YUM Brand Franchise Plans Sale of Some Brands

By Richard Gibson
Jan 18 2011

YUM Brand, the company that holds the rights to Kentucky Fried Chicken, Taco Bell, Pizza Hut and the Long John Silver’s/A&W brands plans to several off several franchises this month as they look to expand into China.

According to the company statements, YUM will sell off the Long John Silver’s and A&W brands to other investing interests as they look for additional cash to expand into the Asian territories over the next five years.

The company said that they do not feel that the two restaurants fit into the plans for the expansion and plan to sell the rights along with 1600 already established outlets in the US.

Most commonly the Long John Silver’s and A&W stores are located in the same building. The A&W brand, based on the popular root beer, is more of a micro company as they serve only foods that are typically served in a drive-in style establishment.

The company feels that Long John Silver’s would be less than popular in the Asian territories as it is typically fried fish and other such items. Such items are generally less popular in Asia.

There are several companies that may be interested in the brands. All of the brands currently held by YUM were once in the hands of Pepsi. They sold their interest in the chains about ten years ago to the investment group that formed YUM and expanded the company to further states and smaller areas, making it the most popular franchise company in the US.