april 2014 i - hatcocorp.com

6
A Newsletter for the Foodservice Industry from 100% Employee Owned — Spring 2014, No. 47 When complexity drives courage Although Hatco is technically defined as a manufacturing company, I have always thought that we are, first and foremost, a service business. As such, it is up to us to not only respond to our customers’ needs but to anticipate them. In order to maintain that perspective, the management team and I try to keep the “big picture” in view, even as we deal with our day-to-day business. In surveying the foodservice industry, I am always astounded at the web of complexity that our customers face on a regular basis. Maybe this is because for most operators, foodservice involves manufacturing, service, and retailing all rolled into one. In trying to define some of the most serious challenges they face, I have come up with what I call the three “T’s”: Timing, Technology, and Trends. In foodservice, timing has multiple meanings. It includes the time it takes to establish an operation, introduce new menu items, schedule service hours, and establish meal preparation times in the kitchen. It would also have to allow for the hours apart from the operation for by David Rolston President and CEO Please see “food for thought” on page 5 food for thought..............1, 5 spotlight...................1, 2, 4, 5 foodsafety ................................2 the big tickets ...................... 3 Hatco U..................................2 specialty of the house............3 product profile ......................6 “Hot Topics” is produced by the HATCO CORPORATION. Edited by Bette Leque. To reach Bette or to be added to the mailing list, phone 414-615-2270 or email her at [email protected]. Please see Locationon page 2 is issue of Hot Topics has been printed on recycled paper with non-petroleum inks. An Interview with Michael Sottile of Esquire Network’s I n October 2013, the new Esquire Network debuted a reality show concerning one of the most critical — but least publicized — aspects of the foodservice and club industry: the search for the perfect location. Centered on Picken Realty, New York City’s leading resource for club and restaurant venues, the series follows the business activities of four realtors, broker Alex Picken, and their multiple and varied clients. Hot Topics was fortunate in securing an exclusive interview with Michael Sottile, a key member of the Picken staff and a veteran of the foodservice industry.

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Page 1: April 2014 I - hatcocorp.com

ANew

slette

rfor

theF

oodservice

Indu

stryfro

m100%

Employee

Owned—

Sprin

g2014,N

o.47

When complexity drives courageAlthough Hatco is technically defined as a manufacturing company, I have always thoughtthat we are, first and foremost, a service business. As such, it is up to us to not only respondto our customers’ needs but to anticipate them. In order to maintain that perspective, themanagement team and I try to keep the “big picture” in view, even as we deal with ourday-to-day business.

In surveying the foodservice industry, I am always astounded at the web of complexity thatour customers face on a regular basis. Maybe this is because for most operators, foodserviceinvolves manufacturing, service, and retailing all rolled into one. In trying to define some ofthe most serious challenges they face, I have come up with what I call the three “T’s”: Timing,Technology, and Trends.

In foodservice, timing has multiple meanings. It includes the time it takes to establish anoperation, introduce newmenu items, schedule service hours, and establish meal preparationtimes in the kitchen. It would also have to allow for the hours apart from the operation for

byDavid RolstonPresident and CEO

Please see “food for thought” on page 5

food for thought..............1, 5spotlight...................1, 2, 4, 5foodsafety................................2the big tickets ......................3

Hatco U..................................2specialty of the house............3product profile ......................6

“Hot Topics” is produced bythe HATCO CORPORATION.

Edited by Bette Leque.

To reach Bette or to be addedto the mailing list, phone414-615-2270or email her [email protected].

Located in the heart ofmidtownManhattan, the newly openedAngusClub Steakhousewas designedas a treat for the eye aswell as the palate. The décor could best be described as elegant yet informal withan emphasis on comfort. In addition to a fullmenu of fineAngus steaks prepared in both the traditionaland a uniquely individualmanner (a specialty is the Porterhouse steak for 1, 2, 4 ormore), theAngusClubfeatures a full complement of othermeat and seafood choices. The crab cakes (see recipe) have alreadygarnered numerous rave reviews on Internet restaurant sites.

According to founder/ownerAldin “Dino”Gacevic, “Wewant to bemore than just a steakhouse.Ourmission is to serve the highest quality food, uniquely prepared, in an atmosphere that is comfortableand inviting. Theword ‘Club’ in our name is important, as wewant our patrons to feel a sense of belongingand to visit us often.”

Judging from the reviews, theAngusClub has attracted a large following in a relatively short time.

TheAngusClub is located at 135 E. 55th St., NewYork,NY 10022,phone 212-588-1585. �

TRADE EXHIBITIONS

3

P.O.Box340500Milwaukee,WI53234-0500USA

ReturnServiceRequested

6 Please see “Location” on page 2

Angus Club Famous Crab Cakes4 to 6 servingsIngredients:1 cup (237 ml) red pepper1 cup (237 ml) green pepper1 cup (237 ml) yellow pepper1-1/2 cups (355 ml) mayonnaise½ cup (118 ml) Old Bay seasoning1 tsp (5 ml) lemon juice

½ cup (118 g) onion4 cups (946 ml) crabmeat1 tsp (5 ml) Tabasco5 eggs1 cup (237 g) breadcrumbs

April 2014April 2014• Food&HotelAsia (FHA) 2014

April 8 - 11Singapore ExpoSingapore, Republic of SingaporeBooth #3F2-01

• HotelympiaApril 28 - May 1ExCeL Exhibition CentreLondon, EnglandBooth #1941

May 2014May 2014• Seoul Food &Hotel

May 13 - 16JavKorea International Exhibition CenterGoyang, South Korea

• National Restaurant Association ShowMay 17 - 20McCormick Place Convention CenterChicago, IL, USABooth #2218

• ThaifexMay 21 - 25Bangkok, Thailand

June 2014June 2014• Manila Food & Beverage Expo

June 11 - 13World Trade Center MetroManilaManila, Philippines

• Foodservice at Retail ExchangeJune 16 - 18Gaylord Texan Resort & Convention CenterDallas/FortWorth, TX, USA

§is issue ofHot Topics has been printed on recycled paper with non-petroleum inks.

