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QUARTERLY

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Fall 2020

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CONTENTS

AKFCF QUARTERLY FALL 2020

We Are Better Together 20 24 FEATURES GAC Report: The VP Pick Is In 16 By Amy Agenbroad Late afternoon on Aug. 11, 2020, Presidential Candidate Joe Biden put an end to the long-anticipated wait of announcing who will be his running mate for the 2020 election.

Power Of The People 20 By Kelly Rodenberg AKFCF President Brandon Robertson has chosen “Power of the People” as the theme for his presidential term and the 2021 Annual Convention. The strength of the AKFCF is in the combined wisdom and will of all of its members and partners working together toward a common goal. CONVENTION: WE ARE BETTER TOGETHER 24 By Kelly Rodenberg We are excited to make the AKFCF 2021 Annual Convention a rallying call — “Power of the People” — for our KFC family to reunite. FOUNDATION: TOGETHER, WE’RE CHANGING LIVES 32 KFC By Elizabeth Edrington Your support is taking the KFC Foundation’s impact to new heights. Every year our awareness and engagement, among restaurant teams, is growing.

42 By Diane Peoples

WHY ASSOCIATION HEALTH PLANS MATTER TO SMALL BUSINESSES

42 DEPARTMENTS 4 From the Editor 6 President’s Report 10 NCAC Report 12 In the News 46 RSCS Report 48 KFC Foundation 50 Regional Short 51 Finance Committee Report 52 Executive Director Update 54 Legal Update By Ron Gardner 56 Looking Back

Association health plans were designed to address the challenge of affordable healthcare for small business owners and their employees. On the Cover: 2020 certainly has been an unusual and trying year. However, it’s also an election year, so let’s not forget to participate in our democracy and vote this November in our local and national elections. Let your voices be heard.

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FROM THE EDITOR

QUARTERLY Official Publication of the Association of Kentucky Fried Chicken Franchisees AKFCF QUARTERLY MISSION STATEMENT

A WILD RIDE… By Michelle Hunt

t’s been a wild ride over the summer and into the fall of 2020. Thankfully, we were able to finish our high school baseball season, show FFA livestock at both the county and state level, take a few days to explore South Dakota and part of Wyoming, and both boys were able to go back to school. The biggest win in my book is that our high school is back to in-person learning for our youngest and college is back to a hybrid schedule for our oldest. These kids needed to get back to school, back to their friends, and back to building their futures. Now, I wish I could get back to traveling the country and especially seeing my KFC family. I love to travel and I’ve had a great sense of loss not being able to attend meetings, or socialize with friends all over the country. I’ve got nothing on the books (except crossing my fingers for the Convention) and hopefully, that will change sooner rather than later. In the meantime, at least we have been able to see family. In fact, as I write this it is wedding week for my nephew. Hard to believe these kids are getting old enough to marry and start lives of their own. He is attending law school while his fiancé is studying to be a teacher. I am looking forward to having nearly all our family in one place while celebrating the new couple’s love and unity. I can’t say the same for our country right now — love and unity seem to be an afterthought for at least a segment of the U.S. population. I hope that as we continue toward the presidential election and beyond that we can find peace in this country that allows us to have our own opinions, political parties, and the freedom to live, succeed and be happy. The GAC provides an overview of the Democrats’ vice presidential candidate selection announced over the summer and the upcoming election on page 16. Don’t forget to support the AKFCF PAC and the initiatives of the GAC as they work hard for our interests in Washington, D.C. The theme of the Convention is Power of the People, and you’ll see the first installment of an article series by the same name on page 20, highlighting select members and partners of the AKFCF chosen by our president, Brandon Robertson. You’ll also find a preview of the Convention as it stands currently on page 24. We also recognize this year’s REACH Grant recipients and Rise with GEDWorks graduates beginning on page 32. Of business interest, on page 42, we invited Decisely to discuss the concept of Association Health Plans (AHP) with a sidebar from Jake Rasor from the Southeast Region on how they’re working to provide an alternative to traditional individual group health insurance and save franchisees money through an AHP they started in 2019. Don’t forget to check out our regular columns and let us know if there is anything you’d like to see covered in a future issue of the AKFCF Quarterly. Stay safe, stay healthy, and pray that we see each other at the 2021 AKFCF Convention at the Gaylord National Resort in National Harbor, Maryland next March. Warmest regards,

4 AKFCF Quarterly Fall 2020

The AKFCF Quarterly is the voice of today’s franchisee family and supports the mission of the Association of Kentucky Fried Chicken Franchisees, Inc.

AKFCF EDITORIAL TEAM

AKFCF President Editor Assistant Editor AKFCF Administrative Director Communications Chair Executive Director Past President

Brandon Robertson Michelle Hunt Julie Mantlo Debbie Newton Kevin Schlutz Kelly Rodenberg Jim McKenzie

The AKFCF Quarterly (ISSN 1071-9873) is published by the Association of Kentucky Fried Chicken Franchisees for its members and their friends. AKFCF is the independent Association of Kentucky Fried Chicken Franchisees.

FRANCHISEE EDITORS:

Michelle Hunt 14812 N Avenue, Columbus Junction, IA 52738 Phone: (319) 728-3282 Fax: (319) 728-2940 michelle@centraliowakfc.com Julie Mantlo 855 Lovers Lane, Suite 111, Bowling Green, KY 42103 Phone: (270) 783-8880 julie@rogmancorp.com Zaira Guevara (International Liaison) Pty # 69328, P.O. Box 25207, Miami, FL 33102 Phone: (305) 384-4242 (U.S.) (011) 506 2208-7828 (Direct) zguevara@caribla.com

Copyright ©2020 AKFCF, Inc. All rights reserved. Articles may be quoted with credit to the source. Information in the AKFCF Quarterly (ISSN 1071-9873) represents the views of the authors and unless noted otherwise does not necessarily reflect the policies or position of AKFCF, Inc. Acceptance of paid advertising does not imply endorsement by the Association, or approval of the advertiser or its product or service by KFC Corporation.

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FROM THE PRESIDENT

POWER OF THE PEOPLE

By Brandon Robertson

chose “Power of the People” as the Convention theme for 2021 because every successful business is only as strong as the people leading. My goal is to be able to tell the stories of some of the talented people that lead this brand and inspire others to lead. We are fortunate to have some extremely talented franchisees and employees of franchisees who volunteer their time, and work side by side with the amazing leaders at KFCC. We also have some awesome vendors in our system that help us be best-in-class every day. I am so grateful for having been able to learn from and be mentored by all these wonderful people for the last 21 years. My story is a better one because they chose to share with me, and I hope others will be inspired to continue this great tradition in our KFC family! We still are planning an in-person Convention at the Gaylord National Harbor. We went there a few weeks ago for a video shoot and site visit. It was an interesting experience to say the least. Have you ever been in a Gaylord property with six other people and known that other than a few security guards no one else was there? I

can sum it up for you in one word: creepy. However, the property is amazing, and the surrounding area is a great place to have an event. There are many shops and restaurants for your entertainment just a few steps from the front door. If there is something good coming out of the shutdown it is the fact that the hotel is remodeling all the rooms. Hopefully, time will be good to us and the pandemic will have improved significantly by the time you read this, allowing us to move ahead with a Convention as-usual, but only time will tell. Regardless, if the Convention is in-person or virtual, we will have some great workshops to share with you this year. Rob Rianna and the Education Committee are hard at work building the workshops in conjunction with KFCC to make them better than ever. They always do an amazing job with workshops and this year will be no different, even if we must communicate them in a new way. This time of year, I expected to be seeing many of you at the fall meetings. Well… maybe in the spring! For years, I have heard all our great past presidents talk about how

We are fortunate to have some extremely talented franchisees and employees of franchisees who volunteer their time, and work side by side with the amazing leaders at KFCC. We also have some awesome vendors in our system that help us be best-in-class every day.

6 AKFCF Quarterly Fall 2020

busy you are as president and how much travel there is. For me, it has been pretty quiet, but there have been a few positives from this pandemic. I have completed several home projects. I also got to spend all spring and all summer with my girls. I did not think that would ever happen again. They went back to college a few weeks ago, and things are normal minus the masks and random quarantine because your roommate tested positive for COVID-19 — yep, it happened the first week. Traci and I are ready to get back on the road; we’re empty nesters with nowhere to go! Let’s talk about a few great things that have happened in the past few months. Digital sales have been off the charts, and the recent addition of Uber Eats and DoorDash have put us in a great place to capture as many delivery orders as we can. I must give a big shout out to the technology folks led by Chris Caldwell for moving with a sense of urgency to get us where we needed to be on digital. It’s hard to say what the future holds, but I have a feeling the pandemic has made delivery a much bigger part of our business for the foreseeable future. The brand and your franchise leadership are working hard to make sure we keep our momentum. The NCAC is 100-percent virtual and meeting in smaller time segments rather than all-day meetings to keep operations, marketing, technology, and contract and facilities moving forward. Sales have been amazing, and profits have been at alltime highs for many of us. We are fortunate to be in a business that is excelling due to a drive-thru and a full home meal replacement. As bad as things are around the world, we have a lot to be thankful for! n

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NCAC REPORT

WORKING LONGER AND HARDER ON YOUR BEHALF By Tom Broome, NCAC Vice Chair

ust six months ago, the world changed for us all. After a lackluster January and February, we saw our business crater with the onset of the coronavirus pandemic in midMarch, as many places went on lockdown. The NCAC acted swiftly, cutting spending by more than a third, and reducing every line item in our budget. We also reworked our meeting schedule from live, subcommittee meetings every quarter to meeting at least monthly via Microsoft Teams. Under this new schedule, all subcommittees meet one week, and the NCAC meets the following week to align on programs, as necessary. I tell you this because I want you to know that your elected representatives — as well as 20 other franchisees (or their functional experts) who serve on subcommittees — are working longer and harder on your behalf than ever before. Each committee chair is working with KFCC, sometimes daily, between the meetings to ensure there are no surprises or major issues when things come before the rest of the committee and the NCAC for alignment. I would like to take this opportunity to share with you what the subcommittees are working on, some of which will be completed before this publication comes out! The Contracts & Facilities Subcommittee is chaired by Todd Stewart with members Chris Fowler, Jamie Jackson, Ben Johnson (KBP Foods and former NCAC attorney), Jim McKenzie, Brandon Roberts, David Sparks, and Pete Wasilevich. And of course, Ron Gardner serves as a de facto member. In addition to the many system agreements (e.g., MERIT extension, Uber Eats and Door

10 AKFCF Quarterly Fall 2020

Dash agreements), they are pushing KFCC to develop the next generation of our restaurants as we continue to need remodels and new builds; we know that the future after the pandemic will likely be much different and restaurant design should support those changes. As you probably know, Pete Wasilevich has chaired the Marketing Subcommittee for many years. The subcommittee members are Jeff Baker, Joan Bowling, Michael Fulenwider, Anthony Gianino (KBP), Inman Hodges, Denise Springer, and Todd Stewart. This group has been shaping the national calendar nearly every week, trying to determine the right time to evolve our strategy from 100-percent high-end to layering in a low-end message as well. While there are certainly regional differences in results, this committee must remain focused on doing the right thing for the KFC brand first, then look at regional differences, and their own business last. The Operations Excellence Committee has a new chair this year, Bill Byrd. Serving alongside Bill are Lee Basinger (Overcash organization), Shawn Brady (Harman’s), Tony Buford (KBP), Bill Ford (Stewart Group), Pushpak Patel, P2 Sandhu, and Kelly Shoffner. This committee has been instrumental in shaping the future of ROCC and Balanced Scorecard for 2021. You should have seen the results of their efforts in the August NCAC Newsletter, as well as frequent posts on TeamKFC. The Operations Subcommittee, led by Marcus Shelton, focuses on operational execution at the restaurant level. The Ops Sub,

with Jim Beglin (Harman’s), Brian Goldstein (Fulenwider), Matt Hansen (KBP), Noah Hommerding (Stewart Group), Bryan Robinson and Larry Starkey, have been actively involved in shaping the operations testing and planning for the new KFC Sandwich launching early next year. They are actively involved in all product and back-of-house technology tests. Finally, the Technology Subcommittee was expanded earlier this year and will have more input and oversight into the many things coming down the pipeline. Led by Jim McKenzie, along with Jeff Baker, Inman Hodges, Bryan Robinson, Marcus Shelton, and Justin Stewart, this group has been actively involved in pushing KFCC to get all delivery aggregators integrated as quickly as possible into our system. They also are providing input on the rapidly developing KFC App (set to launch early next year), as well as the revamp of the KFC website. As you can see, your elected representatives, as well as those who have volunteered to serve, are working extremely hard on your behalf. Prior to COVID-19, there were quarterly meetings in Louisville, with an occasional subcommittee call in between. Now these subcommittees are meeting at least monthly (and more often as needed), with the NCAC also meeting monthly. The result is that we have greater knowledge and understanding of the brand’s plans and thinking and, more importantly, greater ability to influence those plans before decisions are made. Thank you all very much for your support during these unusual times! n

