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Wikipedia

Subway (restaurant)

November 15, 2023

Subway IP LLC,[8] doing business as Subway (stylized in all caps), is an American multinational fast food restaurant franchise that specializes in submarine sandwiches (subs), wraps, salads and drinks. Subway was founded by Fred DeLuca and financed by Peter Buck in 1965 as Pete's Super Submarines[9] in Bridgeport, Connecticut. After several name changes in the beginning years, it was finally renamed Subway in 1972, and a franchise operation began in 1974 with a second restaurant in Wallingford, Connecticut.[10] Since then it has expanded to become a global franchise.

Subway IP LLC 
Logo used since 2016
Subway restaurant at Burwood Plaza in Sydney, Australia
Subway
FormerlyPete's Super Submarines
(1965–1968)

Pete's Subs
(1968–1970)

Pete's Subway
(1970–1972)
TypePrivate
IndustryRestaurants
GenreFast-food restaurant
FoundedAugust 28, 1965; 58 years ago (1965-08-28) in Bridgeport, Connecticut, U.S.
Founders
Headquarters
Shelton, Connecticut and Miami, Florida
,
U.S.[2]
Number of locations
20,603 (September 2023)[3]
Area served
Worldwide (100+ countries)
Key people
John Chidsey (president & CEO)[4]
Products
Revenue US$16.1 billion (2019)[5]
US$10.2 billion (U.S.)[6]
OwnerRoark Capital Group
Number of employees
410,000, including franchises (2022)[7]
Websitesubway.com

Subway offers an array of topping choices for the customer to include in their sandwich. The longtime Subway slogan, "Eat Fresh", is intended to indicate the fresh ingredients that are used in their sandwiches. It was the fastest-growing franchise in the world in 2015[11] and, as of September 2023, had 20,603 locations in more than 100 countries and territories. More than half its locations (21,796 or 58.1%) are in the United States.[3][12][13] It also is the largest single-brand restaurant chain, and the largest restaurant operator in the world.[14][15][16][17] Its international headquarters is in Shelton, Connecticut, with a second headquarters in Miami, Florida. In 2023, Subway was purchased by Roark Capital.

History edit

 
1973–2002 logo (still used at some locations in northern Canada)
 
2002–2015 logo (still used as signage in most locations)
 
2015–2016 logo (mostly only used in advertisements)

In 1965, Fred DeLuca borrowed $1,000 from friend Peter Buck to start "Pete's Drive-In: Super Submarines" at 3851 Main Street[18] in Bridgeport, Connecticut, and in the following year, they formed Doctor's Associates Inc. to oversee operations of the restaurants as the franchise expanded.[19][20] The holding company derives its name from DeLuca's goal to earn enough from the business to pay tuition for medical school, as well as Buck's having a doctorate in physics.[21] In 1968, the sandwich shop was renamed "Subway".[19] In 1974, a franchise operation began with a restaurant in Wallingford, Connecticut.[10]

 
Subway restaurant in Pittsfield Township, Michigan (2011)

The first Subway on the West Coast was opened in Fresno, California, in 1978.[19] The first Subway outside of North America opened in Bahrain in December 1984.[22] The first Subway in the United Kingdom was opened in Brighton in 1996.[23] In 2004 Subway began opening stores in Walmart supercenters, and surpassed the number of McDonald's locations inside U.S. Walmart stores in 2007.[24] Since 2007, Subway has consistently ranked in the Entrepreneur Franchise 500. In 2015, it ranked No. 3 on the "Top Global Franchises" list, and #1 as the "Fastest Growing Franchise".[25][26] At the end of 2010, Subway became the largest fast food chain worldwide, with 33,749 restaurants – 1,012 more than McDonald's.[27]

 
Subway restaurant in Stanhope, New Jersey (2018)

In January 2015, Suzanne Greco became president and CEO. Her brother Fred DeLuca, the company's first CEO, had been ill for two years and died of leukemia in September 2015.[28][29] Subway reached a peak of 27,129 US locations on January 1, 2016, but has since shrunk year after year, declining 22 percent by the end of 2021.[30] In 2016, Subway closed hundreds of restaurants in the U.S., experiencing a net loss in locations for the first time. However, with 26,744 locations, it remained the most ubiquitous restaurant chain in the U.S. (with McDonald's in the #2 spot).[31]

 
Interior of a Subway franchise in Huntington, Virginia designed in the new style

In July 2017, Subway unveiled redesigned restaurants, dubbed "Fresh Forward",[32] with a new company logo.[33] Features include self-order kiosks; USB charging ports at tables; and new menu items, including additional condiments, and bread made without gluten.[32][needs update]

 
A Subway outlet in Kajang, Malaysia, located next to Domino's Pizza

In 2017, the chain closed more than 800 of its U.S. locations. In April 2018, the chain announced it would close about 500 more that year. According to Abha Bhattarai of The Washington Post, this was a result of three consecutive years of falling profits and a 25 percent reduction in foot traffic in Subway stores since 2012. Franchisees also complained that the company's deep promotions further ate away at profits. Industry analysts such as Bob Phibbs, chief executive of the New York-based consulting firm Retail Doctor, said changing tastes on the part of consumers, who more frequently prefer locally sourced produce and hormone-free meat served by regional start-ups such as Sweetgreen, especially in metropolitan areas, were the cause of the drop in Subway's sales, as well as the loss of market share to competitors. These include fast-casual eateries and sandwich shops such as Panera Bread, Au Bon Pain and Firehouse Subs, as well as food trucks and grocery stores that offer freshly made meals at competitive prices. In January 2018, Subway invested $25 million in a re-branding campaign targeting young consumers to revitalize its image and boost sales.[20] In December 2020, Subway partnered with ezCater to offer a new online catering platform.[34]

The company closed 999 more US Subway locations than it opened in 2019, a further 1,609 net in 2020 (in substantial part due to the COVID-19 pandemic in the United States, and a net 1,043 outlets in 2021, leaving it with 21,147 locations.[30]

In 2023, the family announced that they were in the process of selling the company to private ownership. The company enlisted the help of JP Morgan with the sale. The price of the company was reported to be around $10 billion.[35][36] Several potential buyers made offers for the company.[37] These included the asset management division of investment bank Goldman Sachs, TDR Capital, and TPG Inc.[37] On August 24, Subway announced that Roark Capital would purchase the company for $9.6 billion.[38]

Corporate structure edit

As of 2017, the Subway Group of companies was organized as follows:

  • Subway IP Inc. is the owner of the intellectual property for the restaurant system.
  • Franchise World Headquarters, LLC leads franchising operations. FWH Technologies, LLC owns and licenses Subway's point of sale software.
  • Franchisors include Doctor's Associates Inc. in the U.S.; Subway International B.V.; Subway Franchise Systems of Canada, Ltd.; etc.
  • Advertising affiliates include Subway Franchisee Advertising Fund Trust, Ltd.; Subway Franchisee Advertising Fund Trust, B.V.; Subway Franchisee Canadian Advertising Trust; etc.[39][40]
  • IPC Europe (Independent Purchasing Company Europe Limited), manager of the Subway franchisees and the Subcard loyalty scheme in European countries.[41][42]

Subway's international headquarters are in Milford, Connecticut, the US, with five regional centers supporting the company's international operations. The regional offices for European franchises are located in Amsterdam (Netherlands); the Australian and New Zealand locations are supported from Brisbane (Australia); the Asian locations are supported from offices in Beirut (Lebanon) and Singapore; and the Latin American support center is in Miami (US).[43]

In 2023, Subway was sold to Roark Capital, the owners of Dunkin Donuts and Baskin-Robbins, in a deal that Reuters estimated Subway's value as $9bn. The new owners plan 23,000 store global expansion. The deal's reported value would make it the third-biggest US acquisition in restaurant history, behind Burger King's 2014 acquisition of Tim Hortons for $11.4 billion and Roark's purchase of Dunkin’ Brands in 2020 for $3.7 billion.[failed verification][44]

The startup cost of owning a Subway franchise is significantly lower than competitors, beginning at around $200,000 to $500,000. However, Subway franchisees also pay some of the highest percentages of profits (around 12.5%) back to Subway compared to competitors.[45]

Locations edit

 
Distribution of Subway restaurants around the world
  1000 or more
  100 to 999
  10 to 99
  1 to 9
  0
 
A Subway restaurant located in Washington, D.C.

As of February 2023, Subway had approximately 37,000 locations in more than 100 countries, all independently owned and operated by a network of franchisees.[46] Subway has the highest concentration of locations in North America with more than 20,000 in the United States, 2,881 in Canada, and 758 in Mexico, as of 2019.[47][46] This was almost as many U.S. locations as McDonald's and Starbucks combined, as of 2018.[20] Outside North America, the countries with the most locations are Australia (1,215), Brazil (1,643), and the United Kingdom (2,195), as of 2019.[47]

Products edit

 
A Subway Club 6" sandwich

Subway's core product is the submarine sandwich (or "sub"). In addition to these, the chain also sells wraps, salad, paninis, and baked goods (including cookies, doughnuts, and muffins).

