KFC To Open 1st US Fast Food Outlet In Vietnam Capital

HANOI (AP)--KFC is set to become the first U.S. fast food chain to open a restaurant in Vietnam's communist capital next month, a company official said Friday.

The restaurant is scheduled to open by the end of June and other outlets may follow by year's end, depending on the response, said Le Van Dut, marketing manager of KFC Vietnam.

"Despite the differences in the eating habits of people in Hanoi, we are confident about our prospects there," he said.

KFC entered Vietnam's southern economic hub Ho Chi Minh City in 1997 and now operates 21 restaurants there, Dut said. Hanoi - a city of about 3.5 million people - has domestically owned chain restaurants and coffee shops, but KFC will become the first U.S. fast food brand to enter the market.

The announcement comes as Vietnam continues to battle the H5N1 bird flu virus. The country remains the hardest hit in the world, but mass poultry vaccinations coupled with strong political will have slowed the spread of the virus. Vietnam has not reported any outbreaks in poultry since December and no human cases since November.

Dut said bird flu is not expected to affect KFC's business.

"We have a stable and safe source for chickens and are ready to cope with bird flu," he said. "We have overcome the situation for the past few years."

Louisville, Kentucky-based Yum Brands Inc. (YUM)
(YUM), is the parent of fast food chains KFC, Taco Bell and Pizza Hut.
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