Just 1 year ago, Tim Hortons donut and coffee franchise debuted 9 new locations in New York City. It did so by implementing a stealthy takeover of Dunkin' Donuts stores. Now, halfway through 2010, the donut chain's president says that the company plans to increase the franchise's presence throughout the United States.
Already a coffee and donut conglomerate in Canada, with a $5.5 billion market cap, Tim Hortons is actually North America's 4th-largest fast food chain. The opportunity to make its move into New York came about after a fallout between Dunkin' Donuts and one of its franchisees. Shortly after the Riese Organization ended its 26 year relationship with Dunkin' Donuts, Tim Hortons was quick to step in and remake the New York locations.
Today, Tim Hortons has 11 stores spread throughout Manhattan and Brooklyn, including locations inside Penn Station and Madison Square Garden. A new location is slated to open in a Times Square ice cream store, as part of a co-branding deal with Cold Stone Creamery.
The donut maker currently has more than 550 locations in 12 U.S. states, and more than 3,000 locations throughout Canada. While the chain believes it can manage up to another 1,000 stores in Canada, its real growth focus is in the U.S. marketplace which, until now, has been strongly dominated by Dunkin'.
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