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In the NEWS

KFC APPOINTS NEW DIRECTOR OF EQUITY AND INCLUSION

Photo courtesy Yum! Brands

FC U.S. has appointed John Mays to the newly formed role of director of equity and inclusion. Mays will lead the development and implementation of KFC’s equity and inclusion vision and strategy in the United States. “[Mays’] drive and ability to build upon our culture of inclusion will enhance our existing foundational efforts as a brand — from employee resource groups to KFC’s inclusive hiring initiative,” said KFC Chief People Officer, John Kurnick, in a news release. Mays will report to Kurnick. “I am confident that John will challenge our thinking and bring provocative thought leadership to this role,” Kurnick continued. “John’s early thinking on our strategy in this new role will continue to prioritize diversity of thought and action, making a significant and lasting impact within KFC, and throughout the quick-service restaurant

industry and the communities we serve.” Mays has played an instrumental role in guiding and educating the brand on systemic racism, including helping to develop the brand’s external response to the deaths of Breonna Taylor, David McAtee, Ahmaud Arbery, George Floyd and others that have resulted in the continued demonstrations for social justice, the release said. He will take the lead on the development of steps and actions that ensure the brand’s equity and inclusion vision is embedded into

the organization’s structure, processes, and decision-making. “My driving passion is making sure everyone feels empowered to bring the best authentic version of themselves to the workplace and no one is left behind,” Mays said in the release. “And while equity and inclusion may look different for everyone, if we can spark change by capturing on the momentum of this moment to become a sustainable movement for our brand, then I believe KFC will have done something extraordinary.” Mays joined the KFC operations team as a manager of restaurant strategies in 2015. In his most recent role as franchise business coach, he and his team of operations consultants supported and advised more than 1,000 franchise restaurants across 20 states, developing relationships, and building programs. Source: Louisville Business First

KFC CANADA MAKES PERMANENT PLANT-BASED ADDITION he Plant-Based KFC chicken sandwich will be a permanent addition to KFC Canada menus after a successful pilot with plantbased partner Lightlife in 2019, the unit of Yum! Brands said. KFC Canada said the Plant-Based KFC chicken sandwich will be available permanently beginning Aug. 10, and Plant-Based KFC Popcorn will be available for a limited time while quantities last. The items can be ordered individually, as part of a combo, or as part of a box meal, the company said. “When we tested Plant-Based KFC by Lightlife late last year, we sold over a month’s worth of sandwiches in six hours,” said Samantha Redman, chief marketing officer, KFC Canada. “Seeing the extraordinary demand for Plant-Based KFC, we worked quickly to bring these menu items to our restaurants across Canada.” “Whether you enjoy a vegetarian or flexitarian lifestyle — or you’re one of our loyal fans looking for something new, Plant-Based KFC is a modern take on our world-famous classics,” Redman added. Plant-Based KFC is made in Canada by Lightlife, a leading plantbased protein brand that is owned by Greenleaf Foods SPC, which is a subsidiary of Maple Leaf Foods. Lightlife products also are sold at leading Canadian grocers including Metro, Loblaws, Sobeys, Save On Foods and Longo’s. “Lightlife is excited to continue on this journey with KFC, providing

12 AKFCF Quarterly Fall 2020

Photo courtesy Yum! Brands

Canadians with plant-based foods that deliver on incredible taste and are more broadly available to consumers who know balance is essential to living well,” said Dan Curtin, president of Greenleaf Foods. “The Plant-Based KFC sandwich delivers the same great taste of chicken — but made with plants.” Source: Meat+Poultry

KFCC PARTNERS WITH DOORDASH

tarting September 8, more than 3,000 KFC locations are now available on DoorDash. To kick off the partnership, the delivery company wanted to understand just how much consumers love fried chicken. It surveyed 1,000 chicken-eating Americans on what they love most about fried chicken, KFC’s legendary sauces, America’s side preferences and more. Here’s what they found out.

so “often” or “almost always.” Honey BBQ Sauce ranks #1 as Americans’ favorite sauce, followed by Buttermilk Ranch and Honey Mustard. And KFC-goers are more likely to order extra sauces with their meal every time.

Fried chicken is the king of comfort (comfort food that is) Ninety-two percent of Americans say fried chicken is their go-to comfort food and 94 percent say they usually get comfort food when ordering in. Millennials and Gen Zers are more likely to have fried chicken delivered than any other age group. Plus, 80 percent of KFC-goers have an even stronger affinity for fried chicken.

‘extra crispy’ style fried chicken than their male counterparts (43.4 percent vs 32.1 percent). What about plant-based substitutes? Nearly three quarters of Americans say they would try or have tried a plant-based chicken substitute. Millennials, Gen Zers and KFC-goers are most likely to open to trying a plant-based chicken substitute. KFC recently rolled out plant-based chicken across select markets making now the perfect time to test a plantbased alternative to chicken.

Style and substance While not all Americans agree on which cut of chicken and style is their favorite, 38 percent say “breast” is their favorite, followed by wings and legs. Chicken Tenders are the top-ranked style in the Southwest (17.2 percent) and female respondents are more likely to prefer

All about the sauce Seventy-five percent of Americans say their meal isn’t complete without sauces, and 20 percent say sauce is the single-most important part of a great fried chicken meal. Over 80 percent say they have asked for extra sauce with 55 percent saying they do

Condolences: Thomas R. Rowles, of Mesa, Arizona passed away July 20, 2020 at the age of 68. Thomas owned and operated two Kentucky Fried Chicken locations for 37 years, one in Titusville and the other in Franklin. Throughout the years, he enjoyed golfing, reading murder mysteries and watching sports, especially the Pittsburgh Steelers and the Pittsburgh Penguins. Thomas is survived by his wife of 47 years, Cyndie Rowles; daughter, Jennifer Zonneveld, her husband, Paul and their children, Colby and Sawyer; son, Kevin Rowles and his wife, Alescia and their children, Tyler and Ella; and a large, extended family.

Is there such a thing as too much chicken? Short answer, no. Forty-three percent of Americans say they could eat more than 10 chicken tenders in one sitting; and 9 percent say they could eat more than 20 in one sitting. Plus, over half of Americans (54 percent) admit to battling it out for the last piece of chicken in the bucket. And the best part of KFC? Leftovers! Eighty-five percent of Americans say they order extra food in order to have leftovers. Sixty-one percent eat their leftover fried chicken warmed up on a plate, 19 percent eat them cold from the fridge, and 12 percent opt for heating up their leftover fried chicken in a sandwich. KFC pairs well with family and friends What’s the best occasion to enjoy KFC? Most Americans agree that all times are the best with KFC. Source: DoorDash

DID YOU KNOW? In 2008, the Colonel’s secret recipe was temporarily relocated while security was updated in KFCC’s headquarters in Louisville, Kentucky. The first buckets of Kentucky Fried Chicken were sold for just $3.50! Colonel Sanders opened his Sanders Court & Café in Corbin, Kentucky in 1937.

Fall 2020 AKFCF Quarterly 13

In the NEWS

YUM! BRANDS AND KFC U.S. INVEST $6 MILLION TO ADVANCE EQUITY AND OPPORTUNITY IN LOUISVILLE

um! Brands, Inc. and KFC U.S. announced plans to invest $6 million over five years to advance equity and opportunity across Louisville, particularly in the West End. This expanded investment in Louisville will target endeavors that tackle inequality and uplift Black students, educators, entrepreneurs, and social change agents. The local commitment is part of Yum! Brands’ global Unlocking Opportunity Initiative announced in June, in which the company committed $100 million over five years to promote equity and inclusion, education, and entrepreneurship for employees, frontline restaurant teams, and communities around the world. “At Yum!, we know our brands, frontline restaurant teams, and communities are much stronger when we have diverse people, voices, and ideas at the table to tackle our biggest challenges,” said David Gibbs, CEO, Yum! Brands. “With this expanded effort

in Louisville, we are pleased to increase our partnership and investment in experienced local leaders and institutions that are already working to address the complex challenges of inequality.” “As we work to strengthen equity and inclusion within every aspect of KFC, we look forward to partnering with community leaders to serve up greater opportunity and positive change right here in our hometown of Louisville,” said Kevin Hochman, president, KFC U.S. The expanded work led by Yum! and KFC

U.S. is expected to catalyze opportunity for the talent in Louisville through partnerships and financial contributions to entrepreneurship, education, and equity and inclusion initiatives benefiting underserved areas of Louisville and tackling systemic racism. “Tackling inequality is a long-term challenge that will require local businesses, governments, schools, and philanthropists to establish new ways of partnering with and supporting talented community leaders who know the issues and the people most affected,” said Jerilan Greene, chief communications and public affairs officer, Yum! Brands, and chairman and CEO, Yum! Brands Foundation. “We’re pleased to be part of making education and entrepreneurship, which are both essential ingredients for a brighter future, more accessible to our fellow Louisvillians.” For more details, visit yum.com. Source: Yum! Brands

Know Your Acronyms

In our business, there is a great deal of terminology and jargon. As more processes and systems are added, the acronyms continue to pile up. Thus, AKFCF Quarterly decided it is time for us all to brush up on the many acronyms you will hear in your daily lives and read about in this magazine. Be sure to pass this along to your employees, or post a copy in your offices. 76(5P)

1976(5P) KFC Franchise Agreement

QSR

Quick Serve Restaurant

AKFCF Association of Kentucky Fried Chicken Franchisees

IAYF International Association of Yum Franchisees (formerly known as the IAKFCF, International Association of KFC Franchisees)

REC

Restaurant Economics Committee

ARL

Above Restaurant Leader

RGM

Restaurant General Manager

KFCC Kentucky Fried Chicken Corporation

ASAP

American Showman Asset Program

RMI

Restaurant Margin Improvement

AUM

Assistant Unit Manager

ROCC Restaurant Operations Compliance Check

BOGO

Buy One Get One

NAC National Advertising Cooperative (merged with NFAC to become NCAC) NCAC National Council and Advertising Cooperative

ROI

Return on Investment

RSC

Restaurant Support Center

BOH Back-of-house BSC

Balanced Scorecard

COB

Chicken on the Bone

NFAC National Franchisee Advisory Council (merged with NAC to become NCAC)

COGS

Cost of Goods Sold

NMS

DMA

Designated Marketing Area

FA (Or F/A) Franchise Agreement

NPC National Purchasing Cooperative (i.e., KFC NPC)

FIT

Food Innovation Team

OEC

Operations Excellence Committee

FSC

Food Safety Consultation

PAC

Political Action Committee

VOC Voice of the Customer (formerly CBCC)

GAC

Government Affairs Committee

POP

Point of Purchase

YUM

Yum! Brands

POS

Point of Sale

YRI

Yum! Restaurants International

14 AKFCF Quarterly Fall 2020

National Marketing Subcommittee

RSCS Restaurant Supply Chain Solutions (formerly UFPC) SBRA Supplier Business Relationship Agreement TOL

Territory Operations Leader

TRP

Targeted Rating Point

KFC DELIVERING ONE MILLION PIECES OF KENTUCKY FRIED CHICKEN TO TEACHERS ACROSS AMERICA

FCC announced in early August a new Back-to-School Buckets initiative, which celebrates teachers across the country who are returning to the classroom, whether virtually or in-person, amidst the ongoing COVID-19 pandemic. The NCAC is donating one million pieces of chicken to its franchisees to fry up and deliver to educators — America’s new wave of frontline workers — within their local communities to say “thanks” for all they are doing for America’s families. From now through the end of September, franchisees will show their appreciation to educators in their local communities as the new school-year begins. KFC U.S. restaurants will cook and serve KFC’s world-famous fried chicken in a way that best serves the school systems and educators of that community, whether through catering in-service training meetings for teachers and administrators, delivering buckets of chicken to teachers preparing their virtual curriculum, or honoring the staff working tirelessly to keep campuses clean and safe. The Back-to-School Buckets initiative is a follow up to KFC’s NCAC donation of one million pieces of chicken in March, which fed thousands of frontline workers, including doctors, nurses, first responders and essential workers across the country, during the early months of the COVID-19 pandemic. “As a working mother of three young children who had to finish out the school year virtually, I have more respect and appreciation than ever for the time, energy, and dedication that teachers give to their students,” said Andrea Zahumensky, KFC U.S. CMO. “As teachers prepare for a new school year, whether that’s in the classroom or virtually, we wanted to help in a small way by providing the comfort and familiarity of a hot, fresh, and delicious bucket meal so they can check dinner off of their to-do lists!” Source: KFCC

Condolences: Bowling Read Miller, 86, husband of Nancy Miller, passed away on Aug. 28, 2020. Read and his wife owned and operated various KFC franchises in Kentucky and the U.S. Virgin Islands. Read will be remembered by his wife of 59 years, Nancy Norris Miller; daughters, Mary Ann Miller (Thomas) White, Martha Adair Miller ( Craig) Sayer, and Ann Norris Miller; sons, “Bo” Read (Teresa) Miller, and John Hunter (Robin) Miller; as well as 11 grandchildren and three great-grandchildren.

4 OUT OF 10 Americans have less than $400 in savings

SAVERS

WILL HELP BRIDGE THAT GAP

Coming Spring 2021

Fall 2020 AKFCF Quarterly 15

GAC Report

The VP Pick Is In

Rep. Val Demmings

Sen. Elizabeth Warren

Susan Rice

Sen. Tammy Duckworth

Gov. Michelle Lujan Grisham

Stacy Abrams

Rep. Karen Bass

16 AKFCF Quarterly Fall 2020

By Amy Agenbroad

L Sen. Kamala Harris

ate afternoon on Aug. 11, 2020, Presidential Candidate Joe Biden put an end to the long-anticipated wait of announcing who will be his running mate for the 2020 election. An officer in the legislative branch and president of the Senate, the vice president of the United States is a key member of the president’s administration and decision maker for the citizens’ of the United States.

Fall 2020 AKFCF Quarterly 17

Biden Announces Harris as his 2020 Vice President Choice If you were watching the announcement in real time, you would have felt the nations’ adrenaline rise with each reported call made by Biden to notify the presidential prospects who he did not choose. The calls were to California Rep. Karen Bass, Georgia Democrat Stacey Abrams, Illinois Sen. Tammy Duckworth, Massachusetts Sen. Elizabeth Warren, New Mexico Gov. Michelle Lujan Grisham, Former U.S.

