High cost of energy squeezing restaurants

The Chicago Tribune reports:

Oil will be a major ingredient in fourth-quarter restaurant earnings.

High energy costs are pinching both fast-food and casual-dining chain operators and their customers. Although gasoline prices are down somewhat from third-quarter highs, natural gas and other heating fuels are soaring.

Maryville, Tenn.-based Ruby Tuesday Inc. said its utility bill could be up $1.5 million in the current quarter from three months ago. Other chains also have indicated that natural gas and other energy expenses are rising faster than anticipated. Drive-in franchiser Sonic Corp., based in Oklahoma City, predicted a 25 percent to 30 percent increase.

Not everyone is able to raise prices.