In a move seen by many as a broader strategic direction for The Athletes Foot, the company has completed an “area development agreement” with a Houston company that purchased TAFs nine company-owned stores in the Houston area. The Odom Group, Inc. plans to open at least 10 additional stores over the course of the agreement.
The Odom Group opened their first The Athlete's Foot franchise store in Houston in 2003.
TAF, which has been very successful in finding strong local market partners for its international franchising plans, has more recently focused on developing regional markets in the U.S. with the help of local entrepreneurs.
The company sees the same opportunity with The Odom Group.
“We believe that their local involvement will resonate with local consumers, leading to a successful partnership,” said Robert J. Corliss, president and CEO of The Athlete's Foot in a company release.
On the international front, The Athlete's Foot has formalized an agreement with Veto S.A. of Athens, Greece to become The Athlete's Foot's master franchisee for Greece. The company projects multiple store openings over the length of the 10-year agreement in an effort to obtain a sizable percentage of market share. The initial store is expected to open in Athens in April 2004 in time to take advantage of the Summer Olympics.
The company currently operates 126 stores in Europe. In 2002, The Athlete's Foot opened 88 franchise stores, 65 of which were in international markets. It has plans to add over 100 stores globally this year.
“Greece is a marketplace with a strong economy and sports culture underscored by its history as the birthplace and future host of the Olympic Games,” said Corliss. “We are very pleased to expand our global presence by entering Greece with such a capable and experienced partner, Veto S.A.”
Veto S.A. is one of Greece's premier importers of major sportswear brands including Fila, Russell Athletic, Sketchers, Disney kid's shoes, Ocean Pacific, No Fear, Freddy and Rietveld.
TAF in August announced a securitization transaction that enables the company to convert short-term financing with long-term fixed-rate bonds, freeing up cash to fuel growth and fund brand-building.
