July 30, 2013
GALVESTON, Texas— John Sharp, chancellor of The Texas A&M University System, today announced that Texas A&M System has formalized a letter of intent with Chartwells, a subsidiary of Compass Group USA, Inc., to manage dining services at Texas A&M University at Galveston. The arrangement will generate $11.4 million in commission revenue for the campus over the course of the contract.
“I am very pleased that Texas A&M University at Galveston is taking a leadership position in delivering best value to students, faculty and staff,” said Sharp.
As part of the 12-year agreement, Chartwells will pay TAMUG a $1 million one-time unrestricted signing bonus and has also agreed to invest over $1.4 million in capital improvement for facilities and equipment upgrades.
“With their years of experience in providing dining services to many other universities, I believe that Chartwells is committed to providing out students, faculty and staff with exceptional food and service,” said Admiral Robert Smith, CEO of TAMUG. “Also, their unique dining services management system will create supplementary savings for the university that will result in added funds to support our core mission.”
The Compass Group currently provides food and support services to about 300 colleges and 1,300 schools nationwide. The agreement is expected to be finalized in time for Chartwells to assume management before the fall semester begins.
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 $3.3 billion. Through a statewide network of 11 universities, nine 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.
Contact: Steven B. Moore