A major announcement has just shocked fans of one of the nation's most iconic restaurants! Subway has announced they are closing hundreds of stores!
The announcement comes amid an "intense competition" in the sandwich industry. According to reports, the food giant is planning on shutting down 500 locations.
"But as Subway faces more intense competition from everyone from a stronger McDonald’s to Panera Bread to Starbucks (SBUX, -0.02%), the company is finding it preferable to have nicer restaurants even if that means fewer of them. And competition isn’t limited to direct competitors—everyone from Target (TGT, +1.05%) to Walgreens (WBA, +1.43%) has been adding take-out sandwiches to their food offering," reported Fortune.
“We want to be sure that we have the best location,” Subway Restaurants CEO Suzanne Greco told Bloomberg News in an interview. “Store count isn’t everything.” The 2018 closings will come on the heels of similar moves in the last two years.
While they plan on shutting U.S. locations, they are planning on adding additional stores in North America. They are fiercely fighting to be the top lunch spot across the market.
"Subway restaurants are small in size, but ubiquitous. The chain is the largest in the U.S. by store count of any quick-service chain with nearly 26,000 locations, well above the 14,000 McDonald’s (MCD, -0.80%) restaurants in this country," reported Fortune.
What do you think about this? Let us know! Also, be sure to read our shocking update about Matt Lauer. He is said to be in "bad shape" since losing everything.