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American Lorain Wins Bid to Enter into Two-Year Contract With Yum! Brands

July 10, 2008

American Lorain, an international packaged foods company, has won a bid to enter into a two-year contract with Yum! Restaurants Consulting, to distribute a variety of food products for Yum! China Division’s subsidiaries Kentucky Fried Chicken and Pizza Hut in China.

According to the company, the potential distribution contract will enhance the existing relationship between American Lorain and Yum! China Division. The potential contract, which is intended to cover the period from September 2008 to August 2010, is expected to generate well over $20 million in revenues for American Lorain.

The potential two-year distribution contract, which represents 12.1% of Yum! China Division’s total imported sales of frozen food products to China, will allow American Lorain to distribute food products on behalf of Kentucky Fried Chicken (KFC) and Pizza Hut. The company will distribute products such as cheese, corn cobs, waffle crispers, onion rings, string cheese and potato sticks to regions such as Zhengzhou in Henan Province, Qingdao in Shandong Province and Beijing.

Si Chen, chairman and CEO of American Lorain, said: “The success of American Lorain in winning the bid for the two-year distribution contract with Yum! China Division indicates not only that we have done a great job with KFC and Pizza Hut in the past but also exhibits the confidence that large international companies such as Yum! Brands have in our distribution network and services.”




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