America’s biggest fast food company Subway is in talks with Somerfield about putting its sandwich offer in 100 stores.
Area regional manager UK and Ireland Kevin Graham said the company was in “advanced discussions” with the food retailer. The two players began talks to put the concept into motorway service outlets following Somerfield’s debut motorway store on the M65 in March. However, Somerfield has since identified 180 units that could carry the operation. Graham said about 100 of these suited Subway’s requirements.
Subway, which has global sales of £7bn from 21,500 stores, is also speaking to Spar central office about rolling out its franchise operation into more stores following successful trials at six stores in Northern Ireland run by Andrew Millar, the retail arm of Spar wholesaler John Handerson
“We are dealing at a corporate level and believe there are about 400 sites that suit our operation,” said Graham to The Grocer magazine.
The sandwich chain is also in final negotiations with The Channel Islands Wholesale Company, which has the Spar wholesale franchise for all the Channel Islands. Subway will put two stores in Spar outlets in St Helier in Jersey.
The company is also continuing talks with Costcutter.
For the full story, see The Grocer dated 17 July 2004.