Train operator Connex Transport UK learned it would lose one of its franchises covering more than half its stations just hours after unveiling a joint venture to develop combined retail and rail ticket outlets. Connex had identified 100 stations that it believed would be suitable for c-store trading, but losing the franchise to run the South Central network, covering routes into London from Sussex and Surrey, reduces its station count from 400 to 179. However, a Connex spokesman said a combined c-store/ticket office revitalised rail stations and was still the way forward. Connex's partners in the joint venture are France's biggest kiosk operator Hachette Distribution Services and Groupe Elior, whose strength is in catering for the transport sector. Both companies operate outlets in airports, railway stations and on motorways across Europe and North America. Connex has said the deal could inject an additional £30m into its franchises over the next five years. The spokesman added: "The deal means that even the smallest of stations will now undergo major refurbishment." The c-stores will be staffed by Connex personnel, but trained and managed by the joint venture. Two pilot c-stores, a Spar at Leatherhead, Surrey and a Costcutter at Cooden Beach, East Sussex, will come under new ownership when the franchise switch is completed. Govia ­ a joint venture by the Go-Ahead Group and French rail operator Via-Cariane ­ is expected to take over late next year. A Costcutter spokesman said it was too early to say what would happen now that Connex had lost its South Central network, while a spokesman for Capper -- the Spar wholesaler involved in the Leatherhead pilot -- believed it had to slow progress. {{NEWS }}

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