Page 24 - PowerPoint Presentation

STAND-ALONE STUDIOS

• Management believes that the Mount Pleasant RedZone, cycle and

performance studios will grow within six months to over 600 members paying $129

per month

• Based on the 1) projected success of Mount Pleasant, 2) shift in consumer

preference to specialty fitness studios, and 3) significant growth of the Charleston

market, management plans to develop at least five RedZone boutiques in the

Charleston market

• Pro-formas for the stand-alone studios reflect 30+% EBITDA margins and ROIC
of less than two years

• In addition, management is forming a separate company (“RZ Franchising LLC”)

to franchise the RedZone concept outside of Charleston

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