Subway's best-selling sandwich,[48] the B.M.T. (short for "Biggest, Meatiest, Tastiest"), contains pepperoni, salami, and ham. It was introduced as a reference to Brooklyn-Manhattan Transit, connecting to the "subway" name.[49]

Subway also sells breakfast sandwiches, English muffins, and flatbread. In 2006, "personal pizzas" debuted in some US markets. These are made to order (like the subs) and heated for 85 seconds. Breakfast and pizza items are only available in select locations. In November 2009, Subway signed a deal to serve exclusively Seattle's Best Coffee coffee as part of its breakfast menu in the US.[50]

A 2009 Zagat survey named Subway the best provider of "Healthy Options" (in the "Mega Chain" category). Subway was also first in "Top Service" and "Most Popular" rankings. It placed second in "Top Overall", behind Wendy's.[51]

In April 2017, Subway announced the addition of paninis to its menu. Chipotle Steak & Cheese, Triple Cheese, Chicken Cordon Bleu, and Italian B.M.T. Melt were the four variations announced.[52]

In September 2018, Subway debuted the Chipotle Cheesesteak sandwich for a limited time. Regional testing of a crispy chicken sandwich also began taking place in Arkansas.[53]

Regional variations edit

Subway's menu varies between countries, most significantly where religious requirements relate to the meats served.

In 2006, the first kosher Subway restaurant in the United States opened in a suburb of Cleveland, Ohio in the Mandel Jewish Community Center of Cleveland. Former Subway spokesman Jared Fogle attended the opening. A press release stated, "With slight modifications, such as no pork-based products, and the use of soy-based cheese product, the menu is virtually identical to that of any other Subway restaurant."[54] Other openings soon followed, briefly making Subway one of the largest U.S. kosher restaurant chains.[55] At their peak, twelve kosher Subway locations were open in the U.S., including Kansas City and 5 in New York. As of 2023, only one kosher Subway remains, in Miami, FL. Franchisees who failed noted a lack of support from the parent location in advertising, higher costs of kosher food and supervision, the inability to remain open on Saturdays, and that customers who do not keep kosher prefer the original menu and prices.[56]

Subway opened its first restaurant in India in 2001 in New Delhi. In deference to Hindu beliefs, Subway restaurants in India do not serve beef products; on the other hand, the country's large number of vegetarians induced Subway's Indian outlets to offer a much-extended range of vegetarian options. As of January 2017, there were 591 Subway restaurants in 68 Indian cities.[3] On September 4, 2012, Subway opened its first all-vegetarian outlet on the campus of Lovely Professional University (LPU) in Jalandhar, Punjab.[57] On March 6, 2013, Subway opened its second all-vegetarian outlet also offering Jain food in Paldi, Ahmedabad.[58]

Nutritional content edit

In 2011, Subway introduced gluten-free bread and brownies to some locations in Texas.[59] It also cut the salt content of its sandwiches by 15 percent in 2011.[60]

In the United Kingdom and Ireland, Subway has reduced salt content across its entire range by 33% and has committed to further reductions, in line with government targets.[61] Subway's range of "Low Fat" subs is endorsed by the charity Heart Research UK.[62]

Marketing edit

 
Subway in Belo Horizonte, Brazil, in 2009
 
Subway's the "restaurant world" in the REDI shopping mall in Kalasatama, Helsinki, Finland

Subway is the second-biggest fast food advertiser in the United States, behind only McDonald's. It spent US$516,000,000 on measurable advertising in 2011.[63]

Subway used the advertising slogan "Eat Fresh" and focused on how its sandwiches were made from freshly baked bread and fresh ingredients, in front of customers to their exact specifications, by employees which Subway called "Subway Sandwich Artists".[citation needed]

In 2005, Subway scrapped its "Sub Club" stamp promotion, citing a growing number of counterfeit stamps due to online auction sites and the increasing availability of high-quality printers.[64][65]

In November 2007, Subway's US commercials featured the cartoon character Peter Griffin (from FOX's Family Guy) promoting its new Subway Feast sandwich.[66] Subway has also used "instant win" games, based on the game Scrabble.[citation needed]

Subway ran a product placement campaign in the US TV series Chuck since its first season. As ratings dwindled in the second season, a campaign to "save Chuck" was launched for fans, encouraging them to purchase a footlong sub from Subway on April 27, 2009, the date of the season finale. Tony Pace, Subway's marketing officer, called it the best product placement the restaurant chain has done "in several years."[67]

To celebrate National Sandwich Day on November 3, 2015, Subway offered a Buy One sandwich, Give One sandwich free promotion.[68]

Most Subway locations feature a promotion named "Sub of the Day" where a different submarine sandwich is featured each day of the week at a discounted price. In the past they had a monthly promotion that featured a specialty sub sandwich at a discounted price for the entire month.[69]

Jared Fogle edit

 
Jared Fogle in 2007

Beginning in January 2000, Jared Fogle was a national spokesman for the company in the US, giving talks on healthy living and appearing in advertisements. Fogle first came to attention in his native Indiana by claiming that he lost over 200 pounds in part by eating at Subway. After 2008, he was featured less often as the company marketed with more emphasis on its "5 dollar footlong" campaign.[70] Subway attributed between one-third and one-half of its growth from 1998 to 2011 to Fogle, the equivalent of a tripling in size.[71] Subway ended its relationship with Fogle in 2015 after he was charged with possession of child pornography and illicit sexual conduct with a minor. After pleading guilty in August 2015, he was sentenced to more than 15 years in federal prison three months later.[72][73][74]

In December 2015, following the removal of Fogle from its marketing, Subway introduced a new marketing campaign, "Founded on Fresh". The campaign focuses on Subway's establishment and early history and features Fred DeLuca, as played by his son, Jonathan. The new campaign downplays the use of jingles and celebrity endorsements (besides "targeted" sports marketing) in favor of focusing on the qualities of its products and specific products. Chief advertising officer Chris Carroll explained that the focus on fat, calories, and weight loss were "what fresh used to be" and that the new campaign would focus more on the sourcing of Subway's ingredients, such as its phase-out of antibiotic-treated meat. Carroll also explained that the new strategy was being developed prior to the controversy involving Fogle.[75]

Sponsorships edit

Subway has sponsored a number of sports events, particularly NASCAR races, including the Subway 400 (2002–2004), Subway 500 (2003–2007), Subway Fresh 500 (2005–2013) and the Subway Firecracker 250 (2009–2016). Subway sponsored the Subway Super Series ice hockey tournament from 2009 to 2014.[citation needed]

In September 2022, Subway secured a three-year partnership deal with Football Australia for the naming rights of the men's national football teams as the Subway Socceroos, Subway Olyroos, Subway Young Socceroos, and Subway Joeys. The deal also includes Subway becoming the official partner of the Matildas and the Australia Cup.[76]

$5 footlongs edit

In 2008, Subway began to offer all foot-long submarine sandwiches (excluding the premium and double-meat varieties) for five dollars, in the continental United States and Canada, as a "limited time only" promotion. "Five Dollar Footlongs" quickly became the company's most successful promotion ever.[77] Upon the initial promotion's completion, customer response prompted Subway to create a permanent "$5 Footlong Everyday Value Menu" that offered some footlong sandwiches for $5. Since 2011, there has been a monthly rotating $5 footlong.[70] In October 2011, a similar promotion was launched in the United Kingdom. Customers can buy one of nine subs and any drink for £3 (for a six-inch sub) or £5 (for a footlong).[78]

In 2012, San Francisco restaurants discontinued the five-dollar footlong promotion due to the higher cost of doing business in the city.[79] From June 2014 to the end of that year, some Subway locations began discontinuing the $5 dollar promotion.[80] On November 1, 2014, Subway discontinued the five-dollar footlong promotion, replacing it with the Simple $6 Menu which included a six-inch select with a drink and a choice of cookies or chips.[81][82]

In February 2016, the company announced that all classic footlongs would be priced at $6 each.[83]

In January 2018, the $5 promotion returned with a $4.99 footlong menu of five subs at participating locations.[84][85][86]

In September 2018, Subway announced that they were going to discontinue the $5 footlong promotion in order to boost their franchise profits.[87]

Italian Hero edit

In early 2017, Subway introduced its Italian Hero and advertised it with a campaign describing it as an authentic Italian(-American) sandwich. Created by their national creative agency MMB, two comedic spots feature Italian-American characters on and around the stoop of a tenement building, one including a cameo by sportscaster Dick Vitale. Another ad features Food Network's Jeff Mauro, the "Sandwich King", who is also Italian-American,[non-primary source needed][88] discussing the nature and role of the different Italian meats and other ingredients.[89][90][91][92][93][94]

"Refresh" edit

In July 2021, Subway debuted its "Refresh" campaign featuring: Tom Brady, Stephen Curry, Serena Williams, and Megan Rapinoe.[95] Subway franchisees requested Rapinoe be pulled from the ads following the 2020 Olympics, claiming her testimonial caused sales to dip and harmed the stores' reputation.[96]

Animal welfare edit

In December 2015, Subway released a commitment to move to a 100% cage-free egg supply chain in North America by 2025.[97]

In April 2017, Subway released a chicken welfare policy[98] that states that by 2024 or sooner, 100% of its U.S. chicken products will be produced in alignment with Global Animal Partnership (GAP) standards for higher welfare breeds, enhanced living environments (including lighting, litter, and enrichment), increased activity levels and optimized stocking density, and improved slaughter methods. To ensure compliance, Subway's chicken suppliers will be third-party audited with updates communicated annually.[99]

