What are the Cinnabon franchisee's obligations regarding the payment of advertising fees (Item 6) and how does this relate to the franchisor's advertising programs (Item 11)?

We will allocate your Advertising Contributions to a fund for the advertising and promotion of the Bakeries, Marks, and the System (the "Ad Fund"). Currently, you must make an Advertising Contribution to the Ad Fund in the amount of 2.5% of Net Sales for Bakeries located in Other Locations, 3% of Net Sales for Bakeries located in Streetside Locations, and 3% of Net Sales for all Swirl Bakeries. We do not collect an Advertising Contribution for Express Bakeries in a Schlotzsky's. We may increase the Advertising Contribution by notice to franchisees. However, your required Advertising Contribution and Local Marketing Obligation will collectively not exceed 5% of your Net Sales. Your Advertising Contribution is in addition to your Local Marketing Obligation (as defined below) and your Grand Opening Obligation (as defined below).

You are required to participate in any local, regional, or national cooperative advertising group consisting of other Bakeries (an "Advertising Cooperative") that we specify, when and if any of these groups are created. Currently, we do not have any

Advertising Cooperatives. We will designate the particular Advertising Cooperative(s) in which you may be required to participate (which designations may be based on, without limitation, the particular Designated Market Area or the Area of Dominant Influence, as those terms are used in the advertising industry, where your franchise is located). If we collect your entire Local Marketing Obligation, we will not require you to participate in an Advertising Cooperative. You will enter into any formal agreements with the other franchisees of the System and/or us, as the case may be, as is necessary or appropriate to accomplish the goals of the Advertising Cooperative and you must abide by the formal agreements and decisions that we authorize the Advertising Cooperative to make on advertising and marketing in the area covered by the Advertising Cooperative.

You must spend the Grand Opening Obligation on grand opening advertising promoting your Bakery during the period beginning 90 days before you open the Bakery and ending 90 days after you open the Bakery. Alternatively, we may, in our sole discretion, require you to pay the Grand Opening Obligation to us or the Ad Fund for us to spend in accordance with a grand opening advertising plan that we designate or approve. The Grand Opening Obligation is at least (i) $3,000 for a Bakery in an Other Location, (ii) $7,500 for a Bakery in a Streetside Location, (iii) $6,000 for a Co-Branded Bakery in an Other Location (which covers both brands), and (iv) $15,000 ($25,000 if the Bakery is one of your first four Co-Branded Bakeries in an Emerging Market) for a Co-Branded Bakery in a Streetside Location (which covers both brands).

If we require you to conduct the grand opening advertising, you must (a) obtain our written approval for your grand opening advertising plan at least 30 days prior to the scheduled start date of such advertising campaign and (b) implement the grand opening advertising plan that we approve or designate (which may be different from what you propose), using only Advertising and Promotional Content and related media that we have approved.