SINGAPORE. McDonald’s and Burger King franchisee Bon-Food have each been awarded a brand-name fast food concession at Singapore Changi Airport Terminal 2.
McDonald’s won Concession A, in the T2 Arrivals Meeting Hall South, while Bon-Food won Concession B, located in Departure/Check-In Hall North. The other bidders were ASPAC F&B and Kentucky Fried Chicken.
For Concession A McDonald’s offered (i) 12% of total monthly gross sales for sales up to S$150,000 per month; PLUS (ii) 20% of the incremental monthly gross sales for sales above S$150,000 per month and up to S$200,000 per month; PLUS (iii) 25% of the incremental monthly gross sales for sales above S$200,000 per month and up to S$250,000 per month; PLUS (iv) 30% of the incremental monthly gross sales for sales above S$250,000 per month and up to S$300,000 per month; PLUS (v) 35% of the incremental monthly gross sales for sales above S$300,000 per month.
Alternatively it offered a Minimum Monthly Guarantee (MMG) of (i) S$18,000 for total monthly gross sales up to S$150,000 per month; (ii) S$25,000 for total monthly gross sales above S$150,000 per month and up to S$200,000 per month; (iii) S$28,000 for total monthly gross sales above S$200,000 per month and up to S$250,000 per month; (iv) S$40,500 for total monthly gross sales above S$250,000 per month and up to S$300,000 per month; (v) S$55,500 for total monthly gross sales above S$300,000 per month, whichever is higher of the percentage or MMG.
For Concession B Bon-Food offered (i) 21% of total monthly gross sales for sales up to S$200,000 per month; (ii) 23.5% of total monthly gross sales for sales above S$200,000 per month; OR a Minimum Monthly Guarantee of (i) S$36,000 for total monthly gross sales up to S$200,000 per month; (ii) S$40,000 for total monthly gross sales above S$200,000 per month, whichever is higher.
Contracts begin on 30 June and run to 31 December 2012.
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