Fill and Sign the Franchise Registration Renewal Questionaire Form

FF 10/96© STP 1030-1 Form 1.03 Franchise Registration Renewal Questionaire FRANCHISE REGISTRATION RENEWAL QUESTIONNAIRE Franchisor: __________________________________ Name of Person Responsible for Questionnaire: __________________________________ Signature:__________________ Phone No.:_________________ Fax No.:_________________ Date Completed: ______________________________________ Since our last Offering Circular, we have amended, or we plan to amend, our Franchi se Agreement. Yes Error! Switch argument not specified. No Error! Switch argument not specified. ................................................................................................................................................................................ INSTRUCTIONS As you are aware, federal law and the law of franchise registration states require you to provide an Offering Circular to prospective franchisees no later than the first meeting with the m to discuss the franchise and at least 10 business days before either entering into a franchise agreement (or any ot her agreement) with them or accepting any payment from them. Your Offering Circular must be updated each year. We have prepared this Questionnaire to obtain from you new information that should be incorporated into your ne w Offering Circular. This questionnaire tracks the organization of an Offering Circular, which organizes information into 23 categories called Items (the first 22 of which are covered herein). All referenc es to “you” or “your” in the Questionnaire are to the franchisor company. For all negative answers, please write “No” or “N/A” (not applicable) i n the space below the question. For all affirmative answers to questions, please provide an explanation. If you have questions a bout the information to provide, please do not hesitate to contact us. You will find attached follow ing each Item of this Questionnaire your most recent disclosure for that Item. Please feel free to m ark-up your old disclosure rather than to indicate any changes on the Questionnaire itself. You may also at tach additional sheets. Where a question requires a narrative response, please simply answer the question as c ompletely as possible, but do not worry about your wording. Wording everything appropriately is part of our job. IMPORTANT - IT IS VERY IMPORTANT THAT YOU READ THE Q UESTIONS FOR EACH ITEM CAREFULLY, EVEN IF YOU THINK YOU WILL HAVE NO CH ANGES FOR THAT ITEM, AND IT IS VERY IMPORTANT THAT FOR EACH ITEM YO U MARK THE APPROPRIATE BOX APPEARING AT THE BEGINNING OF EACH AS FOLLOWS : Error! Switch argument not specified. We have no changes. Form 1.03 1030-2© STP FF 10/96 Error! Switch argument not specified. We have changes as indicated below or attached. Form 1.03 FF 10/96© STP 1030-3 ITEM 1 THE FRANCHISOR, ITS PREDECESSORS AND AFFILIATES - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Name, address, etc. of franchisor . Have you changed any of the following:  Name,  Name(s) under which you do business,  Principal place of business,  State of incorporation, or  Business form of organization (corporation, partnership, etc.)? 2. New Affiliates . Have you added any affiliate(s) or has any previous affiliate(s) ceased to be affiliated with you? If adding an affiliate, please include the address of its principal place of business. Note: An affiliate is a company, partnership, etc. that:  is controlled by you (subsidiary),  controls you (parent company), or  is under common control with you (you share a parent) and that:  offers franchises of any kind, or  provides goods or services to your franchisees. Form 1.03 1030-4© STP FF 10/96 3.Affiliate(s)' addresses . Has the name or address of the principal place of business of any of your affiliates changed? 4. Predecessor(s)' addresses . Has the name or address of the principal place of business of any of your predecessors changed? Note: A predecessor is a company or person from whom you directly or indirectly acquired the major portion of your assets. 5. Agent. Have you changed your agent for service of process in any state(s)? 6. Operations. Has there been any change in whether you operate the types of businesses that you franchise? 7. Other business activities . Has there been any change in whether you engage in business activities other than franchising and, if applicable, other than operating busines ses of the type you franchise? Form 1.03 FF 10/96© STP 1030-5 8.Business of franchisees . Has there been any change in the type of business to be conducted by your franchisees? 9. Market conditions . Has there been any significant change in the market for the type of business you franchise? 10. Regulation of industry . Has there been any significant change in the basic regulations that are specific to the industry of the type of business you are franchising? 