What is the nature of the other information Caring Transitions may provide?

g, are your responsibility.

Office Visits. Although not required to do so by the franchise agreement, we may, in our discretion, visit your office from time to time in order to provide additional operational support. Presently we do not charge you a fee for such office visits, but we reserve the right to require you to reimburse us for the cost of our travel to your office and for related expenses. (Franchise Agreement § 7.19).

Web Site. Although we are not required to do so by the franchise agreement, we maintain a Web site to promote our franchisees' services and the sale of our franchises and to provide contact information for Caring Transitions locations. (Franchise Agreement § 11.9). We may include your franchise contact information on a separate page on our Web site paid for by the national branding fund and on which you would be required to keep your contact information current at all times. We also may provide you with a Web site that we may require you to use in connection with the franchised business; we would retain ownership of any such Web site and would reserve the right to modify, revise, or cancel the Web site at any time. You may not establish your own Web site, Web page, blog, advertisement, or link on or to the Internet (including social networking Web sites or services such as Facebook, Twitter, etc.) or other similar services using our trademarks or otherwise in connection with the franchised business, without our prior written consent. We will provide you with an e-mail address containing our domain name, which you are required to use for all electronic communications with us and for the franchised business.

Telephone Lines. You must have a telephone line for incoming calls from clients that must be answered by a live person or go to a central call center. The central call center line must be provided by a vendor that we have approved. You may use only this central call center number in your advertising, stationery, and business cards. All calls to the central call center will be answered by a live person and, if appropriate, will be re-routed to a second, local telephone line that you must maintain. We will not receive revenue of any nature from your use of the central call center. You will use this local line for outgoing calls. You may procure the local telephone number from any telephone service provider.

National Branding Fund. We, in our discretion, make certain marketing materials and promotional services available to you through a national branding fund (the "National Branding Fund"). (Franchise Agreement § 11.3). Some of the services may include a periodic publication for your customers, the development of new marketing programs, and contests for services or promotional items. The marketing materials available for purchase from the National Branding Fund include all brochures and mailers used in our marketing program and promotional items bearing our logos and service marks.

Each franchisee is required to pay a National Branding Fee of 2% of monthly Gross Receipts or $350.00 per month, whichever is greater, to the National Branding Fund. (Franchise Agreement § 5.2). We may increase the amount of the National Branding Fee, but not by more than 10% per each year in which the franchise agreement has been in effect. Any increase in the National Branding Fee will be effective at least 30 days after you receive notice of the increase. All National Branding Fees

are maintained in a separate bank account and may only be spent on advertising, promotion, and marketing of the services provided by Caring Transitions franchises, the development of new public relations campaigns and new advertising, promotional and marketing materials for the Caring Transitions system, the solicitation of National Accounts, employment of marketing personnel, and administrative costs associated with the maintenance of the National Branding Fund. Our current policy is to use the National Branding Fund for the development of new advertising, promotional and marketing materials and to advertise the services provided by franchisees in certain print media. However, we have the right to change this policy at any time and use the National Branding Fund to place advertising in national, regional or local media (including broadcast, print, or other media). We are reimbursed for any overhead, postage or labor provided to the National Branding Fund. Each franchisor-owned location, if any, will contribute to the National Branding Fund on the same basis as you.

The National Branding Fund is administered by our accounting personnel. An unaudited annual financial statement of the National Branding Fund is available to you after April 1 of each year. We do not presently have the National Branding Fund audited by an independent certified public accountant, but we reserve the right to do so at the National Branding Fund's expense.

The National Branding Fund is not and will not be an asset of ours. The National Branding Fund is not a "trust", and we will have no fiduciary duty to you or any other franchisee in connection with the management of the National Branding Fund. The National Branding Fees you pay are not refundable or transferable under any circumstances, even upon the expiration, termination, or transfer of your franchise. We are not required to spend any amount on advertising in your territory or to ensure that you benefit directly or pro rata from the National Branding Fees you pay. We are not required to spend equal or pro rata amounts on each franchise. Except as disclosed above, neither we nor any of our affiliates receive any payment from the Fund. During the one-year period ending on December 31, 2024, the National Branding Fund had total receipts of $2,008,018 and total expenses of $1,738,015, of which 44.9% was spent on promotional programs, 23.1% for Web-based programs, 2.5% on regional and national meetings, and 29.6% for shipping and administration expenses.

No portion of the National Branding Fund is used for advertising that is principally a solicitation for the sale of franchises, although solicitations for the sale of Caring Transitions franchises may be an incidental part of advertising paid for by the National Branding Fund. If any of the National Branding Fees are not spent in the fiscal year in which they accrue, expenditures made from the Fund in the following year(s) will be made first out of accumulated earnings from previous years (if any), next out of earnings in the current year, and finally from contributions.

Advertising. You are required to spend at least $399 a month during your first 12 months of operation on local marketing with a designated supplier and provide us with verification of your expenditure upon request. Thereafter, you must spend at least 4% of your Gross Receipts on local marketing on an annual basis. Your franchise agreement does not otherwise restrict or mandate the amount of advertising you may conduct or the media in which any advertising may be placed. We will provide you with access (via our intranet Web site) to a number of digital advertisements, layouts and images for use in various media, but you are free to use your own advertising material so long as we approve it first. If you wish to use an advertisement that we have not provided and that has not been previously approved, you must submit it to us by email for approval. You will typically be notified whether the advertisement is acceptable within 30 days after we receive it. (Franchise Agreement §§ 11.1, 11.8). The approval of advertising will be made on a case-by-case basis using purely subjective criteria. All of your advertising in any medium must be conducted in a dignified manner, be completely accurate and truthful, conform to standards and requirements listed in the operations manual and to all applicable laws and regulations regarding consumer advertising, and contain a notice that your franchise is independently owned and operated. Any advertisement that you develop for your

franchise automatically becomes our property, and we may use it or provide it to our other franchisees for their use without compensating you. There is no advertising council composed of franchisees that advises us on advertising policies or other matters.

Advertising Cooperatives. We may establish, change, dissolve, or merge local or regional marketing and advertising cooperatives in geographical areas with two or more Caring Transitions franchises. (Franchise Agreement § 11.11). Advertising cooperatives may be established for areas covered by advertising media relevant to particular geographic markets, Metropolitan or Micropolitan Statistical Areas, our industry or industry segment, or our advertising strategies, in our discretion.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 22–29)