Registered letter Collorafi → McDonald's

Bernard COLLORAFI 21B Chemin de l'Estelle 06110 LE CANNET Le Cannet. 31 January 1997 Denis HENNEQUIN Chairman and Chief Executive Officer McDonald's France SA 1 Rue Gustave Eiffel 78045 GUYANCOURT CEDEX Registered letter with acknowledgement of receipt. Dear Denis, Following the meeting I had last Monday 22 January with Isabelle KUSTER, I noted: - that Patrick GILARSKI finally preferred to operate his restaurants as sole owner, instead of forming a joint venture with you; - that he will thus open VALLAURIS, which you are giving him; - that, lastly, you agree to allocate ANTIBES OUEST to me. I take note of this allocation and thank you warmly for the trust you show me. I can assure you that we will do everything to develop this restaurant with an excellent QSP. 2. However, for the reasons set out in my letter of 10 January, and which remain entirely relevant, I persist in asking that VALLAURIS also be allocated to me, which, as Isabelle points out, is a different municipality from ANTIBES, but, as I point out, is also a different municipality from CANNES where Patrick GILARSKI is located There is a natural barrier formed by the hills of La Californie where luxury residences are built and the Valmasque park without any housing. Moreover, this restaurant will be 7 minutes and 5.8 kilometres from ANTIBES Nord and the Shopping Centre where I am established and 14 minutes and 8.8 kilometres from CANNES where Patrick GILARSKI is established. It is obviously totally discriminatory to grant this restaurant to Patrick GILARSKI rather than to myself, since VALLAURIS is not in his catchment area and is on the contrary in my catchment area. This will impact me by at least 20%, since it is notably obvious that the entire population of VALLAURIS, whose purchasing power is the lowest in the region, comes to do its shopping at Carrefour in ANTIBES rather than in the expensive shops of CANNES. Given the harm caused notably to my profitability, I therefore persist in asking that the VALLAURIS restaurant be allocated to me It is clear, and Isabelle KUSTER agreed, that my catchment area goes beyond the municipality of ANTIBES. Isabelle confirmed to me that in return, the rent conditions of my restaurants would be revised downwards in order to ensure at the very least the profitability anticipated in the projections drawn up at the opening of each unit. I will remain vigilant as to the preservation of my interests and will not fail to make myself heard when I note breaches of the commitments that you have made. I await a precise reply, firmly maintaining the terms of my previous letters. Please accept, Dear Denis, my best regards.