About two months after the Quizno’s franchisee abandoned two restaurants on Guam a corporate representative said the country’s second largest sandwich chain hopes to re-establish here.
“Our growth is phenomenal I don’t know the reason for this one store closing but it can be assured that we are going to continue growing as a brand ” said Stacie Lange corporate communications manager speaking from Atlanta. “We are on average currently opening a new Quizno’s every 8 hours somewhere in the United States and I am sure we will want to continue serving customers in Guam where and when possible.”
Lange said Quizno’s has restaurants in 15 countries with 40 international sites. “We hope to double that in a year and we hope to have a presence in Guam — most definitely.”
She said she could not respond to any questions regarding the reasons for closing of the operation on Guam.
The Guam stores closed suddenly exposing a trail of debts. A June 23 judgment in favor of Ada’s Trust & Investment Inc. Quizno’s landlord for $26 800 for rent due for the Hagåtña restaurant through Jan. 31 was entered in Superior Court. It was first signed by Judge John L. Manibusan on Feb. 5 but Ada’s Trust later requested the court to halt the judgment while Quizno’s Guam Corp. attempted to find a buyer which could have made the judgment moot.
An agreement to purchase the franchise was negotiated and a notice of transfer of assets to New York New York LLC was published in early June in the Pacific Daily News. Bartley A. Jackson a partner in New York New York a company that equips golf courses in Guam and the Philippines with GPS devices said he was disappointed the deal fell through. “We walked away at the 11th hour and 59th minute ” Jackson said. “We liked the product and liked the potential but we discovered too many debts. After the notice ran in the paper creditors called every day. “
The Daily News ran a photograph of paper cups and sandwich wrappers strewn about the floor of the abandoned Hagatna store on the business page of its June 9 edition and an advertisement for Quizno’s on Page 15 that same day offered a free cup of soup and a free 22-ounce drink with the purchase of a Tuscan Chicken Salad.
Meanwhile the most recent Merchant Directory for VIP Rewards cardholders distributed in June mistakenly announced that Quizno’s had indeed been sold. “Now under new management!”
The Guam franchise holder Kamilyn R. “Kimi” Reed president and managing agent of Pink Sand Corp. last spoke to the Journal in April (See “Famished Quizno’s franchise for sale ” April 19) but could not be reached at her phone numbers since. In April she said due to ongoing purchase negotiations and company regulations she could not comment regarding the fact that she was selling her interest in the franchise to settle debts.
Corporate records at the Guam Department of Revenue and Taxation showed that Reed — with Richard F. Schaden founder president and chief operating officer of Quizno’s — formed a corporation in Saipan and was granted a foreign corporation license on Guam on April 26 2000. Pink Sand Corp. listed Reed as president and treasurer and Schaden as vice president and secretary. A business license was issued to Quizno’s Guam Corp. on May 21 2000. Records show that Reed and Schaden each invested $42 500 for a total share purchase of 85 000 at $1 each.
According to Quizno’s corporate Web site prospective franchise hopefuls must have net worth of $125 000 and liquidity of at least $70 000. “Quizno’s looks for solid entrepreneurial individuals who are interested in owning and operating their own Quizno’s. Owners pay an initial franchise fee which has been established at $25 000 and lower fees for additional units.” MBJ
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