The agreement calls for DK Retail to open 100 Tully's retail store locations in South Korea over the next five years. The first store is scheduled to open in Seoul in March 2010.
TCI's first master licensee was the Far East Organization (FEO), a developer and private residential landlord in Singapore. FEO is also the majority shareholder of Yeo Hiap Seng (Yeo's), the Pepsi franchisee of Singapore. Its sister company is the Sino Land Group of Hong Kong. They currently operate four Tully's retail store locations and three Quiznos locations in Singapore.
Young Hun Cho, CEO of DK Retail, said: "We have a high regard and respect for the Tully's brand and product. We were overwhelmed by the atmosphere and passion that customers had for Tully's upon our recent visit to the USA. We have a great appreciation and expectation for what we're bringing to the gourmet coffee consumers in South Korea and are very excited to get the first store open."
Tom O'Keefe, founder and chairman of Tully's and managing director of TCI. "As global markets expand and international consumers continue to demand high quality products, the opportunities for Tully's continue to grow as well.
"We are excited and confident in the growth strategies set forth by DK Retail and excited about opening successful operations in South Korea. This is just the beginning of what we believe will be a major expansion of the Tully's brand in Asia."
TCI was established to license Tully's retail and wholesale activities throughout 30 countries in Asia, Australia and New Zealand. TCI is a joint venture between Tully's Coffee Asia Pacific (TCAP), a wholly owned subsidiary of TC Global (Tully's), and AFCM, a Singapore company.