11. Other franchising . Has there been any change in whether you or your affiliates or predecessors offer franchises in other lines of business? -- END OF ITEM 1 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 1030-6© STP FF 10/96 ITEM 2 BUSINESS EXPERIENCE - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Has there been any change in the identities or positions of people occupying any of the following positions:  Franchise salespeople or brokers,  Chief Executive or Operating Officer(s),  Chief Financial Officer,  President,  Officer(s) responsible for franchise marketing,  Officer(s) responsible for training, or  Officer(s) responsible for franchise operations? For any person disclosed in last year's Item 2 who now occupies a new position, please indicate their new position by marking your attached Item 2 disclosure for last year. Please have any new person occupying one of the positions above, fill out and sign the attached Biographical Information Form. 2. Attached is a copy of your most recent Sales Agent Disclosure Stateme nt. Please indicate any changes in the biographical information (e.g., addresses, etc.). -- END OF ITEM 2 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-7 ITEM 3 LITIGATION - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - 1. Legal proceedings . Have you or any of the following:  predecessor(s),  any affiliate offering franchises under your principal trademark, or any person in Item 2 (last year's or new Offering Circular) in the past year been involved in or subject to any:  material civil litigation,  criminal proceedings (including no contest pleas),  administrative actions,  arbitration proceedings,  currently effective injunctive relief or restrictive orders, or  any other material complaint or legal proceeding? If so, please send us a copy of the complaint so that we may determine whet her a disclosure is necessary and, if so, its content. 2. Criminal convictions of new officers and salespeople . Has anyone to be added to Item 2 for your new Offering Circular in the previous 10 years been:  convicted of a felony or pleaded no contest to a felony charge, or  held liable in a civil action for a violation of franchise, antitrust of sec urities laws or fraud or unfair or deceptive practices? If so, please call us to discuss whether a disclosure is necessary and, if so, its content. -- END OF ITEM 3 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 1030-8© STP FF 10/96 ITEM 4 BANKRUPTCY - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Bankruptcy . Have you or any of the following:  affiliate(s),  predecessor(s),  your officers, or  if you are a partnership, your general partner,  in the past year (in the case of any new officers, in the last 10 years) had a ny of the following occur:  filed as a debtor a petition for bankruptcy,  had filed against you (or he/she/it) a petition for bankruptcy,  obtained a discharge of debts under the Bankruptcy Code, or  been a principal officer in a company or a general partner in a partnership that fil ed as a debtor (or had filed against it) a petition for bankruptcy or obtained a discharge of debts under t he Bankruptcy Code during the time he or she occupied such a position or within one year thereafter? If so, please provide us with a copy of the bankruptcy complaint. -- END OF ITEM 4 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-9 ITEM 5 INITIAL FRANCHISE FEE - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Initial fee. Has your initial franchise fee changed? Note: Your initial franchise fee includes any and all payments for goods or services that franchisees receive from you before they open for business (e.g., payments for fixtures, equipment or inventory franchisees must obtain from you before opening). 2. Payment terms . Have the terms under which franchisees pay the initial franchise fee change d (e.g., crediting of application fee, structure of any installment payments, etc.)? 3. Refunds. Have the terms under which a franchise can obtain a refund of the initial fee changed? -- END OF ITEM 5 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 1030-10© STP FF 10/96 ITEM 6 OTHER FEES - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Other fees. Has there been any change in any of the fees (or their payment terms) or other payments that franchisees must pay to you or your affiliates (or that you or your affilia tes collect on behalf of a third party)? Note: Other fees include royalties, advertising fund contributions, payments for inventory and fees for lease negotiations, construction, remodeling, additional training, consultati ons or other assistance, audits, accounting, transfer or renewals. -- END OF ITEM 6 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-11 ITEM 7 INITIAL INVESTMENT - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Categories and amounts of expenditures . Has there been any changes in the categories of expenditures or amounts of expenditures covering franchisees initial investment? Note: Investment categories include all costs necessary to begin operations such as acquisition of property, leases, construction, costs of furnishings, fixtures, signage and equipment, remodeling, initial franchise fee, other fees, inventory, utility deposits and fees , business licenses, wages for employees, insurance, operating funds, etc. These costs must generally cover the initial phase of business, which is presumed to be three months. 