FDD Talk 2014: Our Latest Views on Wings Over’s Average Gross Sales and Annual Sales for Individual Units

Highlights of Wings Over’s Item 19 Financial Performance Representations (2014 FDD)

• The average gross sales for the 7 company-owned and 20 franchised Wings Over locations that were operating as of the date of the 2014 disclosure document and were open for the entire fiscal year 2013 (October 1, 2012 to September 30, 2013) was $1,440,810.73. The total gross sales for these locations in fiscal year 2013 was $38,901,889.63.

• Four franchised locations and one company-owned location are not included in this Item 19 because they opened or closed in the middle of the year.

• Provided below is a breakdown of gross sales by location based on sales recorded on computers for each of these restaurants. The company has not audited or verified this information. The company has relied solely on the information provided by franchisees through their point-of-sale computer systems.

• “Gross Sales” means all revenue from the sale of all products and services and all other income of every kind and nature at or from the restaurant or otherwise related to the restaurant, including, without limitation, any proceeds from business interruption insurance, whether for cash or credit, and regardless of collection in the case of credit. Gross sales will not include any sales taxes or other taxes collected from customers by you and paid directly to the appropriate taxing authority.

• The products and beverages sold at all of the above locations are similar to those that will be offered by you, including boneless chicken wings, bone in chicken wings, ribs, specialty sandwiches, and Coca Cola or Pepsi products.

• The average size of the above locations is 1,740 square feet.

• The number of outlets in operation from October 1, 2012 to September 30, 2013 that exceeded the average gross sales was 9 (33.3%). This includes seven franchised outlets and two company-owned outlets.

• The outlets described below obtained the majority of sales from carry-out and delivery services.

• New franchisees’ individual financial results may differ from the above provided figures, depending on the location of the Franchised Business, population, and competing businesses nearby the Franchised Business. New franchisees are those that have been opened less than one year.