August 15, 2012
Texas A&M University System Chancellor John Sharp and Texas A&M University President R. Bowen Loftin have formalized a contract with Compass Group USA to manage and operate dining services, building maintenance, landscaping services and custodial services located in Brazos County. The personnel transition is in process and involves approximately 1,600 employees. The selection of Compass Group to provide services was originally announced in June.
“I am very pleased that we are delivering a comprehensive dining and facility services program that will provide a significant revenue source to the A&M System,” said Sharp. “This partnership advances my goal to reallocate our scarce resources to recruit, pay, and retain faculty and researchers throughout the A&M System. It is truly a win-win and we look forward to their partnership.”
This landmark agreement with Compass Group will involve significant investment, generating $260 million in revenue, cost-savings and infrastructure development over a 10-year period. For example, $25 million will be invested in upgrades to the existing dining services infrastructure.
Compass Group currently provides food and support services to about 300 colleges and 6,000 schools nationwide, including Texas A&M University-Corpus Christi, a member of the A&M System, which uses the company for its custodial services. SSC Service Solutions manages facilities, custodial and building maintenance operations for Compass Group and Chartwells manages dining services operations.
SSC Service Solutions President Don Williams said, “We are excited to bring our industry experience in custodial and campus services, plant operations and grounds management to support Texas A&M’s mission of academic and research excellence. We look forward to sustaining a learning environment for all of the members of the Texas A&M University family.”
“Compass Group’s extensive experience in the academic setting will benefit our students, staff and faculty by offering operating efficiencies, training and advancement opportunities that have previously been limited,” said Loftin. “This partnership also generates revenue that will allow us to reinvest in areas of excellence to further our academic missions.”
Chartwells’ President and CEO Steve Sweeney said, “We’re proud to partner with a great academic institution and support the Texas A&M campus and community. Chartwells is committed to providing all of our guests with award-winning dining programs that offer exceptional quality food through distinctive foodservice management practices that are aligned with our clients’ commitment to excellence.”
About the A&M System
The A&M System is one of the largest systems of higher education in the nation, with a budget of $3.5 billion. Through a statewide network of 11 universities, seven state agencies and a comprehensive health science center, the A&M System educates more than 120,000 students and makes more than 22 million additional educational contacts through service and outreach programs each year. Externally funded research expenditures exceed $780 million and help drive the state’s economy.
About Compass Group USA
Based in Charlotte NC, Compass Group USA is the leading food service and support services company with $11 billion in revenues in 2011. With 470,000 associates worldwide, its parent company, UK-based Compass Group PLC had revenues of $22 billion in the year to September 30, 2011.
Contact: Steven B. Moore