ANYTIME FITNESS FRANCHISE DISCLOSURE DOCUMENT

the production work in-house, but we work with a national agency. We do not currently use the fund to
actually implement any advertising, except to assist local advertising programs in making local media
purchases. It is our responsibility to determine how these monies are spent. We are not required to use
monies in this fund to benefit any individual market, or on a pro rata or other basis. During 2008, these
monies were spent for the following purposes:
Item Percentage of Total Expenditures
Internet Marketing 37%
IHRSA International Health, Racquet and 16%
Sports Club Association - Memberships
and Public Policy Advocacy
Print Marketing Materials Development 6%
National Spokesperson Campaign 3%
Promotional Event Tools - Trade Show 5%
Booths and Tents
Public Relations 5%
Gym Ticket 2%
Member Success Story Videos 2%
Public Policy Initiatives 2%
Travel and Meals 1%
Fall Advertising Campaign 7%
National Media and Corporate Partner 10%
Staff
Other Advertising 4%
We also have the right to establish approved local advertising programs in each market. Ifwe establish a
local advertising program in your market, we will require you to contribute to this program an amount
equal to the greater of $150 per month, or 1 % of the revenues generated by your Anytime Fitness center
in the last 12 months. We also will provide the assistance of our national agency to assist the local
advertising programs in making local television commercial purchases. As of the date of this Disclosure
Document, we have established local advertising programs in 15 states, and we plan to initiate the fund in
additional markets. We will account for each market's contributions separately, and spend the
contributions in the market from which they are contributed. We currently expect this fund to be used for
television, radio and print advertising, and initially would be at the local level. In 2008, 5% of these
funds were spent on production, and 95% on media placement.
For each of these funds, our intention is to solicit input on the development of the advertising from
franchisees who must contribute to the fund on the development of the advertising. However, this input
will be advisory only, and we will have the right to make all final decisions about how these monies are
spent. We have no obligation to conduct any advertising on your behalf.
For each fund we establish, we expect all franchisees in the market to contribute to the fund. Our
company-owned centers will contribute in the same manner. As we establish these funds, we will, upon
request, provide an annual financial report as to revenues and expenditures of the fund to all franchisees
contributing to the fund. Currently, these statements are not audited.
Advertising monies we collect that are not used in one year will be carried over to the next year. Any
interest the funds earn will be used for advertising before we use any principal. We and our affiliates will
only receive payment from the advertising funds for actual goods and services we provide to the funds.
We may also allocate a portion of the funds to cover the costs of any of our employees who provide
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