Instructions:Dice the peppers and onion in 1/8" to 1/4" pieces. Combine the crabmeat, eggs, Tabasco, lemon juice,mayonnaise andOld Bay seasoning. When thoroughlymixed, stir in peppers and onion and one-halfof the breadcrumbs. Mix thoroughly and form into cakes about 3-1/2" in diameter. Coat both sides withremaining breadcrumbs, and sauté in sweet butter in amedium hot pan for approximately 2minuteson each side or until golden brown.Crab cakes may be used as amain dish or served proportionately smaller as an appetizer.

The latest addition to our light cooking line, available in three sizes,is ideal for paninis, different size sandwiches, snacks, vegetables, meats,burgers, and just about anything you’ll ever want to grill.

And, when you’re done, our Easy Clean System®makes for quick, efficient cleaning. Features include:

• Patented Heating Element Pack for even heat distribution• Standard Grooved Top and Bottom Plates (accessory Smooth

Top and Bottom Plates available) are easy to exchange: check outour new video atwww.hatcocorp.com to see HOW easy!

• Stainless steel frame• Removable drip tray with handles

So, don’t keep your customers waiting.Expand your menu and your profits with the newMulti Contact Grill.When it comes to grilling, it’s “Nothing Less Than the Best!” of everything.

For more information, contact your representative orvisitwww.hatcocorp.com today! �

’s newMulti Contact Grill makes “comin’ right up” faster and easier

An Interview with Michael Sottile of Esquire Network’s

In October 2013, the new Esquire Network debuted a reality showconcerning one of the most critical — but least publicized— aspectsof the foodservice and club industry: the search for the perfect location.Centered on Picken Realty, New York City’s leading resource for cluband restaurant venues, the series follows the business activities of fourrealtors, broker Alex Picken, and their multiple andvaried clients. Hot Topicswas fortunate in securingan exclusive interview withMichael Sottile, a keymember of the Picken staff and a veteran of thefoodservice industry.

Angus Club SteakhouseA classic New York steakhouse… andmuch more

141108_Layout 1 3/21/14 7:40 AM Page 1

Page 2: April 2014 I - hatcocorp.com

4

and clubs. That’s how I met Alex Picken.Alex was impressed with my presentationand askedme to join the firm.

HT: How did the TV show get started?

MS: In October of 2012, we were contacted byZodiac Productions. They wanted to pitcha show idea based on the excitement of NewYork’s dinner and club scene to the newEsquire Network. They chose Picken Realtybecause we’re the ones who are doing thebiggest deals in the hottest areas.

HT: We’ve got to ask: how real is a reality show?

MS: Actually more than you would think.At least when it comes to “Risky Listing.”Occasionally, a client will lapse into businessjargon that the public wouldn’t understand,so the director or I might suggest a differentway to express his thought. But that’s about it.

HT: What’s themost critical element you haveto consider whenmatching a client anda location?

MS: It’s the concept. The concept always comesfirst. For instance, if a client wants to createa club aimed at younger people, you’ll wantto direct them to the really hot and upcomingareas. Today, that would include the oldMeatpacking District and the East andWestVillage (Greenwich Village), both of whichare in lowerManhattan. On the other hand,I just connected an upscale steakhouse, TheAngus Club, with a great mid-town locationadjacent to the big business power centers —their logical patrons.

HT: What are the biggest obstacles thatclients face?

MS: Money… and time. Rents in New York—especially in the hot areas— are goingthrough the roof. Buildout costs includingdesign, fixtures, etc., are also high. Oncea client finds the right place, it’s necessary toclose the deal and get moving as soon aspossible. Unfortunately, negotiations withlandlords— and their lawyers— can eat upa tremendous amount of time, and timeis money.

HT: What other factors are involved?

MS: Community boards and similar organizationscan become amajor stumbling block. Ina city like New York, these boards havea tremendous amount of power that canresult in delaying liquor and other licensesor in killing the project entirely. One of thereasons people come to Picken Realty is thefact that, because of our experience, we havea good idea of what concepts will play inwhat areas.

HT: What do clients look for in terms ofphysical location?

MS: They’re concerned with the space, with thefacility, and especially with the kitchen.If they’re looking to make major changes,

their first question is usually about ventingfor the cooking operation.

HT: How important is the equipment?

MS: I would say that the kitchen equipment is ofthe utmost importance because it hasa direct bearing on time. A good kitchensetup and dependable equipment results inless downtime and less expenditure and cancut weeks of preparation and thousandsof dollars out of the startup.

HT: What trends are you noticing in kitchens?

MS: As rents have skyrocketed, clients want tomaximize space in the front of the house soas to generate more profit. This is resultinginmore compact kitchen designs. I’m seeingincreased use of convection ovens andmoreattention paid to energy efficiency. Someoperators, especially ones with two or morerestaurants, will evenmaintain commissary-type setups in lower rent quarters wherea good deal of food preparation is done andthen transport the food to the restaurantkitchens for finishing and service.

HT: How does the design function work?

MS: That’s all over the lot. An individual startingout might have his or her own ideas as tohow the place should be laid out and look.

“food for thought” from page 1

5

bookkeeping, accounting, dealing with regulatoryand other procedures, hiring personnel, andmiscellaneous management functions.

The excessively demanding schedule can becomplicated by any number of extraneous eventssuch as a party of 18 that arrives just beforeclosing, a power outage or weather event, ora breakdown in the supply chain. Failure tohandle any of these situations in a way that isseamless and invisible to patrons can result notonly in loss of business but angry Internetpostings and the destruction of a reputationbuilt over years.

Technology is another complex element in ourindustry. It can range from incidents as smallas the purchase of cookware and kitchenutensils, to the selection of major equipment,to the development andmanagement ofa website for real-time ordering. When itcomes to foodservice— especially with regardto the kitchen— payback is extremely hardto measure. At Hatco, we pride ourselves onbuilding products that are energy efficientand enjoy long service lives, but the savingsa customer enjoys can be negated by an increasein utility costs that is beyond their control ora premature change in their market that disruptsthe operation. Some operators have commentedthat they distrust new technology because itmay not do the job that was promised.

Today, one of the fastest growing aspects infoodservice involves Internet ordering for meals

that are either delivered or carried out. Thisliterally introduces a whole new business to theexisting set-up and can result in increased costsand greater pressure on both staff and facilities.Adding to the difficulty is the fact that theInternet is all about speed, and regardless ofthe complexity of the order, customers expectfaster service than those in the front of the house.