The policy announcement followed a nationwide campaign led by high school animal activist Lia Hyman in coordination with the animal protection NGO The Humane League.[100] On April 20, 2017, Hyman and a group of activists traveled to Subway's global headquarters in Connecticut to deliver more than 53,000 signatures from campaign supporters and held a demonstration outside the building after they were denied entry.[101]

Controversies edit

Hepatitis A contamination edit

In September 1999, at least 32 customers in Seattle contracted hepatitis A after eating food contaminated with the virus at two Subway outlets.[102] The virus, which is spread by eating or drinking food or water contaminated with infected feces, infects the liver causing nausea, vomiting, diarrhea, fatigue, and fever.[103] Subsequent investigations found that staff failed to adhere to thorough hand washing and the use of plastic gloves during food preparation.[104] A class-action lawsuit on behalf of 31 victims was resolved for $1.6 million.[105][106] The most seriously affected victim—a 6-year-old boy—suffered acute liver failure and required a liver transplant. He was awarded $10 million in an out-of-court settlement in 2001.[104] A previous outbreak of hepatitis A in 1996 had also involved a Subway outlet in Seattle, although no legal action had resulted.[102]

In April 2015, the Arkansas Department of Health issued a warning to the public that customers who had eaten at the Subway outlet in Morrilton, Arkansas, may have been exposed to infection after an employee tested positive for the virus.[107][108]

Sandwich size edit

On February 2, 2007, KNXV-TV (with the help of the Arizona Department of Weights and Measures) reported that three of Subway's "Giant Sub" sandwiches, nominally each 3-foot (91 cm) long, were actually 2 feet 8 inches (81 cm), 2 feet 8.25 inches (81.92 cm), and 2 feet 8.5 inches (82.6 cm) long. The maximum variance in length allowed in Arizona is 3% (1.08 inches (2.7 cm), for a three-foot sub). The report also showed the boxes designed to store these sandwiches were 2 feet 10.75 inches (88.27 cm) in length; shorter than the maximum allowable variance. In response to the report, Subway said it was reevaluating its advertising, training, and packaging materials with regard to the specific or implied length of Giant Subs and was advising its franchisees to only discuss with customers the approximate number of expected servings and not a specific length of measurement.[109]

In January 2013, an Australian teen, Matt Corby, complained on Facebook that Subway's "footlong" sandwich was only 11 inches (28 cm) long, rather than 1 foot (30 cm). Subway responded by saying, "With regards to the size of the bread and calling it a footlong, 'Subway Footlong' is a registered trademark as a descriptive name for the sub sold in Subway Restaurants and not intended to be a measurement of length."[110] Discovery during a subsequent class-action lawsuit revealed that most Subway sandwiches were the advertised length. A $530,000 settlement was thrown out of court in 2017 for being "utterly worthless" to consumers.[111][112]

Franchise relations edit

In 1995, Subway Sandwich Shops, Fred DeLuca, Peter Buck, and Doctor's Associates Inc. were held liable for breach of contract. An Illinois jury awarded more than $10 million in damages to Nicholas and Victoria Jannotta after finding lease and contract violations. The plaintiffs claimed the defendants had misrepresented the asset value of Subway Sandwich Shops (a leasing company used by Doctor's Associates for franchising purposes) while negotiating a 1985 lease agreement.[113]

The U.S. House of Representatives' small business committee studied the franchise industry from 1992 to 1998. Dean Sagar noted, "Subway is the biggest problem in franchising and emerges as one of the key examples of every abuse you can think of."[114] In 1989, the U.S. Small Business Administration refused small business loans to Subway franchise owners until Subway removed a contract clause which gave it the power to seize and purchase any franchise without cause. The Dallas Morning News reported Subway had seized American soldier Leon Batie Jr.'s Subway stores in 2006 while he was serving in Afghanistan.[115] He had been deployed to support Operation Enduring Freedom in March 2005, three years after buying his first restaurant.[115] Batie alleged Subway had violated the U.S. Servicemembers Civil Relief Act. He filed a federal lawsuit against Subway, which was dismissed. He then filed suit in state court in Dallas County, Texas. Both parties settled on "mutually agreeable" and confidential terms in January 2010.[116]

United Kingdom VAT treatment edit

In October 2010, Subway franchisees in the United Kingdom lost a high court appeal against paying standard VAT on all toasted subs, as required by HM Revenue and Customs. Thus, in the United Kingdom, a toasted sub attracts VAT, whereas a cold sub, eaten off the premises, does not. Competitors such as Quiznos and McDonald's do not pay VAT on similar food.[117][118][119]

In March 2012, Chancellor of the Exchequer, George Osborne announced plans to close the loophole that allows Subway competitors to offer hot food without paying VAT. This legislation was expected to come into force from October 2012 onward,[120] but on May 28, 2012, the government withdrew plans to charge VAT on originally hot food being allowed to cool naturally.[121] In June 2012, Subway launched the "Toast the Tax" campaign to put pressure on the government to drop VAT on toasted sandwiches, as it has done for hot savouries.[122]

Footlong trademark disputes edit

On January 31, 2011, Subway lawyer Valerie Pochron wrote to Casey's General Stores, a chain of Iowa-based convenience stores, demanding that the small chain cease using the term "footlong" in advertisements for its 12-inch sandwiches. Subway threatened to sue. Consequently, in February 2011, Casey's General Stores Inc. filed a petition in a U.S. District Court in Des Moines, seeking a legal declaration that the word "footlong" does not violate Subway's rights.[123] Casey's further sought a declaration that the word "footlong" is a generic description of a sandwich measuring one foot.[124][125] Before serving its complaint on Subway, Casey's voluntarily dismissed its action, ending the litigation.[126]

Subway's trademark application for "footlong" has yet to be approved by the federal government. Subway has attempted to register it with the United States Patent and Trademark Office twice. It filed on November 8, 2007,[127] and June 4, 2009.[128] Both filings have been abandoned, on November 20, 2013, and August 21, 2014, respectively. Yum Brands (KFC, Pizza Hut, Taco Bell, and non-Canadian A&W locations), Long John Silver's, and other competitors opposed the applications.[123]

Ingredients edit

Subway removed azodicarbonamide from its bread after food blogger and activist Vani Hari gathered more than 50,000 signatures in a petition drive.[129] Before Vani Hari's petition, Subway had used azodicarbonamide as a bread conditioner, to whiten the dough and allow sandwich bread to bake more quickly. As of 2016, the ingredient was still used by other fast food restaurants.[130]

In August 2015, Vani Hari again petitioned Subway in conjunction with Natural Resources Defense Council, Friends of the Earth, the Center for Food Safety, U.S. Public Interest Research Group to commit to buying meat produced without the routine use of antibiotics and to provide a timeline for doing so.[131] In October 2015, Subway announced it would transition to chicken raised without antibiotics in 2016 and turkey within the following 2–3 years, and would also transition beef and pork raised without antibiotics by 2025.[132][133]

In 2020, the Supreme Court of Ireland ruled that Subway bread had too high a sugar content to be classed as bread for VAT reasons, with its recipe including sugar equal to 10% of the weight of the flour.[134]

In 2021, a lawsuit was filed against the company alleging that the ingredient Subway bills as "tuna" was a mixture of "various concoctions that do not constitute tuna, yet have been blended together by defendants to imitate the appearance of tuna". The company's senior director for global food safety and quality said in a statement that "Our restaurants receive pure tuna, mix it with mayonnaise and serve on a freshly made sandwich to our guests."[135] The investigative TV show Inside Edition sent samples of Subway's tuna salad to Applied Food Technologies, a Florida company that carries out DNA testing of seafood. According to that company, "Yes, we confirmed that tuna was definitely in all three samples we received."[136] Subway established a website, SubwayTunaFacts.com, to refute the claims that they did not use real tuna, which they have denied unambiguously.[137]

Soy protein in chicken products edit

In an investigation by the Canadian Broadcasting Corporation (CBC)'s consumer affairs television series Marketplace aired in February 2017, chicken from five fast-food restaurants was lab-tested to determine constituents. While DNA testing found between 84.9% and 89.4% of the DNA from other restaurants' chicken products to be chicken DNA, with the remaining being unidentifiable plant DNA, on the two Subway chicken items tested, 53.6% and 42.8% of the DNA was found to be chicken, with the remainder being mostly soy. Although ingredients listings did show soy protein to be a constituent of both of the chicken products, Subway states that the proportion is less than or equal to 1% and that the finding of about 50% soy DNA is not representative of the actual amount of soy in the product. Subway has called CBC's report "absolutely false and misleading" and demanded that it be retracted. Meanwhile, however, Subway Canada stated that it was investigating with its supplier to ensure that the proportion of soy protein was as per expectations.[138][139][140][141][142]

According to Subway's website, U.S. stores' ingredients may differ from those in Canadian stores. Both countries include soy protein in chicken strips, but only the U.S. version states that it is present in quantities of 2% or less. The Canadian version includes soy as an ingredient in its chicken patty, but the United States version does not.[143]