Ambassador to the United Nations Susan Rice, and Florida Rep. Val Demings. Whether through face-to-face meetings or via remote access, former Vice President Biden, one by one had conversations with the prospects, narrowing his pick down to one. Then late in the afternoon on August 11, Joe Biden tweeted: “I have the great honor to announce that I’ve picked @KamalaHarris — a fearless fighter for the little guy, and one of the country’s finest public servants — as my running mate.”

While some report California Sen. Kamala Harris was the “common sense choice” for Biden, others aren’t convinced. The same day as the announcement was made, President Trump questioned Harris’ attacks on Biden while she was in the race to be named the Democratic Presidential nominee. “She was very disrespectful to Joe Biden, and it’s hard to pick somebody that’s that disrespectful,” he said. Ultimately, it is up the people of America and we will see how the public feels come this November.

AKFCF – Political Action Committee (PAC)

The AKFCF created a PAC to make sure our voices are heard in Washington, D.C. The AKFCF Government Affairs Committee and the AKFCF PAC Board of Directors would like to thank the franchisees listed below for their contributions to the AKFCF PAC. Each quarter, we list the names of the franchisees who have supported the PAC at time of print as a token of our appreciation. This list is all the latest contributions, broken down by region. We encourage you to please join your fellow franchisees and support your AKFCF PAC. For information on how you can become involved, or if you don’t see your name and should, please contact Leslie Sharp, treasurer of AKFCF GAC/PAC at lcsharp4133@icloud.com. Greater Midwest Dale Black Joan Bowling Anthony Buford Alessio DiFranco Matthew Druten Timothy Fitzpatrick Glen Flewelling Greg Flynn Nancy Fox Anthony Gianino Anne McKenzie Goodnight Noah Hommerding Lesley Hottinger John Jefferis Michael Kulp Stephanie Kulp Mark Lambos Craig Lee Ladonna Lewis Afzal Lokhandwala Kirstin Mana Lynn Mayer James McKenzie James Mikula Diana Myers Kaushik Patel Alan Salts Steven Saunders Kevin Schlutz* Sally Shane Douglas Smith* Justin Stewart Amanda Urquhart Shelly Vorrath Scott Vorrath* Chris Walker Nanette Walker Peter Wasilevich Robert Widder*

18 AKFCF Quarterly Fall 2020

Adam Wright Northeast Ray Aley Cheryl Aley Jennifer Arsenault J. Michael Barrett Bryan Barrett Jeff Bower Tony Cameron Tommy Cecconi Thomas Cocolin Keith Cole Barry Dubin David Evans Frederick Gallant Fred Gallant Michael Houston Sherry Houston Syed-Nadeem Kirmani Donald Lopes Pushpak Patel Robert Rianna Alex Rosenblum* Eugene Skowronski Larry Starkey Northwest Rita Basra Lilellen Buckner Robert Carle Manuel Galhandro Jeannie Harman Ralph Harman Brett Harris Fred Jackson Jamie Jackson Marvin and Cindy Jorgensen Lisa Kern Craig Langel Anne Mehl

Steve Prendiville Greg Schons Samuel Sibert Don Steinke Todd Stewart Barry Thiriot Amin Vakil Calvin White Southeast Barbara Brigance Bill Byrd Charles Clark Keith Coward Austin Felker Eric and Sandra Felker Chris Fowler Kim Fowler James Fulmer Michael Galloway Kirk Gillam Gregory Hamer Matthew Hansen Tim Harris L. Inman Hodges J. Michael Hubbard Ben Johnson Howard Killgo Doris Lewis* Jade Ogden James and Angela Ogle Eric Overcash Larry Peak* Vic Peeples Mallory Shoffner Quintero Jake Rasor Terry Rogers Andy Rosen Dan Rosenbalm Linda Rosenbalm David Ross

Johnny Outlaw Leslie Sharp Bill and Bonny Shelton Marcus Shelton* Kelly and Jay Shoffner John (Jack) Sims Jeff Wallace Kent Weir Charles (Tim) West* Gary (Steve) West* Richard (Dick) West* William (Bill) West* Daniel Yagoda* Southern California Frederic Baker Amjad Chaudhry Shahid Chaudhry* Piyarali Hashim Zubair Kazi Russell May Patricia McBrayer Lonnie Noble Stan Singh Raziel Valiente Southwest Robert Alred Debra Ashmore Sheila Boespflug Edward Boyer Krystal Burge Andie Cremer Scott Duke Rajeev Jain John Moroney Rajesh Patel Mark Peterson Doyle Sanders Kelli Spring *Indicates more than one donation.

Kamala Harris Makes History As the first woman of color to appear on a major party ballot, Harris has already made history. Her mother, a breast cancer researcher from India; and her father, who is a prominent economist from Jamaica, were active in civil rights marches in the 1960s and often brought young Harris along for a “stroller’s-eye view.” This arguably started her passion to fight for social justice. Elected in 2017, Harris is currently in her first term serving as junior Senator of California. Her progressive legislation and interrogations of Trump nominees, such as Attorney General Jess Sessions and Supreme Court Justice Brett Kavanaugh, have labeled her a controversial Senator among some of her colleagues. Before her time in Congress, she was elected the 27th district attorney of San Francisco and served from 2003-2011. In 2010 (and reelected in 2014), she served as the Attorney General of California. The once rivals and now running mates, Biden and Harris originally met on

friendly terms while Harris served with Biden’s son Beau, both attorneys general at the time. Many question how significant a vice presidential choice can be and if she could be the difference of a win or loss at the polls. Historically, data shows a VP pick usually does not have a large effect on election results, but this year it just might. Biden, already at 77 years old, and Kamala who will be 56 by the time of the election, may be the missing piece to represent the next generation of Democrats that Biden is looking for. She brings diversity, gender, age, and progressive politics to Biden’s campaign. Thank you! The Government Affairs Committee has continued its valuable work through these times of such uncertainty to ensure small businesses like yours survive the economic hardship caused by COVID-19. Thank you to those who have contributed to the AKFCF PAC, which allows KFC a first-hand

and

seat at the table with key legislatures and decision-makers. Stay Involved, Donate to the AKFCF PAC 2020 will be a landmark election year and the time to act is now. The AKFCF PAC needs your help raising funds for the campaigns of the 116th Congress. Contributing to the AKFCF Political Action Committee (PAC) is the best way to support the election and re-election committees of pro-business Members of Congress who share the same concerns as franchisees. The money raised in the PAC goes directly to the campaign of those running for Congress, or incumbent members seeking re-election. You may make your 2020 AKFCF PAC donation online by visiting our portal on the AKFCF website in the Government Affairs tab. For more information, please contact your regional GAC representative or Amy Agenbroad of Polaris Consulting, LLC (aagenbroad@polariswdc.com). n

FINANCIAL ADVISORY AND INVESTMENT BANKING

A Partnership That Can Help You Take Your Restaurant Business To New Heights M&A Advisory Debt Placement Real Estate Financing Financial & Strategic Advisory Executive Contacts: Christopher Kelleher

Managing Director (562) 424-2455 ckelleher@auspexcapital.com

Chris Poppe

Shriram Chokshi

Managing Director (562) 424-5157 schokshi@auspexcapital.com

Senior Vice President (206) 390-2092 cpoppe@auspexcapital.com

Naveen Goyal

Managing Director (562) 424-5158 ngoyal@auspexcapital.com

Tammy Welch

Senior Vice President (206) 409-8724 twelch@auspexcapital.com

Fall 2020 AKFCF Quarterly 19

POWER OF THE PEOPLE Individuals making a difference for the KFC system By Kelly Rodenberg

his has been a year filled with unusual and unique interruptions for all of us in the KFC system. It’s hard to stay focused, to make positive change, and to look for the opportunities rather than the challenges of this pandemic. AKFCF President Brandon Robertson has chosen “Power of the People” as the theme for his presidential term and the 2021 Annual Convention. The strength of the AKFCF is in the combined wisdom and will of all of its members and partners working together toward a common goal. Over the next year, we want to share with you some stories of people who inspire and who are making a difference — in both large or small ways — across the system and especially during the COVID pandemic. We salute them and say “Thank You” for stepping up in ways we all can benefit. Please meet three people who contribute their time and efforts to the marketing side of our brand.

20 AKFCF Quarterly Fall 2020

POWER OF THE PEOPLE

Anthony Gianino Vice President of Marketing, KBP Foods

Years with the KFC system: 8 years with KBP, 17 years total working with the brand in some capacity

Generating a Difference: I like to think I make a difference by thinking like a scientist. Every product or POP test is going to show some change, but not all change is real. Thinking like a scientist, properly applying the Scientific Method, allows you to determine the probability the change is real. This leads to better information, and ultimately, better decisions. Imagining Differently: It seems at first counterintuitive, but removing some menu items could be the springboard to growth. Imagine a KFC executing a simplified menu brilliantly, focusing our ops attention on our best menu items. Customers could get hotter, fresher, better food faster. Of course, we’d sprinkle in some LTOs to entice and excite, but they’d be true LTOs — going away at the end of the promotion. Better food resulting from a simplified menu plus a disciplined, strategic LTO layer has potential. Coping with Change: I try to understand the situation as much as possible, then use the new, evidenced information to make reasonable decisions. Looking Ahead: Right now, the hard part about looking ahead is figuring out when “ahead” begins. We need to be flexible, ready to shift quickly. While riding this current wave, we should be planning for the “ahead” phase. We might not know when it will begin, but we do not have an excuse if we are not ready. Role Model: Carl Sagan. To him, science was more a way of life than a process. Inspiration: Abraham Lincoln: For his integrity, intelligence, compassion, wit, determination, diligence, and work ethic. Key Advice Received: Seek first to understand. Besides KFC work, what do you do for fun or in your free time? I’ve been reading a bunch of history the past five years. I really like lifting weights, and I just finished 12 boxes of Count Chocula cereal my wife bought for me last Halloween!

Fall 2020 AKFCF Quarterly 21

POWER OF THE PEOPLE

Jason Miller Sales, On Display

Years with the KFC system: 20

Generating a Difference: Our mission is to drives sales at the point of order and deliver a consistent brand message throughout the consumer journey. When a customer is in line, either in the drive-thru or lobby, we have a captive audience. During this consumer journey, how we communicate with the consumer other than the menu board itself makes a difference. Over the years, On Display has developed merchandizing hardware and POP, which works in tandem with the menu board to drive trade ups, add-ons, and bring attention to new products. Coping with Change: If we are consistent in how we treat people, follow our core values as individuals and in our decision making process professionally, as well as consistently show up and work hard every day for customers, we will continue to be successful not just through this pandemic, but through life. Role Model: I have had the benefit of working for my mentor, friend, and role model since I was 15 years old. Don Miller has been the guiding force in my development professionally and personally as a man, husband, and father.

“OVER THE YEARS, ON DISPLAY HAS DEVELOPED MERCHANDIZING HARDWARE AND POP, WHICH WORKS IN TANDEM WITH THE MENU BOARD TO DRIVE TRADE UPS, ADD-ONS, AND BRING ATTENTION TO NEW PRODUCTS.”

22 AKFCF Quarterly Fall 2020

Inspiration: I truly live a blessed life and thank God for all of the blessing he has bestowed upon me. It has been an honor to work with so many great people in the KFC family over the last 20 years and I look forward in continuing to move the business forward. Key Advice Received: There have been many lessons over the years, but two stand out the most: listen and be consistent. In our business, sometimes we find that we talk to ourselves and not our customers. Instead of listening and observing, we are telling the customer what they want. It is much easier to sell when you know your customers’ needs. Besides KFC work, what do you do for fun or in your free time? I have a wonderful wife, Melissa, and four amazing kids, Ashlee, Austin, AJ, and Adam. My free time is spent with my family. They love to be outside, mostly fishing and playing ball.

POWER OF THE PEOPLE

Mike Wesley Sr. Marketing Director, KFC US Years with the KFC system: 10

Generating a Difference: In my current role, I lead the national calendar for the brand and am extremely fortunate to get to work closely with our Marketing Subcommittee to develop national promotions (and merchandising) to ultimately drive sales and profit for the restaurants. Looking Ahead: As we turn toward the end of 2020, we have started to build out our plans for 2021. We have a lot of exciting products for next year, and we are looking to build another year of same-store sales growth for the brand. Role Model: My dad. He owned a restaurant when I was growing up, and it taught me the value of hard work (especially in the restaurant business). Most days, he would spend anywhere between 16-20 hours in the restaurant, and I would help out washing dishes at nights and on the weekends. Inspiration: I’m continually inspired by our team members who are on the front lines of our business day in and day out with a smile on their face. They are the true heroes of this brand! While my role can be challenging at times, given the uncertainty right now, it’s easy compared to the work that they do for our brand each and every day. Key Advice Received: Focus on doing the right thing for the brand (versus any kind of personal agenda), and trust the brand will do the right thing for you. Besides KFC work, what do you do for fun or in your free time? I love spending time with my family (wife, Kate; and three kids, Elizabeth, Thomas, and Baylor), and vacationing to the beach and Disneyworld.

“I’M CONTINUALLY INSPIRED BY OUR TEAM MEMBERS WHO ARE ON THE FRONT LINES OF OUR BUSINESS DAY IN AND DAY OUT WITH A SMILE ON THEIR FACE. THEY ARE THE TRUE HEROES OF THIS BRAND!”