The third challenge involves trends. Virtuallyevery operator understands the importance ofkeeping current with ever-changing publictastes. Just consider how the menus and décorof the leading fast-food chains have changedin the past ten— or even five— years. Newcompetitors are constantly entering the marketand not just in traditional ways. The increasedpopularity of convenience stores and food truckshas altered a large segment of the market.

Every year the trade magazines— both printedand digital — announce what they believe to bethe upcoming trends for the following 12months.These extend from emerging food preferences,to the increased traffic at certain day parts, tonew wrinkles in everything— from service todécor. It is up to the operator to sift through themountains of data and to select those elementsthat will appeal to customers, both present andfuture, while evolving the business in the mostprofitable direction. Decisions made invariablycome at a price, and the penalty for a wrongguess can involve serious losses.

More than external market trends, the operatorneeds to keep aware of trends within his or herown business. If business is good, will it benecessary to expand and, if so, how can this bedone with the least disruption? Is the conceptof the operation or the menu becoming dated,and should it be evolved into something else?Is the area surrounding the location still viable orwill ongoing changes have an effect on business?

As difficult as the challenges mentioned heremight seem, they are being successfully meton a daily basis by the great majority of ourcustomers. For them, foodservice is not justa job but a vocation and a way of life. In seekingthe opportunities inherent in a changing world,our customers have built an infrastructure thattouches all our lives and of which every person—in one way or another— is a part.

Ernest Hemingway famously defined courageas “grace under pressure.” In looking at the “bigpicture” of this industry, all of us at Hatco andthe members of our team can only congratulateyou for your courage, perseverance and success.It’s a complex world out there, but youmake itlook easy.

David [email protected]

“Location” from page 1

2

In the constantly changing world offoodservice, one basic fact always holdstrue— foodmust be cooked to theproper temperature in order to killharmful bacteria.

Although the facts of food safetymight be well known to operatorsand executive chefs, newly hiredkitchen staff are frequently unawareof the temperature levels required forcooking and other kitchen functions.

To promote education and assist ourcustomers in keeping compliantwith current FDA food codes,Hatco offers a colorful, easy-to-readchart (in English and Spanish)illustrating the proper temperaturesfor food handling and storage, as wellas tableware and utensil sanitation.

We suggest posting several at strategic locations where they can serve as regular reminders.The chart is free and can be downloaded from our website www.hatcocorp.com.

We’re happy to be of service in keeping your operation at the right “degree” of safety. �

That’s especially true if they’re operatingon a shoestring. More successful andexperienced people will have a design teamthat might include a combination of staffpeople and outside services like architectsor designers.

HT: The beginning of the “Risky Listing” showalways states that NewYork has 50,000restaurants and clubs and that in a year,a thousand of themwill fail. In yourexperience, whatmakes for success?

MS: I would say that success results fromaperfectstorm of many factors, but three are mostimportant. First, you’ve got to have a greatconcept. Second, you need the rightlocation. And, third, you’ve got to havea lease arrangement that gives you time todevelop the concept and that’s reasonableenough to allow you to make money.

HT: Thanksmuch,Michael, and we’ll belooking for you on TV.

Readers can find more information on “RiskyListing”— and clips from the show— athttp://tv.esquire.com/shows/risky-listing. �

Hot Topics: Tell us a little about yourpersonal background.

Michael Sottile: I’m originally from upstateNew York and was initially involved inacting and theatre. I’ve appeared in themovies “Reservoir Dogs” and “Speed”among others and done a good deal of stagework. In order to support myself betweenjobs, I became involved in real estate.I spent a number of years inWisconsinand lived inMilwaukee for a portion ofthat time. While inMilwaukee, I openeda pub called the “Lemon Lounge” in a smallstorefront in the Riverwest area. I am veryfamiliar with foodservice. My father, RobertSottile, patented the “Cone Buddy”— thewhite plastic sleeve that ice cream conescome in. It’s used by Culvers, Dairy Queen,andmany others.

In addition to the bar traffic, we did lightfood service and a good amount of cateringand special events. I ran the lounge for fiveyears and it was extremely successful — somuch so that I had to expand. Unfortunately,the revival of Riverwest — of which I wasa part — resulted in a large increase incommercial property values. When Itotaled up howmuch I’d have to invest inthe lease for a larger place and what it wouldcost to do the buildout that my conceptrequired, I decided to close up andmoveback to New York.

HT: So, you’re saying that the success of LemonLounge was ultimately what killed it?

MS:: Absolutely, and you wouldn’t believe howfrequently that happens. A successfulrestaurant or club reaches the end of itslease and finds that the cost of continuing,moving or expanding is too great a risk forthe owner. My personal experience reallyhelped me understand that and to provideguidance to clients in that situation.

HT: How did you become involved withPicken Realty?

MS: When I returned to New York, I reconnectedwith an old friend who ran an establishedrestaurant in the Columbus Circle area—it’s called “Gabriel’s.” He knew I was in realestate and asked if I could sell it for him. Hewas asking $2 million so I started contactingthe top players specializing in restaurants

The cast of Risky Listing: Michael Sottile, Hazm Aliessa, Alex Picken, Danielle Lacko, and Jason Lewis

Hatco is putting the final touches on the recent factory expansion, which includes a dramaticallyimproved training space for Hatco University. The actual training room has been relocated, enlarged,and equipped with state-of-the-art technology. Adjacent to the training room is a new test anddemonstration kitchen that will be utilized for hands-on training. Upstairs from the training centeris a great new product bistro where equipment is on display in a clean, temperature-controlledenvironment that overlooks our newest factory space. While we are not planning on expandingthe number of attendees at each Hatco University, we are now inmuch better shape to entertain,educate, and learn from our valued customers. We look forward to seeing you at an upcomingHatco University. �

141108_Layout 1 3/21/14 7:41 AM Page 2

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When complexity drives courageAlthough Hatco is technically defined as a manufacturing company, I have always thoughtthat we are, first and foremost, a service business. As such, it is up to us to not only respondto our customers’ needs but to anticipate them. In order to maintain that perspective, themanagement team and I try to keep the “big picture” in view, even as we deal with ourday-to-day business.

In surveying the foodservice industry, I am always astounded at the web of complexity thatour customers face on a regular basis. Maybe this is because for most operators, foodserviceinvolves manufacturing, service, and retailing all rolled into one. In trying to define some ofthe most serious challenges they face, I have come up with what I call the three “T’s”: Timing,Technology, and Trends.