In April 2017, Subway sued the CBC, as well as the reporter and two producers, for $210 million, alleging the CBC acted "recklessly and maliciously" and that "these false statements... were published and republished, maliciously and without just cause or excuse, to a global audience, which has resulted in pecuniary loss to the plaintiffs." The CBC stood by its reports, stating that the DNA tests were done by independent and credible experts.[144] The CBC's Emma Bédard stated that Subway had not provided an alternative explanation for the DNA test results obtained by the CBC.[145]

In November 2019, Subway's lawsuit against the CBC was dismissed through anti-SLAPP legislation, as CBC's reporting was deemed to be a matter of public interest.[146][147] In January 2021 the Ontario Court of Appeal overturned the decision dismissing the lawsuit. The Supreme Court of Canada denied leave for appeal, so the matter has been returned to the Superior Court of Justice for trial.[148]

Underpaying workers edit

In 2019, the Fair Work Ombudsman found that 17 Australian-based Subway franchises had underpaid workers.[149] The lengthy investigation by the Ombudsman specifically found that franchises failed to pay the employees minimum wages, casual loadings, holiday and overtime rates, and did not issue proper pay slips or keep proper employment records.[149] The investigation resulted in over $81,000 being recovered in unpaid wages for over 160 employees.[149] Subway responded by introducing a rolling audit of franchisee employment records and commented that franchise agreements could be terminated if franchisees failed to meet Australian workplace laws and Subway's internal standards of operation.[149]

Calls for boycott over the Russian invasion of Ukraine edit

Following the 2022 Russian invasion of Ukraine, Subway was criticized for not divesting or scaling back its operations in Russia, unlike most of its competitors.[150][151][152] Subway issued a statement saying, its corporate office does not own any of the 446 Subway stores in Russia, and issued a statement saying, "In addition to working with our franchisees across Europe to provide meals to refugees, we will redirect any profits from operations in Russia to humanitarian efforts supporting Ukrainians who have been affected by the war. Our restaurants in Russia are all independently owned and operated by local franchisees and managed by an independent master franchisee."[153]