2. Payment terms . Has there been any change in to whom payments are made or the payment and refund terms for any categories of expenditures? 3. Location of outlets . Has there been any change in the probable location of your franchised outlets (e.g., strip shopping center, mall, business district, suburbs, etc.)? -- END OF ITEM 7 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 1030-12© STP FF 10/96 ITEM 8 RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Required purchases . Has there been any change in whether franchisees are required (under the Franchise Agreement, another agreement or in actual practice) to acquire from you or your affiliate(s) certain goods or services the costs of which are not included in t heir initial franchise fees? Note: If you do require purchase or leases of products or services from you or your affiliates (or third parties that, in turn, compensate you), please fill in the following: For the fiscal year ended ________________, 199_, our revenues from franchisees' required purchases or leases of ____________________________________________ were $_____________, or _______% of our total revenues of $______________. Required purchases or leases are estimated to make up ____% of a franchisee's total initial investment and ____% of a franchisee's annual operating expenses. 2. Approved suppliers . Has there been any change in whether your franchisees must obtain certain goods or services only from suppliers you approve? Form 1.03 FF 10/96© STP 1030-13 3.Designating approved suppliers . If you have approved suppliers, has there been any change in whether franchisees can nominate new suppliers, the fees you charge for your evaluati ons, the criteria used for evaluations, or the length of time for you to make a decision? 4. Benefits from approved suppliers . If you have approved suppliers, has there been any change in whether you receive any benefits from them for your franchisees transactions with them or whether you grant franchisees benefits for their approved purchases? 5. Specifications . Has there been any change in whether you impose, or on the type of purchases on which you impose, specifications on franchisees for their purchases of any goods or servi ces? 6. Warranty or Customer Service Requirements . Have there been any changes in your franchisees' warranty or customer service requirements? 7. Volume purchasing . Has there been any change in whether you negotiate purchase arrangements with suppliers for the benefit of your franchises? -- END OF ITEM 8 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 1030-14© STP FF 10/96 ITEM 9 FRANCHISEE'S OBLIGATIONS - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Have there been any changes with respect to franchisees' obligations concerning: insurance  indemnification  inspections/audits -- END OF ITEM 9 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-15 ITEM 10 FINANCING - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Financing. Has there been any change in whether you or your affiliates or agents directly or indirectly offer financing to franchisees? Note: Financing includes leases and installment contracts (but not payments due within 90 days on open account financing), written agreements between you or an affiliate and a lender to offer financing to franchisees, and your guarantee of franchisees' notes, leas es or other obligations. If you have not previously offered financing but plan to in the coming year, please contact us. A detailed disclosure will be necessary. If you offered financing last year, but any of the terms will change, please so indic ate below or by marking the attached copy of your disclosure for last year. -- END OF ITEM 10 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 1030-16© STP FF 10/96 ITEM 11 FRANCHISOR'S OBLIGATIONS - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Pre-opening assistance . Have the obligations you have to franchisees before they open for business changed? Note: Obligations include assistance in locating a site, approval of site s, conforming the premises to local laws and regulations, remodeling or constructing, purchasing or lea sing equipment, signs, fixtures, inventory or supplies, hiring employees, etc. 2. Operating assistance . Have the obligations you have to franchisees during their operations changed? Note: Obligations include assistance in products or services offered, pricing, hiring employees, communicating improvements and developments in the franchised business, administration, etc. Form 1.03 FF 10/96© STP 1030-17 3.Advertising funds and program . Has there been any change in:  whether you maintain an advertising fund to which franchisees must contribute and, if so, the amount of their