EMERYVILLE, Calif.--(BUSINESS WIRE)--Jamba, Inc. (NASDAQ:JMBA), a leading healthy, active lifestyle brand, announced today the Company’s plans to further accelerate their refranchising initiative with a goal of becoming a 90% plus franchise-to-company-owned model by the end of fiscal year 2015.
“We are pleased to announce our plans for the further acceleration of our refranchise initiative which would result in the Company being a 90%-plus franchise-to-company-owned model by the end of this year,” said James D. White, chairman, president and CEO of Jamba, Inc. “The initial phase of our refranchising initiative has proceeded quickly and efficiently and generated a tremendous amount of interest, giving us a high level of confidence that our goal of 90%-plus is achievable. We reaffirm our belief that transitioning Jamba to an asset light model will allow us to enhance our growth initiatives while driving down expenses, which positions us well for long-term growth.”
Earlier this month the Company announced its entry into an agreement for the refranchising of 100 Company-owned stores to Vitaligent, LLC. The Company expects that with this further accelerated program, the Company’s refranchising initiative will generate between $55 - $75 million of cash proceeds in 2015 in the aggregate.
About Jamba, Inc.
Jamba, Inc. owns and franchises Jamba Juice® stores through its wholly-owned subsidiary, Jamba Juice Company. Jamba Juice Company is a leading restaurant retailer of better-for-you, specialty beverage and food offerings, which include great tasting, whole fruit smoothies, fresh-squeezed juices and juice blends, hot teas and a variety of food items including, Energy Bowls™, hot oatmeal, breakfast wraps, sandwiches, Artisan Flatbreads™, baked goods and snacks. As of December 30, 2014, there were 868 store locations globally. There were 263 Company-owned and operated stores and 543 franchise-operated stores in the United States, and 62 franchise-operated international stores. Jamba Juice Company expands the Jamba® brand by direct selling of consumer packaged goods (“CPG”) and licensing its trademarks. CPG products for at-home enjoyment are available online, through select retailers across the nation and in Jamba® outlets in the United States. Fans of Jamba Juice® can find out more about Jamba Juice's locations as well as specific offerings and promotions by visiting the Jamba Juice website at www.JambaJuice.com or by contacting Jamba’s Guest Services team at 1-866-4R-FRUIT (473-7848).
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are those involving future events and future results that are based on current expectations, estimates, forecasts, and projections as well as the current beliefs and assumptions of the Company’s management. Words such as “outlook”, “believes”, “expects”, “appears”, “may”, “will”, “should”, “anticipates”, or the negative thereof or comparable terminology, are intended to identify such forward looking statements. Any statement that is not a historical fact is a forward-looking statement. Forward-looking statements are only predictions and are subject to risks, uncertainties and assumptions that are difficult to predict. Therefore actual results may differ materially and adversely from those expressed in any forward-looking statements. You should not place undue reliance on forward-looking statements. The Company does not assume any obligation to update the information contained in this press release.