See also edit

References edit

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External links edit

 
Wikimedia Commons has media related to Subway (restaurant).
  • Official website

November 15, 2023
subway, restaurant, subway, doing, business, subway, stylized, caps, american, multinational, fast, food, restaurant, franchise, that, specializes, submarine, sandwiches, subs, wraps, salads, drinks, subway, founded, fred, deluca, financed, peter, buck, 1965, . Subway IP LLC 8 doing business as Subway stylized in all caps is an American multinational fast food restaurant franchise that specializes in submarine sandwiches subs wraps salads and drinks Subway was founded by Fred DeLuca and financed by Peter Buck in 1965 as Pete s Super Submarines 9 in Bridgeport Connecticut After several name changes in the beginning years it was finally renamed Subway in 1972 and a franchise operation began in 1974 with a second restaurant in Wallingford Connecticut 10 Since then it has expanded to become a global franchise Subway IP LLC Logo used since 2016Subway restaurant at Burwood Plaza in Sydney AustraliaTrade nameSubwayFormerlyPete s Super Submarines 1965 1968 Pete s Subs 1968 1970 Pete s Subway 1970 1972 TypePrivateIndustryRestaurantsGenreFast food restaurantFoundedAugust 28 1965 58 years ago 1965 08 28 in Bridgeport Connecticut U S FoundersFred DeLuca Peter Buck Carmela DeLuca 1 HeadquartersShelton Connecticut and Miami Florida U S 2 Number of locations20 603 September 2023 3 Area servedWorldwide 100 countries Key peopleJohn Chidsey president amp CEO 4 ProductsSubmarine sandwiches Cookies Pizzas some locations SaladsRevenueUS 16 1 billion 2019 5 US 10 2 billion U S 6 OwnerRoark Capital GroupNumber of employees410 000 including franchises 2022 7 Websitesubway comSubway offers an array of topping choices for the customer to include in their sandwich The longtime Subway slogan Eat Fresh is intended to indicate the fresh ingredients that are used in their sandwiches It was the fastest growing franchise in the world in 2015 11 and as of September 2023 had 20 603 locations in more than 100 countries and territories More than half its locations 21 796 or 58 1 are in the United States 3 12 13 It also is the largest single brand restaurant chain and the largest restaurant operator in the world 14 15 16 17 Its international headquarters is in Shelton Connecticut with a second headquarters in Miami Florida In 2023 Subway was purchased by Roark Capital Contents 1 History 2 Corporate structure 3 Locations 4 Products 4 1 Regional variations 4 2 Nutritional content 5 Marketing 5 1 Jared Fogle 6 Sponsorships 6 1 5 footlongs 6 2 Italian Hero 6 3 Refresh 7 Animal welfare 8 Controversies 8 1 Hepatitis A contamination 8 2 Sandwich size 8 3 Franchise relations 8 4 United Kingdom VAT treatment 8 5 Footlong trademark disputes 8 6 Ingredients 8 7 Soy protein in chicken products 8 8 Underpaying workers 8 9 Calls for boycott over the Russian invasion of Ukraine 9 See also 10 References 11 External linksHistory edit nbsp 1973 2002 logo still used at some locations in northern Canada nbsp 2002 2015 logo still used as signage in most locations nbsp 2015 2016 logo mostly only used in advertisements In 1965 Fred DeLuca borrowed 1 000 from friend Peter Buck to start Pete s Drive In Super Submarines at 3851 Main Street 18 in Bridgeport Connecticut and in the following year they formed Doctor s Associates Inc to oversee operations of the restaurants as the franchise expanded 19 20 The holding company derives its name from DeLuca s goal to earn enough from the business to pay tuition for medical school as well as Buck s having a doctorate in physics 21 In 1968 the sandwich shop was renamed Subway 19 In 1974 a franchise operation began with a restaurant in Wallingford Connecticut 10 nbsp Subway restaurant in Pittsfield Township Michigan 2011 The first Subway on the West Coast was opened in Fresno California in 1978 19 The first Subway outside of North America opened in Bahrain in December 1984 22 The first Subway in the United Kingdom was opened in Brighton in 1996 23 In 2004 Subway began opening stores in Walmart supercenters and surpassed the number of McDonald s locations inside U S Walmart stores in 2007 24 Since 2007 Subway has consistently ranked in the Entrepreneur Franchise 500 In 2015 it ranked No 3 on the Top Global Franchises list and 1 as the Fastest Growing Franchise 25 26 At the end of 2010 Subway became the largest fast food chain worldwide with 33 749 restaurants 1 012 more than McDonald s 27 nbsp Subway restaurant in Stanhope New Jersey 2018 In January 2015 Suzanne Greco became president and CEO Her brother Fred DeLuca the company s first CEO had been ill for two years and died of leukemia in September 2015 28 29 Subway reached a peak of 27 129 US locations on January 1 2016 but has since shrunk year after year declining 22 percent by the end of 2021 30 In 2016 Subway closed hundreds of restaurants in the U S experiencing a net loss in locations for the first time However with 26 744 locations it remained the most ubiquitous restaurant chain in the U S with McDonald s in the 2 spot 31 nbsp Interior of a Subway franchise in Huntington Virginia designed in the new styleIn July 2017 Subway unveiled redesigned restaurants dubbed Fresh Forward 32 with a new company logo 33 Features include self order kiosks USB charging ports at tables and new menu items including additional condiments and bread made without gluten 32 needs update nbsp A Subway outlet in Kajang Malaysia located next to Domino s PizzaIn 2017 the chain closed more than 800 of its U S locations In April 2018 the chain announced it would close about 500 more that year According to Abha Bhattarai of The Washington Post this was a result of three consecutive years of falling profits and a 25 percent reduction in foot traffic in Subway stores since 2012 Franchisees also complained that the company s deep promotions further ate away at profits Industry analysts such as Bob Phibbs chief executive of the New York based consulting firm Retail Doctor said changing tastes on the part of consumers who more frequently prefer locally sourced produce and hormone free meat served by regional start ups such as Sweetgreen especially in metropolitan areas were the cause of the drop in Subway s sales as well as the loss of market share to competitors These include fast casual eateries and sandwich shops such as Panera Bread Au Bon Pain and Firehouse Subs as well as food trucks and grocery stores that offer freshly made meals at competitive prices In January 2018 Subway invested 25 million in a re branding campaign targeting young consumers to revitalize its image and boost sales 20 In December 2020 Subway partnered with ezCater to offer a new online catering platform 34 The company closed 999 more US Subway locations than it opened in 2019 a further 1 609 net in 2020 in substantial part due to the COVID 19 pandemic in the United States and a net 1 043 outlets in 2021 leaving it with 21 147 locations 30 In 2023 the family announced that they were in the process of selling the company to private ownership The company enlisted the help of JP Morgan with the sale The price of the company was reported to be around 10 billion 35 36 Several potential buyers made offers for the company 37 These included the asset management division of investment bank Goldman Sachs TDR Capital and TPG Inc 37 On August 24 Subway announced that Roark Capital would purchase the company for 9 6 billion 38 Corporate structure editAs of 2017 update the Subway Group of companies was organized as follows Subway IP Inc is the owner of the intellectual property for the restaurant system Franchise World Headquarters LLC leads franchising operations FWH Technologies LLC owns and licenses Subway s point of sale software Franchisors include Doctor s Associates Inc in the U S Subway International B V Subway Franchise Systems of Canada Ltd etc Advertising affiliates include Subway Franchisee Advertising Fund Trust Ltd Subway Franchisee Advertising Fund Trust B V Subway Franchisee Canadian Advertising Trust etc 39 40 IPC Europe Independent Purchasing Company Europe Limited manager of the Subway franchisees and the Subcard loyalty scheme in European countries 41 42 Subway s international headquarters are in Milford Connecticut the US with five regional centers supporting the company s international operations The regional offices for European franchises are located in Amsterdam Netherlands the Australian and New Zealand locations are supported from Brisbane Australia the Asian locations are supported from offices in Beirut Lebanon and Singapore and the Latin American support center is in Miami US 43 In 2023 Subway was sold to Roark Capital the owners of Dunkin Donuts and Baskin Robbins in a deal that Reuters estimated Subway s value as 9bn The new owners plan 23 000 store global expansion The deal s reported value would make it the third biggest US acquisition in restaurant history behind Burger King s 2014 acquisition of Tim Hortons for 11 4 billion and Roark s purchase of Dunkin Brands in 2020 for 3 7 billion failed verification 44 The startup cost of owning a Subway franchise is significantly lower than competitors beginning at around 200 000 to 500 000 However Subway franchisees also pay some of the highest percentages of profits around 12 5 back to Subway compared to competitors 45 Locations edit nbsp Distribution of Subway restaurants around the world 1000 or more 100 to 999 10 to 99 1 to 9 0 nbsp A Subway restaurant located in Washington D C As of February 2023 Subway had approximately 37 000 locations in more than 100 countries all independently owned and operated by a network of franchisees 46 Subway has the highest concentration of locations in North America with more than 20 000 in the United States 2 881 in Canada and 758 in Mexico as of 2019 47 46 This was almost as many U S locations as McDonald s and Starbucks combined as of 2018 20 Outside North America the countries with the most locations are Australia 1 215 Brazil 1 643 and the United Kingdom 2 195 as of 2019 47 Products edit nbsp A Subway Club 6 sandwichSubway s core product is the submarine sandwich or sub In addition to these the chain also sells wraps salad paninis and baked goods including cookies doughnuts and muffins Subway s best selling sandwich 48 the B M T short for Biggest Meatiest Tastiest contains pepperoni salami and ham It was introduced as a reference to Brooklyn Manhattan Transit connecting to the subway name 49 Subway also sells breakfast sandwiches English muffins and flatbread In 2006 personal pizzas debuted in some US markets These are made to order like the subs and heated for 85 seconds Breakfast and pizza items are only available in select locations In November 2009 Subway signed a deal to serve exclusively Seattle s Best Coffee coffee as part of its breakfast menu in the US 50 A 2009 Zagat survey named Subway the best provider of Healthy Options in the Mega Chain category Subway was also first in Top Service and Most Popular rankings It placed second in Top Overall behind Wendy s 51 In April 2017 Subway announced the addition of paninis to its menu Chipotle Steak amp Cheese Triple Cheese Chicken Cordon Bleu and Italian B M T Melt were the four variations announced 52 In September 2018 Subway debuted the Chipotle Cheesesteak sandwich for a limited time Regional testing of a crispy chicken sandwich also began taking place in Arkansas 53 Regional variations edit Subway s menu varies between countries most significantly where religious requirements relate to the meats served In 2006 the first kosher Subway restaurant in the United States opened in a suburb of Cleveland Ohio in the Mandel Jewish Community Center of Cleveland Former Subway spokesman Jared Fogle attended the opening A press release stated With slight modifications such as no pork based products and the use of soy based cheese product the menu is virtually identical to that of any other Subway restaurant 54 Other openings soon followed briefly making Subway one of the largest U S kosher restaurant chains 55 At their peak twelve kosher Subway locations were open