What is the stated goal of Hardees Restaurants LLC ('HR') in relation to new franchised restaurants?

According to the 2025 Hardees Franchise Disclosure Document, Hardees Restaurants LLC ('HR') aims to stimulate the development of new franchised Hardees Restaurants and expand the System at eligible travel center, gas, and convenience locations. To achieve this, Hardees has established the 2025 HR Travel Center Development Incentive Program (the "Travel Center Program").

To be eligible for the Travel Center Program, franchisees must meet specific requirements. The Hardees Restaurant must be located at a travel center or gas and convenience location within ½ mile of an interstate or limited access highway, including a high rise pylon sign, billboard, or other highway sign. The location must be opened under a Development Agreement dated no later than May 24, 2026, and the Franchise Restaurants must be opened by the dates outlined in the Development Agreement. Franchisees must not be in default of their obligations under existing agreements with Hardees or its affiliates and must be approved for growth, satisfying Hardees' financial and operational requirements for new restaurant development.

Franchisees participating in the Travel Center Program may receive incentives. One such incentive is a reduction in the royalty fee for a limited time. The royalty fee will be reduced by 3% of Gross Sales for the first 12 months of operation, 2% of Gross Sales for the second 12 months, and 1% of Gross Sales for the third 12 months. This program is designed to encourage franchisees to develop new Hardees locations in specific high-traffic areas by providing financial benefits during the initial years of operation.