Riyadh, Kingdom of Saudi Arabia, 2016-May-18 — /EPR Retail News/ — Saudi Automotive Services Company (SASCO) announces signing on May 09, 2016, a mutual cooperation agreement with Shahia Food Limited Company, the sole authorized franchisee of DUNKIN DONUTS brand in Saudi Arabia.
This cooperation agreement states that Shahia, through its DUNKIN DONUTS brand, will open shops in the stations of SASCO and all palm stores inside cities and on the high ways to operate the selling of coffee and donuts on a sharing revenue basis from the gross revenues of DUNKIN DONUTS. This shared revenue resulted from this agreement will be differentiated based on the level of total annual revenues of all locations.
This agreement will be valid for 5 years, starting from June 01, 2016. There is no benefit for any related party is included in this agreement. SASCO cannot predict, for the time being, the financial impact of this agreement clarifying that it will be appeared in the financial statements starting from the 3rd quarter of 2016.
SASCO assures that signing this agreement with the sole distributor of one of the biggest international brand in KSA is coming from its concern to encourage the mutual investments and the targeted development to provide all services to our customers on all areas. In addition, entering into this agreement will positively impact on the expansion plans of both companies and consequently impact positively on the sales volume and profit of both SASCO &; Shahia.
We, at SASCO, assure that we save no efforts towards achieving the expansion plan to increase our network, quality and integrated services to our customers which will be positively reflected on our financial results for the benefits of our shareholders.