Domino's Pizza Group Limited, a wholly-owned subsidiary of Domino's Pizza UK & IRL plc, ('Domino's Pizza' or the 'Group'), the UK and Ireland leader in pizza delivery, today announces that it has agreed new minimum store opening targets as part of the Development Term of its Master Franchise Agreement with Domino's Pizza International, Inc., the US-based brand owner.
The Development Term gives the Group the right to open new stores in the territories of the United Kingdom and Ireland. It has been renewed until 31 December 2016 on similar terms to the existing. Under the Master Franchise Agreement, the Group has the option to renew the Development Term for subsequent periods of ten years. The option to secure additional development rights in the future secures the Group's long-term rights to use the Domino's Pizza brand in these territories.
In respect of the royalty fee payable by the Group to Domino's Pizza International, Inc., it has been agreed that the existing discount structure will continue on the same basis in the renewed term and all subsequent Development Terms. In addition, it has been agreed that the royalty fee payable to Domino's Pizza LLC will never exceed 3.0%.
Stephen Hemsley, Chief Executive of Domino's Pizza UK & IRL plc, said:
'We are delighted to have concluded negotiations on the extension of the Development Term and the future royalty rates. This further reinforces our long-term rights to use the Domino's Pizza brand in these markets, secures our income base and creates a secure platform from which to progress towards 1000 stores'
For further information, please contact:
Domino's Pizza:
Stephen Hemsley - Chief Executive 01908 580604
Lee Ginsberg - Finance Director 01908 580611
Bernadette Ahmed - Press Office 07909 928016
Hogarth Partnership Limited:
Chris Matthews, Fiona Noblet, Anthony Arthur
020 7357 9477
Notes to editors:
Domino's Pizza UK & IRL plc holds the exclusive master franchise to own, operate and franchise Domino's Pizza stores in the UK and Ireland. The Group is the leading player in the UK and Ireland's fast-growing pizza delivery market. The first UK store opened in 1985 and the first Irish store opened in 1991.
There are 428 stores in the UK and Ireland. Of these, 345 stores are in England, 31 are in Scotland, 14 are in Wales, 11 are in Northern Ireland and 27 are in the Republic of Ireland.
Founded in 1960, Domino's Pizza is the recognised world leader in pizza delivery. Through its primarily franchised system, Domino's Pizza operates a global network of more than almost 8,000 stores in 55 countries.