Fall 2020 AKFCF Quarterly 23

We Are Better Together

Join us for the AKFCF 2021 Convention in National Harbor, Maryland

24 AKFCF Quarterly Fall 2020

By Kelly Rodenberg

e are excited to make the AKFCF 2021 Annual Convention a rallying call — “Power of the People” — for our KFC family to reunite in person. Like many of you, we are hoping to gather face-toface with our colleagues, our friends, and our family. But whether we end up together in-person or virtually, the power of people meeting at Convention means we have the power to be a stronger and better brand! With the current events of 2020 we could all use a reminder of how far we’ve

come, and the incredible strides our system has made over the past months. We’re thrilled to celebrate the incredible talent behind the scenes of this year’s most positive people, innovations, operations and even the incredible challenges that have been brought to our tables. Preparing for a Convention during the COVID pandemic has presented us with many uncertainties, hurdles and questions, but creating a safe, worry-free Convention is our top priority. We are planning the AKFCF 2021 Annual Convention so that if we can be together, all individuals

onsite — attendees, speakers, vendors, staff, and venue personnel — remain safe and comfortable throughout the event. We are monitoring the COVID-19 pandemic and remain in constant communication with Maryland, Virginia, and D.C. Convention & Visitors Bureaus, our partners at the Gaylord National Resort, and AKFCF’s Executive Committee. We want everyone to experience the AKFCF Convention in a way that works best for them. Currently, we are planning for an in-person event. However, if pandemic conditions remain strong through the fall, we will likely pivot to virtual options that will bring the most benefit to the KFC family. We want the best opportunities that will enable you to grow through education and connections that are insightful, meaningful, and actionable. Stay tuned to our AKFCF Facebook page and website for ongoing updates. The annual Convention is scheduled to begin on March 2nd at the Gaylord National Resort and Convention Center in National Harbor, Maryland. Since our planning has been on hold due to COVID-19, the below agenda is tentative until plans are confirmed.

Fall 2020 AKFCF Quarterly 25

2021 Convention Tentative Agenda TUESDAY, MARCH 2

THURSDAY, MARCH 4

12:00 p.m. – 5:00 p.m.

On-Site Registration

7:30 a.m. – 8:45 a.m.

Buffet Breakfast

2:30 p.m. – 5:15 p.m.

AKFCF Workshops

8:45 a.m. – 12:15 p.m.

KFCC Presentations

5:30 p.m. – 8:00 p.m.

elcome Reception in Trade W Show

12:30 p.m. – 2:00 p.m.

Awards Luncheon

2:45 p.m. – 5:30 p.m.

KFC Workshops

6:30 p.m. – 10:00 p.m.

T he People’s House Party (Hint: Country Music will be heard)

WEDNESDAY, MARCH 3 7:30 a.m. – 8:45 a.m.

Womens’ Breakfast

7:30 a.m. – 8:45 a.m.

Buffet Breakfast

8:45 a.m. – 9:45 a.m.

AKFCF President’s Welcome

8:00 a.m. – 9:00 a.m.

Breakfast

9:45 a.m. – 10:45 a.m.

Keynote Speaker

9:00 a.m. – 10:30 a.m.

10:45 a.m. – 11:00 a.m.

Break

KFCF President – Closing A Announcements

11:00 a.m. – 12:00 p.m.

KFCF President, KFCC A President and NCAC Vice Chair Fireside Chat

Diversity/Inclusion Panel

10:30 a.m. – 10:45 a.m.

Break

12:00 p.m. – 2:00 p.m.

Lunch in the Trade Show

10:45 a.m. – 12:00 p.m.

rand Q&A or Town Hall with B AKFCF Franchisees

12:00 p.m. – 12:15 p.m.

Break

12:15 p.m. – 1:45 p.m.

Annual Legal Update

2:00 p.m. – 3:30 p.m.

AKFCF Board Meeting

7:00 p.m. – 10:00 p.m.

losing Event at Bobby C McKey’s Dueling Piano Bar

2:00 p.m. – 4:30 p.m. Regional Association Meetings 4:30 p.m. – 6:30 p.m. FREE NIGHT

26 AKFCF Quarterly Fall 2020

Happy Hour in Trade Show

FRIDAY, MARCH 5

ust like our Conventions in years past, we are planning enlightening general sessions with AKFCF, KFCC and NCAC, instructive educational workshops, revealing award presentations, engaging networking sessions, and time to have fun with our friends and family. As we move ahead with planning and implementing the programming for the 2021 Convention, we will continue to place high importance on facilitating measures that will work with all partners to ensure optimal health and learning conditions for everyone. AKFCF is dedicated to designing and hosting an inclusive Annual Convention. Together, we welcome our diverse family and celebrate the differences among our regions, participants, and partners. With our similarities and our differences come great knowledge and a more powerful community. Help us celebrate the uniqueness of our brand by attending the 2021 Convention!

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www.capitollight.com Fall 2020 AKFCF Quarterly 27

Venue and Accommodations The AKFCF is planning to host our 2021 Annual Convention at the beautiful Gaylord National Resort & Convention Center. Standing on the shores of the Potomac River, this stylish resort offers convenient access to many of Maryland’s most beloved attractions, including the Capital Wheel. There also are plenty of things to explore right under the roof of the hotel. From the 19-story glass atrium overlooking the river and full-service spa to the seven distinct restaurants, you can experience it all. Washington, D.C. is filled with exciting, iconic, and memorable places to visit, from the magnificent memorials, parks, and monuments on the National Mall to must-see national treasures and museums, world-class restaurants, and deep-rooted culture.

28 AKFCF Quarterly Fall 2020

Hotel Reservations (Opens late fall)

You can make your room reservation by calling the toll free line at (888) 789-3090 or go online to our personalized group website: https://book.passkey.com/go/ AKFCFannualconferenceJan2021 . The Gaylord National Resort & Convention Center is offering rooms for a discounted rate of $254 a night (plus applicable taxes) for reservations made by Friday, Jan. 29, 2021. The resort fee is $22 and includes several amenities upon arrival. The parking fee is $30 per day for self-park and $43 for valet parking. We encourage all attendees to please make their room reservation at the Gaylord under the AKFCF Convention room block so that we meet our guaranteed numbers and avoid any room attrition for the association.

Closest Area Airport The Ronald Reagan Washington National Airport is located at 2401 Smith Boulevard, Arlington, VA 22202, and is about 7.7 miles from the hotel.

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Whether you have a single KFC or a larger, multi-unit group, contact us when you need: “We chose NDA to sell our KFC business and we couldn’t be happier with the result. Derek Diachenko and the team were there with me to navigate every step of the way.

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Fall 2020 AKFCF Quarterly 29

Local Area National Harbor, Maryland has been ranked as a Top 50 U.S. Meeting Destination every year since 2013. Easily accessed from Washington D.C., National Harbor has a charming Waterfront District that offers plenty of dining and shopping experiences between sessions and for added incentive, the highly popular Tanger Outlets provide an additional shopping opportunity. Meeting goers can opt for the ultimate networking backdrop via The Capital Wheel’s private gondolas, which transport riders 180 feet into the air with views of the Washington Monument, Alexandria, Georgetown, and more. The destination also includes two historic venues: Oxon Hill Manor & National Colonial Farm, which provide a contrasting meetings backdrop to the hotels at National Harbor. Oxon Hill Manor, with its sweeping vistas of the Potomac River, is a popular venue for board meetings and functions. National Colonial Farm provides a great opportunity for planners to promote green meetings, team building exercises, and educational experiences about Maryland life in the 1700’s. MGM National Harbor, which is just a few minutes down the road from the Gaylord, is a property that sits on a hill overlooking the Potomac River with a view of the nation’s capital in the background. It’s truly a bit of Las Vegas grazing the Beltway, with a 125,000-square-foot casino, a 3,000-seat entertainment venue, the National Market food hall, and new restaurants from some to celebrity chefs. The last couple of months have reignited our flame. The power of a live meeting has a special energy that buzzes through us all. We appreciate your continued support and patience as we navigate through these new waters so that we can bring you a great Convention like never before! n

When and how can I register for the 2021 Convention? We will not be mailing a hard copy of the Convention brochure this year due to the constant changes of COVID-19. We will be sending an electronic version via email and it will be available on the AKFCF website. We plan to open registration in late fall. If I am unable to attend the Convention in person, is there an option to attend virtually? All things are possible. Please look for updates on our website and Facebook page.

30 AKFCF Quarterly Fall 2020

32 AKFCF Quarterly Fall 2020

Together, We’re Changing Lives By Elizabeth Edrington, KFC Foundation Communication Coordinator

our support is taking the KFC Foundation’s impact to new heights. Every year, our awareness and engagement among restaurant teams is growing. More team members know about the KFC Family Fund and are applying and receiving assistance in times of crisis. For the past two years, we’ve crushed our previous records for the most grants awarded in a spring application period — this past spring, we awarded nearly $1.2 million to 530+ restaurant employees! Additionally, more team members are earning their high school credentials through Rise with GEDWorks. We’re continually expanding and enhancing our programs — and even creating new initiatives when needed, such as Feed the Force: KFC Foundation Grocery Assistance Fund, to best meet the needs of our participating franchisees and their restaurant employees. We are your KFC Foundation, and we are so grateful to be able to do what we do — care for KFC restaurant employees and help them be their best

selves. Together, we are creating important turning points and milestones in team members’ stories. We are cultivating a loyalty and love for KFC that runs deep. We are strengthening and empowering the KFC family and the KFC brand. Together, we are changing lives.

REACH Scholars

Since the program started in 2013, you have helped 4,500+ employee-students receive more than $9.5 million in college tuition assistance. Meet Christopher Christopher is a team member at an Illinois KFC (KBP Foods), a second-generation Ghanaian-American, recent REACH Grant recipient, Janet L. Kuhn Scholarship winner, and a future electrical engineer, who has his sights set on making the world a better place. He is embarking on his college career this fall at Iowa State University, with the ultimate goal of “working for a company that focuses on helping

Fall 2020 AKFCF Quarterly 33

third-world countries with innovative soluand become an electrical engineer. I know forward to me making something of myself tions to make life simpler, without comproI can make a difference in the lives of many and making a difference in this world. mising their culture and tradition.” in Obo-Kwahu and hundreds of villages In addition to being selected as a REACH across the world and that is what I have set Meet Kessie Grant recipient this spring, Christopher out to do. The first month Kessie Madaus started was also selected as the I have not had a hard life; working at KFC with Mitra QSR, she saw sole winner of the Janet L. I have never been without “Earn your GED for free” on the What’s ImKuhn Scholarship, which basic needs. I have always had portant Now bulletin in the back-of-house. provides an additional the support of him wanting She enrolled in Rise with GEDWorks short$1,000 in college tuition me to succeed. But I know ly after and flew through her study plan assistance on top of the there are people in those and subject exams to earn her high school REACH Grant. A commitsmall villages that have not credential in just five short months. tee comprised of people had this and my dad has Kessie didn’t waste any time starting on who well knew the late Janet always encouraged me to her next goal: college. She applied for the L. Kuhn — and her passion do well in school so I can go REACH Educational Grant to help her with for education and helping back and help those in need. tuition as she pursues her degree in early Christopher Agyare others — awarded this year’s He has instilled in me that childhood education and was selected as a scholarship to Christopher my degree is another form of REACH Grant winner in June 2020 — all because he best embodies Sankofa, me reaching back to in less than a year of working for KFC! Janet’s spirit. Ghana, Africa, and the world. “What does this grant mean to me?” You’ll see why Christopher earned this He has taught me that my degree will Kessie replies. “My gosh, there are so many honorable scholarship when you read his not only be for me, but for my family and ways it would help me, but as far as what it essay below. generations ahead as well, as it can set the would mean, let me first tell you just a little Tell us about someone from KFC or tone for a catalyst of change. of my story.” outside of work who has made a positive My goal is to become an electrical Kessie goes on to share how she spent the impact on your life. In what way have engineer. Many members majority of her life in an exthey impacted you? How have they helped of my family, including my tremely abusive relationship. shape who you are today? I am a secfather, could not live to their When she started making ond-generation Ghanaian. In my culture, potentials due to a lack of a plan to leave, the abuse we have a term called Sankofa, which education that could have got worse and led to her means to go back and get it. This term has made a difference in their children being taken away. a significant meaning to me, my family, lives and villages. Without Feeling hopeless and lost, and Obo-Kwahu, a small village where my simple essentials, many Kessie began using drugs in father is from. I realize that everyone’s story kids dropped out of school an attempt to cover her pain is different, but mine is unique because my and looked for local work and struggled with mental goals and aspirations reflect everything my and get stuck in a cycle that illness for two years. dad has prepared me for. continued for generations. Thankfully, Kessie found Kessie Madaus Since I can remember, I have always had Because of my dad, I am the strength to get up and a passion for problem-solving and helping aware of the importance and fight again. She has now others. My drive has always come from a privilege of how my education can make a been sober for more than three years and family of people who have a passion to help difference in many people’s lives and chang- is in the process of getting custody of her their community. My father came to Amer- ing the narratives for future generations. oldest daughter. “I’ve got a reason to live ica with no formal education; however, he I am grateful for my dad for providing a again,” Kessie wrote when applying for the provided the opportunity for a good edupositive outlook on life and for my future. REACH Grant. “If I were to receive this cation, exposure to positive surroundings, He has taught me how to work hard, be grant, it would be helping me to do just and the importance of helping those in transparent and try to be a good person, that — LIVE, and make a life for me and need. This had been the basis for me wantnot only for myself but for my family, my children! That is what this grant means ing to succeed through higher education community, and people who are looking to me. Finding myself, freedom, and pride

34 AKFCF Quarterly Fall 2020

is what this grant means to me! I appreciate all of this, more than words can say. I can tell you one thing — I will make you proud to have been part of my journey; I give you my word!”

