Star Power Keeps Planet In Orbit -- Big Names The Draw As Planet Hollywood Opens Restaurant Here

Combined, they would command salaries approaching $100 million per film, so you'd never see them in a movie together.

But when Planet Hollywood opens in a new city, as it will in Seattle on Saturday, Arnold Schwarzenegger, Bruce Willis and Whoopi Goldberg are expected to be on hand to christen their investment.

It's the star power that makes Planet Hollywood, Planet Hollywood. The three stars, along with fellow celebrity backers Sylvestor Stallone and Demi Moore, helped to start the theme restaurant five years ago.

Like the Hard Rock Cafe, one of the first theme restaurants, Planet Hollywood is a restaurant where aura - not food - is the determining factor in bringing in customers. In fact, food represents just 60 percent of the company's total revenue, the remainder coming from the sale of merchandise and licensing fees.

More so than the Hard Rock Cafe, though, Planet Hollywood has the advantage of association with an industry that appeals not only to the young, but the coveted middle-class family.

"Their clientele is pretty much middle America," said Wayne Daniels, an analyst with Schroder Wertheim & Co. in New York. "What's good about this concept is that its theme is based around movies, which everyone likes.

"In terms of breadth of appeal, you really can't beat that," he said.

Despite the glitz that surrounds Planet Hollywood, particularly around grand openings, "We think of ourselves as really a family

restaurant," said John Thall, vice president of corporate operations at the company's headquarters in Orlando.

Once the opening-day festivities are concluded, the restaurant will open for general business on Sunday, serving meals priced from $5.95 to $17.95.

Diners will be treated to soundtracks from Hollywood movies, short clips and movie trailers, and tons of memorabilia hanging from the walls.

As for the presence of stars on a day-to-day basis, that depends on the city.

But Thall added that actors regularly stop by any one of Planet Hollywood's 32 restaurants worldwide when filming on location.

It's the anticipation of spotting a star - not necessarily having one there - that draws restaurant-goers.

The company recently sold stock to the public for the first time, raising $194 million in its initial offering.

The main group of stars remains the restaurant's largest investors.

The stock, originally priced at $18 a share, quickly soared to $31.175, before settling in at $24.4375.

Analysts are high on the stock because of Planet Hollywood's concept and its management team, many of whom have worked at the Hard Rock Cafe and know the industry well.

"Planet Hollywood is one of the premier operators in the rapidly growing eat-ertainment industry," Daniels said.

"Planet Hollywood is a uniquely positioned company with exciting long-term prospects.

In hopes of capitalizing on its popularity, Planet Hollywood is due to open new restaurants in EuroDisney in Paris, Amsterdam, Berlin, Vancouver, B.C., Myrtle Beach, S.C., Toronto and Singapore following Seattle.

Construction is also under way in Acapulco and Puerto Vallarta, Mexico. All told, the company plans to have 100 restaurants open by the end of 2000.

Some believe the excitement surrounding Planet Hollywood could diminish with each new opening.

After all, why go to the Planet Hollywood in New York while on vacation when there's one near your home in Reno, Nashville or Phoenix?

"These things are all trends, and yes, in theory, all trends have a limited life," said Paul Levy, executive director of the Center City District in downtown Philadelphia.

But some analysts believe that expansion won't hurt the chain. They note that as much as 75 percent of its business comes from tourists.

The average customer goes to Planet Hollywood three times a year, twice when visiting another city.

Expansion closer to home simply increases brand awareness and makes it more likely that a person will visit a Planet Hollywood when out of town, some analysts believe.

The company is also working on two other theme restaurants: All-Star Cafes, a chain of sports-theme eateries that counts Seattle Mariner Ken Griffey Jr. as one of its investors, and Marvel Mania, a new restaurant built around the company's comic-book super heroes.