El Torito Brews Deal With Diedrich

El Torito Restaurants Inc. said Thursday it will begin selling Diedrich coffee in its restaurants by May.

Irvine-based Diedrich Coffee Inc. said the new supply agreement is in keeping with its plan to aggressively expand its wholesale division. “We can penetrate markets where we don’t necessarily have coffeehouses yet,” said Catherine Saar, vice president of marketing and wholesale for Diedrich. The coffee will be served in El Torito, El Torito Grill and El Torito Express restaurants in five states, including California. It will also be sold in Casa Gallardo restaurants in the St. Louis area.

Diedrich also sells its coffee wholesale to Ruth’s Chris Steak Houses, Claim Jumper and Islands restaurants. Sales for the company’s wholesale division grew 25% for the fiscal year ended Jan. 27, the company said.

El Torito Restaurants is owned by the Irvine-based Koo Koo Roo Enterprises Inc., which also operates the Koo Koo Roo, Hamburger Hamlet, Chi-Chi’s and Casa Gallardo restaurant chains.