In foodservice, timing has multiple meanings. It includes the time it takes to establish anoperation, introduce newmenu items, schedule service hours, and establish meal preparationtimes in the kitchen. It would also have to allow for the hours apart from the operation for

byDavid RolstonPresident and CEO

Please see “food for thought” on page 5

food for thought..............1, 5spotlight...................1, 2, 4, 5foodsafety................................2the big tickets ......................3

Hatco U..................................2specialty of the house............3product profile ......................6

“Hot Topics” is produced bythe HATCO CORPORATION.

Edited by Bette Leque.

To reach Bette or to be addedto the mailing list, phone414-615-2270or email her [email protected].

Located in the heart ofmidtownManhattan, the newly openedAngusClub Steakhousewas designedas a treat for the eye aswell as the palate. The décor could best be described as elegant yet informal withan emphasis on comfort. In addition to a fullmenu of fineAngus steaks prepared in both the traditionaland a uniquely individualmanner (a specialty is the Porterhouse steak for 1, 2, 4 ormore), theAngusClubfeatures a full complement of othermeat and seafood choices. The crab cakes (see recipe) have alreadygarnered numerous rave reviews on Internet restaurant sites.

According to founder/ownerAldin “Dino”Gacevic, “Wewant to bemore than just a steakhouse.Ourmission is to serve the highest quality food, uniquely prepared, in an atmosphere that is comfortableand inviting. Theword ‘Club’ in our name is important, as wewant our patrons to feel a sense of belongingand to visit us often.”

Judging from the reviews, theAngusClub has attracted a large following in a relatively short time.

TheAngusClub is located at 135 E. 55th St., NewYork,NY 10022,phone 212-588-1585. �

TRADE EXHIBITIONS

3

P.O.Box340500Milwaukee,WI53234-0500USA

ReturnServiceRequested

6 Please see “Location” on page 2

Angus Club Famous Crab Cakes4 to 6 servingsIngredients:1 cup (237 ml) red pepper1 cup (237 ml) green pepper1 cup (237 ml) yellow pepper1-1/2 cups (355 ml) mayonnaise½ cup (118 ml) Old Bay seasoning1 tsp (5 ml) lemon juice

½ cup (118 g) onion4 cups (946 ml) crabmeat1 tsp (5 ml) Tabasco5 eggs1 cup (237 g) breadcrumbs

April 2014April 2014• Food&HotelAsia (FHA) 2014

April 8 - 11Singapore ExpoSingapore, Republic of SingaporeBooth #3F2-01

• HotelympiaApril 28 - May 1ExCeL Exhibition CentreLondon, EnglandBooth #1941

May 2014May 2014• Seoul Food &Hotel

May 13 - 16JavKorea International Exhibition CenterGoyang, South Korea

• National Restaurant Association ShowMay 17 - 20McCormick Place Convention CenterChicago, IL, USABooth #2218

• ThaifexMay 21 - 25Bangkok, Thailand

June 2014June 2014• Manila Food & Beverage Expo

June 11 - 13World Trade Center MetroManilaManila, Philippines

• Foodservice at Retail ExchangeJune 16 - 18Gaylord Texan Resort & Convention CenterDallas/FortWorth, TX, USA

§is issue ofHot Topics has been printed on recycled paper with non-petroleum inks.

Instructions:Dice the peppers and onion in 1/8" to 1/4" pieces. Combine the crabmeat, eggs, Tabasco, lemon juice,mayonnaise andOld Bay seasoning. When thoroughlymixed, stir in peppers and onion and one-halfof the breadcrumbs. Mix thoroughly and form into cakes about 3-1/2" in diameter. Coat both sides withremaining breadcrumbs, and sauté in sweet butter in amedium hot pan for approximately 2minuteson each side or until golden brown.Crab cakes may be used as amain dish or served proportionately smaller as an appetizer.

The latest addition to our light cooking line, available in three sizes,is ideal for paninis, different size sandwiches, snacks, vegetables, meats,burgers, and just about anything you’ll ever want to grill.

And, when you’re done, our Easy Clean System®makes for quick, efficient cleaning. Features include:

• Patented Heating Element Pack for even heat distribution• Standard Grooved Top and Bottom Plates (accessory Smooth

Top and Bottom Plates available) are easy to exchange: check outour new video atwww.hatcocorp.com to see HOW easy!

• Stainless steel frame• Removable drip tray with handles

So, don’t keep your customers waiting.Expand your menu and your profits with the newMulti Contact Grill.When it comes to grilling, it’s “Nothing Less Than the Best!” of everything.

For more information, contact your representative orvisitwww.hatcocorp.com today! �

’s newMulti Contact Grill makes “comin’ right up” faster and easier

An Interview with Michael Sottile of Esquire Network’s

In October 2013, the new Esquire Network debuted a reality showconcerning one of the most critical — but least publicized— aspectsof the foodservice and club industry: the search for the perfect location.Centered on Picken Realty, New York City’s leading resource for cluband restaurant venues, the series follows the business activities of fourrealtors, broker Alex Picken, and their multiple andvaried clients. Hot Topicswas fortunate in securingan exclusive interview withMichael Sottile, a keymember of the Picken staff and a veteran of thefoodservice industry.

Angus Club SteakhouseA classic New York steakhouse… andmuch more

141108_Layout 1 3/21/14 7:40 AM Page 1

Page 4: April 2014 I - hatcocorp.com

4

and clubs. That’s how I met Alex Picken.Alex was impressed with my presentationand askedme to join the firm.

HT: How did the TV show get started?

MS: In October of 2012, we were contacted byZodiac Productions. They wanted to pitcha show idea based on the excitement of NewYork’s dinner and club scene to the newEsquire Network. They chose Picken Realtybecause we’re the ones who are doing thebiggest deals in the hottest areas.

HT: We’ve got to ask: how real is a reality show?

MS: Actually more than you would think.At least when it comes to “Risky Listing.”Occasionally, a client will lapse into businessjargon that the public wouldn’t understand,so the director or I might suggest a differentway to express his thought. But that’s about it.

HT: What’s themost critical element you haveto consider whenmatching a client anda location?

MS: It’s the concept. The concept always comesfirst. For instance, if a client wants to createa club aimed at younger people, you’ll wantto direct them to the really hot and upcomingareas. Today, that would include the oldMeatpacking District and the East andWestVillage (Greenwich Village), both of whichare in lowerManhattan. On the other hand,I just connected an upscale steakhouse, TheAngus Club, with a great mid-town locationadjacent to the big business power centers —their logical patrons.

