FDD Talk 2013: Average Gross Sales for Edible Arrangements Businesses (2013 FDD)

Highlights of Edible Arrangements’ Item 19 Financial Performance Representations (2013 FDD) – Part 1

Explanatory Notes for Table 1 – Average Gross Sales for Edible Arrangements Businesses for Fiscal Year Ending December 31, 2012

• The historical financial performance representation in the first table below discloses the average gross sales of all Edible Arrangements Businesses in the United States that were open and operating for 1 year or longer as of December 31, 2012.

• It is divided among (1) Businesses that were open and operating for more than 4 years as of December 31, 2012, (2) Businesses that were open and operating for at least 3 years, but less than 4 years, as of December 31, 2012, (3) Businesses that were open and operating for at least 2 years, but less than 3 years, as of December 31, 2012, (4) Businesses that were open and operating for at least 1 year, but less than 2 years, as of December 31, 2012.

• This financial performance representation does not include Businesses that were not open for at least 1 year as of December 31, 2012 or that closed sometime during 2012, regardless of how long the Business operated during 2012.

• This financial performance representation includes Businesses operated by franchisees as well as Businesses operated by the franchisor’s affiliates (all of which are virtually identical to franchised Businesses).

• No businesses operating outside the United States are included in this financial performance representation.

• The figures below 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 your net income or profit.

• As of December 31, 2012, there were 945 Businesses open and operating in the United States (943 franchised and 2 affiliate-owned). There were another 57 franchise agreements signed as of December 31, 2012 for Businesses to be operated in the United States that were not yet open as of that date.

• 877 Businesses (out of 945 in operation as of December 31, 2012) are included in the first table of this financial performance representation.

• “Gross Sales” in the table below are defined as gross receipts net of sales tax. All of the Businesses reflected below are virtually identical to the type of Business you will operate if you acquire an Edible Arrangements franchise and sell the same products and services.

Table 1 – Average Gross Sales for Edible Arrangements Businesses for Fiscal Year Ending December 31, 2012

Businesses Open 4 or More Years