3. Royalties and Fees	9 Months Ended
Sep. 30, 2012
Royalties And Fees
3. Royalties and Fees	Royalties and fees include $131,000 and $256,000 for the three-month and nine-month periods ended September 30, 2012, and $28,000 and $156,000 for the three-month and nine-month periods ended September 30, 2011, respectively, of initial franchise fees. Royalties and fees included $32,000 and $55,000 for the three-month and nine-month periods ended September 30, 2012, and $11,000 and $30,000 for the three-month and nine-month periods ended September 30, 2011, respectively, of equipment commissions. Royalties and fees, less initial franchise fees and equipment commissions were $1.6 million and $4.9 million for the three-month and nine-month periods ended September 30, 2012 and $1.6 million and $4.8 million for the three-month and nine-month periods ended September 30, 2011, respectively. The breakdown of royalties and fees, less upfront fees, were royalties and fees from non-traditional franchises other than grocery stores were $1.0 million and $3.2 million for the three-month and nine-month periods ended September 30, 2012, and $971,000 and $3.1 million for the three-month and nine-month periods ended September 30, 2011, respectively; royalties and fees from grocery store take-n-bake were $350,000 and $1,045,000 for the three-month and nine-month periods ended September 30, 2012, and $325,000 and $873,000 for the three-month and nine-month periods ended September 30, 2011, respectively; and royalties and fees from traditional locations were $179,000 and $640,000 for the three-month and nine-month periods ended September 30, 2012, and $288,000 and $838,000 for the three-month and nine-month periods ended September 30, 2011, respectively. The Company has no material amount of past due royalties. There were 1,460 franchises/licenses in operation on September 30, 2011 and 1,772 franchises/licenses in operation on September 30, 2012. During the twelve-month period ended September 30, 2012, 326 new franchised/licensed locations opened and 14 franchised/licensed locations closed. The breakdown of the 1,772 franchises/licenses at September 30, 2012 was 757 non-traditional franchises other than grocery stores, 973 grocery stores and 42 traditional franchises. In the ordinary course, grocery stores from time to time add products, remove and subsequently re-offer them. Therefore, it is unknown if any grocery store licenses have left the system.

3. Royalties and Fees

9 Months Ended

Sep. 30, 2012

Royalties and fees include $131,000 and $256,000 for the three-month and nine-month periods ended September 30, 2012, and $28,000 and $156,000 for the three-month and nine-month periods ended September 30, 2011, respectively, of initial franchise fees. Royalties and fees included $32,000 and $55,000 for the three-month and nine-month periods ended September 30, 2012, and $11,000 and $30,000 for the three-month and nine-month periods ended September 30, 2011, respectively, of equipment commissions. Royalties and fees, less initial franchise fees and equipment commissions were $1.6 million and $4.9 million for the three-month and nine-month periods ended September 30, 2012 and $1.6 million and $4.8 million for the three-month and nine-month periods ended September 30, 2011, respectively. The breakdown of royalties and fees, less upfront fees, were royalties and fees from non-traditional franchises other than grocery stores were $1.0 million and $3.2 million for the three-month and nine-month periods ended September 30, 2012, and $971,000 and $3.1 million for the three-month and nine-month periods ended September 30, 2011, respectively; royalties and fees from grocery store take-n-bake were $350,000 and $1,045,000 for the three-month and nine-month periods ended September 30, 2012, and $325,000 and $873,000 for the three-month and nine-month periods ended September 30, 2011, respectively; and royalties and fees from traditional locations were $179,000 and $640,000 for the three-month and nine-month periods ended September 30, 2012, and $288,000 and $838,000 for the three-month and nine-month periods ended September 30, 2011, respectively. The Company has no material amount of past due royalties.

There were 1,460 franchises/licenses in operation on September 30, 2011 and 1,772 franchises/licenses in operation on September 30, 2012. During the twelve-month period ended September 30, 2012, 326 new franchised/licensed locations opened and 14 franchised/licensed locations closed. The breakdown of the 1,772 franchises/licenses at September 30, 2012 was 757 non-traditional franchises other than grocery stores, 973 grocery stores and 42 traditional franchises. In the ordinary course, grocery stores from time to time add products, remove and subsequently re-offer them. Therefore, it is unknown if any grocery store licenses have left the system.