Yum Brands Inc. said Tuesday that is looking for a buyer for its Long John Silver's and A&W restaurant chains.
Yum, based in Louisville, Ky., said it plans to concentrate on expanding its Taco Bell, Pizza Hut and KFC business in the U.S. and abroad. The company said Long John Silver's and A&W All-American Food restaurants do not fit into its long-term strategy.
The two restaurant chains account for 1,630 of the company's more than 37,000 restaurants worldwide but have a minimal presence outside the U.S. About 65 percent of Yum's profits are from its international business, including China, up from 22 percent in 1998.
Yum's net income grew 7 percent in its most recent quarter on surging international sales despite a slight downturn in the U.S. The company said earlier this month that it is on track to deliver 14 percent growth in earnings per share for the year based on its success overseas.
The company said it doesn't expect the sale to have a material effect on its earnings or cash flow.
Shares of Yum Brands rose 70 cents to $48.54 in midmorning trading.
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