“I am getting a degree in business management at Fresno State and I hope it leads me to keep growing in the company at KFC,” he says. “After I graduate, I really want to become a district manager in Fresno, or Meet Emiliano even try to get into KFCC. Emiliano Munoz Ramirez is “This company has Emiliano Munoz Ramirez a four-time REACH Grant helped me mature and grow winner determined to take into the person I am today. his KFC career to even greater heights. I owe a lot of my success to KFC and I want The REACH Educational Grant Proto thank the KFC in Fresno and my district gram has awarded Emiliano with a total of managers Mo, Mohammed, and Martin. $10,000 in college tuition assistance over They have guided me and helped me grow the last four years to help him pursue his in the company. degree in business management — all while “I also really want to thank the KFC working hard to climb the ranks from KFC Foundation. They have helped me through team member to his current role as an the years with this grant and they are giving RGM with J.F. Desmond Family Limited me a great opportunity to be the first in my Partnership. family to be a graduate from a university.”

Proudly supplying KFC

Don Alwood | donald.alwood@welbilt.com | 989-205-6739

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Fall 2020 AKFCF Quarterly 35

Rise With GEDWorks

of a loved one, house fire, medical emergency, and more. Since this program launched in December 2015, you have helped 570+ employees receive more than $780,000 in financial assistance* to help them through a hardship, crisis or natural disaster.

Since this program was established in summer 2015, you have helped more than 200 employees earn their high school credential through Rise with GEDWorks. Meet Amanda Amanda North Last year, Amanda North, KFC team member with George Lambos’ franchise, embarked on the journey to earn her high school credential through Rise with GEDWorks with a meaningful mission — to become her best self. “I believe that in becoming a better me, everything around me will be impacted,” Amanda said when first enrolling for Rise with GEDWorks. “I want my children to see that just because something doesn’t happen when it should, doesn’t mean it cannot happen at all.” This spring, Amanda achieved her goal and earned her GED! We sent a celebration kit — complete with a grad cap, Instagram frame, embroidered backpack, certificate of achievement, balloons and more — to Amanda’s RGM, so they could celebrate this amazing accomplishment with all of the bells and whistles it deserves. “That was the icing on the cake,” says Amanda. “I never dreamed it would be like actually graduating high school with all the perks. Nothing was left out! This program is the true definition of caring not just for employees, but loving people and reaching out a helping hand where it seems that others won’t.” Now, she has her sights set on her next endeavor. “I intend to continue my education and become a trauma therapist. I am passionate about people and I am persuaded that everyone can be healed!”

KFC Family Fund

The KFC Family Fund is there for your restaurant employees when they need it most, helping them make it through financially and emotionally tough times, such as the death

36 AKFCF Quarterly Fall 2020

“Our son is in college and our budget has gotten smaller. When mom died, it was a challenge to pay for the funeral. KFC was there for us. Made me feel valued. Like part of a family more than charity. On the busy days when work is hard, I know — and my family knows — that we are appreciated. We are more than very satisfied. We are touched. Thankful and overwhelmed. The Foundation replied quickly. It helped our family during a difficult time. What KFC has done for our family won’t ever be forgotten.” – RGM Kyle Pugh “I cry all the time knowing that everything is completely taken care of now, but they’re tears of joy. I can’t thank this program and my job enough. Words can never express how I feel and how grateful I am.” – Shift Supervisor Erica Young “We are so grateful for your help during this time. A thousand thank you’s would still not feel like enough. Such a great program you have set up for KFC. The Colonel would be proud.” – RGM Callie Gorder re: the assistance shift supervisor Jason Comet received *Numbers as of July 27, 2020

MyChange

We’re shaking things up with our MyChange personal finance program and introducing a savings matching program that will equip eligible team members with a short-term emergency fund and a habit of putting money away every month. Check out the article on page 48 for more details!

2021 Cole Slaw Donation Program

As a 501c3 non-profit organization, the KFC Foundation’s charitable programs are made possible largely through the ongoing support of KFC franchisees, which comes to the Foundation via a $1.23 surcharge on each case of cole slaw, and through KFCC. In turn, your restaurant teams — RGMs, AUMs, shift supervisors and team members — have access to our unique suite of charitable assistance programs and the support of the KFC Foundation staff. • REACH Educational Grant Program — college tuition assistance • Rise with GEDWorks — comprehensive GED prep and testing • KFC Family Fund — hardship and crisis assistance • MyChange Savers — savings matching program coming 2021! • MyChange EDU — money management resources and national savings challenges (new, and available now) • Kentucky Fried Wishes — returning in 2021!

Key Things to Know:

• There is no waiting period — all programs are available to all eligible employees as soon as they start working at a participating KFC restaurant. • All Foundation offerings are completely charitable in nature and are provided at no cost to the restaurant employee. • There’s a mobile app available, which directly connects team members to the program they need — just search KFC Foundation in the App Store or Google Play Store! • The annual opt-out takes place each October for the following year. We encourage you to “do nothing” during the upcoming opt-out window to ensure your teams have access to the Foundation’s spectrum of charitable assistance programs in 2021 for the same $1.23 per case of cole slaw contribution. We are incredibly grateful for your continued support! n

REACH Grant Winners from Spring 2020 Congratulations to the REACH Grant recipients and Rise with GEDWorks graduates so far in 2020*! *As of July 27, 2020 SCHOLAR COMPANY Gianna Cannavaro Abalar Fast Foods Justin Beebe Abalar Fast Foods Sha’derica Cunningham AMFOODS Miesha Coicou AMFOODS Lindsey Dermotta Ampex Brands Barbara Jones Ampex Brands Beena Adhikari Ampex Brands Casmair Frison Ampex Brands Eugene Addae Tarku Ampex Brands Fahima Ali Ampex Brands Hassan Qureshi Ampex Brands Christian Galaz Ampex Brands Jacob McGuire Ampex Brands Jasmine Luna Ampex Brands Karina Mireles Ampex Brands Kailey Cloud Ampex Brands Kytosha Webb Ampex Brands Liam Belan Ampex Brands Micaela Eberly Ampex Brands Adrianna Nicholson Ampex Brands

Nihad Hebib Grace Ramsey Savannah Lahey Joshua Konkus Anthony Ihde Adriana Vellon Jimenez Lierin Sullivan Cheyoudom Meoung Brittany Hylton Kayla Meyer Josh Kraynek Sarah Kraynek Sarah Macakanja Melissa Mazurek Shalonda Davis Emily Flaugher Lindsey Mankey Danielle Mason Natalia Plaza Sarah Graham Sidney Thomas

Ampex Brands Ampex Brands Ampex Brands Ampex Brands Ampex Brands Apple Valley Kenco Apple Valley Kenco Attleboro KFC. Bacon Enterprises Bacon Enterprises Bauer Foods Bauer Foods BBG North BBG North Bell American Group Bells and Birds Bells and Birds Bells and Birds C and S Graci Chicken Champs Chicken Champs

Matthew Fritz Jewel Jones Alexis Murray Amanda Hernandez Angela Adu Siaw Anika Lawrence Arien Masud Celina Benson Bea Zoerheide Kristie Eddy Erin Chilicky Fariha Rahman Fay Francis Virianni Cardoso Jesus Hernandez Jean Syllien Kimberly Moreta Baez Marvelah Laplante Reynaldo Mejia Francine Whyte Sara Chowdhury

Chicken Champs CLC Restaurants D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods D.E. Foods

Fall 2020 AKFCF Quarterly 37

REACH Grant Winners from Spring 2020 SCHOLAR COMPANY Amber Schumacher D.E. Foods Shaquille Raymond D.E. Foods Lorena Lucas D.E. Foods Vivi-cay Edwards D.E. Foods Shanese Wellington D.E. Foods Jonathan Cordova David R. Sparks and Dianna S. Sparks Ava Foster Dee Jay’s QSR Matthew Strunk Desert De Oro Foods Michaela Trenton Desert De Oro Foods Pheonix Hanus Desert De Oro Foods Tiffany Trevino Desert De Oro Foods Md Shajed Divine Investors Rehana Akter Divine Investors Chantal Garrido Divine Investors Debora Saint-Vil Divine Investors Gaetchen Prophete Divine Investors Istiaqe Ahmed Divine Investors Meghan Terni Divine Investors Mohammed Hoque Divine Investors Paula Chewy Divine Investors Paul Abegya Divine Investors Rozina Akter Divine Investors Sami Jim Divine Investors Shayla Brewer Divine Investors Venatsa Terreus Divine Investors Wahida Banna Divine Investors Andrew Bletzinger Dunn & Bowling, Elizabeth Miller-Burkhart Dunn & Bowling, Valerie Hernandez E.M. Thomas Management Karen Olmos E.M. Thomas Management Michelle Martin E.M. Thomas Management Alicia Navarrete E.M. Thomas Management Yadira Sifuentes E.M. Thomas Management Oscar Sanchez E.M. Thomas Management Kaylee Coleman EAB Ventures, LLC, KFC De Soto Series Axel Portillo Emerge Restaurant Group Abdulmateen Adelaja Emerge Restaurant Group Hannah Hendrix Estate of Frank Rutledge Dayanara Lopez Estate of Joseph F. Desmond Emiliano Munoz Ramirez Estate of Joseph F. Desmond Brenda Tamayo Estate of Joseph F. Desmond Paulina Perez Amezcua Estate of Joseph F. Desmond Ethan Nguyen Felker Day Xheneta Beqiri FMI Group Ryan Dow FMI Group Diamond Watson FMI Group Dylon Pettigrew FMI Group Emmanuel Amegandjin FMI Group 38 AKFCF Quarterly Fall 2020

Haylie Van Dusen FMI Group James Christie FMI Group Jonathon Qualls FMI Group Maggie Karoll FMI Group Chase Tallon FMI Group Wyatt Hansen FMI Group Athena Peters Fowler Foods Courtney McKissick Fowler Foods Dedrick Liddell Fowler Foods Alandria Sandridge Fowler Foods Emily Farmer Fulenwider Enterprises Kene Promaphile Fulenwider Enterprises Lloyd Wagner Fulenwider Enterprises Peter Pavusek Fulenwider Enterprises Valeria Restrepo Fulenwider Enterprises Angelina Khiem Gallant Veronica Kang Gallant Lionel Rebullosa Graja Madison Bosley Graja Stacia Sigvartsen Graja Alyssa Madrid Great American Chicken Aniya Evans Great American Chicken Brianna Tucker Great American Chicken Bethany Sykes Great American Chicken Daisy Escobar Great American Chicken Eran Dutt Great American Chicken Eric Alford Great American Chicken Joanna Gomez Great American Chicken Joseph Vasquez Great American Chicken Justin Reed Great American Chicken Lauryn Hase Great American Chicken Kaye Anne Reyes Great American Chicken Stacy Quintero Great American Chicken Yulisa Saravia Great American Chicken Jasmin Carpenter Hannon’s Food Service Amelia Artzer Harman Management Evan Lopez Harman Management Abbi Wiscombe Harman Management Abraham Garyeazon Harman Management Adam Aguilar Harman Management Eliezer Alcazar Harman Management Alexandra Lopez Harman Management Galilea Alvarez Harman Management Arturo Alvarez Harman Management Angelica Vasquez Harman Management Anne Lorraine Jalandoni Harman Management Alexandria Provencio Harman Management Ashley Curtis Harman Management Ashley Contreras Harman Management Athena Michelle Ereno Harman Management Aubrey VanDerwerken Harman Management

Aubrie McConnell Harman Management Austin Carter Harman Management Berenice Leon Harman Management Bernardo Mendoza Harman Management Briana Manley Harman Management Brian Camposano Harman Management Richard Corona Harman Management Chelda Lunt Harman Management Rachel Coursey Harman Management Chelsey Rios Harman Management Courtney VanDerwerken Harman Management Cynthia Becerra Harman Management David Contreras Harman Management Emilynne Carr Harman Management Envyh Brown Harman Management Erica Martinez Harman Management Erica Zaragoza Harman Management Erick Jimenez Harman Management Estaphanie Huerta Harman Management Erika Vicente Harman Management Fatou Goudiaby Harman Management Gaetano Chiarenza Harman Management Gerardo Gonzalez Harman Management Oscar Hernandez Harman Management Yesenia Ramirez Contreras Harman Management Jason Mushabe Harman Management Jenny Hernandez Delgadillo Harman Management Jericho Resurreccion Harman Management Julia Ruiz Harman Management Julianne Chiong Harman Management Kayla Diaz Harman Management Kelly Huang Harman Management Laura Rydquist Harman Management Lennon Brooks Harman Management Lyliana Ruiz Harman Management Elizabeth Barraads Harman Management Clarissa Lor Harman Management Lori Vang Harman Management Lauryn Taylor Harman Management Madison Drager Harman Management Magdi Taha Harman Management Mariah Williams Harman Management Mason Fong Harman Management Mauricio Marquez Harman Management Megan Wesenberg Harman Management Melissa Dimas Harman Management Melody Higbee Harman Management Michael Lopez-Perez Harman Management Monika Sanchez Harman Management Monserrat Briseno Harman Management Elias Moreno Harman Management