in the U S including Kansas City and 5 in New York As of 2023 only one kosher Subway remains in Miami FL Franchisees who failed noted a lack of support from the parent location in advertising higher costs of kosher food and supervision the inability to remain open on Saturdays and that customers who do not keep kosher prefer the original menu and prices 56 Subway opened its first restaurant in India in 2001 in New Delhi In deference to Hindu beliefs Subway restaurants in India do not serve beef products on the other hand the country s large number of vegetarians induced Subway s Indian outlets to offer a much extended range of vegetarian options As of January 2017 there were 591 Subway restaurants in 68 Indian cities 3 On September 4 2012 Subway opened its first all vegetarian outlet on the campus of Lovely Professional University LPU in Jalandhar Punjab 57 On March 6 2013 Subway opened its second all vegetarian outlet also offering Jain food in Paldi Ahmedabad 58 Nutritional content edit In 2011 Subway introduced gluten free bread and brownies to some locations in Texas 59 It also cut the salt content of its sandwiches by 15 percent in 2011 60 In the United Kingdom and Ireland Subway has reduced salt content across its entire range by 33 and has committed to further reductions in line with government targets 61 Subway s range of Low Fat subs is endorsed by the charity Heart Research UK 62 Marketing edit nbsp Subway in Belo Horizonte Brazil in 2009 nbsp Subway s the restaurant world in the REDI shopping mall in Kalasatama Helsinki FinlandSubway is the second biggest fast food advertiser in the United States behind only McDonald s It spent US 516 000 000 on measurable advertising in 2011 63 Subway used the advertising slogan Eat Fresh and focused on how its sandwiches were made from freshly baked bread and fresh ingredients in front of customers to their exact specifications by employees which Subway called Subway Sandwich Artists citation needed In 2005 Subway scrapped its Sub Club stamp promotion citing a growing number of counterfeit stamps due to online auction sites and the increasing availability of high quality printers 64 65 In November 2007 Subway s US commercials featured the cartoon character Peter Griffin from FOX s Family Guy promoting its new Subway Feast sandwich 66 Subway has also used instant win games based on the game Scrabble citation needed Subway ran a product placement campaign in the US TV series Chuck since its first season As ratings dwindled in the second season a campaign to save Chuck was launched for fans encouraging them to purchase a footlong sub from Subway on April 27 2009 the date of the season finale Tony Pace Subway s marketing officer called it the best product placement the restaurant chain has done in several years 67 To celebrate National Sandwich Day on November 3 2015 Subway offered a Buy One sandwich Give One sandwich free promotion 68 Most Subway locations feature a promotion named Sub of the Day where a different submarine sandwich is featured each day of the week at a discounted price In the past they had a monthly promotion that featured a specialty sub sandwich at a discounted price for the entire month 69 Jared Fogle edit nbsp Jared Fogle in 2007Beginning in January 2000 Jared Fogle was a national spokesman for the company in the US giving talks on healthy living and appearing in advertisements Fogle first came to attention in his native Indiana by claiming that he lost over 200 pounds in part by eating at Subway After 2008 he was featured less often as the company marketed with more emphasis on its 5 dollar footlong campaign 70 Subway attributed between one third and one half of its growth from 1998 to 2011 to Fogle the equivalent of a tripling in size 71 Subway ended its relationship with Fogle in 2015 after he was charged with possession of child pornography and illicit sexual conduct with a minor After pleading guilty in August 2015 he was sentenced to more than 15 years in federal prison three months later 72 73 74 In December 2015 following the removal of Fogle from its marketing Subway introduced a new marketing campaign Founded on Fresh The campaign focuses on Subway s establishment and early history and features Fred DeLuca as played by his son Jonathan The new campaign downplays the use of jingles and celebrity endorsements besides targeted sports marketing in favor of focusing on the qualities of its products and specific products Chief advertising officer Chris Carroll explained that the focus on fat calories and weight loss were what fresh used to be and that the new campaign would focus more on the sourcing of Subway s ingredients such as its phase out of antibiotic treated meat Carroll also explained that the new strategy was being developed prior to the controversy involving Fogle 75 Sponsorships editSubway has sponsored a number of sports events particularly NASCAR races including the Subway 400 2002 2004 Subway 500 2003 2007 Subway Fresh 500 2005 2013 and the Subway Firecracker 250 2009 2016 Subway sponsored the Subway Super Series ice hockey tournament from 2009 to 2014 citation needed In September 2022 Subway secured a three year partnership deal with Football Australia for the naming rights of the men s national football teams as the Subway Socceroos Subway Olyroos Subway Young Socceroos and Subway Joeys The deal also includes Subway becoming the official partner of the Matildas and the Australia Cup 76 5 footlongs edit In 2008 Subway began to offer all foot long submarine sandwiches excluding the premium and double meat varieties for five dollars in the continental United States and Canada as a limited time only promotion Five Dollar Footlongs quickly became the company s most successful promotion ever 77 Upon the initial promotion s completion customer response prompted Subway to create a permanent 5 Footlong Everyday Value Menu that offered some footlong sandwiches for 5 Since 2011 there has been a monthly rotating 5 footlong 70 In October 2011 a similar promotion was launched in the United Kingdom Customers can buy one of nine subs and any drink for 3 for a six inch sub or 5 for a footlong 78 In 2012 San Francisco restaurants discontinued the five dollar footlong promotion due to the higher cost of doing business in the city 79 From June 2014 to the end of that year some Subway locations began discontinuing the 5 dollar promotion 80 On November 1 2014 Subway discontinued the five dollar footlong promotion replacing it with the Simple 6 Menu which included a six inch select with a drink and a choice of cookies or chips 81 82 In February 2016 the company announced that all classic footlongs would be priced at 6 each 83 In January 2018 the 5 promotion returned with a 4 99 footlong menu of five subs at participating locations 84 85 86 In September 2018 Subway announced that they were going to discontinue the 5 footlong promotion in order to boost their franchise profits 87 Italian Hero edit In early 2017 Subway introduced its Italian Hero and advertised it with a campaign describing it as an authentic Italian American sandwich Created by their national creative agency MMB two comedic spots feature Italian American characters on and around the stoop of a tenement building one including a cameo by sportscaster Dick Vitale Another ad features Food Network s Jeff Mauro the Sandwich King who is also Italian American non primary source needed 88 discussing the nature and role of the different Italian meats and other ingredients 89 90 91 92 93 94 Refresh edit In July 2021 Subway debuted its Refresh campaign featuring Tom Brady Stephen Curry Serena Williams and Megan Rapinoe 95 Subway franchisees requested Rapinoe be pulled from the ads following the 2020 Olympics claiming her testimonial caused sales to dip and harmed the stores reputation 96 Animal welfare editIn December 2015 Subway released a commitment to move to a 100 cage free egg supply chain in North America by 2025 97 In April 2017 Subway released a chicken welfare policy 98 that states that by 2024 or sooner 100 of its U S chicken products will be produced in alignment with Global Animal Partnership GAP standards for higher welfare breeds enhanced living environments including lighting litter and enrichment increased activity levels and optimized stocking density and improved slaughter methods To ensure compliance Subway s chicken suppliers will be third party audited with updates communicated annually 99 The policy announcement followed a nationwide campaign led by high school animal activist Lia Hyman in coordination with the animal protection NGO The Humane League 100 On April 20 2017 Hyman and a group of activists traveled to Subway s global headquarters in Connecticut to deliver more than 53 000 signatures from campaign supporters and held a demonstration outside the building after they were denied entry 101 Controversies editHepatitis A contamination edit In September 1999 at least 32 customers in Seattle contracted hepatitis A after eating food contaminated with the virus at two Subway outlets 102 The virus which is spread by eating or drinking food or water contaminated with infected feces infects the liver causing nausea vomiting diarrhea fatigue and fever 103 Subsequent investigations found that staff failed to adhere to thorough hand washing and the use of plastic gloves during food preparation 104 A class action lawsuit on behalf of 31 victims was resolved for 1 6 million 105 106 The most seriously affected victim a 6 year old boy suffered acute liver failure and required a liver transplant He was awarded 10 million in an out of court settlement in 2001 104 A previous outbreak of hepatitis A in 1996 had also involved a Subway outlet in Seattle although no legal action had resulted 102 In April 2015 the Arkansas Department of Health issued a warning to the public that customers who had eaten at the Subway outlet in Morrilton Arkansas may have been exposed to infection after an employee tested positive for the virus 107 108 Sandwich size edit On February 2 2007 KNXV TV with the help of the Arizona Department of Weights and Measures reported that three of Subway s Giant Sub sandwiches nominally each 3 foot 91 cm long were actually 2 feet 8 inches 81 cm 2 feet 8 25 inches 81 92 cm and 2 feet 8 5 inches 82 6 cm long The maximum variance in length allowed in Arizona is 3 1 08 inches 2 7 cm for a three foot sub The report also showed the boxes designed to store these sandwiches were 2 feet 10 75 inches 88 27 cm in length shorter than the maximum allowable variance In response to the report Subway said it was reevaluating its advertising training and packaging materials with regard to the specific or implied length of Giant Subs and was advising its franchisees to only discuss with customers the approximate number of expected servings and not a specific length of measurement 109 In January 2013 an Australian teen Matt Corby complained on Facebook that Subway s footlong sandwich was only 11 inches 28 cm long rather than 1 foot 30 cm Subway responded by saying With regards to the size of the bread and calling it a footlong Subway Footlong is a registered trademark as a descriptive name for the sub sold in Subway Restaurants and not intended to be a measurement of length 110 Discovery during a subsequent class action lawsuit revealed that most Subway sandwiches were the advertised length A 530 000 settlement was thrown out of court in 2017 for being utterly worthless to consumers 111 112 Franchise relations edit In 1995 Subway Sandwich Shops Fred DeLuca Peter Buck and Doctor s Associates Inc were held liable for breach of contract An Illinois jury awarded more than 10 million in damages to Nicholas and Victoria Jannotta after finding lease and contract violations The plaintiffs claimed the defendants had misrepresented the asset value of Subway Sandwich Shops a leasing company used by Doctor s Associates for franchising purposes while negotiating a 1985 lease agreement 113 The U S House of Representatives small business committee studied the franchise industry from 1992 to 1998 Dean Sagar noted Subway is the biggest problem in franchising and emerges as one of