Atlanta fastfood chain Blimpie International has been given the go-ahead to drop Coca-Cola from its 1,900 restaurants and start serving customers Pepsi instead.
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Blimpie president and CEO Jeff Endervelt said that Pepsi was “more aggressive, marketwise, right now”.
Coke, which has had the cola contract with Blimpie since its opening in 1964, had sought a temporary restraining order earlier this week to stop Blimpie switching to Pepsi. However, a Fulton County judge refused to stop the switch of supplier, which is already underway and is expected to be complete within 60 days.
Coca-Cola has taken major customers to court before after severance of a major contract, most notably against the Circle K convenience chain in 1996. Then, the two companies eventually settled. It is somewhat ironic that Blimpie is based in Atlanta, the home of Coca-Cola. Clearly, this cut little ice with Blimpie’s new owners, a private investment group which took control of the company last month.
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By GlobalData
