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MISSION

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MISSION ...

    CORPORATE PROFILE

    2008

    Acara: an ancient Sanskrit word; “to conduct oneself in an orderly fashion”

    www.acarapartners.com ? www.acaramedspas.com

    Acara: Company Profile, copyright 2008

    Table of Contents

    OVERVIEW ........................................................................................................................................... 3 Industry Leader .................................................................................................................................. 2 Competitive Advantage ...................................................................................................................... 3 Capabilities ......................................................................................................................................... 4 Industry Affiliations ........................................................................................................................... 4 The Team ............................................................................................................................................ 5 Advisory Board ................................................................................................................................... 9 CURRENT & PAST CLIENTS ........................................................................................................... 11 INDUSTRY REFERENCES ................................................................................................................ 13 Acara Partners, copyright 2008 page 1

OVERVIEW

Acara Partners, copyright 2008 page 2

OVERVIEW

    Developing, Managing & Marketing Leading Spas & Medical Spas

    Acara, led by industry expert Francis X. Acunzo is the leading business team in the spa and

    medical spa industries. We partner with spa owners, physicians, hospitals, hotels, health clubs,

    and investors to develop successful businesses.

    Our proven track record is unsurpassed, we have:

    ? Increased Spa & Medical Spa Revenues by over 100%

    ? Developed (40), owned (27) and operated (75) spas and medical spas in the US and

    Internationally

    ? Performed over 100 feasibility studies

    ? Secured over $75 million dollars in financing for spa and medical spa projects

Acara's team of spa consultants has expertise in:

    Developing & Launching Spas Sales Operating & Managing Spas Marketing Architectural & Interior Design Information Technology Strategic Planning Mergers & Acquisitions We develop and open new spas and medical spas plus integrate medical aesthetics into existing

    spas and physician practices.

    In addition, we provide spa consulting services to improve efficiency, increase revenue and

    maximize profit.

Acara's clients include:

    Doctors Day Spas Hospitals Health Clubs Hotels & Resorts Private Equity Groups Medical Spas / Med Spas Public Corporations Our team's extensive and diverse experience provides us the opportunity to skillfully work within

    numerous industries including: hospitality, healthcare, wellness and fitness\

Acara Partners, copyright 2008 page 3

Acara identifies market opportunities, develops spa business concepts, and manages spas.

    We value quality, hospitality, integrity and knowledge. These core values drive the team towards

    creating business concepts and solutions that result in competitive advantages for Acara and its

    business partners.

    Acara has a proven track record in leveraging the growing consumer demand for spa services and

    products to increase sales, customer satisfaction and profits.

    Our success is most often achieved by combining our extensive knowledge of the spa, wellness

    and healthcare industries with exceptional talent.

    Acara’s team brings a unique mix of intellectual capital, creative energy, and hands-on-

    experience to every business opportunity. Our best practices in such critical areas as business

    development, mergers & acquisitions, operational management, market analysis, site selection,

    and alliance creation are unparalleled in our industries.

    Business Incubator We nurture new ventures. This oftentimes includes supporting the investment and capital fundraising process, creating unique spa concepts and strategic

    business planning.

    Business Development We identify opportunities and grow companies with joint ventures, licensing concepts,

    multi-site acquisitions, and mergers. We discover the best

    business solutions through detailed market analysis,

    feasibility studies, site selection, and management team

    assessments.

Management We implement long-term management

    contracts for physicians, entrepreneurs, real estate developers, hotels, casinos and resorts

    including turn-key spa concepts.

    Research and Education We utilize extensive research to keep our knowledge base competitive and provide training programs for spa managers and professional staff.

Industry Leader

    ? Acara’s Founder, Francis Acunzo, is currently on the Board of Directors for the Medical

    Spa Society, is a past board member for the Day Spa Association, past Chairman of the

    Spa Advisory Council for the International Health, Racquet and Sportsclub Association

    (IHRSA) and the past President and board member of the International Spa (ISPA)

    Foundation.