the key examples of every abuse you can think of 114 In 1989 the U S Small Business Administration refused small business loans to Subway franchise owners until Subway removed a contract clause which gave it the power to seize and purchase any franchise without cause The Dallas Morning News reported Subway had seized American soldier Leon Batie Jr s Subway stores in 2006 while he was serving in Afghanistan 115 He had been deployed to support Operation Enduring Freedom in March 2005 three years after buying his first restaurant 115 Batie alleged Subway had violated the U S Servicemembers Civil Relief Act He filed a federal lawsuit against Subway which was dismissed He then filed suit in state court in Dallas County Texas Both parties settled on mutually agreeable and confidential terms in January 2010 116 United Kingdom VAT treatment edit In October 2010 Subway franchisees in the United Kingdom lost a high court appeal against paying standard VAT on all toasted subs as required by HM Revenue and Customs Thus in the United Kingdom a toasted sub attracts VAT whereas a cold sub eaten off the premises does not Competitors such as Quiznos and McDonald s do not pay VAT on similar food 117 118 119 In March 2012 Chancellor of the Exchequer George Osborne announced plans to close the loophole that allows Subway competitors to offer hot food without paying VAT This legislation was expected to come into force from October 2012 onward 120 but on May 28 2012 the government withdrew plans to charge VAT on originally hot food being allowed to cool naturally 121 In June 2012 Subway launched the Toast the Tax campaign to put pressure on the government to drop VAT on toasted sandwiches as it has done for hot savouries 122 Footlong trademark disputes edit On January 31 2011 Subway lawyer Valerie Pochron wrote to Casey s General Stores a chain of Iowa based convenience stores demanding that the small chain cease using the term footlong in advertisements for its 12 inch sandwiches Subway threatened to sue Consequently in February 2011 Casey s General Stores Inc filed a petition in a U S District Court in Des Moines seeking a legal declaration that the word footlong does not violate Subway s rights 123 Casey s further sought a declaration that the word footlong is a generic description of a sandwich measuring one foot 124 125 Before serving its complaint on Subway Casey s voluntarily dismissed its action ending the litigation 126 Subway s trademark application for footlong has yet to be approved by the federal government Subway has attempted to register it with the United States Patent and Trademark Office twice It filed on November 8 2007 127 and June 4 2009 128 Both filings have been abandoned on November 20 2013 and August 21 2014 respectively Yum Brands KFC Pizza Hut Taco Bell and non Canadian A amp W locations Long John Silver s and other competitors opposed the applications 123 Ingredients edit Subway removed azodicarbonamide from its bread after food blogger and activist Vani Hari gathered more than 50 000 signatures in a petition drive 129 Before Vani Hari s petition Subway had used azodicarbonamide as a bread conditioner to whiten the dough and allow sandwich bread to bake more quickly As of 2016 update the ingredient was still used by other fast food restaurants 130 In August 2015 Vani Hari again petitioned Subway in conjunction with Natural Resources Defense Council Friends of the Earth the Center for Food Safety U S Public Interest Research Group to commit to buying meat produced without the routine use of antibiotics and to provide a timeline for doing so 131 In October 2015 Subway announced it would transition to chicken raised without antibiotics in 2016 and turkey within the following 2 3 years and would also transition beef and pork raised without antibiotics by 2025 132 133 In 2020 the Supreme Court of Ireland ruled that Subway bread had too high a sugar content to be classed as bread for VAT reasons with its recipe including sugar equal to 10 of the weight of the flour 134 In 2021 a lawsuit was filed against the company alleging that the ingredient Subway bills as tuna was a mixture of various concoctions that do not constitute tuna yet have been blended together by defendants to imitate the appearance of tuna The company s senior director for global food safety and quality said in a statement that Our restaurants receive pure tuna mix it with mayonnaise and serve on a freshly made sandwich to our guests 135 The investigative TV show Inside Edition sent samples of Subway s tuna salad to Applied Food Technologies a Florida company that carries out DNA testing of seafood According to that company Yes we confirmed that tuna was definitely in all three samples we received 136 Subway established a website SubwayTunaFacts com to refute the claims that they did not use real tuna which they have denied unambiguously 137 Soy protein in chicken products edit In an investigation by the Canadian Broadcasting Corporation CBC s consumer affairs television series Marketplace aired in February 2017 chicken from five fast food restaurants was lab tested to determine constituents While DNA testing found between 84 9 and 89 4 of the DNA from other restaurants chicken products to be chicken DNA with the remaining being unidentifiable plant DNA on the two Subway chicken items tested 53 6 and 42 8 of the DNA was found to be chicken with the remainder being mostly soy Although ingredients listings did show soy protein to be a constituent of both of the chicken products Subway states that the proportion is less than or equal to 1 and that the finding of about 50 soy DNA is not representative of the actual amount of soy in the product Subway has called CBC s report absolutely false and misleading and demanded that it be retracted Meanwhile however Subway Canada stated that it was investigating with its supplier to ensure that the proportion of soy protein was as per expectations 138 139 140 141 142 According to Subway s website U S stores ingredients may differ from those in Canadian stores Both countries include soy protein in chicken strips but only the U S version states that it is present in quantities of 2 or less The Canadian version includes soy as an ingredient in its chicken patty but the United States version does not 143 In April 2017 Subway sued the CBC as well as the reporter and two producers for 210 million alleging the CBC acted recklessly and maliciously and that these false statements were published and republished maliciously and without just cause or excuse to a global audience which has resulted in pecuniary loss to the plaintiffs The CBC stood by its reports stating that the DNA tests were done by independent and credible experts 144 The CBC s Emma Bedard stated that Subway had not provided an alternative explanation for the DNA test results obtained by the CBC 145 In November 2019 Subway s lawsuit against the CBC was dismissed through anti SLAPP legislation as CBC s reporting was deemed to be a matter of public interest 146 147 In January 2021 the Ontario Court of Appeal overturned the decision dismissing the lawsuit The Supreme Court of Canada denied leave for appeal so the matter has been returned to the Superior Court of Justice for trial 148 Underpaying workers edit In 2019 the Fair Work Ombudsman found that 17 Australian based Subway franchises had underpaid workers 149 The lengthy investigation by the Ombudsman specifically found that franchises failed to pay the employees minimum wages casual loadings holiday and overtime rates and did not issue proper pay slips or keep proper employment records 149 The investigation resulted in over 81 000 being recovered in unpaid wages for over 160 employees 149 Subway responded by introducing a rolling audit of franchisee employment records and commented that franchise agreements could be terminated if franchisees failed to meet Australian workplace laws and Subway s internal standards of operation 149 Calls for boycott over the Russian invasion of Ukraine edit Following the 2022 Russian invasion of Ukraine Subway was criticized for not divesting or scaling back its operations in Russia unlike most of its competitors 150 151 152 Subway issued a statement saying its corporate office does not own any of the 446 Subway stores in Russia and issued a statement saying In addition to working with our franchisees across Europe to provide meals to refugees we will redirect any profits from operations in Russia to humanitarian efforts supporting Ukrainians who have been affected by the war Our restaurants in Russia are all independently owned and operated by local franchisees and managed by an independent master franchisee 153 See also editList of restaurant chains List of submarine sandwich restaurantsReferences edit Obituary Carmela DeLuca 89 Co Founder of Subway Mother of Fred DeLuca Orange Live August 30 2012 Archived from the original on June 24 2021 Retrieved June 17 2021 Contact Customer Service SUBWAY January 1 1970 Retrieved August 7 2023 a b c Explore Our World Subway Archived from the original on July 29 2019 Retrieved June 6 2021 Patton Leslie November 13 2019 Subway Names Former Burger King CEO to Take Reins Archived from the original on July 7 2020 Retrieved November 14 2019 6 Subway Retrieved December 18 2022 permanent dead link Sales of Subway restaurants in the United States from 2015 to 2020 statista com Retrieved September 18 2021 Subway Forbes January 25 2022 Retrieved May 24 2022 Subway IP LLC OpenCorporates December 14 2015 Retrieved August 26 2023 It s just not what people want anymore Subway to close hundreds of U S stores The Washington Post Archived from the original on April 29 2018 Retrieved December 14 2020 a b McCreary Matthew May 9 2018 How a 17 Year Old With 1 000 Started Subway and Became a Billionaire Entrepreneur Archived from the original on September 24 2020 Retrieved December 14 2020 Herold Tracy 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2017 Archived from the original on July 18 2017 Retrieved July 17 2017 Klein Danny July 2017 Subway Reveals Major New Brand Look QSR magazine Retrieved March 31 2021 Subway Taps ezCater for Online Catering Roll Out QSR magazine Retrieved March 1 2021 Sandwich chain Subway explores sale of business BBC News February 15 2023 Retrieved February 15 2023 Seal Dean February 14 2023 Subway Confirms It Is Seeking Buyers Wall Street Journal Retrieved February 15 2023 a b Barton Susanne March 4 2023 Subway s Potential 10 Billion Sale Draws Goldman Bain Sky Bloomberg com Retrieved March 4 2023 Lucas Amelia August 24 2023 Subway sandwich chain sells itself to Dunkin owner Roark Capital CNBC Retrieved August 24 2023 Subway IP Inc January 3 2017 Privacy Notice subway com United States English www subway com Archived from the original on February 17 2020 Retrieved September 24 2017 Subway IP Inc January 3 2017 Privacy Statement FWH SUBWAY com United States English www subway com Archived from the 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original on October 11 2017 Retrieved February 20 2019 Harwell Drew August 19 2015 Ex Subway guy Jared Fogle to plead guilty to child porn underage sex The Washington Post Washington DC Nash Holdings LLC Archived from the original on October 4 2017 Retrieved July 4 2017 Isidore Chris November 19 2015 Jared Fogle sentenced to more than 15 years CNNMoney Atlanta Georgia Turner Broadcasting Systems Archived from the original on November 24 2015 Retrieved November 25 2015 Schultz E J December 27 2015 Behind Subway s Post Jared Strategy No More Discount Ads Fewer Celebs Advertising Age New York City Crain Communications Archived from the original on February 15 2016 Retrieved February 8 2016 subscription required Football Australia Media September 22 2022 Football Australia and Socceroos score fresh partnership with Subway Socceroos www socceroos com au Retrieved July 21 2023 Did Subway Put Its Foot long In Its Mouth Brandchannel com Archived from the original on May 22 2010 Retrieved June 5 2013 The 3 lunch Subway Archived from the original on October 15 2011 Retrieved October 26 2012 Eskenazi Joe March 28 2012 Subway Kills Five Dollar Footlongs in S