FDD Talk Daily: Annual Gross Retail Sales of Franchised Rocky Mountain Chocolate Factory Stores

Highlights of Rocky Mountain Chocolate Factory’s Item 19 Financial Performance Representations (2012 FDD)

• Rocky Mountain Chocolate Factory is offering franchises for the retail sale of gourmet chocolate and other premium confectionery products. The total estimated investment necessary to begin operation of a full-sized Rocky Mountain Chocolate Factory Store ranges from $126,300 to $421,400. These amounts include between $37,500 and $53,500 that must be paid to the franchisor.

Annual Gross Retail Sales of Franchised Rocky Mountain Chocolate Factory Stores

• The information provided below is based on reports of Gross Retail Sales provided by all 227 franchised Rocky Mountain Chocolate Factory Stores that had been open for at least 12 full months as of the end of the company’s most recent fiscal year, February 29, 2012. This information is for the 12 months prior to that date.

• The Gross Retail Sales of company-owned stores are not included in this information, but the franchisor has included information on any satellite or temporary Stores opened by franchisees.

• Differences in Gross Retail Sales may be attributable to differences in the mix of Factory Candy, Store Candy, or other non-edible items offered for sale at each Store, which is subject, in part, to the franchisee’s discretion.

• Other factors that may affect the results among Stores include geographic and demographic characteristics, the type of mall or other location, length of time the store has been open, and the managerial or entrepreneurial abilities of the franchisee and its managers.

• The information below was prepared from royalty reports provided by each individual franchisee. These results have not been audited and the franchisor has not independently verified these results.

• The gross sales figures do not reflect the costs of sales, operating expenses, or other costs or expenses that must be deducted from the gross sales figures to obtain net income, profit or loss.