HT: What are the biggest obstacles thatclients face?

MS: Money… and time. Rents in New York—especially in the hot areas— are goingthrough the roof. Buildout costs includingdesign, fixtures, etc., are also high. Oncea client finds the right place, it’s necessary toclose the deal and get moving as soon aspossible. Unfortunately, negotiations withlandlords— and their lawyers— can eat upa tremendous amount of time, and timeis money.

HT: What other factors are involved?

MS: Community boards and similar organizationscan become amajor stumbling block. Ina city like New York, these boards havea tremendous amount of power that canresult in delaying liquor and other licensesor in killing the project entirely. One of thereasons people come to Picken Realty is thefact that, because of our experience, we havea good idea of what concepts will play inwhat areas.

HT: What do clients look for in terms ofphysical location?

MS: They’re concerned with the space, with thefacility, and especially with the kitchen.If they’re looking to make major changes,

their first question is usually about ventingfor the cooking operation.

HT: How important is the equipment?

MS: I would say that the kitchen equipment is ofthe utmost importance because it hasa direct bearing on time. A good kitchensetup and dependable equipment results inless downtime and less expenditure and cancut weeks of preparation and thousandsof dollars out of the startup.

HT: What trends are you noticing in kitchens?

MS: As rents have skyrocketed, clients want tomaximize space in the front of the house soas to generate more profit. This is resultinginmore compact kitchen designs. I’m seeingincreased use of convection ovens andmoreattention paid to energy efficiency. Someoperators, especially ones with two or morerestaurants, will evenmaintain commissary-type setups in lower rent quarters wherea good deal of food preparation is done andthen transport the food to the restaurantkitchens for finishing and service.

HT: How does the design function work?

MS: That’s all over the lot. An individual startingout might have his or her own ideas as tohow the place should be laid out and look.

“food for thought” from page 1

5

bookkeeping, accounting, dealing with regulatoryand other procedures, hiring personnel, andmiscellaneous management functions.

The excessively demanding schedule can becomplicated by any number of extraneous eventssuch as a party of 18 that arrives just beforeclosing, a power outage or weather event, ora breakdown in the supply chain. Failure tohandle any of these situations in a way that isseamless and invisible to patrons can result notonly in loss of business but angry Internetpostings and the destruction of a reputationbuilt over years.

Technology is another complex element in ourindustry. It can range from incidents as smallas the purchase of cookware and kitchenutensils, to the selection of major equipment,to the development andmanagement ofa website for real-time ordering. When itcomes to foodservice— especially with regardto the kitchen— payback is extremely hardto measure. At Hatco, we pride ourselves onbuilding products that are energy efficientand enjoy long service lives, but the savingsa customer enjoys can be negated by an increasein utility costs that is beyond their control ora premature change in their market that disruptsthe operation. Some operators have commentedthat they distrust new technology because itmay not do the job that was promised.

Today, one of the fastest growing aspects infoodservice involves Internet ordering for meals

that are either delivered or carried out. Thisliterally introduces a whole new business to theexisting set-up and can result in increased costsand greater pressure on both staff and facilities.Adding to the difficulty is the fact that theInternet is all about speed, and regardless ofthe complexity of the order, customers expectfaster service than those in the front of the house.

The third challenge involves trends. Virtuallyevery operator understands the importance ofkeeping current with ever-changing publictastes. Just consider how the menus and décorof the leading fast-food chains have changedin the past ten— or even five— years. Newcompetitors are constantly entering the marketand not just in traditional ways. The increasedpopularity of convenience stores and food truckshas altered a large segment of the market.

Every year the trade magazines— both printedand digital — announce what they believe to bethe upcoming trends for the following 12months.These extend from emerging food preferences,to the increased traffic at certain day parts, tonew wrinkles in everything— from service todécor. It is up to the operator to sift through themountains of data and to select those elementsthat will appeal to customers, both present andfuture, while evolving the business in the mostprofitable direction. Decisions made invariablycome at a price, and the penalty for a wrongguess can involve serious losses.

More than external market trends, the operatorneeds to keep aware of trends within his or herown business. If business is good, will it benecessary to expand and, if so, how can this bedone with the least disruption? Is the conceptof the operation or the menu becoming dated,and should it be evolved into something else?Is the area surrounding the location still viable orwill ongoing changes have an effect on business?

As difficult as the challenges mentioned heremight seem, they are being successfully meton a daily basis by the great majority of ourcustomers. For them, foodservice is not justa job but a vocation and a way of life. In seekingthe opportunities inherent in a changing world,our customers have built an infrastructure thattouches all our lives and of which every person—in one way or another— is a part.

Ernest Hemingway famously defined courageas “grace under pressure.” In looking at the “bigpicture” of this industry, all of us at Hatco andthe members of our team can only congratulateyou for your courage, perseverance and success.It’s a complex world out there, but youmake itlook easy.

David [email protected]

“Location” from page 1

2

In the constantly changing world offoodservice, one basic fact always holdstrue— foodmust be cooked to theproper temperature in order to killharmful bacteria.

Although the facts of food safetymight be well known to operatorsand executive chefs, newly hiredkitchen staff are frequently unawareof the temperature levels required forcooking and other kitchen functions.

To promote education and assist ourcustomers in keeping compliantwith current FDA food codes,Hatco offers a colorful, easy-to-readchart (in English and Spanish)illustrating the proper temperaturesfor food handling and storage, as wellas tableware and utensil sanitation.

We suggest posting several at strategic locations where they can serve as regular reminders.The chart is free and can be downloaded from our website www.hatcocorp.com.

We’re happy to be of service in keeping your operation at the right “degree” of safety. �

That’s especially true if they’re operatingon a shoestring. More successful andexperienced people will have a design teamthat might include a combination of staffpeople and outside services like architectsor designers.

HT: The beginning of the “Risky Listing” showalways states that NewYork has 50,000restaurants and clubs and that in a year,a thousand of themwill fail. In yourexperience, whatmakes for success?

MS: I would say that success results fromaperfectstorm of many factors, but three are mostimportant. First, you’ve got to have a greatconcept. Second, you need the rightlocation. And, third, you’ve got to havea lease arrangement that gives you time todevelop the concept and that’s reasonableenough to allow you to make money.

