Planet Hollywood Gives Incentives to Prince

Planet Hollywood International Inc. is seeking to speed construction of restaurants overseas by offering new financial incentives to one of the company’s primary franchisees, Prince Alwaleed bin Talal of Saudi Arabia. The billionaire investor, a nephew of Saudi Arabia’s King Fahd, has agreed to develop Planet Hollywood restaurants in 23 countries in the Middle East and Europe. Planet Hollywood disclosed in a filing with the Securities and Exchange Commission that the company has agreed to waive the initial franchise fees for many of these establishments. In effect, Planet Hollywood is offering a discount to one of the world’s richest men, as it struggles to reverse a decline in sales. Sales at restaurants open at least a year and a half fell 17% in the second quarter and the company recorded an unexpected loss of $1.4 million. The Orlando, Fla.-based company’s shares have fallen more than 73% this year. Shares finished the day up 13 cents at $3.38 on the NYSE.