Kenny’s Cardiology opens in NZ

August 18, 2008

ALLIED BRANDS LIMITED (ASX:ABQ)

Kenny’s Cardiology opens in NZ as it reaches 50 store milestone

LEADING owner, operator and developer of franchises Allied Brands Limited (ASX: ABQ) announced today it had opened its first Kenny’s Cardiology stores in New Zealand as it reached its 50 store milestone.

Kenny’s Cardiology’s 50th store is at Glenfield in New Zealand, with Allied Brands growing Kenny’s Cardiology store numbers from 32 to 50 since the business was acquired just over 12 months ago.

Allied Brands managing director Peter Graham said the opening of the first two Kenny’s Cardiology stores in New Zealand at Glenfield and Shore City would be followed by a further four NZ stores to open before Christmas 2008.

“We believe New Zealand holds enormous potential for Kenny’s Cardiology and we expect to duplicate the success this franchise has achieved since we acquired it in 2007,” he said.

Allied Brands currently has nearly 300 franchised stores and territories across Australia and New Zealand operating under five separate brands - Kenny’s Cardiology, Baskin-Robbins, Cookie Man, Awesome Water and Awesome Entertainment.

“In 2007/2008 Allied Brands opened a record 64 new stores and territories. We expect this figure to be 70 in 2008/2009,” Mr Graham said.

“By September this year we expect to have 55 Kenny’s Cardiology stores including our first five stores in New Zealand. Allied Brands plans to have as many as 30 KC stores in New Zealand within three years.”

Kenny’s Cardiology stores specialise in cards and gifts for all occasions and all ages and have built a strong following since the opening of the first store in Adelaide, Australia in 1986.

Kenny’s Cardiology Managing Director Anthony Underwood said the new NZ stores were already popular with shoppers in the days since they opened with many curious about their uniquely inviting ambience and beautiful merchandising.

“We have really been overwhelmed with the strong response from shoppers, with trading ahead of schedule and stores profitable from day one,” Mr Underwood said.

“It seems that New Zealanders enjoy the unique mix of greeting cards, teddy bears, toys and other gifts that make Kenny’s Cardiology stores fun places to be. Many shoppers take a break from the hustle and bustle of the shopping centre in a Kenny’s Cardiology store.”

ENDS

© Scoop Media