On what basis is the data for the Cordova Company Owned Outlet based?

According to Cordova's 2025 Franchise Disclosure Document, the financial information provided for the Company Owned Outlet was not prepared following generally accepted accounting principles. The data is based on information reported to Cordova by its affiliate. Cordova does not currently have any Franchise Outlets. The FDD states that the information provided has not been audited and is based on historical financial data, and should not be considered a forecast or projection of future financial performance.

Cordova has one Company Owned Outlet located in Omaha, Nebraska, which began operations in 2016. This outlet operates within an operating territory of approximately 1,000,000 people, equivalent to two territories. Cordova considers this outlet representative of a franchised business and an operational company-owned outlet for the 2024 calendar year.

However, the FDD also notes that there are material financial and operational characteristics that are reasonably anticipated to differ from future operational franchise outlets. These include the managerial skill and efficiency of Cordova's experienced management team, brand recognition within the local Omaha market, and the absence of ongoing fees (such as Royalty Fees and Brand Development Fund Fees) that a franchisee would be obligated to pay. A prospective franchisee should consider these factors when reviewing the financial performance representations for the Company Owned Outlet, as their own results may vary.