Curves International, Inc. Affirms Support for Robust Franchise Program

Curves International, Inc. Affirms Support for Robust Franchise Program

Woodway, TX - May 29, 2014 - This week, Forbes.com posted a story about Curves International, Inc. as part of an upcoming piece on franchising. The article uses outdated measures of the company’s performance, recent successes and does not reflect the larger context of the business or leadership, nor the passion behind the Curves brand. The article also contains misleading and inaccurate information.

Curves International was purchased by North Castle Partners in September 2012 with the mission to reinvigorate the company by applying the investment group’s knowledge and experience in the fitness and wellness arena. Since then, North Castle has invested heavily in the brand by introducing innovative new programs, products, equipment and service improvement. The Forbes article uses data and measures from 2008 – 2012 to create its rankings, thus not reflecting these recent efforts and investment.

Within the article, the Managing Director of North Castle Partners, Jon Canarick's quote is not complete and therefore misleading. North Castle Partners does not "blame" the franchisees, but rather has always been clear that those who engage in robust guest production and tremendous service by following the Curves system will be more successful than those who do not follow it. Furthermore, the Forbes story disproportionately represents the opinion of a small percentage of negative franchisees, out of approximately 2,500 in North America. In addition, the article suggests that franchise royalties and advertising fund contributions are a "constant" irritation to franchisees. The reality is that they are obligations that Curves, like every other franchisor, includes in contractual agreements with every franchisee. Finally, the article contains misleading and false information from franchisees about territories and re-sales, among other key points.

"We are continually seeking ways to provide franchisees with the best, most competitive tools and programs to make their business a success. It is unfortunate that this article seeks to overshadow the passion and positive inroads our franchisees make every day to not only run a successful business but also to help make a difference in each of our members’ lives," said Monty Sharma, CEO of Curves Jenny Craig. "We acknowledge we have made several changes to our system quickly, but we have done so to increase our system revenue and the vast majority of our franchisees understand this and support it."

The brand has recently introduced new revenue opportunities and programs, including Curves Workouts with Jillian Michaels, the Curves Complete program, new nutrition bars and apparel. However, franchisees are not required to purchase the workout apparel or nutrition bars. These initiatives are designed to benefit the consumer, the brand and also the franchisees’ revenue stream.

"After over 14 years, our clubs look great with the new equipment and mats and our members love the Jillian classes. These new innovations have helped turn our clubs around," commented Greg and Sandy Hamilton, Curves Owners.

"Successful franchisees are vital for the future strength of the Curves brand and we will continue to support and look to improve our franchise program – and in turn, help our members’ achieve their health goals," said Sharma.

About Curves International, Inc.

Curves International, Inc. is the largest chain of fitness centers for women in the world and is famous for its 30-minute Circuit with a Coach that works every major muscle group with strength training, cardio and stretching. The new Curves Workouts with Jillian Michaels* offer cutting-edge total body workouts that feature the Curves strength training machines in conjunction with functional bodyweight-based exercises that ramp up metabolism and transform physique. With Curves Complete, women have a fully integrated, personalized weight loss and weight management solution that includes the Curves fitness program, a customizable meal plan and one-on-one coaching and support. Each Curves Complete Coach has completed a certification program developed in conjunction with Cleveland Clinic, one of the most respected hospitals in the country. Curves is committed to providing women with the tools necessary to empower them to live more fulfilling lives. For more information please visit curves.com. *Scheduled workouts vary by location.

SOURCE Curves International, Inc.

Media Contact:

Aliza Rothman
Director of PR
800-848-1096 ext 3103

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