Mariah Rodriguez Harman Management Vanessa Morales Harman Management Noelia Gonzalez Harman Management Nya Duvall Harman Management Natalia Parmly Harman Management Leslie Mendoza Harman Management Emilio Ramos Harman Management Sabrina Vazquez Harman Management Samantha Salas Harman Management Santino Delgado Harman Management Sarah Reynolds Harman Management Jaydan Jensen Harman Management Simone Brown Harman Management Sheila Correa Harman Management Stephanie Ilaga Harman Management Samuel Lilly Harman Management Tami Reid Harman Management Tatum Florang Harman Management Tiana Johnson Harman Management Tyler Whitney Harman Management Uriel Alvarez Harman Management Valeria Madrigal Harman Management Evan Vang Harman Management Keandre Weathersby Harman Management Wilson Rogers Harman Management Faiza Mohammed Harman Management Chullain Norris Helms Food Service Lisa Mota Hope Street KFC Melani Da Lomba Hope Street KFC Deisi Velasquez Houston Enterprises USA Jordan Henderson Houston Enterprises USA Zivany Vance Houston Enterprises USA Priya Tamang Suarez Houston Enterprises USA Jena Kelly J.R.S. Restaurant Isabelle Widner J.R.S. Restaurant Makayla Wilson J.R.S. Restaurant Santana Wheeler J.R.S. Restaurant Chloe Shafer Jamyers Jael Rodriguez Cervantes Joint Heirs Food Emily Montes Joint Heirs Food Itzel Heredia Joint Heirs Food Alejandra Rodriguez Joint Heirs Food Alyssa Shockley JRN Bryce Pugh JRN Cameron Waugh JRN Chassity Hill JRN Chloe Roach JRN David Southers-Pomeroy JRN Dylan Chastain JRN A’Marria Favors JRN Watavien Favors JRN

Gabrielle Brunson Jadon Buchanan Jacob Roragen LaDerrick Ruffin Noah Bresler Bria Roberson Ana Aceves Maximiliano Perez Aaliyah Jackson April Zavala Adrianna Rodriguez Alexis Frost Alicia Harris Keegan Allen Andrea Bucio-Cardenas Shaunae Smith Ashanti Clarke Axl Commauf Azul Infante Brithanny Aguilar Becca Chaney Berenice Velazquez Bethany Egbert

JRN JRN JRN JRN JRN JRN Kazi Foods Kazi Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods

Brennan Fortel Bradley Porter Catherine Duncan Brianna Howard Brittany Moran Hannah Buren Christopher Agyare Caitlin Ostertag Crystal Brann Charlotte Hunt Charles Hewett Catherine Davignon Collin Shepherd Alex Daniels Dawson Young Monteca Drake Donzell Arrington Emily Castrichini Elizabeth Jewell Ester Rodriguez Ecko Stover Franklin Reed Abigail Weddington

KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods KBP Foods

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Fall 2020 AKFCF Quarterly 39

REACH Grant Winners from Spring 2020 SCHOLAR COMPANY Garrett Gooch KBP Foods Hannah Brossia KBP Foods Gracy Par KBP Foods Humza Ijaz KBP Foods Liliana Jaime KBP Foods Jai Printis Barnett KBP Foods Jared Phillips KBP Foods Jonavinne Steadham KBP Foods Jocelyn Countryman KBP Foods Kassandra Lichtas KBP Foods Katrina Harris KBP Foods Travis McDaniel KBP Foods Keiyana White KBP Foods Kelyn Blenkhorn KBP Foods Kelly Haney KBP Foods Khania Reese KBP Foods Kylee Frye KBP Foods LeAnne Jamison KBP Foods Leilani Hooks KBP Foods Christa Manges KBP Foods Emmanuel Willis KBP Foods Maribel Franco KBP Foods Mary Rodermund KBP Foods Michelle Alvarez KBP Foods Mikale Walker KBP Foods Lucas Montgomery KBP Foods Noah Johnson KBP Foods Nicole Duran KBP Foods Olivia Anthony KBP Foods Parker Centers KBP Foods Guetyms Pierre KBP Foods Isaiah Caldwell KBP Foods Ronhaldo Mata KBP Foods Ruby Salas KBP Foods Ruth Justin KBP Foods Sarahi Medina KBP Foods Savannah Dubord KBP Foods Selina Ohene Obeng KBP Foods Shenelle Graham KBP Foods Michael Sparrow KBP Foods Tyrese Batiste KBP Foods Victor Tamayo KBP Foods Jennifer Jadotte Kedis Enterprises Linda Munoz Kedis Enterprises Robert Yastremski Kedis Enterprises William Silvia Kedis Enterprises Sara Roedl Kels Foods Addison Bausch Kendall House Amber Bates Kendall House Brailey Harris Kendall House Braxton Slagle Kendall House 40 AKFCF Quarterly Fall 2020

Cavin Jones Kendall House Charles Livingston Kendall House Cody Adams Kendall House Ethan Garrett Kendall House Jaelyn Mohler Kendall House Morgan McCluskey Kendall House Patricia VanSickle Kendall House Shawna Barr Kendall House Sophia Hohler Kendall House Sadie Reda Kendall House Jose Tovar Kendall House David Lugo Barrera KFC of Colbert Johnathan Jimenez-Vargas KFC of Colbert Johana DelaSancha-Santana KFC of Colbert Nikolay Korniyenko KFC of Polly’s Cesar Quinones KFC of Woonsocket Alexis Cordeiro KFC of Taunton Brianna Gibbs KFCC Brian Fernandez KFCC Dileana Simeon KFCC Kassandralys Salas KFCC Keziah Eagar KFCC Lemuel Rexach KFCC Nia Nemwan KFCC Viktoria Morris K-Mac Enterprises Reagan West Kokolas Management David Mills Laura Thurston Emma Bickel Lee Foods Kayla Black LEE-CAM Management Blake Barnhill Lyon Management Cambrea Peterson Lyon Management Taylor Daniels Lyon Management Eduardo Cuevas M. Baker Management Gabriela Calzada M. Baker Management Karen Cuevas M. Baker Management Norma Menera Manuel Galhandro and Diana Galhandro Nesvy Davalos Manuel Galhandro and Diana Galhandro Vanessa Diaz Manuel Galhandro and Diana Galhandro Briana Margott Marble USA Keionna Pratt Michael J. Broussard and Stephen B. Broussard Asim Koirala Mitra QSR Cindy Tadie Tiako Mitra QSR Daisha Thomas Mitra QSR Yomarilis Gueits Rodriguez Mitra QSR Ibrahim Mustafa Mitra QSR Kessie Madaus Mitra QSR Jailiah Byrd-Johnson Mitra QSR Marilyn Monroy Mitra QSR Aniyah Milton Mitra QSR

Olamide Olaniyi Sage Polee Seth Adams Dylan Cobb Carlos Mendoza Luis Perez Calderon Christi Harms Denys Isordia Matilde Eymar Gonzalez Maegan Mulligan Mariely Martinez Jaida Sims Alexis Adolf Brayden Bernal Ian Loggins Jacqueline Sanchez Samuel Babatunde Rebecca Longenbach

Mitra QSR Mitra QSR Mitra QSR MTLD Noble Pursuit Noble Pursuit Northwest Restaurants Northwest Restaurants Northwest Restaurants Northwest Restaurants Northwest Restaurants O INC. PAK Foods PAK Foods PAK Foods PAK Foods PAK Foods Paris & Potter Management Paige Wainwright Peak Operations Diana Davis PENGEO Janiya Calhoun PMTD Restaurants Charmay Johnson PMTD Restaurants Caleb McKenzie PMTD Restaurants Taliyah Porter PMTD Restaurants Kory McCoy PMTD Restaurants Alexis Williams Premier Restaurant Ventures Danielle Jividen Premier Restaurant Ventures Shannon Hamilton Premier Restaurant Ventures Cynthia Faber R & R Ventures, Incorporated Kaitochi Moghalu R & R Ventures, Incorporated Lardja Lare Roubekas Enterprises Jersey Strum Sanweco Aaliyah Gregg Scottish Food Systems Ayona Pickens Scottish Food Systems Destiny Jacobs Scottish Food Systems Johanna Quezada Salazar Scottish Food Systems Harley Tanner Scottish Food Systems Dreama Ibrahim Scottish Food Systems Sunshine Key Scottish Food Systems Jakari Moses Scottish Food Systems Ymani Wilson Scottish Food Systems Zhy’Asia Ruffin Scottish Food Systems Kara Bulla Second Gen Chyna Davis Second Gen Morgen Tillema Second Gen Matthew Oresik Second Gen Faith Musa Second Gen Paige Trosper Second Gen Alexis Arambula Second Gen

Ana Corona Bustos Stewart Restaurant Group Alejandra Magallanes Stewart Restaurant Group Alejandra Melendres Torres Stewart Restaurant Group Arianna Sandoval Stewart Restaurant Group Ashlynn Nordet Stewart Restaurant Group Brittney McCracken Stewart Restaurant Group Brooklynn Heneman Stewart Restaurant Group Brendan Johnson Stewart Restaurant Group Daisy Carrillo Stewart Restaurant Group Cindy Yang Stewart Restaurant Group Claire Yang Stewart Restaurant Group Daniel Meucci Stewart Restaurant Group David Martinez Stewart Restaurant Group Enrique Salinas Stewart Restaurant Group Eric Solberg Stewart Restaurant Group Fareena Kaleel Stewart Restaurant Group Grace Hess Stewart Restaurant Group Isaiah Marlow Stewart Restaurant Group Jorge Barojas Renteria Stewart Restaurant Group Jourdan Bell Stewart Restaurant Group Julian Saenz Stewart Restaurant Group Jessica Rosas Isidoro Stewart Restaurant Group Kaitlynn Pacheco Stewart Restaurant Group Kayla Doble-Marty Stewart Restaurant Group Keanon Hurst Stewart Restaurant Group Lizbet Medina Stewart Restaurant Group James Kennedy Stewart Restaurant Group Miguel Rodriguez Stewart Restaurant Group Mohamed Morad Stewart Restaurant Group RayLynn Tuttle Stewart Restaurant Group Jose Gomez Stewart Restaurant Group Rhiannon Theis Stewart Restaurant Group Rylee Smith Stewart Restaurant Group Sabrina Molina Stewart Restaurant Group Samantha Skroch Stewart Restaurant Group Samantha Teasck Stewart Restaurant Group Valerie Munoz Stewart Restaurant Group Whitney Emerson Stewart Restaurant Group Damaris Hernández Sunbeam Darnell Hopkins Sundance Kelsey Mein Sundance Collin Parcell TM&D Laura Jordan TM&D Jordan Ferrel T R and J Eryn Wade T.G.G. Adiana Marenyi Talmadge Street Sean Ramos The Chick Edgar Dominguez V and K Food Joseph Urbanik V and K Food Madison Zajac V and K Food

Whitney Beals V and K Food Christopher Gaffrey Vangeloff Management Jordan Yang Vangeloff Management Darrielle Johnson Vangeloff Management Deaja Todd Vangeloff Management Noell Hankton West Quality Food Service Sharon Daniel West Quality Food Service Austin Arrasmith White Chantal McQueen White Dillon Johnson White Amanda Wynsma WMCR Ashley Noorman WMCR Eric Donker WMCR Ethan Potts WMCR Joshua Noorman WMCR Jared Shafer WMCR Zachary Lotterman WMCR Lauren Phelps WMCR Nicholas Biesbrock WMCR Rebecca Zeitman WMCR Rylee Warner WMCR Tristan Potts WMCR Megan Draper WMCR

Rise with GEDWorks Grads in 2020* *As of July 27, 2020 SCHOLAR COMPANY Alexis Frees Bells and Birds Maria Rodriguez Fulenwider Enterprises Gina Guillen JRN Wendy Garcia KBP Foods Amanda North Kendall House Nicole Manchester KFC of Taunton Allyssia O’Leary MAA DURGA Enterprise Nicolaza Gomez O INC. Joaquin Martinez Phil Mook Enterprises Katherine Rush Premier Restaurant Ventures Dillon Gibbons Stewart Restaurant Group Michael Mikesell Stewart Restaurant Group

Fall 2020 AKFCF Quarterly 41

Why Association Health Plans Matter to Small Businesses

By Diane Peoples, Senior VP of Marketing, Decisely

s a small business owner, Pam McClung of Cumming, Georgia strongly believes in offering health insurance to her employees. Not only does it help keep them happy and loyal, in her opinion, it’s just the right thing to do. However, every year, offering quality, affordable health insurance has grown more difficult. This became abundantly clear last year when she lost a star employee to another job, with benefits that allowed him

42 AKFCF Quarterly Fall 2020

to better-manage the financial burden of his son’s health condition. Between the increasing rates and mountains of paperwork, trying to do the right thing was becoming more than she could afford. McClung is not alone. Six million small and independent businesses (two to100 employees) in the United States provide more than 40 million jobs and represent 34 percent of the U.S. workforce.1 But this driver of the U.S. economy has a major challenge: the abil-

ity for employers to offer affordable, helpful health insurance plans to employees and their families. Almost all (99 percent) large firms offer group health plans to their employees, but only 50 percent of small businesses can do the same.2 This means that as many as 20 million employees at America’s small businesses don’t have access to employer-based medical coverage, forcing them either to seek coverage in a largely dysfunctional individual medical insurance market, through the exchanges; or

worst of all, go without any insurance at all. But there is a better option. Association health plans (AHPs) were designed to address this challenge and to help small businesses provide affordable, quality health insurance.

