Concluding, Keymer stated, "We are enthusiastic about 2006, and comfortable that we have put in place a strategy that is expected to deliver strong cash flow from our operational performance. Our franchisees are energized as improved operations drive sales growth and they are enthusiastic about building new restaurants. We believe we have a strong, relevant brand message that elicits a positive response from our guests. Our management team believes that the efforts of the past two years have positioned our brand for accelerated growth in 2006 and beyond."

Conference Call

The Company will host a conference call and internet webcast with the investment community at 9:00 A.M. eastern time on March 9, 2006, to review the results of 2005 and to provide an update on the overall business. To access the Company's webcast, go to http://www.afce.com, select "Investor Information" and then select "2005 AFC Enterprises Earnings Conference Call."

Corporate Profile

AFC Enterprises, Inc. is the franchisor and operator of Popeyes(R) Chicken & Biscuits, the world's second-largest quick-service chicken concept based on number of units. As of February 19, 2006, Popeyes had 1,830 restaurants in the United States, Puerto Rico, Guam and 25 foreign countries. AFC has a primary objective to be the world's Franchisor of Choice(R) by offering investment opportunities in its Popeyes Chicken & Biscuits brand and providing exceptional franchisee support systems and services. AFC Enterprises can be found on the World Wide Web at http://www.afce.com.

     AFC Contact Information
     Investor inquiries:
     Cheryl Fletcher, Director, Finance & Investor Relations
     (404) 459-4487 or investor.relations@afce.com
     Media inquiries:
     Alicia Thompson, Vice President, Popeyes Communications & Public
      Relations
     (404) 459-4572 or popeyescommunications@popeyes.com

The following financial tables represent certain prior year amounts that have been reclassified to conform to the current year's presentation. These reclassifications have no affect on previously reported net loss.

                            AFC Enterprises, Inc.
                         Consolidated Balance Sheets
                As of December 25, 2005 and December 26, 2004
                       (In millions, except share data)

    ASSETS                                              2005           2004
    Current assets:
      Cash and cash equivalents                         $8.2          $12.8
      Short-term investments                            30.8              -
      Accounts and current notes receivable, net        16.9           13.3
      Prepaid income taxes                              31.4           25.9
      Other current assets                              16.4           40.6
      Assets of discontinued operations                    -          153.3
        Total current assets                           103.7          245.9
    Long-term assets:
      Property and equipment, net                       37.1           47.2
      Goodwill                                           9.6            9.6
      Trademarks and other intangible assets, net       43.9           42.8
      Other long-term assets, net                       18.4           16.4
        Total long-term assets                         109.0          116.0
        Total assets                                  $212.7         $361.9

    LIABILITIES AND SHAREHOLDERS' EQUITY
    Current liabilities:
      Accounts payable                                 $26.1          $37.7
      Other current liabilities                         22.4           24.7
      Current debt maturities                           14.8            4.9
      Liabilities of discontinued operations               -           41.5
        Total current liabilities                       63.3          108.8
    Long-term liabilities:
      Long-term debt                                   176.6           87.5
      Deferred credits and other long-term liabilities  21.5           24.7
        Total long-term liabilities                    198.1          112.2
        Total liabilities                              261.4          221.0

    Commitments and contingencies
    Shareholders' equity (deficit):
      Preferred stock ($.01 par value; 2,500,000
       shares authorized; 0 issued and outstanding)        -              -
      Common stock ($.01 par value; 150,000,000
       shares authorized; 30,001,877 and 28,325,355
       shares issued and outstanding at the end of
       fiscal years 2005 and 2004, respectively)         0.3            0.3
      Capital in excess of par value                   169.6          156.2
      Notes receivable from officers, including
       accrued interest                                 (1.1)          (1.2)
      Accumulated deficit                             (216.8)         (13.6)
      Unearned compensation                             (1.8)          (0.8)
      Accumulated other comprehensive income             1.1              -
        Total shareholders' equity (deficit)           (48.7)         140.9

        Total liabilities and shareholders' equity
         (deficit)                                    $212.7         $361.9



                            AFC Enterprises, Inc.
                    Consolidated Statements of Operations
                        For Fiscal Years 2005 and 2004
                     (In millions, except per share data)

                                                          2005           2004
    Revenues:
      Sales by company-operated restaurants              $60.3         $ 85.8
      Franchise revenues                                  77.5           72.8
      Other revenues                                       5.6            5.3
        Total revenues                                   143.4          163.9

    Expenses:
      Restaurant employee, occupancy and other expenses   31.7           46.9
      Restaurant food, beverages and packaging            19.4           27.2
      General and administrative expenses                 68.7           82.1
      Depreciation and amortization                        7.3           10.0
      Shareholder litigation and other expenses, net      23.2           17.1
        Total expenses                                   150.3          183.3

    Operating (loss)                                      (6.9)         (19.4)
      Interest expense, net                                6.8            5.5

    Loss before income taxes, minority interest,
     discontinued operations and accounting change       (13.7)         (24.9)
      Income tax benefit                                  (5.3)         (10.7)
      Minority interest                                      -            0.1

    Loss before discontinued operations and
     accounting change                                    (8.4)         (14.3)
      Discontinued operations, net of income taxes       158.0           39.1
      Cumulative effect of accounting change, net
       of income taxes                                       -           (0.2)

    Net income                                          $149.6          $24.6

    Basic loss per common share:
      Loss before discontinued operations and
       accounting change                                $(0.29)        $(0.51)
      Discontinued operations, net of income taxes        5.43           1.39
      Cumulative effect of accounting change, net
       of income taxes                                       -          (0.01)
      Net income                                        $ 5.14          $0.87

    Diluted loss per common share:
      Loss before discontinued operations and
       accounting change                                $(0.29)        $(0.51)
      Discontinued operations, net of income taxes        5.43           1.39
      Cumulative effect of accounting change, net
       of income taxes                                       -          (0.01)
      Net income                                         $5.14          $0.87


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