Coffee Boss Upset: Attacks Rumor Mongers

Let's face it, running a business can be hard work... that can then be screwed up by things outside of our control.

The answer as always, is to keep cool and play it like a game (if you can!).

Top athletes play sport with rational calulation - NOT emotion.

And that's my advice to the following gentleman...

The boss of Coffee Republic today condemned internet bulletin boards for moving the price of the firm’s shares and damaging progress as it rolls out its franchise programme.

The coffee bar and deli chain saw its share price double to 4p earlier this month following speculation that management were planning a buyout of the firm but fell back after it issued a denial.

Some franchisees considering a deal with Coffee Republic have been put off due to the uncertainty surrounding the group, chairman Bobby Hashemi said.

London-based Coffee Republic was forced into a painful restructuring after trading suffered in the wake of the economic and tourism downturns of 2001.

Its estate was halved while new equity and banking facilities were secured to improve the group’s financial stability.

The firm has been moving towards a deli format – offering fresh sandwiches and hot food counters as well as coffee – in a bid to cut exposure to competition from rivals such as Starbucks, Costa Coffee and Caffe Nero.

Mr Hashemi said the rollout of the firm’s deli concept through franchising over the summer had been progressing well and ahead of schedule but has recently been hampered by speculation on websites, such as advfn.com, which provide investors with share tips.

“Despite trading statements from the company that trading was in line with expectations, speculation on internet bulletin boards has insisted that this is not true, and that management is suppressing good news,” he said. “The audited results show that the company’s trading statements were true and accurate and that the speculation was unfounded.

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