Association Health Plans – Designed to Help For the past two years, there has been buzz in the news about AHPs and activities by the Department of Labor (DOL) intended to expand the ability of associations and franchisees to band together to source benefits. This idea of collective sourcing of insurance, how-

ever, is not new; AHPs have been around for more than 30 years. Today, the DOL allows associations with strong common business interests to band together in trusts as long as they meet a few conditions: 1. Must be same trade/business interests: KFC franchises yes; Chamber of Commerce member no. 2. For employees only, not 1099 contractors. 3. Employer members control business decisions, not parent corporation, broker or insurance carrier. 4. AHP must be created for more than just group healthcare purchasing, sourcing HR services or business products purchasing co-op. Why is this so relevant to our franchises? Because the opportunity for savings, and the ability to change employees’ lives with health insurance plans, can be just an association health plan away. Access to affordable health insurance isn’t just an employee retention play. It changes their lives. When McClung was able to source a plan at lower prices, not only was she able to pay for medical, dental, and vision insurance for the price of medical alone on her prior plan, she was able to convince her former employee to come back with an offer of more robust coverage for his family. Also, some of her employees were able to purchase additional lines of coverage, including disability insurance, with their premium savings. According to McClung, “When you’re recruiting, it’s what they are looking for. They’re not just looking for a job.”

Beyond Healthcare Access to medical and other health plans is not the only problem for business owners or their staff. More than 90 percent of disability

insurance, which covers income loss if an employee is injured or becomes ill, is purchased through employer-provided benefit programs. If an employer doesn’t offer disability insurance, studies show it is extremely unlikely that an employee will purchase such coverage on an individual basis. Only 60 percent of small businesses offer disability insurance benefits, which means that at least 40 percent of small business employees are unlikely to receive long- term disability coverage. This is important because DOL statistics report a 30-percent chance that a 35- to 65-year-old will be disabled for at least 90 days during his or her prime working years. Even worse, an estimated 1 in 7 of those disabled will be unable to work for more than five years. So, a substantial percentage of workers in small businesses can’t protect their most important asset — their ability to work and maintain an income — exposing themselves and their families to major financial hardships.

Case Study: A National Franchise’s Experience Decisely, with a business insurance broker-partner, launched an AHP Trust for collective sourcing of medical benefits (including dental and vision), adding other nationally negotiated non-medical benefits for a 10,000+ outlet small business franchise group in the automotive industry. The impact on these businesses was impressive, supporting the idea that collective purchasing of health insurance works for small and independent businesses, insurance carriers, and even the national health of private business. The experience among the first set of customers in this program was impressive. They saved: On average, participating small businesses (averaging 18 full-time

ACCESS TO AFFORDABLE HEALTH INSURANCE ISN’T JUST AN EMPLOYEE RETENTION PLAY. IT CHANGES THEIR LIVES.

Fall 2020 AKFCF Quarterly 43

employees each) saved more than 23 percent in healthcare insurance versus their prior coverage. The cost savings per employee was over $1,000. That savings goes back into employee pockets to be used for housing, transportation, recreation, et cetera, boosting other pockets of the U.S. economy. In fact, for employees making $35,000 to $40,000 annually, these are life-changing numbers and can be the difference between affording health insurance for their families — or not. In addition to substantial premium savings, the program provided improved health coverage, additional wellness and pharmacy benefits versus typical small business insurance, benefiting employers and employees

ON AVERAGE, PARTICIPATING SMALL BUSINESSES (AVERAGING 18 FULL-TIME EMPLOYEES EACH) SAVED MORE THAN 23 PERCENT IN HEALTHCARE INSURANCE VERSUS THEIR PRIOR COVERAGE.

alike. Feedback from covered employees was immediate and heartfelt. Larry S.’ tearful reaction was: “My wife is sick; I switched to your coverage because I was told it would cover

her. We went to get insulin that I previously paid $1,800 for and when they said it was $10, my wife cried like a baby.” More companies bought benefits for the

THE SOUTHEAST ASSOCIATION HEALTHCARE PLAN By Jake Rasor, Southeastern KFC Franchisee Association President When I began moving through the chairs for the Southeastern KFC Franchisee Association, I was hearing a lot of chatter in Washington about association healthcare plans (AHPs). Over the years, attending regional and national AKFCF meetings, I would hear from large and small franchisees alike about the increasing cost of health insurance. Some of the smaller operators told me they could no longer offer health insurance because it was too expensive. In the fall of 2017, I began to research AHPs. Through my existing healthcare provider, I contacted Decisely. After providing them with all the information on our Southeast Association, we determined we were a perfect and natural fit for an AHP. The math was simple: The more people who participate in the AHP, the lower the costs. Most Southeast KFC franchisees that had a healthcare plan where under a small company plan. It did not matter if they had one restaurant or 50. Many received yearly increases of 10-20 percent if their employees did not have major health issues. By pooling many of the Southeast KFC franchisees into an AHP, we should be able to eliminate these massive, yearly increases and lower cost per employee. The Southeast Association Healthcare Plan was launched in the fall of 2019. Initially, we were only able to cover four states through Humana. The franchisees that were able to take advantage of the new plan saved more than 25 percent on their health insurance and over $1,000 per insured. As of July 2020, the Southeast Association Healthcare

44 AKFCF Quarterly Fall 2020

Plan has not only expanded to every state in our region, but Decisely will be able to quote health insurance for every KFC franchisee in the nation. Humana expanded the number of states they cover under our AHP and Anthem has come forward to provide health insurance in 14 states. Anthem is the largest Blue Cross–Blue Shield carrier in the nation. Many other “independent” Blues carriers are being brought into the AHP through seeding requests. Decisely is working with Anthem to speed up the approvals with the individual Blue’s carriers. The Southeast Association Healthcare Plan will continue to evolve and become more competitive over the next several months as we bring in more carriers. Some KFC franchisees will have as many as three carriers from which to choose. Upon further review of our bylaws, it was determined that any KFC franchisee outside the Southeast Association can join our Association for $30 and participate in the Southeast Association Healthcare Plan. I encourage you to reach out to me so I can walk you through the simple process to join the Southeast so Decisely can provide you a quote for your health insurance. The ultimate goal is to have the RSCS take control of the AHP and administer the plan through Decisely. Decisely has had many meetings with RSCS and they are monitoring our progress. If we can show substantial savings for KFC franchisees through this program, it is our hope the RSCS will be able to roll this plan out to Taco Bell and Pizza Hut franchisees as well. The more participants, the lower the cost.

first time: 35 percent of these small businesses obtained group benefits for the first time as health insurance became more affordable and the ability to access benefits through the national program was made simpler. That’s good news for both the businesses buying, and the insurance carrier, who is essentially creating (and accessing) a new market of customers. Expanded benefit offerings, with broader coverage: 36 percent of these businesses had previously offered medical coverage. They were able to add new benefits for their employees for the first time, including dental, vision, life and disability. Business owners, who were used to cutting back benefits as a result of premium increases, were thrilled and spread the word among their franchise community. Business owner Holly B. wrote: “We are absolutely pleased! By providing health insurance through this plan, we are not only saving money, but we have better insurance. This is an answer to prayer! I even called other owners in our town and told them about you.” Finally, the trust was able to negotiate better “minimum participation” requirements than small businesses would have been able to source on their own, both on medical insurance and other non-medical insurance. For example, most of these businesses were too small to qualify to offer disability, but under this national program, disability was offered to all companies with a minimum of two participants.

1. Source: U.S. Census Bureau 2014 2. Source: Decisely internal enterprise research, 2018-present Decisely is a specialty benefits and HR solutions technology firm and the administrator of the SEKFC Benefits Center, as well as the Franchisee Benefits Center for AKFCF. The company was founded on the principle that small and growing businesses should have access to the same comprehensive benefit

plans as large corporations. Franchises participating in the SEKFC AHP experienced savings versus their renewals ranging from 25% to 47%, averaging 36% overall. The Decisely mission is to support small businesses in their efforts to keep healthy employees and a healthy bottom line. One of the major ways Decisely helps small businesses is through the formation of collective sourcing solutions for more cost-effective and expanded benefits across multiple small businesses.

Saving Money, Helping Businesses Thrive Independent businesses are part of the U.S. economy’s backbone, inclusive of race, religion, politics, and socio-economic status. For their health and even the larger economic good of the nation, employees and their families need better access to affordable, useful benefits. Reducing cost and broadening access to benefits for employees reduces the number of uninsured, and helps businesses save time and money. Bringing groups together to source benefits can make the independent business community stronger, allowing them to compete with larger corporations for valuable employees. Through association health plans, today six million small businesses buy individually, but tomorrow they will buy together. n

Fall 2020 AKFCF Quarterly 45

RSCS MEMBER PROGRAMS

RSCS MEMBER PROGRAMS & EMPLOYEE PERKS: THE YUM! COMPETITIVE ADVANTAGE By Tricia Fike

t Restaurant Supply Chain Solutions, our goal is to provide value to our members. Member Programs provide value to our franchisee partners by offering discounts on products and services used to run your businesses. You may have heard about our Waste Services program, which could save you up to $1,000 a month, but Member Programs has many other programs that can help you save money on products and services you may already use today. We have negotiated discounted rates for:

Last year, RSCS had completed a multistage RFP, leveraging the volume of the entire Yum! brands system with some of the largest national waste vendors and waste brokers to ensure the BEST rates are made available to all restaurant locations.

• Cleaning services • Cell phone plans • Fire suppression • Office supplies • Oil management • Shipping services • Pest control • Slip-resistant shoes and more!

Our entire list of programs can be found on our Digital Directory page located at the following link: https:// apps.rscs.com/MemberPrograms/Login. aspx. The Directory is where you can find detailed information on each of the programs we offer, the discounts available, as well as directions on how to sign up and who to contact for more information. The Directory also is where you can sign up to receive our monthly email Newsletters. The Member Programs E-newsletters highlight various vendor offers that are a part of Member Programs. Also included in the E-newsletter is valuable Employee Perks information. Employee Perks is a free benefit for all our members and their employees that offers discounts on products and services

46 AKFCF Quarterly Fall 2020

from a multitude of retailers you may already be using today. We have discounts on cell phone plans, movie tickets, electronics, and more! The E-newsletter has printable flyers that you can download, print and distribute to your employees, letting them know how to sign up for their free Employee Perks discounts. Our goal is to provide the most value to our operators with these programs and we appreciate your feedback. If there is a product or service that you think would be a great addition to Member Programs, please email us at memberprograms@rscs.com. WINTER 2020 Program Spotlight: Waste Program & Employee Perks Save up to $1,000 per store! With RSCS Waste Services program, you can stop throwing your money in the trash (and reduce your costs up to 30 percent)! Last year, RSCS had completed a multi-stage RFP, leveraging the volume of the entire Yum! brands system with some of the largest national waste vendors and waste brokers to ensure the BEST rates are made available to all restaurant locations. By leveraging this large volume, RSCS has established deals in place with five different vendors that are available to our members. While some locations are locked-in to using a city’s services (called a closed market), most areas have open competition, which means the waste vendors are competing for your business! To get started, simply send your current waste invoices to WasteQuotes@rscs.com and we will retrieve bids from all five of our waste partners. This is a completely free process and you have nothing to lose — except for dollars off your waste bill. We will make the submitted bids available to you and if you are interested in one of the offers, provide you with a pre-negotiated

Operator Agreement that you can simply sign and begin service with the new waste vendor at the reduced cost. Employee Perks: Help Employees Save On Nearly EVERYTHING! Make sure your employees are getting the most out of being a KFC Crew Member by utilizing Employee Perks. Our Employee Perks program offers discounts on products and services from a multitude of popular retailers that can help your team Save on Life! One of our most requested discounts is on cell phone plans. We offer discounts at AT&T, Verizon, and Sprint. You and your employees could be saving up to 23 percent on your data plans just by being a

KFC employee! We also offer discounts on movie tickets, oil changes, hotel, car rental, security systems, theme parks, electronics, and so much more. To start saving, follow these two steps: • Connect via www.rscs.hrdiscounts.com • Create an account using the registration code “SAVENOW” Be on the lookout for a new Employee Perks poster being sent for you to hang up in store to remind your employees to sign up and start saving. We also have printable flyers available now for you to distribute to your team, just email memberprograms@ rscs.com and we will send you the printer-ready flyers. n

Make sure your employees are getting the most out of being a KFC Crew Member by utilizing Employee Perks. Our Employee Perks program offers discounts on products and services from a multitude of popular retailers that can help your team Save on Life!

