A new documentary on Subway and Jared Fogle couldn't come at a worse time

• Jared Fogle became Subway's pitchman after losing 245 pounds by mostly eating the chain's subs.
• He filmed over 300 ads for Subway before pleading guilty to child sex acts in 2015.
• A Fogle documentary airing in March is bad timing for Subway as it looks for a buyer, analysts say.

After years of denying rumors of a company sale, Subway has finally admitted that it is looking for a buyer.

The chain must think the timing is right. CEO John Chidsey, a former chief executive of Burger King, came to Subway in late 2019 to turnaround the company - and possibly set the chain up for sale, according to insiders. Chidsey previously spearheaded Burger King's sale to 3G Capital in 2010.

Under his watch, the chain has made menu and restaurant upgrades, such as Subway stores adding meat slicers in the coming months. Subway recently reported its second consecutive year of record sales, despite diminishing store counts and franchisee infighting.

Yet, a ghost from Subway's past, Jared Fogle, is returning to haunt America's largest sub chain.

The disgraced and jailed former Subway pitchman is the subject of an in-depth documentary, where showrunners promise to reveal the "dark, untold story of how Fogle was exposed as a child sex predator." The 3-part series debuts March 6 on true-crime channel ID.

"What Jared did was horrible. And I know people to this day who don't go to Subway because of the whole Jared fiasco," industry analyst Mark Kalinowski said.

Having Fogle return to the spotlight is not ideal for Subway, added John Gordon, a restaurant analyst with Pacific Management Consulting Group.

"That cannot be good for the sale process because that brings up the unfavorable connection between Subway and Jared," he said.

Subway told Insider it had distanced itself from Fogle nearly a decade ago.

"Our thoughts continue to go out to those who were victimized by Mr. Fogle. His behavior and conduct were reprehensible," Subway said in a statement. "When we learned of Mr. Fogle's behavior, we took immediate action, and he has not been associated with the company in any way for nearly eight years."

Subway said the chain was not asked to be interviewed for the series and tried to reach out to the producers.

"We made multiple attempts to demonstrate to the producers that this docuseries does not reflect who we are as a company," the chain said. Insider reached out to the show's producers, but did not respond to requests for comment.

Fogle's relationship with Subway

Subway tapped Fogle in 2000 to be the face of the chain after learning he'd lost 245 pounds from mostly eating Subway sandwiches. Fogle ended up filming around 300 commercials for the chain between 2000 and 2015. The partnership helped him reach a reported net worth of $15 million as of 2013, according to the New York Daily News. Sales at Subway soared as he became a pop-culture icon.

In July 2015, Subway broke ties with Fogle after federal authorities raided his Indiana home on suspicion of possessing child pornography. Four months later, he was sentenced to more than 15 years in prison after pleading guilty to paying minors for sex and trading child pornography.

The new documentary series promises to reveal the "rise and fall" of the former Subway pitchman who "masqueraded as a national hero while hiding a horrific side." The docuseries also includes interviews with Fogle's victims.

Restaurant consultant Tim Powell said Subway would likely never shake its past association with Fogle. But he doesn't believe the new series will hurt Subway's chances of being sold, nor will it deter younger consumers from patronizing the chain.

"Many of the Gen Z and younger Millennials, which are the heaviest users of foodservice, probably don't even remember Jared," said Powell, managing principal at Foodservice IP. "Will Subway suffer further brand reputation loss? Will loyal users stop going? Probably not. Chipotle's had several food safety issues, but who remembers that now? News cycles are fluid and ephemeral these days."

Still, Kalinowski said, "if this documentary gets enough attention" with young Subway customers who previously never heard of Fogle, they might think twice about supporting the chain.

"Consumers are going to get a reminder of things that went on," he said. "And frankly, the details are very, very sordid."

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