    ? Acara’s leadership team has been actively published and has frequently lectured and

    presented at many spa events and activities.

Acara Partners, copyright 2008 page 2

    Publications:

    American Spa Magazine

    Spa Business International

    Club Business International (CBI)

    Spabusiness.com

    Day Spa Magazine

    Massage Magazine

    Medical Spa Report

    Seminars on spa business topics at the following industry events

    IHRSA Annual Convention 1998, 1999, 2000, 2001, 2007

    IHRSA Executive Institute 2000

    ISPA Annual Convention 2000, 2002, 2005

    Spa-cifically 2000

    Hartford Women’s Expo 2004

    MedSpa Conference 2005, 2006, 2007, 2008

    Presentations at the following industry events

    “State of the Spa Industry”, IHRSA Annual Convention 1999, 2000, 2001

    General Session Speaker, ISPA Convention 2002 & 2003

    “State of the Medical Spa Industry”, MedSpa Expo & Conference 2006 & 2007

    Guest Lecturer

    Cornell University: School of Hotel Administration 2003

    Boston University: School of Hotel Administration 1990

    Babson College: F.W. Olin Graduate School of Business 2004

    Quinnipiac University: Entrepreneurship Conference, School of Business 2005

    Competitive Advantage

    ? Acara’s executive team has executed over 25

    mergers & acquisitions in the spa and healthcare

    industries involving over 60 individual locations.

? Acara’s corporate team has many years of

    hospitality, spa, healthcare, fitness club, and

    retail experience. The team is skilled at

    integrating knowledge and research with

    marketing savvy and financial acumen.

? Acara’s team has extensive experience operating high volume locations as well as multi-

    site national operations.

    ? Acara’s team fully integrates the vision and mission of a project into exceptional

    branding, graphic & web design and interior design with its in-house creative team.

    ? Acara’s market and feasibility studies provide unparalleled insight into the potential

    consumer demand for spa services at a spa. Our proprietary financial models incorporate

    Acara Partners, copyright 2008 page 3

    industry and consumer research in projecting revenues, illustrating expenses and mapping

    out the return on investment.

    ? Acara keeps abreast of the latest in spa, wellness and retail healthcare programming with

    a continual flow of information on new services and products provided us through our

    industry relationships and contacts.

    ? Acara has one of the most thorough compilations of

    Standard Operating Procedures in the industry.

    ? Acara has developed detailed and effective hiring

    techniques, training guidelines and employee

    evaluation programs.

    ? Acara is committed to “continuous improvement”

    through proper Total Quality Management systems. Acara has developed a complete

    350-point Quality Assurance Audit for spas.

Capabilities

    Corporate Strategy and Planning Sales & Marketing ? Business Plan Development ? Branding & Logo Design ? Growth & Expansion Plans ? Market Analysis & Research ? Merger & Acquisition Advisory ? Marketing & Promotion Plans ? Roll-up/Consolidation Advisory ? Product Evaluation & Positioning ? Mission & Vision Development ? Strategic Planning ? Start-up & Turnaround Plans ? Graphic & Web Design

    Development Business Process and Function Analysis ? Feasibility Studies ? Financial Analysis & Budgeting Process ? Financial Pro forma ? Operating Systems Analysis & ? Market Development Development ? Consumer Demand Analysis ? Operational Analysis & Audits ? Retail & Professional Product ? Quality Assurance Programs -TQM

    Development ? Staffing: Design & Recruitment ? Interior Design & Architectural Review ? Training and Educational Programs

Industry Affiliations

    ? The Day Spa Association ? International Health, Racquet & ? International Spa Association (ISPA) Sportsclub Association (IHRSA)

    ? Medical Spa Society (MSS)Acara Partners, copyright 2008 page 4

The Team

    Francis X. Acunzo, CEO/Founder, Business Development & Strategy

    Francis X Acunzo (FXA) has over 25 years of experience and a wealth of

    knowledge in the spa, retail healthcare, hospitality, beauty, and fitness

    industries. As an entrepreneur, business owner, operator and investor, Mr.

