AFC Enterprises Inc. and Diversified Foods & Seasonings, Inc. Reach Settlement

ATLANTA  (RestaurantNewsRelease.com)  AFC Enterprises, Inc., the franchisor and operator of Popeyes restaurants and Diversified Foods & Seasonings, Inc., a key supplier of ingredients and products to Popeyes restaurants, today announced the settlement of ongoing litigation and the renewal of a long-term strategic relationship.

“AFC is proud of the exceptional food that we serve at Popeyes and the distinctive recipes developed by Al Copeland, founder of Popeyes and Diversified Foods & Seasonings,” said Cheryl Bachelder, AFC chief executive officer. “We are pleased to have reached this settlement which establishes a new long-term supply agreement under which Diversified will continue to provide distinctive Louisiana food and flavors to our restaurants.”

As a result of this renewed strategic relationship and the new supply agreement, Popeyes operators will be well-positioned to offer excellent food quality at competitive prices to our guests.

“Diversified Foods & Seasonings is pleased to have reached a new agreement with AFC and we look forward to collaborating with Popeyes to build this brand founded by my father,” said Chairman of the Board, Al Copeland, Jr. “We are committed to providing the finest line of specialty food products and delivering the flavor and spice that consumers have to come to know and love from Popeyes.”

About AFC Enterprises, Inc.

AFC Enterprises, Inc. is the franchisor and operator of Popeyes® restaurants, the world’s second-largest quick-service chicken concept based on number of units. As of April 18, 2010 Popeyes had 1,944 restaurants in the United States, Puerto Rico, Guam and 27 foreign countries. AFC’s primary objective is to offer excellent investment opportunities in its Popeyes brand and provide exceptional franchisee support systems and services to its owners. AFC Enterprises can be found at www.afce.com.

About Diversified Foods & Seasonings, Inc.

Diversified Foods & Seasonings, Inc. is a food processing company, primarily specializing in custom formulations to the multi-unit restaurant segment. Diversified is comprised of fully automated USDA cooking operations in Madisonville, Louisiana and Nebraska City, Nebraska. To further compliment our diversity, we have spice blending/packaging facilities in San Antonio, Texas and Metairie, Louisiana and a flour blending/packing operation in Theodore, Alabama. Diversified can be found at www.diversifiedfoodsandseasonings.com.