Seattle's Best Coffee Signs Exclusive Agreement With Snowbean Coffee Company, Ltd., as its...

SEATTLE/PRNewswire/ -- Seattle's Best Coffee(R), LLC, a subsidiary of AFC Enterprises, Inc. (Nasdaq: AFCE) has signed its largest development agreement to date to further expand its presence in the Canadian market. The development agreement is with current franchisee Snowbean Coffee Company Ltd. Under the terms of the agreement, Snowbean Coffee Company, Ltd. will develop a total of 25 retail cafes in Western Canada and will be responsible for developing and servicing Seattle's Best Coffee wholesale business accounts under a new "market owner" program.

Snowbean Coffee Company, Ltd., a franchisee and wholesale agent since 1995, currently operates three franchised Seattle's Best Coffee cafes and has a commitment to develop 22 additional cafes within seven years. It is expected that revenues from retail and wholesale sales of Seattle's Best Coffee products generated over the term of the relationship should exceed $100 million. The "market owner" relationship with Snowbean Coffee Company, Ltd. represents a significant role in leading Seattle's Best Coffee's growth strategy in Canada.

The new "market owner" model is unique in the franchising industry. It was developed by Seattle's Best Coffee to give certain experienced franchisees who are developing retail cafes, the additional rights to manage the sale and distribution of Seattle's Best Coffee's beans and products to foodservice and grocery accounts within the franchisee's territory. "We are extremely excited about the market owner relationship and we are actively working to develop other markets to follow this model," said Steve Schickler, President of Seattle Coffee Company, parent company of Seattle's Best Coffee.

Snowbean Coffee Company, Ltd., has its head office in Vancouver, Canada, with regional offices in Calgary and Toronto. The company founder and president, Jay Garnett, established his business in 1994 and began pioneering Seattle's Best Coffee in the Canadian market in 1995. Snowbean Coffee Company, Ltd. is currently Seattle's Best Coffee's only Canadian distributor of its coffee products. Seattle's Best Coffee will continue to roast and package the coffee, while Snowbean Coffee Company, Ltd. will distribute to and service existing and new accounts in the Canadian market, including wholesale customers.

"Our current wholesale and retail customers are extremely important to us. This new opportunity allows for the development of a distinctive brand image, which will strengthen Seattle's Best Coffee's market position in Canada. We look forward to expanding the brand throughout Canada with this unique opportunity," said Garnett.

Founded in 1971, Seattle Coffee Company franchises and operates 136 Seattle's Best Coffee (http://www.seattlesbest.com) and 19 Torrefazione Italia(R) Coffee (http://www.titalia.com) cafes in eight countries. The company has more than 6,700 wholesale points of distribution, including restaurants, foodservice, airlines, and hotels. All of the company's coffee beans are roasted at facilities on Vashon Island, Washington. Seattle's Best Coffee offers a wide selection of coffee blends including a full line of organic coffee. The company supports Fair Trade Certified(R) coffee efforts and offers an organic coffee certified by TransFair USA, a non-profit monitoring agency. Part of the Seattle's Best Coffee mission includes paying a premium above the market rate for coffee beans to fund local concerns in education, housing and community projects within coffee growing regions in Central America.

AFC Enterprises, Inc. (Nasdaq: AFCE) is the franchisor and operator of more than 3,690 restaurants, bakeries and cafes in 33 countries under the brand names Church's Chicken(TM), Popeyes(R) Chicken & Biscuits, Cinnabon(R), Seattle's Best Coffee(R), and Torrefazione Italia(R) Coffee. AFC's primary objective is to be the world's Franchisor of Choice(R) by offering investment opportunities in highly recognizable brands and exceptional Franchise support systems and services. AFC had system-wide sales of approximately $2.4 billion in 2000 and can be found on the World Wide Web at http://www.afce.com.

Forward-Looking Statement. Certain statements in this release, and other written or oral statements made by or on behalf of AFC or its brands are "forward-looking statements" within the meaning of the federal securities laws. Statements regarding future events and developments and our future performance, as well as management's expectations, beliefs, plans, estimates or projections relating to the future, are forward-looking statements within the meaning of these laws. These forward-looking statements are subject to a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are the cost and availability of our principal food products, labor shortages or increased labor costs, our ability to franchise new units and expand our brands, our and our franchisees' ability to successfully operate existing units and open new units, changes in consumer preferences and demographic trends, competition, general economic, political and regulatory conditions and the risk factors detailed in our Annual Report on Form 10-K for the year ended December 31, 2000 and the other documents we file with the Securities and Exchange Commission. You should not place undue reliance on any forward-looking statements, since those statements speak only as of the date they are made.

SOURCE: Seattle Coffee Company, 10/22/2001
CONTACT: Lauren Formicola of Seattle Coffee Company, +1-206-264-2361, or lformicola@afce.com; or Jay Garnett of Snowbean Coffee Company Ltd., +1-604-685-8686, or jgarnett@sbc.ca
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Website: http://www.afce.com
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http://www.titalia.com
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