This is certainly an exciting time at Jack in the Box. In 2007, we reported our second consecutive year of record earnings, continued to expand our Jack in the Box and Qdoba brands, and moved forward with brand reinvention efforts, including menu innovation and enhanced restaurant environments, which have elevated our guests' dining experience.

Though there are several reasons for the company's remarkable success, it was our employees, along with our franchise operators, who through their resourcefulness and perseverance kept us on track to meet our goals.

Whether they work in a company or franchised restaurant, a distribution center, a regional office, or at the corporate offices, it's Jack in the Box employees who are the driving force behind the brand. At Jack in the Box, we believe that if you take care of your employees, they'll take great care of your customers. It's a philosophy we call “Jack's Way” and it's at the core of everything we do as an organization.

As you browse the “Jack's Way” section on our web site, you'll read about many of our exciting employee programs, such as Sed de Saber, an English-as-a-Second Language (ESL) program for restaurant employees who wish to improve their English skills. You'll also learn that Jack in the Box was the first major quick-serve chain to offer our hourly restaurant employees access to affordable healthcare benefits, a program for which the company was recognized by the Insure the Uninsured Project. We were also honored by Nation's Restaurant News and the National Restaurant Association Educational Foundation with the first-ever Spirit Award in recognition of our innovative workforce programs.

Elsewhere in the “Jack's Way” section, you'll see how the company is supporting our restaurant communities through The Jack in the Box Foundation and how we're improving our guests' dining experience through our “Voice of the Guest” guest-survey program and our award-winning food-safety initiatives.

Thanks for your interest in how we do business “Jack's Way.”

Respectfully,

Linda A. Lang

Chairman and CEO