INDIANAPOLIS, Aug. 30 /PRNewswire-FirstCall/ -- Indianapolis based
Noble Roman's, Inc. (OTC Bulletin Board: NROM) today announced the signing
of another Area Development Agreement for 40 units, along with receipt of
the development fees, for its dual-branded concepts, Noble Roman's Pizza
and Tuscano's Italian Style Subs. This newest development territory is for
the county of Santa Clara in California, and includes a development
schedule requiring 40 new franchise locations within the territory over the
next six years.
Area Developers pay a development fee of $.05 per capita in their
development area, and receive 30% of the initial franchise fee and 2/7ths
of the royalty from the locations developed pursuant to their agreements.
Noble Roman's, Inc. retains all training and supervision responsibilities,
and must approve all franchisees and all locations. In order to maintain
the right to develop the territories, each Area Developer has to meet the
minimum development schedule as stipulated in their Area Development
Agreement. The territory covered by this development schedule has a
population of approximately 1.7 million people.
During the last several months the company has announced the signing of
twenty other Area Development Agreements for its traditional, dual-branded
concept. These include an agreement for 49 units in 15 counties surrounding
the Greensboro, Winston-Salem, High Point areas of North Carolina and
Virginia, an agreement for 20 units in three counties near Cincinnati,
Ohio, an agreement for 25 units in Sacramento County, California, an
agreement for an additional 40 units in 21 additional counties surrounding
Cincinnati, Ohio, an agreement for 30 units in five counties near Atlanta,
Georgia, an agreement for 70 units in three additional counties in Georgia,
near Atlanta, an agreement for 52 units in two counties near Dallas, Texas,
an agreement for 25 units for Springfield, Missouri and surrounding
counties, an agreement for 35 units for Riverside County, California, an
agreement for 38 units for San Bernardino County, California, an agreement
for 30 units in Dayton, Ohio and surrounding counties, an agreement for 15
units in Collin County, Texas, an agreement for 60 units in Los Angeles
County, California, an agreement for 45 units in Orange County, California,
an agreement for 18 units in Ventura County, California, an agreement for
34 units in Santa Barbara, San Luis Obispo and Fresno Counties, California,
an agreement for 60 units in San Diego County, California, an agreement for
19 units in Kern County, California, an agreement for 20 units in
Naples/Ft. Myers, Florida, and an agreement for 15 units in Chico-Redding,
California. With the signing of this new agreement, the 21 Area Development
Agreements in place thus far call for 740 units over the next three to
seven years. In addition, so far the company has entered into 89
dual-branded franchise agreements for traditional locations, 39 of which
were sold through Area Developers.
The company has franchises in 45 states from coast-to-coast within the
United States. In addition, it has sold franchise agreements for military
bases in Puerto Rico, Guam and Italy, and for entertainment facilities and
convenience stores in Canada. In past years the company's growth strategy
was to expand primarily through franchising in non-traditional locations.
The company is continuing its growth by franchising non-traditional
locations and, in addition, it is also part of the company's strategy to
sell dual-branded Franchise Agreements for traditional locations. The
company is selling development territories to Area Developers to spur its
growth in standalone traditional locations.
The statements contained in this press release concerning the company's
future revenues, profitability, financial resources, market demand and
product development are forward-looking statements (as such term is defined
in the Private Securities Litigation Reform Act of 1995) relating to the
company that are based on the beliefs of the management of the company, as
well as assumptions and estimates made by and information currently
available to the company's management. The company's actual results in the
future may differ materially from those projected in the forward-looking
statements due to risks and uncertainties that exist in the company's
operations and business environment including, but not limited to:
competitive factors and pricing pressures, shifts in market demand, general
economic conditions and other factors, including (but not limited to)
changes in demand for the company's products or franchises, the success or
failure of individual franchisees and the impact of competitors' actions.
Should one or more of these risks or uncertainties adversely affect the
company or should underlying assumptions or estimates prove incorrect,
actual results may vary materially from those described herein as
anticipated, believed, estimated, expected or intended.
SOURCE Noble Roman's, Inc.