Candleman Begins New Phase of Development

Candleman is a finely focused, specialty Retail franchise system involving upscale merchandise in the home décor and giftware industries. Initially begun with one store in our local market, we quickly saw the industry potential and began expanding to include franchised stores in some of the finest shopping malls across the United States and Canada. Throughout our history, our two-part goal has remained the same- to assist individual business people to build a successful business of their own while gathering the broadest assortment of the most unique candles and candle accessories available.

In order to help us reach our goal, we have established and maintained solid relationships with the suppliers of our products and have assembled a team of professionals with years of Franchise and retail experience. Both of these elements combined have had a significant impact on the success of our stores today.

Having already successfully completed Phase I of our development by having successful franchise stores operating around the U.S. and in Canada, Candleman is launching Phase 2 in 2002. Phase 2 will involve significant expansion both within North America and in various other countries.

So far in 2002, Master franchises have been granted in Australia and New Zealand with the first stores in those markets scheduled to open before the end of the year. Along with continued new store openings in those markets next year, plans are to roll out the Master franchise program in the U.K.

Closer to home, plans are being finalized to offer Master Franchises regionally within Canada and the United States. This program will grant to the Master Franchisee the opportunity to develop and support 20 to 30 stores within a specified geographic market area.

The expectation is both more rapid global expansion of the Candleman brand and the ability to include merchandise from all of the markets in all of the stores thereby offering otherwise not available items.