Panera Bread Company (Nasdaq: PNRA)
signed an agreement with Edward W. Doherty of Doherty Enterprises in
Allendale, New Jersey to open 20 Panera Bread bakery-cafes in Nassau and Suffolk
counties on Long Island. Doherty is scheduled to open his first bakery-cafe by
March 2002.

An experienced franchise operator, Doherty Enterprises currently owns 25
Applebee’s, two Chevys and nine Wendy’s restaurants.

Ron Shaich, Panera Bread chairman and chief executive officer, said, “Ed Doherty
is a seasoned franchise executive who knows the Long Island market. He has a
long history of success in the restaurant industry and as a franchise operator. He
operates the highest-grossing Applebee’s in the nationwide chain, and the sales
volumes of his Applebee’s, Chevys and Wendy’s restaurants consistently exceed
the national average of their respective concepts. We are very pleased that Ed has
agreed to develop the Long Island territory for Panera Bread.”

Like Panera Bread, Doherty Enterprises is a community-oriented organization that
participates in local community and charitable activities. As an Applebee’s
franchisee, Doherty Enterprises raised $100,000 for the U.S. Marine’s Toys for Tots
Foundation during the holiday season.

Ed Doherty, chairman and chief executive officer of Doherty Enterprises, said, “We
are pleased to be part of the Panera Bread family and are looking forward to
opening the Long Island market. We have found that Long Island residents are
open to new eating experiences, especially high quality concepts. Panera Bread
bakery-cafes are ideally matched to Long Island tastes.”

Prior to starting Doherty Enterprises, Doherty worked for Marriott Corp. for more
than ten years in development, marketing, franchising and management positions.
He ultimately served as Vice President of Marriott’s Family Restaurant and was
responsible for its 1,200-unit Big Boy division.

Panera Bread owns and franchises bakery-cafes under the Panera Bread and Saint
Louis Bread Co. names. The company is the leader in the emerging specialty
bread/cafe category due to its unique bread combined with a quick, casual dining
experience. As previously reported, as of December 30, 2000, 262 Panera Bread
bakery-cafes (including four specialty bakery-cafes) were operating in 28 states (90 company-owned and 172 franchised bakery-cafes). Additional information is available on the company’s website, http://www.panerabread.com.