F Due to Higher Cost of Doing Business Archived from the original on May 25 2018 Retrieved April 2 2018 Harvey Katherine P August 22 2014 Farewell 5 Footlong The San Diego Union Tribune Archived from the original on April 3 2018 Retrieved April 2 2018 Subway 2014 November Specials New Simple 6 Menu Brandeating com November 1 2014 Archived from the original on April 3 2018 Retrieved April 2 2018 Introducing the Simple 6 Menu Choose from a variety of 6 subs with chips amp a drink for 6 Subway November 5 2014 Archived from the original on December 15 2020 Retrieved April 2 2018 Breaking News Starting February 4th All of your favorite classic footlongs are 6 Subway February 2 2016 Archived from the original on September 30 2019 Retrieved April 2 2018 Walansky Aly December 18 2017 Subway is bringing back its 5 footlong but not everyone is happy Today com Archived from the original on December 15 2020 Retrieved April 2 2018 What s behind curtain 4 99 Subway January 29 2018 Archived from the original on December 15 2020 Retrieved April 2 2018 5 footlongs 4 99 each Subway Archived from the original on April 3 2018 Retrieved April 2 2018 Team ABC12 News Subway discontinues 5 footlong to boost franchisee profits Archived from the original on September 12 2018 Retrieved September 13 2018 An Interview With Jeff Mauro The Winner Of the Food Network s Next Food Star Recipe4Living com Archived from the original on October 4 2017 Retrieved May 5 2017 Since I am Italian American and living around my people for the majority of my life it has been an integral part of my culinary upbringing Subway Italian Hero TV Commercial Piled High iSpot tv 2017 Archived from the original on April 28 2017 Retrieved April 26 2017 Subway Italian Hero Sandwich TV Commercial The Sandwich King Feat Jeff Mauro iSpot tv 2017 Archived from the original on April 28 2017 Retrieved April 26 2017 Subway Italian Hero TV Spot The Taste of Italy iSpot tv 2017 Archived from the original on April 28 2017 Retrieved April 26 2017 Subway Italian Hero TV Commercial The Legendary Italian Heroes Ft Dick Vitale iSpot tv 2017 Archived from the original on April 27 2017 Retrieved April 26 2017 Subway Italian Hero TV Spot Authentic iSpot tv 2017 Archived from the original on April 27 2017 Retrieved April 26 2017 Subway Italian Hero TV Spot Frankie iSpot tv 2017 Archived from the original on April 28 2017 Retrieved April 26 2017 Inside Subway s superstar studded Refresh campaign by Jessica Wohl Ad Age July 13 2021 Retrieved July 24 2021 Paywall Megan Rapinoe s Post Olympic Woes Continue as Subway Franchises Want Her Dropped by Scott MacDonald Newsweek August 8 2021 Retrieved August 13 2021 Steele Anne December 28 2015 Subway Begins Move Toward Cage Free Eggs The Wall Street Journal Archived from the original on January 21 2018 Retrieved December 5 2017 Sustainable Sourcing subway com United States English SUBWAY com January 1 1970 Archived from the original on June 29 2017 Retrieved July 4 2017 Subway to implement new animal welfare standards Meat Poultry Meatpoultry com Archived from the original on May 16 2017 Retrieved July 4 2017 Bailey Micah April 28 2017 Subway commits to Chicken Welfare Policy Wtnh com Archived from the original on June 12 2018 Retrieved July 4 2017 Daniel Craig April 28 2017 Cheltenham student prods Subway to new chicken welfare policy PhillyVoice Archived from the original on June 20 2017 Retrieved July 4 2017 a b Hepatitis Outbreak Triggers Lawsuit The Columbian Vancouver November 14 1999 Archived from the original on September 24 2015 Retrieved June 5 2015 via HighBeam Research Matheny SC Kingery JE December 1 2012 Hepatitis A Am Fam Physician 86 11 1027 34 quiz 1010 2 PMID 23198670 Archived from the original on March 9 2014 Retrieved June 5 2015 a b Seattle Subway Franchise Will Pay 10 Million to Settle Boy s Hepatitis Suit The Seattle Times Seattle July 3 2001 Archived from the original on September 24 2015 Retrieved June 5 2015 via HighBeam Research Subway Franchise Faces Claims from Over Thirty One Hepatitis A Victims Marler Clark November 10 1999 Archived from the original on October 4 2017 Retrieved June 5 2015 Subway Hepatitis A Outbreak About Hepatitis 2015 Archived from the original on March 5 2016 Retrieved June 5 2015 Kloap Danielle April 14 2015 Health Department Hepatitis A exposure possible at Subway in Morrilton Arkansas Democrat Gazette Little Rock Archived from the original on May 22 2015 Retrieved June 5 2015 Arkansas Officials Warn About Possible Exposure to Hepatitis A at Subway Food Safety News Seattle April 14 2015 Archived from the original on July 10 2015 Retrieved June 5 2015 Joe Ducey June 26 2007 Sub Standard KNXV TV Phoenix Arizona Archived from the original on August 18 2007 Retrieved April 8 2008 Video Mangan Dan January 19 2013 Subway explains shortness of their Footlong sandwiches It s just the name of the sub New York Post Archived from the original on June 28 2014 Retrieved January 19 2013 Worthless Subway Footlong sandwich settlement is thrown out U S Reuters August 25 2017 Archived from the original on February 12 2018 Retrieved February 12 2018 Subway foot long settlement utterly worthless to customers 7th Circuit says ABA Journal August 30 2017 Archived from the original on February 12 2018 Retrieved February 12 2018 Robin Lee Allen December 11 1995 Subway ordered to pay 10M in punitive damages to ex landlord Nation s Restaurant News Archived from the original on January 6 2012 Retrieved August 8 2011 Richard Behar March 16 1998 Why Subway Is The Biggest Problem In Franchising That s the assessment of a congressional staffer who studied Forbes Magazine Archived from the original on September 6 2011 Retrieved August 8 2011 a b Karen Robinson Jacobs June 21 2009 Soldier suing after being stripped of Subway restaurant franchises The Dallas Morning News Archived from the original on June 23 2009 Retrieved July 28 2009 Robinson Jacobs Karen January 5 2010 Subway soldier settle Dallas franchise dispute The Dallas Morning News Archived from the original on June 12 2018 Retrieved August 25 2011 Subway wrangle over VAT could be heading to high court Huddersfield Daily Examiner January 4 2011 Archived from the original on May 18 2015 Retrieved June 29 2011 Big butties small mindedness Taxation October 20 2010 Archived from the original on October 26 2010 Retrieved February 17 2011 Subway VAT appeal Subway loses Howlader amp Co November 4 2010 Archived from the original on August 18 2011 Retrieved January 17 2011 Budget 2012 VAT move could hit cost of bacon rolls BBC News March 21 2012 Archived from the original on June 18 2018 Retrieved July 21 2018 Government does U turn over Cornish pasty tax BBC News May 28 2012 Archived from the original on June 23 2018 Retrieved July 21 2018 Shaw Martin June 24 2012 David Cameron of Birkby v David Cameron of Downing Street in toastie tax row Huddersfield Examiner Archived from the original on May 18 2015 Retrieved June 5 2013 a b Casey s sues Subway over rights to footlong USA Today July 16 2010 Archived from the original on January 20 2013 Retrieved February 17 2011 Welte Melanie S February 14 2011 Iowa store chain sues Subway over footlong NBC News Archived from the original on September 23 2020 Retrieved February 17 2011 Complaint Casey s v Subway No 4 11 cv 64 S D Iowa February 11 2011 Motion for voluntary dismissal Casey s v Subway No 4 11 cv 64 S D Iowa May 3 2011 U S Patent and Trademark Office footlong application 1 s n 77324328 Archived from the original on May 11 2013 Retrieved February 10 2013 U S Patent and Trademark Office footlong application 2 s n 77752328 Archived from the original on May 11 2013 Retrieved February 10 2013 Our Commitment to Our Customers Serving Quality Products Subway Introduces Azo Free Bread in the US and Canada PDF subway com Archived from the original PDF on February 26 2014 That Chemical Subway Ditched McDonald s Wendy s Use it Too NBC News NBC News Archived from the original on January 24 2017 Retrieved December 31 2016 Subway to transition to meat raised without antibiotics The Big Story Archived from the original on October 23 2015 Retrieved April 20 2016 Charles Dan October 20 2015 Subway Joins The Fast Food Antibiotic Free Meat Club NPR Archived from the original on April 13 2016 Retrieved April 20 2016 SUBWAY Restaurants Elevates Current Antibiotic Free Policy U S Restaurants Will Only Serve Animal Proteins That Have Never Been Treated With Antibiotics PDF Subway com Archived from the original PDF on April 23 2016 Sandwiches in Subway too sugary to meet legal definition of being bread independent Archived from the original on October 1 2020 Retrieved October 1 2020 Carman Tim January 27 2021 Subway s tuna is not tuna but a mixture of various concoctions a lawsuit alleges The Washington Post Retrieved January 29 2021 Staff February 11 2021 Do Subway s Tuna Sandwiches Actually Contain Tuna Inside Edition Investigates Inside Edition Retrieved June 22 2021 Subway Tuna is Real Tuna SubwayTunaFacts com Subway 2021 Retrieved July 22 2021 The truth is Subway uses wild caught skipjack tuna regulated by the Food and Drug Administration FDA A favorite among sub lovers our tuna is and has always been high quality premium and 100 real The chicken challenge Testing your fast food Marketplace CBC News cbc ca February 24 2017 Archived from the original on March 8 2017 Retrieved March 8 2017 Fast food chicken Testing Subway McDonald s A amp W Wendy s amp Tim Hortons CBC Marketplace YouTube February 24 2017 Archived from the original on March 8 2017 Retrieved March 8 2017 What s in your chicken sandwich DNA test shows Subway sandwiches could contain just 50 chicken Business CBC News cbc ca February 24 2017 Archived from the original on March 8 2017 Retrieved March 8 2017 Company responses Chicken Marketplace CBC News cbc ca February 24 2017 Archived from the original on March 5 2017 Retrieved March 8 2017 Subway defends its chicken after CBC Marketplace report cbc ca March 1 2017 Archived from the original on March 7 2017 Retrieved March 8 2017 Subway Denies That Its Chicken Is 50 Filler Time March 5 2017 Archived from the original on May 8 2017 Retrieved May 14 2017 Subway files defamation suit against CBC over chicken reports CBC News April 18 2017 Archived from the original on May 25 2017 Retrieved May 14 2017 Lalani Azzura March 16 2017 Subway says it plans to sue CBC for 210 million over chicken findings Toronto Star Archived from the original on May 22 2017 Retrieved May 14 2017 Loriggio Paul November 29 2019 Ontario court dismisses Subway s lawsuit against CBC over chicken report Canadian Business The Canadian Press Archived from the original on December 4 2019 Retrieved December 4 2019 Judge dismisses Subway s 210M lawsuit against CBC over chicken sandwich expose CBC News Archived from the original on November 26 2019 Retrieved December 4 2019 Subway s defamation suit against CBC over report on chicken content allowed to proceed CBC News August 11 2021 a b c d Ryan Peter October 1 2019 Subway forced to cough up workers unpaid wages in crackdown on fast food sector ABC News Archived from the original on December 24 2019 Retrieved December 26 2019 Schott Paul March 18 2022 As calls to boycott Subway intensify CT company resists pulling out of Russia CT Insider Archived from the original on March 18 2022 Retrieved March 23 2022 Opinion Stop buying from these companies They re funding Putin s war The Washington Post ISSN 0190 8286 Archived from the original on November 8 2022 Retrieved March 23 2022 Corbett Kelly March 18 2022 Here s Why Twitter Is Calling for Americans to Boycott Subway Distractify Munbodh Emma March 16 2022 Subway PepsiCo and more firms still trading in Russia 21 days since Ukraine war began Daily Mirror Archived from the original on March 16 2022 Retrieved February 26 2023 External links edit nbsp Wikimedia Commons has media related to Subway restaurant Official website Portals nbsp Connecticut nbsp Companies nbsp Food Retrieved from https en wikipedia org w index php title Subway restaurant amp oldid 1185232289, wikipedia, wiki, book, books, library,

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