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Issue Date: Vol. 49, No.7, July 2009, Posted On: 6/29/2009

KRh, IntelliVend Shift Kosher Vending Industries To Franchise Model

Emily Jed
KRh Thermal Systems, Hot Choice IntelliVend, Hot Nosh, Doron Fetman, Christopher Rollins, Michael Rudder, vending machines, vending route, vending business, vending news, food news, kosker trends, Kosher Diner Franchise Program, vending operator, kosher vending, kosher products, Orthodox Kosher certification, hot dogs, LHD Vending Systems, foodservice, coin-operated, automatic retailing, franchise businesses, business opportunity

IRVINE, CA -- KRh Thermal Systems and IntelliVend LLC (Braintree, MA) have announced an agreement with Kosher Vending Industries LLC (Valley Cottage, NY) under which KVI's Hot Nosh 24/6 operations will transition to franchises in a number of U.S. markets.

KRh announced last month that it had signed an agreement to purchase the assets of KVI, which it will operate as a separate entity. Doron Fetman, cofounder of the kosher vending company, will join KRh and play a key role in driving the business forward.

KVI’s Hot Nosh-branded KRh Hot Choice machine delivers an individually packaged hot kosher meal, from pizza to onion rings, in 90 seconds or less. The company used the HD3000 from LHD Vending Systems -- branded as the Kosher Cart -- to dispense kosher grilled hot dogs as part of its program, but has sold that portion of the business to a local operator in New York’s Rockland County.

"KVI, utilizing KRh's Hot Choice products, did an excellent job in expanding awareness and access of Kosher foods through their in-market Kosher vended food program," said IntelliVend chief executive Christopher Rollins.

"The IntelliVend vending franchise model can enhance growth by providing the operating infrastructure and a business model that ensures focus and compliance with all of the requirements of Orthodox Kosher certification," Rollins continued. "Once developed, the Kosher Diner Franchise Program will ensure that kosher services do not get 'blended out' or compromised by non-kosher products and/or services."

There are reported to be more than seven million consumers of kosher products in the United States, many of them residing in major markets currently served by IntelliVend.

"KRh is excited about the opportunity for growth of the KVI model via an alliance with IntelliVend," observed KRh chief executive officer Michael Rudder. "The IntelliVend franchise system offers an operating model that is truly innovative and market-driven."

KVI's Fetman noted that the agreement creates a great opportunity for expanding the kosher automated "diner" concept. He reported that the company presently has about 100 machines in offices, manufacturing facilities, hospitals, colleges and universities, airports and stadiums.

IntelliVend is said to provide vending services to more than 2,000 clients in 10 states. It is online at intellivend.com. KRh's Hot Choice hold/heat/serve machines, and applications for them, are described at hotchoice.com.

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