required contributions,  whether company-owned units contribute to the fund,  the media in which you advertise and whether it is local, regional or national in scope,  who produces your advertising (in-house or agency),  who administers the fund,  whether fund financial statements are available to franchises,  whether you or your affiliate(s) receive any consideration for providing goods or services to the fund, or  how you handle end-of-year surpluses in the fund? Form 1.03 1030-18© STP FF 10/96 4.Advertising council . Has there been any change in whether you maintain a council with franchisee members that advises on or controls your advertising? If you have such an advertising council, has there been any change in how members are selected, the power of the council to control your advertising or your power over the council? 5. Advertising cooperatives . Has there been any change in whether you require franchisees to participate in any local or regional advertising cooperatives? If you have required cooperatives, has there been any change in how membership is defined, how franchisee contributions are calculated, administration of the cooperatives, writ ten agreements governing the cooperatives, cooperative financial statement disclosure requirements , or your actual voting power in any cooperatives of you power to form, dissolve or merge cooperatives? 6. Advertising fund expenditures . If you maintain an advertising fund, please fill-out the following chart: Use of Advertising Fund in Most Recent Fiscal Year(percentage of total fund expenditures) Production ____% Media Placement ____% Administration ____% Other (_________) ____% ___________________________________ Total 100% ____% of the above total advertising expenditures was used primarily on solicitation of new franchisees. 9. Local advertising . Has there been any change in whether franchisees are required to spend certain amounts on local advertising, the amount required to be spent or whether you a re required to approve their advertising? Form 1.03 FF 10/96© STP 1030-19 10.Cash register or computer systems . Has there been any change in whether you require franchisees to buy or use electronic cash registers or computer systems? If you require franchisees to buy or use electronic cash registers or computer system s, has there been any change in any of the following:  components, their principal functions or the uses to which such electronic cash re gister or computer systems will be put in your franchise system.  maintenance, repair or upgrade requirements or the annual cost to franchisees of any opti onal or required maintenance, support, upgrades or updates, or  the identity of any hardware component or software programs suppliers approved by you for whose products there are no substitutes? 11. Confidential Operating Manual . If there has been any change in the table of contents of your Confidential Operating Manual, please attach a new table of contents, and i f there has been a change in the total number of its pages, please indicate the new total immediately below. Error! Switch argument not specified. Has changed (____ attached; ____ to follow) Has not changed Total number of pages: ________ 12. Site selection . Has there been any change in whether you must select or approve the franchisees' sites, the factors you consider in approving sites, or the consequences of you and the fra nchisee not being able to agree upon a site? 13. Time to opening . Has there been any change in the typical length of time between the signing of a Franchise Agreement and the opening of a new franchisee's business or the fac tors which may affect the length of the period? Form 1.03 1030-20© STP FF 10/96 14.Training program . Has there been any change in the following aspects of your training program:  location,  duration,  how often training is conducted,  identities of the instructors,  any charges to franchisees for training,  whether additional training is required, or  the courses offered or the content of the training? -- END OF ITEM 11 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-21 ITEM 12 TERRITORY - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Granted territory . Has there been any change in whether you grant franchisees an exclusive territory and, if so, in the size or definitions of their territories? 2. Restrictions on competing outlets . Has there been any change in restrictions on you against operating units or granting franchises in a franchisee's granted territory? 3. Inside-territory sales . Has there been any change in the restrictions on you soliciting or accepting orders inside a franchisee's defined territory? Form 1.03 1030-22© STP FF 10/96 4.Outside-territory sales . Has there been any change in restrictions on whether franchisees may solicit or accept orders outside of their defined territories? 5. Relocation. Has there been any change in the conditions under which you will approve relocation of franchisee's business? 