —
 Other, net                                       5,188          3,416
        Net cash used in financing activities     (124,558)      (12,232)
Effect of exchange rates on cash and cash         359            (375)
equivalents
        Increase (decrease) in cash and cash      (81,073)       47,749
        equivalents
Cash and cash equivalents, beginning of period    246,715        134,100
Cash and cash equivalents, end of period        $ 165,642        181,849



DUNKIN' BRANDS GROUP, INC. AND SUBSIDIARIES
Diluted Adjusted Earnings per Pro Forma Common Share
(In thousands, except share and per share data)
(Unaudited)


                        Three months ended            Nine months ended
                        September      September 24,  September    September
                        29,                           29,          24,
                        2012           2011           2012         2011
Adjusted net income
available to common
shareholders:
 Adjusted net       $  42,118         31,343         113,066      65,582
income
 Less: Adjusted net
income allocated to
participating           (36)           (26)           (178)        (354)

 securities
 Adjusted net
income available to
common               $  42,082         31,317         112,888      65,228

 shareholders
Pro forma weighted
average number of
common shares –
diluted:
 Weighted average
number of Class L
shares over
                        -              22,866,379     -            22,845,378
 period in which
Class L shares were
outstanding ^(a)
 Adjustment to
weight Class L
shares over             -              (15,328,012)   -            (5,104,722)
respective

 fiscal period ^(a)
 Weighted average
number of Class L       -              7,538,367      -            17,740,656
shares
 Class L conversion    -              2.4338         -            2.4338
factor
 Weighted average
number of converted
Class L                 -              18,347,071     -            43,177,665

shares
 Weighted average
number of common        112,720,961    93,529,128     117,499,678  58,807,271
shares
 Pro forma weighted
average number of
common                  112,720,961    111,876,199    117,499,678  101,984,936

shares – basic
 Incremental
dilutive common         2,354,039      1,401,643      1,959,476    735,242
shares ^(b)
 Pro forma
weighted average
number of common        115,075,000    113,277,842    119,459,154  102,720,178

 shares –
diluted
Diluted adjusted
earnings per pro     $  0.37           0.28           0.94         0.64
forma common share
^(a) The weighted average number of Class L shares in the actual Class L
earnings per share calculation for the three and nine months ended September
24, 2011 represents the weighted average from the beginning of the period up
through the date of conversion of the Class L shares into common shares. As
such, the pro forma weighted average number of common shares includes an
adjustment to the weighted average number of Class L shares outstanding to
reflect the length of time the Class L shares were outstanding prior to
conversion relative to the respective three and nine month periods. The
converted Class L shares are already included in the weighted average number
of common shares outstanding for the period after their conversion.
^(b) Represents the dilutive effect of restricted shares and stock options,
using the treasury stock method.



DUNKIN' BRANDS GROUP, INC. AND SUBSIDIARIES
Non-GAAP Reconciliations
(In thousands)
(Unaudited)


                                    Three months ended    Nine months ended
                                    September  September  September  September
                                    29,        24,        29,        24,
                                    2012       2011       2012       2011
Total revenues                   $  171,719    163,508    496,478    459,693
Operating income                 $  70,345     54,112     171,678    160,742
     Operating income margin        41.0%      33.1%      34.6%      35.0%
Adjustments:
     Amortization of other          6,669      7,001      20,317     21,106
     intangible assets
     Impairment charges             564        163        950        1,220
     Sponsor termination fee        —          14,671     —          14,671
     Secondary offering costs       2,579      —          4,774      —
     Peterborough plant closure     5,271      —          8,949      —
     costs ^(a)
     Bertico litigation ^(b)        —          —          20,680     —
Adjusted operating income        $  85,428     75,947     227,348    197,739
     Adjusted operating income      49.7%      46.4%      45.8%      43.0%
     margin
Net income attributable to       $  29,526     7,412      73,973     22,851
Dunkin' Brands
Adjustments:
     Amortization of other          6,669      7,001      20,317     21,106
     intangible assets
     Impairment charges             564        163        950        1,220
     Sponsor termination fee        —          14,671     —          14,671
     Secondary offering costs       2,579      —          4,774      —
     Loss on debt extinguishment
     and refinancing                3,963      18,050     3,963      34,222
     transactions
     Peterborough plant closure     5,271      —          8,949      —
     costs ^(a)
     Bertico litigation ^(b)        —          —          20,680     —
     Tax impact of adjustments,
     excluding Bertico              (7,618)    (15,954)   (15,581)   (28,488)
     litigation ^ (c)
     Tax impact of Bertico          1,164      —          (4,959)    —
     adjustment ^ (d)
Adjusted net income              $  42,118     31,343     113,066    65,582
^(a)Represents costs incurred related to the announced closure of the
Baskin-Robbins ice cream manufacturing plant in Peterborough, Canada,
including $1.0 million and $2.9 million of severance-related charges for the
three and nine months ended September 29, 2012, respectively, $2.6 million and
$3.7 million of accelerated depreciation for the three and nine months ended
September 29, 2012, respectively, $1.1 million of incremental costs of ice
cream products for the three and nine months ended September 29, 2012, and
other transition-related costs.
^(b)Represents the incremental legal reserve recorded in the second quarter
of 2012 related to the Quebec Superior Court's ruling in the Bertico
litigation, in which the Court found for the Plaintiffs and issued a judgment
against Dunkin' Brands in the amount of approximately $C16.4 million, plus
costs and interest.
^(c)Tax impact of adjustments, excluding the Bertico litigation, calculated
at a 40% effective tax rate.
^(d)Tax impact of Bertico litigation adjustment calculated as if the
incremental reserve had not been recorded. The tax impact recorded in the
second quarter of 2012 was a $3.9 million tax benefit representing the actual
direct tax benefit expected to be realized, as well as a $2.2 million tax
benefit recorded that will fully reverse in the third and fourth quarters of
2012 based on interim tax provision requirements. The tax impact for the
three months ended September 29, 2012 represents $1.2 million of the tax
benefit that was expected to reverse.

SOURCE Dunkin' Brands Group, Inc.

Contact: Stacey Caravella (Investors), Director, Investor Relations, Dunkin'
Brands Group, Inc., investor.relations@dunkinbrands.com, +1-781-737-3200, or
Karen Raskopf (Media), SVP, Communications, Dunkin' Brands Group, Inc.,
karen.raskopf@dunkinbrands.com, +1-781-737-5200