PUBLICLY traded Philippine Seven Corporation (PSC) is planning to spend P300 million in 2008 to bankroll 80 new 7-Eleven convenience stores in Metro Manila and key cities in Luzon

This is on top of the P300 million Philippine Seven has allocated this year for the establishment of 70 branches.

Philippine Seven president and chief executive officer Jose Victor Paterno said 50 percent of the new stores will be company-run, the other half will be offered to franchise investors.

At present, 7-Eleven has a total of 292 stores operating in Metro Manila and nearby provinces.

PSC chairman and former senator Vicente Paterno said the expansion is part of a long-term, multipronged strategy of the company to attract third party participation in the convenience store business.

“We began converting existing corporate stores into franchise stores in 2005. We converted 25 stores in 2006, in addition to the new franchise stores opened, bringing the total number of franchise stores from 22 in 2005 to 27 last year,” the chairman said.

This year, Philippine Seven will be converting 15 more stores and opening 20 new franchise outlets.

“The conversion of company-owned stores made financial sense because it is helping build PSC’s reputation, as a franchisor who could offer steady returns on capital,” Paterno added.