HT: Thanksmuch,Michael, and we’ll belooking for you on TV.

Readers can find more information on “RiskyListing”— and clips from the show— athttp://tv.esquire.com/shows/risky-listing. �

Hot Topics: Tell us a little about yourpersonal background.

Michael Sottile: I’m originally from upstateNew York and was initially involved inacting and theatre. I’ve appeared in themovies “Reservoir Dogs” and “Speed”among others and done a good deal of stagework. In order to support myself betweenjobs, I became involved in real estate.I spent a number of years inWisconsinand lived inMilwaukee for a portion ofthat time. While inMilwaukee, I openeda pub called the “Lemon Lounge” in a smallstorefront in the Riverwest area. I am veryfamiliar with foodservice. My father, RobertSottile, patented the “Cone Buddy”— thewhite plastic sleeve that ice cream conescome in. It’s used by Culvers, Dairy Queen,andmany others.

In addition to the bar traffic, we did lightfood service and a good amount of cateringand special events. I ran the lounge for fiveyears and it was extremely successful — somuch so that I had to expand. Unfortunately,the revival of Riverwest — of which I wasa part — resulted in a large increase incommercial property values. When Itotaled up howmuch I’d have to invest inthe lease for a larger place and what it wouldcost to do the buildout that my conceptrequired, I decided to close up andmoveback to New York.

HT: So, you’re saying that the success of LemonLounge was ultimately what killed it?

MS:: Absolutely, and you wouldn’t believe howfrequently that happens. A successfulrestaurant or club reaches the end of itslease and finds that the cost of continuing,moving or expanding is too great a risk forthe owner. My personal experience reallyhelped me understand that and to provideguidance to clients in that situation.

HT: How did you become involved withPicken Realty?

MS: When I returned to New York, I reconnectedwith an old friend who ran an establishedrestaurant in the Columbus Circle area—it’s called “Gabriel’s.” He knew I was in realestate and asked if I could sell it for him. Hewas asking $2 million so I started contactingthe top players specializing in restaurants

The cast of Risky Listing: Michael Sottile, Hazm Aliessa, Alex Picken, Danielle Lacko, and Jason Lewis

Hatco is putting the final touches on the recent factory expansion, which includes a dramaticallyimproved training space for Hatco University. The actual training room has been relocated, enlarged,and equipped with state-of-the-art technology. Adjacent to the training room is a new test anddemonstration kitchen that will be utilized for hands-on training. Upstairs from the training centeris a great new product bistro where equipment is on display in a clean, temperature-controlledenvironment that overlooks our newest factory space. While we are not planning on expandingthe number of attendees at each Hatco University, we are now inmuch better shape to entertain,educate, and learn from our valued customers. We look forward to seeing you at an upcomingHatco University. �

141108_Layout 1 3/21/14 7:41 AM Page 2

Page 5: April 2014 I - hatcocorp.com

4

and clubs. That’s how I met Alex Picken.Alex was impressed with my presentationand askedme to join the firm.

HT: How did the TV show get started?

MS: In October of 2012, we were contacted byZodiac Productions. They wanted to pitcha show idea based on the excitement of NewYork’s dinner and club scene to the newEsquire Network. They chose Picken Realtybecause we’re the ones who are doing thebiggest deals in the hottest areas.

HT: We’ve got to ask: how real is a reality show?

MS: Actually more than you would think.At least when it comes to “Risky Listing.”Occasionally, a client will lapse into businessjargon that the public wouldn’t understand,so the director or I might suggest a differentway to express his thought. But that’s about it.

HT: What’s themost critical element you haveto consider whenmatching a client anda location?

MS: It’s the concept. The concept always comesfirst. For instance, if a client wants to createa club aimed at younger people, you’ll wantto direct them to the really hot and upcomingareas. Today, that would include the oldMeatpacking District and the East andWestVillage (Greenwich Village), both of whichare in lowerManhattan. On the other hand,I just connected an upscale steakhouse, TheAngus Club, with a great mid-town locationadjacent to the big business power centers —their logical patrons.

HT: What are the biggest obstacles thatclients face?

MS: Money… and time. Rents in New York—especially in the hot areas— are goingthrough the roof. Buildout costs includingdesign, fixtures, etc., are also high. Oncea client finds the right place, it’s necessary toclose the deal and get moving as soon aspossible. Unfortunately, negotiations withlandlords— and their lawyers— can eat upa tremendous amount of time, and timeis money.

HT: What other factors are involved?

MS: Community boards and similar organizationscan become amajor stumbling block. Ina city like New York, these boards havea tremendous amount of power that canresult in delaying liquor and other licensesor in killing the project entirely. One of thereasons people come to Picken Realty is thefact that, because of our experience, we havea good idea of what concepts will play inwhat areas.

HT: What do clients look for in terms ofphysical location?

MS: They’re concerned with the space, with thefacility, and especially with the kitchen.If they’re looking to make major changes,

their first question is usually about ventingfor the cooking operation.

HT: How important is the equipment?

MS: I would say that the kitchen equipment is ofthe utmost importance because it hasa direct bearing on time. A good kitchensetup and dependable equipment results inless downtime and less expenditure and cancut weeks of preparation and thousandsof dollars out of the startup.

HT: What trends are you noticing in kitchens?

MS: As rents have skyrocketed, clients want tomaximize space in the front of the house soas to generate more profit. This is resultinginmore compact kitchen designs. I’m seeingincreased use of convection ovens andmoreattention paid to energy efficiency. Someoperators, especially ones with two or morerestaurants, will evenmaintain commissary-type setups in lower rent quarters wherea good deal of food preparation is done andthen transport the food to the restaurantkitchens for finishing and service.

HT: How does the design function work?

MS: That’s all over the lot. An individual startingout might have his or her own ideas as tohow the place should be laid out and look.

“food for thought” from page 1

5

bookkeeping, accounting, dealing with regulatoryand other procedures, hiring personnel, andmiscellaneous management functions.

The excessively demanding schedule can becomplicated by any number of extraneous eventssuch as a party of 18 that arrives just beforeclosing, a power outage or weather event, ora breakdown in the supply chain. Failure tohandle any of these situations in a way that isseamless and invisible to patrons can result notonly in loss of business but angry Internetpostings and the destruction of a reputationbuilt over years.

