Schlotzsky's Deli Franchise Builds International Momentum; Signs 40-unit Deal in Egypt

Saudi Arabia-based development group to add 40 restaurants in Egypt

September 28, 2010 // Franchising.com // AUSTIN, TX - Schlotzsky's, home of The Original® round toasted sandwich and famous Fresh-from-Scratch® buns, took a giant step in their overseas development with a 40 store agreement in Egypt, a move that will nearly quadruple their current international presence in years to come.

Food & Entertainment, a Middle East developer representing 11 brands including sister companies Carvel, Cinnabon and Seattle's Best Coffee, plan to open the first location in Egypt in the first half of 2011.

"I am excited to bring this thriving restaurant to a new market and introduce a fun new concept to Egypt," says Kamal Abu Sara, representative of Food & Entertainment. "Schlotzsky's wide range of options and flavors will appeal to consumers in Egypt, and the restaurant's value, customization and health conscious options will make Schlotzsky's a huge success."

Schlotzsky's parent company FOCUS Brands Inc. ®, the franchisor and operator of 2,200 Carvel®, Cinnabon®, Schlotzsky's®, Moe's Southwest Grill® locations and Seattle's Best Coffee® in international markets, has a robust international infrastructure that currently supports over 530 locations in 34 countries, and is poised to support significant international growth for Schlotzsky's. Schlotzsky's international development has seen a huge boost in the recent year, and expects to open 7 to 9 additional international locations by the end of 2010 in Kuwait, Saudi Arabia and Turkey. Currently, Schlotzsky's has 17 international locations.

Schlotzsky's domestic development has seen an influx in the recent year and is set to support 50+ openings in 2010. Schlotzsky's attributes the surge to a recent brand reinvention, in which they unveiled a new prototype restaurant featuring vibrant colors, playful slogans, contemporary furniture and artwork, and a partnership with sister company Cinnabon that offers franchisees two brands under one roof. Schlotzsky's also introduced a new service model where crew members hand-deliver food to the tables.

"This is an exciting time for the Schlotzsky's brand," says Kelly Roddy, president of Schlotzsky's. "In addition to this great partner bringing our brand to Egypt, Schlotzsky's has continued domestic success. As we celebrate hit our 40th year of business, I believe the brand is stronger than it has ever been."

About Schlotzsky's

Since 1971, Schlotzsky's has been the home of The Original® toasted sandwich. The menu has evolved with customers' tastes to include the highest quality sandwiches, pizzas, salads, and soups available today. With more than 350 locations worldwide, Schlotzsky's is the fast-casual choice for a quick, healthful, and fresh dining experience. Schlotzsky's is enjoyed around the world, with restaurants in Turkey, China, Saudi Arabia, South Africa, Costa Rica, Jordan and Kuwait. Schlotzsky's is owned by FOCUS Brands Inc.®, the franchisor and operator of over 2,200 Carvel®, Cinnabon®, Schlotzsky's®, Moe's Southwest Grill® locations and Seattle's Best Coffee® on certain military bases and in international markets.

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