National Coalition Meeting – Feb 2016

NCASEF Meeting Update

At the National Coalition Meeting in Monterey in February Greg Franks (SVP Ops), Jeff Schenck (Franchisee Communications and Advisor to CEO), Bruce Maples (Sr. Director Franchise Support), & Mike Crist (Project Leader – Holistic Review) gave a presentation regarding the 2019 Agreement Process.

• Franchisees were assured that all promotions in the center of the store will be fully funded by vendor.
• Promotions on the wall are not fully funded by vendor, but moving forward vendors will participate more in these promotions

Major Franchisee Concerns:

How to handle the minimum wage increase

Pricing:

• Coffee is going up 10 cents P2
• Increase in Hostess / Nutrition bar prices
• Increase in retail prices throughout the entire store
• Greater LA 7-Eleven is targeting “Urban Promo Pricing” to all stores

2019 Agreement

• 2016 – SEE mentioned that a third party is collecting information by interviewing some franchisees which are part of a CEO Round Table, NBLC and some national board members
• 2017 – Gather, combine and draft new agreement with information collected from third party interviews
• 2018 – Roll out new agreement to certain franchisees to work out any changes, start final draft
• 2019 – New agreements will be given to franchisees

Remodel of Store + ETA (Expand the Assortment) Project

During last summer’s visit of SE1 __ management team announced complete remodel of Greater LA Zone stores.

1. Moving central POS to against wall
2. Increasing cooler door height (new, taller door)
3. New floor
4. Coffee island and hot food __
5. New sign

The understanding was “ETA” was part of this remodeling so store operations are not interrupted and there will be less inconvenience to our guests. But now we are learning the ETPA Project is going to start ___ major remodeling. This will interrupt store operation and ___ and guest ___ or ___ ETA and remodel.

Employment Practice (Labor & Employment Laws)

Renewal Requirements by National Counsel – Eric Karp

1. SEI decides to keep store open – SEI sole judgement
2. Food Service Standard Compliance
3. Notice of Renewal 9-12 months in advance
4. Renewal / Commitment operation permitted by law
5. Not in Material Breach
6. Minimum New Worth maintained previous 12 months
7. 3 or less Breach Notices previous 24 months
8. Complete training SEI Specifics
9. Pass store operation review
10. Sign the current franchise agreement – “may differ”

Maintenance Cost

• There will not be an increase in maintenance costs at this time. Charges will be addressed again in May 2016

Facebook

Connect with 7-Eleven on Facebook. We will share 7-Eleven Promotions and pictures from meetings and events

https://www.facebook.com/FOASC

FOASC App

We now have our app up and running for Apple and Android. Please download the new app to stay in the know about upcoming events, communicate with other franchisees and connect directly to us via our Facebook page.