“Back of his tan shorts had **** all over them bad.”
Health complaints, food quality, customer service issues plague struggling chain
| Here’s why Subway could close another 500 restaurants
(CNNMoney, New York) Fast food sandwich chain Subway expects to close about 500 stores in North America this year.
The company said Wednesday it expects stores to close after it rolls out a revitalization plan that will require franchise owners to invest more in their operations.
All Subway stores are franchise owned, rather than owned by the company.
The plans to revamp locations include adding self-service kiosks, more comfortable seating and Wi-Fi and USB charging ports.
In February, Subway also announced plans for a loyalty program to win back customers and stem slumping sales.
Subway’s shrinking store count
Subway had a net loss of more than 350 US stores in 2016, the first year in the company’s history that it trimmed rather than increased its number of stores.
The privately held company has yet to disclose its 2017 store count, but there were reports of hundreds of store closings.
Fast food sales are getting hit by the drop in retail foot traffic in the places like malls, as well as the growing demand for healthier food.
Subway also took a public relations hit in 2015 when Subway spokesman Jared Fogle pleaded guilty to charges of child pornography and crossing state lines to pay for sex with minors. He was sentenced to more than 15 years in prison. Read the full story on CNNMoney.