6. First refusal rights . Has there been any change in whether franchisees have rights of first refusal to acquire additional franchises within defined territories? 7. Alternative distribution channels . Has there been any change in whether you or your affiliate(s) may establish other franchises or company-owned outlets or other channe ls of distribution that sell similar products or services under a different trademark? 8. Minimum sales requirements . Has there been any change in whether you impose minimum sales requirements or other conditions, or in their content, for franchisees' being a ble to keep their territorial rights or avoid default? 9. Modification of territory . Has there been any change in whether, or the conditions under which, you can modify a franchisee's territorial rights (e.g., due to population increases)? -- END OF ITEM 12 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-23 ITEM 13 TRADEMARKS - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. New trademarks . Have you added any new principal trademarks or ceased to use prior disclosed trademarks or has there been any change in the applications or regist ration status of any of your trademarks? For new trademarks, disclose: the mark, whether it is a U.S. or state mark, application date, registration date, serial number and whether the mark is on the principal or suppl emental register. 2. Trademark litigation . Since last year's Offering Circular, have there been any determinations of the Patent and Trademark Office concerning the validity of any of your trademarks, any state trademark actions, or any infringement, opposition or cancellation actions involving your trademarks? If so, please call us to discuss whether a disclosure is required. Form 1.03 1030-24© STP FF 10/96 3.Trademark agreements . Has there been any change in whether you have currently effective agreements that significantly limit your rights to use or license any of the trademarks used by your franchisees? 4. Franchisees’ enforcement obligations . Has there been any change in your franchisees’ obligations to notify you of possible infringements of your trademarks and to assist you in defending them? 5. Superior rights or infringing uses of others . Has there been any change in whether you have become aware of any superior prior rights of other parties in your trademarks or any infringing uses that might materially affect a franchisee's use of your trademarks? -- END OF ITEM 13 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-25 ITEM 14 PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. New Patents and Copyrights . Has there been any change in any patent or copyright registrations you have or in the application or registration status of any patents or copyrights? 2. Patent or copyright litigation . Since last year's Offering Circular, has the Patent and Trademark Office made any determination with respect to the validity of your pat ents or copyrights or has any party instituted any actions challenging their validity? If so, please call us to discuss the required disclosure. 3. Patent and copyright agreements . Has there been any change in whether you are a party to any agreements that limit your rights to use any patents or copyrights that franchisees will also use? Form 1.03 1030-26© STP FF 10/96 4.Franchisees' obligations . Has there been any change in franchisees' obligations to notify you of infringing uses of your patents or copyrights and to assist you in defending them? 5. Infringing uses . Has there been any change in whether you are aware of any infringing uses of your patents or copyrights that might materially affect a franchisee's use of your patents or copyrights? 6. Trade secrets . Has there been any significant change in the type of proprietary information and trade secrets that you communicate to franchisees? -- END OF ITEM 14 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-27 ITEM 15 OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF FRANCH ISE BUSINESS - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Franchisee's participation obligations . Has there been any change in your agreements or practice with franchisees concerning the extent of their obligations to partici pate in their franchised businesses? 2. Managers. Has there been any change in whether you must approve franchisees' managers, whether their managers must successfully complete your training program, in any equi ty interest you require a manager or supervisor to have in the franchise or in the restrictions (e.g., maintain trade secrets, non-competition, etc.) that franchisees must place on their managers? -- END OF ITEM 15 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 1030-28© STP FF 10/96 ITEM 16 RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Restrictions on franchisee’s sales . Has there been any change in whether, and to what extent, you impose restrictions on what franchisees may sell or obligations that they sell only goods and services supplied or approved by you? 2. Mandatory products and services . Has there been any change