Highlights of Big O Tires’ Item 19 Financial Performance Representations (2013 FDD) – Part 2

• Schedule 1 of Item 19 (see Part 1) sets forth average sales data of certain Stores in the United States from calendar year 2012. These Stores are referred to as the “Included Stores” as that term is defined at the beginning of Schedule 1.

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  The “Included Stores” are comprised of a mixture of franchised PDF Stores, franchised BFF Stores, and company-owned BFF Stores (that is, Stores owned and operated by Big O Tires or an affiliate of Big O Tires). Some of the Included Stores began 2012 as PDF Stores and converted to BFF Stores during 2012.

• The average sales by each category of Store — PDF Stores, BFF Stores, and company-owned Stores — may vary from one category to the next. There is no assurance that the average sales in Schedule 1 or in any of these categories will reflect or indicate the sales that you or any other franchisee may achieve or will achieve.

• Of the 412 Included Stores, as of December 31, 2012: (a) 85 (about 20.6%) were franchised PDF Stores, 261 (about 63.3%) were franchised BFF Stores, and 66 (about 16.0%) were company-owned BFF Stores; and (b) the 85 franchised PDF Stores constitute about 95.5% of all the franchised PDF Stores, the 261 franchised BFF Stores constitute about 97.4% of all the franchised BFF Stores, and the 66 company-owned BFF Stores constitute about 94.3% of all company-owned BFF Stores.

• As of December 31, 2012, the 412 Included Stores were about 96.5% of the 427 Stores of any category (that is franchised PDF Stores, franchised BFF Stores, and company-owned BFF Stores).

• The Included Stores are not dispersed in the same ratio as the number of Stores systemwide. The states in which Included Stores are located are listed in the table below, followed by the number of Included Stores in each state, and followed by the number of all Big O Tires Stores by state (as of December 31, 2012).

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