Technology is another complex element in ourindustry. It can range from incidents as smallas the purchase of cookware and kitchenutensils, to the selection of major equipment,to the development andmanagement ofa website for real-time ordering. When itcomes to foodservice— especially with regardto the kitchen— payback is extremely hardto measure. At Hatco, we pride ourselves onbuilding products that are energy efficientand enjoy long service lives, but the savingsa customer enjoys can be negated by an increasein utility costs that is beyond their control ora premature change in their market that disruptsthe operation. Some operators have commentedthat they distrust new technology because itmay not do the job that was promised.

Today, one of the fastest growing aspects infoodservice involves Internet ordering for meals

that are either delivered or carried out. Thisliterally introduces a whole new business to theexisting set-up and can result in increased costsand greater pressure on both staff and facilities.Adding to the difficulty is the fact that theInternet is all about speed, and regardless ofthe complexity of the order, customers expectfaster service than those in the front of the house.

The third challenge involves trends. Virtuallyevery operator understands the importance ofkeeping current with ever-changing publictastes. Just consider how the menus and décorof the leading fast-food chains have changedin the past ten— or even five— years. Newcompetitors are constantly entering the marketand not just in traditional ways. The increasedpopularity of convenience stores and food truckshas altered a large segment of the market.

Every year the trade magazines— both printedand digital — announce what they believe to bethe upcoming trends for the following 12months.These extend from emerging food preferences,to the increased traffic at certain day parts, tonew wrinkles in everything— from service todécor. It is up to the operator to sift through themountains of data and to select those elementsthat will appeal to customers, both present andfuture, while evolving the business in the mostprofitable direction. Decisions made invariablycome at a price, and the penalty for a wrongguess can involve serious losses.

More than external market trends, the operatorneeds to keep aware of trends within his or herown business. If business is good, will it benecessary to expand and, if so, how can this bedone with the least disruption? Is the conceptof the operation or the menu becoming dated,and should it be evolved into something else?Is the area surrounding the location still viable orwill ongoing changes have an effect on business?

As difficult as the challenges mentioned heremight seem, they are being successfully meton a daily basis by the great majority of ourcustomers. For them, foodservice is not justa job but a vocation and a way of life. In seekingthe opportunities inherent in a changing world,our customers have built an infrastructure thattouches all our lives and of which every person—in one way or another— is a part.

Ernest Hemingway famously defined courageas “grace under pressure.” In looking at the “bigpicture” of this industry, all of us at Hatco andthe members of our team can only congratulateyou for your courage, perseverance and success.It’s a complex world out there, but youmake itlook easy.

David [email protected]

“Location” from page 1

2

In the constantly changing world offoodservice, one basic fact always holdstrue— foodmust be cooked to theproper temperature in order to killharmful bacteria.

Although the facts of food safetymight be well known to operatorsand executive chefs, newly hiredkitchen staff are frequently unawareof the temperature levels required forcooking and other kitchen functions.

To promote education and assist ourcustomers in keeping compliantwith current FDA food codes,Hatco offers a colorful, easy-to-readchart (in English and Spanish)illustrating the proper temperaturesfor food handling and storage, as wellas tableware and utensil sanitation.

We suggest posting several at strategic locations where they can serve as regular reminders.The chart is free and can be downloaded from our website www.hatcocorp.com.

We’re happy to be of service in keeping your operation at the right “degree” of safety. �

That’s especially true if they’re operatingon a shoestring. More successful andexperienced people will have a design teamthat might include a combination of staffpeople and outside services like architectsor designers.

HT: The beginning of the “Risky Listing” showalways states that NewYork has 50,000restaurants and clubs and that in a year,a thousand of themwill fail. In yourexperience, whatmakes for success?

MS: I would say that success results fromaperfectstorm of many factors, but three are mostimportant. First, you’ve got to have a greatconcept. Second, you need the rightlocation. And, third, you’ve got to havea lease arrangement that gives you time todevelop the concept and that’s reasonableenough to allow you to make money.

HT: Thanksmuch,Michael, and we’ll belooking for you on TV.

Readers can find more information on “RiskyListing”— and clips from the show— athttp://tv.esquire.com/shows/risky-listing. �

Hot Topics: Tell us a little about yourpersonal background.

Michael Sottile: I’m originally from upstateNew York and was initially involved inacting and theatre. I’ve appeared in themovies “Reservoir Dogs” and “Speed”among others and done a good deal of stagework. In order to support myself betweenjobs, I became involved in real estate.I spent a number of years inWisconsinand lived inMilwaukee for a portion ofthat time. While inMilwaukee, I openeda pub called the “Lemon Lounge” in a smallstorefront in the Riverwest area. I am veryfamiliar with foodservice. My father, RobertSottile, patented the “Cone Buddy”— thewhite plastic sleeve that ice cream conescome in. It’s used by Culvers, Dairy Queen,andmany others.

In addition to the bar traffic, we did lightfood service and a good amount of cateringand special events. I ran the lounge for fiveyears and it was extremely successful — somuch so that I had to expand. Unfortunately,the revival of Riverwest — of which I wasa part — resulted in a large increase incommercial property values. When Itotaled up howmuch I’d have to invest inthe lease for a larger place and what it wouldcost to do the buildout that my conceptrequired, I decided to close up andmoveback to New York.

HT: So, you’re saying that the success of LemonLounge was ultimately what killed it?

MS:: Absolutely, and you wouldn’t believe howfrequently that happens. A successfulrestaurant or club reaches the end of itslease and finds that the cost of continuing,moving or expanding is too great a risk forthe owner. My personal experience reallyhelped me understand that and to provideguidance to clients in that situation.

HT: How did you become involved withPicken Realty?