in whether, and to what extent, franchisees are obligated to sell all goods and/or services that you designate? -- END OF ITEM 16 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-29 ITEM 17 RENEWAL, TRANSFER, TERMINATION AND DISPUTE RESOLUTION - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. If there are any changes in your franchise agreement with respect to any of the fol lowing, please indicate and explain: Error! Switch argument not specified. Renewals Error! Switch argument not specified.Events of default Error! Switch argument not specified.Your option to buy the franchise Error! Switch argument not specified.Governing law Error! Switch argument not specified.Dispute settlement Error! Switch argument not specified.Consequences of termination Error! Switch argument not specified.Non-compete covenants -- END OF ITEM 17 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 1030-30© STP FF 10/96 ITEM 18 PUBLIC FIGURES - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Public Figures . Has there been any change in whether you compensate or give any benefits to any public figures who appear in your franchise name or symbol or who endorse or recommend your franchise to prospective franchisees or in the extent to which any public figure w ho promotes your franchisee is involved in the actual management or control of you or in the ir level of investment in you? Note: A public figure is a person whose name or physical appearance is generally known to the public in any geographic area in which a franchise will be located. -- END OF ITEM 18 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 FF 10/96© STP 1030-31 ITEM 19 EARNINGS CLAIMS - - - - - - - - - - - - We have read the questions below concerning this Item and conclude that: Error! Switch argument not specified. We have no changes. [check one] Error! Switch argument not specified. We have changes as indicated below or attached. - - - - - - - - - - - - 1. Has there been any change in whether you will make earnings claims in conne ction with offers and sales of your franchises? Note: An earnings claim means information given to prospective franchisees by you or your agents from which a specific level or range of actual or potential sales, c osts, income or profit from franchised or company-owned units can be easily ascertained. If you made an earnings claim in last year's Offering Circular, please mark your attached disclosure for Item 19 to show changes and please provide us with new earnings cla ims figures in the same format as last year's disclosure. If you did not make an earnings claim in last year's Offering Circular, but intend to in this year's, please contact us to discuss the disclosure. -- END OF ITEM 19 -- (Please be sure to check applicable box at beginning of this Item) Form 1.03 1030-32© STP FF 10/96 ITEM 20 LIST OF OUTLETS - - - - - - - - - - - - Item 20 requires updating figures and lists concerning all of your franchised and company-owned units. For us to update your Item 20 disclosure, please provide us on the attached forms with the following: New Units . The names, address and telephone numbers of all franchisees that have joined your system during the most recent fiscal year,  Terminated Units . A list of all franchisees that in past fiscal year have: (l) Transferred their controlling ownership, (2) Been cancelled or terminated by you, (3) Not been renewed by you, (4) Been reacquired by you, or (5) Have otherwise ceased to do business or have left your system. Please also update the appropriate tables in your attached Item 20 disclosure for last year to show: The number of franchises you anticipate granting in each state in the coming fiscal year, and  Any additions or reductions to the numbers of your company-owned units. Form 1.03 FF 10/96© STP 1030-33 ITEM 20 (Continued) NEW FRANCHISED UNITS - - - - - - - - - - - - Please fill in the chart below for each new franchise unit added during your most recent fiscal year. Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Form 1.03 1030-34© STP FF 10/96 Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Name: Unit Address: Phone: Form 1.03 FF 10/96© STP 1030-35 -- END OF ITEM 20 -- Form 1.03 1030-36© STP FF 10/96 ITEM 21 FINANCIAL STATEMENTS - - - - - - - - - - - - Please provide us your audited financial statements for your most recent fiscal year. Error! Switch argument not specified. Attached. Error! Switch argument not specified. To follow. - END OF ITEM 21 - ITEM 22 CONTRACTS - - - - - - - - - - - If there have been any changes since last year's Offering Circular in your Franchis e Agreement or in any other agreements you will enter with your franchisees, or if any agreements will be added or deleted, please attach the new agreements marked to show changes from any prior versions. - END OF ITEM 22 - END OF QUESTIONNAIRE Thank you for your effort in answering this Questionnaire. FF 10/96© STP 1030-37 THIS PAGE MUST BE KEPT AS THE LAST PAGE OF THE DOCUMENT. SoftSolution Network ID: ATL-198252.2 Type: MISC