Fall 2020 AKFCF Quarterly 47

KFC FOUNDATION

TEAM MEMBERS CAN SAVE $500 WITH NEW MyChange SAVERS PROGRAM! By Elizabeth Edrington, KFC Foundation Communication Coordinator

n the middle of a global pandemic, it’s clear that saving money and having an emergency fund is more important than ever. However, nearly half of American adults don’t have $400 in savings to cover an unexpected expense, which can send their life into a tailspin. We see it firsthand through the KFC Family Fund, when team members submit an application for assistance with rent, car maintenance, or other costs that come with daily life because they haven’t put money aside to help with the inevitable bumps that come along in the road. Seeing situations like this and not being able to assist

through the KFC Family Fund* is what inspired the Foundation to pursue a personal finance program in the first place — and is inspiring us to revamp that program with a new focus and approach to enhancing KFC team members’ financial wellness. The KFC Foundation is launching a

savings matching program to equip eligible KFC team members with a $500 short-term emergency fund and a habit of saving money in just six months. For the last few years, you’ve heard us talk about our MyChange personal finance program, which we created to help team members learn money management skills. We’re excited to announce that this program is morphing into a new program with an emphasis on rewarding team members for saving money — in an exciting new partnership with SaverLife, we’ll be offering MyChange Savers and MyChange EDU. Through MyChange Savers, partici-

You Match Total

+ $240 48 AKFCF Quarterly Fall 2020

= $260

$500

pants can have the money they save matched $1 for $1 (up to $40/month) during a six-month period. If they contribute the full $40 each month for the first three months, they’ll get an extra $20 bonus! In just six months, they could build a $500 emergency fund, with $240 of their own money and a max $260 match from the KFC Foundation. A few additional details: • There will be limited spots available in each six-month period. We’re planning to open applications for MyChange Savers twice a year. • Employees can only participate in MyChange Savers one time (i.e., one six-month cohort). They cannot reapply if they have been accepted into a Savers period previously. • The match money will be disbursed at the end at the end of the sixmonth period. Savers must still be employed with KFC to receive their match. • To be eligible, participants must: ° Work at a KFC restaurant that participates in the Cole Slaw Donation Program ° Be at least 18 years old ° Have a household income less than the average household income in their area • The KFC Foundation will verify employment and income eligibility before accepting applicants into the program. • Participants must have a savings account and must link it when creating their SaverLife account in order to participate. We’re piloting the program this fall and will open the application up to all eligible employees in spring/summer 2021. We’ll share more info as we get closer to the national launch — stay tuned! The other part of our partnership with SaverLife is equally exciting. MyChange EDU is an online portal available to all employees at participating restaurants where users can earn

your credit is denied.” • Read stories of SaverLife members from across the country and engage with them through the community forum.

rewards and win money as they grow their financial know-how. • Rack up points by engaging with different content, logging your budget, saving money, and simply visiting the website once a week. • Redeem points to get digital Scratch & Save tickets for a chance to win $5 each time! • Browse the dozens of articles written by certified financial experts that cover real-life topics such as “What can I cut out to save more money?” and “6 steps for when

Team members can sign up for MyChange EDU today through the KFC Foundation mobile app and kfcfoundation. org. Spread the word! We couldn’t be more excited to announce this new partnership with SaverLife and help team members build a savings habit that will change their lives. SaverLife works with several other well-known companies, including Levi Strauss, HCA, and Tailored Brands, to bring a similar savings matching program to their employees. Know that we’re joining forces with a company that is dedicated to creating prosperity for working families by helping them save and invest in their futures. “I never felt that I could save so this has given me the motivation to save, made it easier than I thought and I’m proud of myself. I appreciate the opportunity.” – Tailored Brands Employee “I had an emergency car repair and had the funds to get it done with savings rather than borrowing money.” – Tailored Brands Employee “I have learned to save money without giving it a second thought. I’ve also established financial confidence in myself as a result of this experience.” – Tailored Brands Employee Soon, we’ll be hearing these same things from your team members! Want to learn more about MyChange Savers and MyChange EDU? Email us at foundation@kfc.com and we’ll set up a virtual meeting! n *Learn more about what the KFC Family Fund can assist with at kfcfoundation.org/ourprograms.

Fall 2020 AKFCF Quarterly 49

REGIONAL SHORT

NWKFC REGIONAL SHORT By Shannon Prendiville

hat a year 2020 has been so far! We never saw this coming, but here we are, “Zooming” meetings and reworking our restaurant businesses. The NW KFC family has adapted, retooled, and succeeded! The many challenges this pandemic has brought us, personally and professionally, have been difficult. If there is a silver lining, it is that KFC has been deemed essential and our customers can’t get enough of the Colonel’s Buckets. Many have found the drive-thru window is the most vital component of our operation. We’ve streamlined and improved our restaurants’ performances. Our customers have accelerated their adoption of delivery applications. These adjustments are getting our businesses through the ever-changing landscape of this pandemic. The old-fashioned family bucket “meal replacement” is exactly what our customers require, and that’s exactly what we can deliver — tasty comfort food to comfort the masses. As we retooled our restaurants, we’ve also retooled our meetings using the Zoom platform.

The many challenges this pandemic has brought us, personally and professionally, have been difficult. If there is a silver lining, it is that KFC has been deemed essential and our customers can’t get enough of the Colonel’s Buckets.

50 AKFCF Quarterly Fall 2020

The NWKFC continues to strive to be a source of information and collaboration for our members. The NWKFC had its first summer Zoom Meeting on July 17. We invited KFC U.S. President Kevin Hochman and the KFCC leadership team to present the current KFC business updates, and our NW committee representatives advised our members of the latest regional information. The NWKFC Association had been looking forward to our fall meeting in Hawaii, but due to the pandemic it has been postponed until fall 2021. We will be at the Marriott Resort, Big Island, Waikoloa, Hawaii from Oct. 22-28, 2021. Our fall 2020 meeting will be virtual this year instead! Tentatively scheduled for Thursday, Oct. 29, 2020. Details are still being finalized. Please find updates to all our meetings and regional information on our website at www.nwkfc.com. n

Photo Courtesy of KFC Global

FINANCE COMMITTEE REPORT

FINANCING OUR FUTURE?

By Alessio DiFranco, Finance Committee Chair

wanted to start off by giving a big Thank You to the members of the Finance Committee for their time and effort in helping to secure a healthy future for the AKFCF financially. These members include: Roger Sparks (AKFCF Treasurer), Keith Cole (EC Liaison), Debbie Newton (AKFCF Administrative Director), Dave Evans, Chris Fowler, and Inman Hodges. We all work together in order to fulfill the committee’s mission statement, which is: To work with and support the Treasurer to the AKFCF in developing annual budgets and to make recommendations to the Executive Committee of the AKFCF on fiscal policy. The Finance Committee has been pretty quiet the last few months. We have continued our viewing of monthly invoices from various sources, along with financial statements and quarterly budget updates. Our biggest contribution this past year dealt with the work that took place to increase National Support Dues that commenced in January of 2020. The base amount was to remain in operating funds while the increased amount goes directly to a contingency fund. We thought as a whole this was a big win for the franchise community, as there are times of crisis that are unpredictable and to have a rainy-day fund may be necessary in the future. What we didn’t anticipate was that these funds may actually be necessary sooner than expected, due to the pandemic. We were all hit with the news of unknowns from every source possible. Data exists on many fronts, and thus, future behaviors are unknown. As I write this article, many states are

re-implementing some sort of stay-athome order, or limiting movement from its constituents. The troubling part is that we do not know what this means for the immediate future of regional and AKFCF board meetings or the annual Convention. That being said, the Finance Committee and AKFCF is committed to doing the right thing for its KFC family and will take

into account the balance of being fiscally responsible, while at the same time trying to get our “Blue Chip” Convention ready for March at the Gaylord National Resort and Convention Center in National Harbor, Maryland. At the moment, the contingency fund is not needed, but I am glad we have one if the need ever arises. n

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Fall 2020 AKFCF Quarterly 51

EXECUTIVE DIRECTOR UPDATE

POWER OF THE PEOPLE By Kelly Rodenberg

“P

ower of the People” is more than just a theme for the 2021 Annual Convention — it’s the fabric of our Association. The AKFCF has been the voice of KFC franchisees for 47 years, and that voice has only gotten stronger. The AKFCF has long been the professional home to hundreds of franchisees in the KFC System. On a recent AKFCF leadership development committee call, AKFCF General Counsel Ron Gardner stressed these points to our new regional leaders, and they are very fitting to this theme: • AKFCF leaders are volunteers who have fought many battles and overcome many obstacles — not just for their personal success, but to ensure the success of all their fellow franchisees. • The strength of the AKFCF lies in the regions, in the volunteerism; and it resides in the solidarity and unification that the group has always had. • This strength and solidarity has led the AKFCF to be called the strongest and most effective franchisee organization in the world. • The strength of the AKFCF is in the combined wisdom and will of all of its members working together toward a common goal. As your Association, we welcome your participation, questions, ideas, and concerns. We want your help to define value for you as a franchisee in the Association. Membership and active participation in

52 AKFCF Quarterly Fall 2020

AKFCF give franchisees an even stronger voice on issues that are important to the system. Imagine what we could accomplish if every member raised a voice, if every member wrote just one letter to a legislator or the corporation. Imagine if every franchisee participated in the AKFCF as much as our most active members. What could we accomplish then? We are KFC Strong, but we cannot use this strength to its fullest if every perspective is not represented. The AKFCF is your professional home — no matter where you are or how long you have been a KFC franchisee. And I encourage you to think about what it means to be actively involved in your Association. It is up to each member to decide what the AKFCF will look like as we continue into the new normal. Individually, we stand alone — together, we are a powerful voice. How you use this power is up to you. As a franchisee, you may have your head down, working solely on your restaurant(s). Have you looked up to notice what was going on around you? Perhaps you never thought issues mattered if they didn’t directly affect your business. I’m sure many owners out there feel the same in these crazy times. However, in the past few months, we’ve seen an increase in ever-changing policies, operations, and laws. How do we navigate something like this? Staying on top of changes is tough. One, you must know when rule changes are created and

when they take effect. Two, you also want to know how to interpret the changes. As a small business owner in ANY industry, at times it feels like you are drowning in information. So, how do we keep plates in the air while waiting for the next one to fly in? Membership my friends. Membership. You can receive a digestible synopsis of legal updates, saving you time reading through piles of difficult stuff. It provides you access to resources necessary to keep your business healthy — potentially saving you from costly mistakes. Professional development anyone? Best practices? Networking? Let your AKFCF give you the details! Association membership also draws like-minded people together to advocate for our industry. By attending regional meetings, trade shows, receptions, workshops, dinners, or the annual Convention (which really is a small investment) you stay plugged into your national and regional happenings. Rarely if ever, does one person or one business garner any attention. But, gather a group of business owners, all in the same industry, and people/ politics take notice. Our protection, our strength, our POWER of the People is in our collective voice. As the KFC brand changes and grows, involvement is beneficial. Information is necessary. Partnerships are paramount. With Association membership, you’ll never face that giant alone. That should make all the difference to you. n

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Fall 2020 AKFCF Quarterly 53

LEGAL UPDATE

SETTLING IN ON THE ‘NEW NORMAL?’ By Ron Gardner

irtually everywhere you turn these days, people are talking about the “new normal.” Whether it be in your newsfeed, conversations with your vendors, lenders, landlords, your customers, or your family, we all seem to be talking about what has become the new normal. Unfortunately, however, from where I sit, we are far from settled into any particularized patterns. On the one hand, almost everyone I know is pining for life as it existed before the outbreak of COVID-19. This desire is pushing us all to plan meetings, work on reopening lobbies at 100 percent, send our kids to school, and in lots of other ways, resume life as it once existed. If the public opinion polls are to be trusted, however, a vast majority of America is not ready for that return — despite what they wish for. If I could count the number of

54 AKFCF Quarterly Fall 2020

times people have told me that they will not resume their prior activities “until a vaccine,” I could probably be a mathematician. And this uncertainty, and the tension between what we want and what we are willing to do, has created some interesting times within the KFC universe. As you likely read in earlier pages, the NCAC has moved away from in-person meetings to virtual meetings — and further away from quarterly meetings to monthly meetings, in order to accommodate the attention span that is required to stay focused on a virtual meeting. Given the hours we spend in subcommittee meetings, franchisee-only meetings, and in the NCAC meetings themselves, I do not know that the number of hours that we spend visiting with KFC has gone down per quarter — in fact, I think it has gone up. But the level of intimate inter-

action has certainly dropped. It is not wrong to say that a lot of business in our business got done outside of business hours. While I cannot say if the new normal means that we will not go back to the old ways, we do seem to be adjusting (albeit without as much personal touch), and making sure things are getting done. The uncertainty of what the new normal may end up being is also affecting Convention planning. Like many organizations, the AKFCF and its Regions are having to deal with the prospect of greatly reduced attendance if they have in-person meetings, the cost of cancelled hotel contracts if they do not, and finding a meaningful and engaging way to stay connected to members if there are virtual exchanges rather than meeting in-person. We are being forced to consider creative ways to connect you, our valued members, to

To the great credit of the hard work of everyone in the KFC family, …we have, thus far, made a lot of lemonade out of the lemons. our extraordinarily important and appreciated vendors and sponsors. As I write this, no decisions have been made to cancel or otherwise not have an in-person Convention, but we are doing the due diligence that is required to give ourselves options in the event that becomes a less-than-optimal choice. The new normal also may include a significant uptick in the amount of digital business that you folks see through the partnerships that we have created with third-party aggregators, including DoorDash, GrubHub, Uber Eats, and Postmates. Digital sales have been approximately four times what we anticipated they would be this year, and have, for most of you, become a significant part of the transactional mix that you experience day to day. Since I last wrote to you, GrubHub has announced that it was discontinuing its exclusive relationship with Yum!/KFC. That does have its significant upside. I hope you have seen the announcement I sent to you recently that shared my opinion

that you are no longer bound by the provision that required you to not advertise with aggregators other than GrubHub outside of your restaurant. From the way I read it, you may begin advertising your affiliation with Uber Eats, DoorDash, and Postmates in all of the places that you would otherwise advertise. Who is to say whether or not this dramatic increase in digital sale will continue postCOVID? Another one of the great uncertainties that keeps me from suggesting that we know what the future holds. At the end of the day, I question whether or not we are “settled” (I certainly think we are not), and whether or not there is any new normal. Not yet, to my way of thinking. So where does this leave us? With a lot of unknowns and uncertainty. But, to the great credit of the hard work of everyone in the KFC family, including KFCC leadership, the RSCS leadership, and your franchisee leadership at both the AKFCF and the NCAC, we have, thus far, made a lot of lemonade out of the lemons we have been handed. Until we get back to normal, I am not sure there is anymore that anyone could ask for. n This column is for the general information of members of the AKFCF and should not be relied upon as legal advice. Please see your own attorney or professional advisor for questions concerning your franchise agreement. Ronald K. Gardner is General Counsel of both the AKFCF and the NCAC.

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Fall 2020 AKFCF Quarterly 55

Photo Courtesy of KFC Global

LOOKING BACK

56 AKFCF Quarterly Fall 2020