MS: When I returned to New York, I reconnectedwith an old friend who ran an establishedrestaurant in the Columbus Circle area—it’s called “Gabriel’s.” He knew I was in realestate and asked if I could sell it for him. Hewas asking $2 million so I started contactingthe top players specializing in restaurants

The cast of Risky Listing: Michael Sottile, Hazm Aliessa, Alex Picken, Danielle Lacko, and Jason Lewis

Hatco is putting the final touches on the recent factory expansion, which includes a dramaticallyimproved training space for Hatco University. The actual training room has been relocated, enlarged,and equipped with state-of-the-art technology. Adjacent to the training room is a new test anddemonstration kitchen that will be utilized for hands-on training. Upstairs from the training centeris a great new product bistro where equipment is on display in a clean, temperature-controlledenvironment that overlooks our newest factory space. While we are not planning on expandingthe number of attendees at each Hatco University, we are now inmuch better shape to entertain,educate, and learn from our valued customers. We look forward to seeing you at an upcomingHatco University. �

141108_Layout 1 3/21/14 7:41 AM Page 2

Page 6: April 2014 I - hatcocorp.com

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When complexity drives courageAlthough Hatco is technically defined as a manufacturing company, I have always thoughtthat we are, first and foremost, a service business. As such, it is up to us to not only respondto our customers’ needs but to anticipate them. In order to maintain that perspective, themanagement team and I try to keep the “big picture” in view, even as we deal with ourday-to-day business.

In surveying the foodservice industry, I am always astounded at the web of complexity thatour customers face on a regular basis. Maybe this is because for most operators, foodserviceinvolves manufacturing, service, and retailing all rolled into one. In trying to define some ofthe most serious challenges they face, I have come up with what I call the three “T’s”: Timing,Technology, and Trends.

In foodservice, timing has multiple meanings. It includes the time it takes to establish anoperation, introduce newmenu items, schedule service hours, and establish meal preparationtimes in the kitchen. It would also have to allow for the hours apart from the operation for

byDavid RolstonPresident and CEO

Please see “food for thought” on page 5

food for thought..............1, 5spotlight...................1, 2, 4, 5foodsafety................................2the big tickets ......................3

Hatco U..................................2specialty of the house............3product profile ......................6

“Hot Topics” is produced bythe HATCO CORPORATION.

Edited by Bette Leque.

To reach Bette or to be addedto the mailing list, phone414-615-2270or email her [email protected].

Located in the heart ofmidtownManhattan, the newly openedAngusClub Steakhousewas designedas a treat for the eye aswell as the palate. The décor could best be described as elegant yet informal withan emphasis on comfort. In addition to a fullmenu of fineAngus steaks prepared in both the traditionaland a uniquely individualmanner (a specialty is the Porterhouse steak for 1, 2, 4 ormore), theAngusClubfeatures a full complement of othermeat and seafood choices. The crab cakes (see recipe) have alreadygarnered numerous rave reviews on Internet restaurant sites.

According to founder/ownerAldin “Dino”Gacevic, “Wewant to bemore than just a steakhouse.Ourmission is to serve the highest quality food, uniquely prepared, in an atmosphere that is comfortableand inviting. Theword ‘Club’ in our name is important, as wewant our patrons to feel a sense of belongingand to visit us often.”

Judging from the reviews, theAngusClub has attracted a large following in a relatively short time.

TheAngusClub is located at 135 E. 55th St., NewYork,NY 10022,phone 212-588-1585. �

TRADE EXHIBITIONS

3

P.O.Box340500Milwaukee,WI53234-0500USA

ReturnServiceRequested

6 Please see “Location” on page 2

Angus Club Famous Crab Cakes4 to 6 servingsIngredients:1 cup (237 ml) red pepper1 cup (237 ml) green pepper1 cup (237 ml) yellow pepper1-1/2 cups (355 ml) mayonnaise½ cup (118 ml) Old Bay seasoning1 tsp (5 ml) lemon juice

½ cup (118 g) onion4 cups (946 ml) crabmeat1 tsp (5 ml) Tabasco5 eggs1 cup (237 g) breadcrumbs

April 2014April 2014• Food&HotelAsia (FHA) 2014

April 8 - 11Singapore ExpoSingapore, Republic of SingaporeBooth #3F2-01

• HotelympiaApril 28 - May 1ExCeL Exhibition CentreLondon, EnglandBooth #1941

May 2014May 2014• Seoul Food &Hotel

May 13 - 16JavKorea International Exhibition CenterGoyang, South Korea

• National Restaurant Association ShowMay 17 - 20McCormick Place Convention CenterChicago, IL, USABooth #2218

• ThaifexMay 21 - 25Bangkok, Thailand

June 2014June 2014• Manila Food & Beverage Expo

June 11 - 13World Trade Center MetroManilaManila, Philippines

• Foodservice at Retail ExchangeJune 16 - 18Gaylord Texan Resort & Convention CenterDallas/FortWorth, TX, USA

§is issue ofHot Topics has been printed on recycled paper with non-petroleum inks.

Instructions:Dice the peppers and onion in 1/8" to 1/4" pieces. Combine the crabmeat, eggs, Tabasco, lemon juice,mayonnaise andOld Bay seasoning. When thoroughlymixed, stir in peppers and onion and one-halfof the breadcrumbs. Mix thoroughly and form into cakes about 3-1/2" in diameter. Coat both sides withremaining breadcrumbs, and sauté in sweet butter in amedium hot pan for approximately 2minuteson each side or until golden brown.Crab cakes may be used as amain dish or served proportionately smaller as an appetizer.

The latest addition to our light cooking line, available in three sizes,is ideal for paninis, different size sandwiches, snacks, vegetables, meats,burgers, and just about anything you’ll ever want to grill.

And, when you’re done, our Easy Clean System®makes for quick, efficient cleaning. Features include:

• Patented Heating Element Pack for even heat distribution• Standard Grooved Top and Bottom Plates (accessory Smooth

Top and Bottom Plates available) are easy to exchange: check outour new video atwww.hatcocorp.com to see HOW easy!

• Stainless steel frame• Removable drip tray with handles

So, don’t keep your customers waiting.Expand your menu and your profits with the newMulti Contact Grill.When it comes to grilling, it’s “Nothing Less Than the Best!” of everything.

For more information, contact your representative orvisitwww.hatcocorp.com today! �

’s newMulti Contact Grill makes “comin’ right up” faster and easier

An Interview with Michael Sottile of Esquire Network’s

In October 2013, the new Esquire Network debuted a reality showconcerning one of the most critical — but least publicized— aspectsof the foodservice and club industry: the search for the perfect location.Centered on Picken Realty, New York City’s leading resource for cluband restaurant venues, the series follows the business activities of fourrealtors, broker Alex Picken, and their multiple andvaried clients. Hot Topicswas fortunate in securingan exclusive interview withMichael Sottile, a keymember of the Picken staff and a veteran of thefoodservice industry.

Angus Club SteakhouseA classic New York steakhouse… andmuch more

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