    Acunzo possesses a critical perspective and an ability to provide visionary

    leadership to a variety of industry opportunities.

    As CEO of various spa, health and wellness companies he and his team

    have executed upon 24 acquisitions involving over 60 spa and club locations, completed over 100 feasibility studies, operated a national chain of 22 Day Spas and

    managed a West Coast chain of 37 medical spas.

    Mr. Acunzo is known for his firsts in the industry: In 1999, Mr. Acunzo had the vision to create

    the industry's first consolidation of day spas aggregating almost $50M in annual revenue through

    the acquisition of 22 of the best spas in top U.S. markets. In 1996, he opened the country's first

    medical spas through a merger between his Spa Company and Candela Laser, one of the leading

    cosmetic laser manufacturers in the U.S. In 1991 he was the first spa operator to place lasers into

    spas. In 1985 he led the development of the first resort spa in the Northeast at the Norwich Inn in

    Norwich, CT.

    Mr. Acunzo is a noted industry speaker presenting keynote addresses, seminars and webinars at

    many industry events, conferences and conventions including:

    ? Medical Aesthetics Conference & Expo

    ? International Esthetics Cosmetic & Spa Conference (IECSC)

    ? The Medical Spa Society Web Education

    ? International Health, Racquet and Sportsclub Association (IHRSA) Annual Convention

    ? International Spa Association (ISPA) Annual Conference.

    In addition he is actively published and has been a contributing writer for:

    ? Club Business International

    ? Spa Business International

    ? Massage Magazine

    ? Medical Spa Report

    ? American Spa Magazine

    He has also guest lectured at:

    ? Cornell's School of Hotel Administration

    ? Babson College's School of Business

    ? Boston University's School of Hotel Management

    ? Quinnipiac University's School of Business

    Acara Partners, copyright 2008 page 5

    Mr. Acunzo is very active with industry associations participating on the board level with the following organizations:

    ? Board Member for the Medical Spa Society 2003 - present

    ? President of the ISPA Foundation 2003 - 2004

    ? ISPA Foundation Board Member 2000 - 2003

    ? Board Member of the ISPA Board 2003 - 2004

    ? Member of the Advisory Board for the Day Spa Association 1996 - 2002

    ? Chairman of IHRSA's Spa Advisory Council 2000 - 2001

    ? Member of the IHRSA Spa Advisory Council 1998 - 2000 Mr. Acunzo holds a BS degree in Business Administration from Providence College, Providence,

    Rhode Island. He resides on the beautiful Connecticut Shoreline with his wife and 2 boys. Barbara Murphy-Shannon, Business Development

    Ms. Murphy-Shannon has over 25 years of marketing and sales experience in the hospitality and service industries including spas, country clubs, dining clubs, and athletic clubs. As Vice President of Business Development with Acara, she interacts with all new clients, determining their goals and objectives, ensuring a smooth transition during development.

    She founded BMS Sales in 2002, providing manufacturers with representation in the Arizona market servicing hotels, resorts, spas and high-end retail. Some of her clients included The Four Seasons Resort & Spa , The Golden Door Spa at the Boulders, The Scottsdale Fairmont Princess, Royal Palms Resort, and The J. W. Marriott's to name a few. Founder and visionary of Arizona Babies, a children's botanical skincare line, has given her extensive experience in product development and sales.

    She is on the adjunct faculty at Arizona State University. She instructs Sales and Marketing for Spas for the ASU Spa Management Certificate program in the Exercise and Wellness Department. She has also taught at Mesa Community College.

    She has also worked as a Vice President with Sage, one of the country's leading spa management & development groups that became Stonewater, the country's second largest day spa organization. Ms. Murphy-Shannon's marketing experience includes developing strategic sales and marketing plans, market research, and conducting sales training at prestigious resorts and clubs such as The Phoenician Resort, The Mist Spa, Gainey Ranch Golf Club, Red Mountain Ranch Club, Candela Spa and Le Pli Spa in Boston. She has also worked on numerous spa and club development projects. Ms. Murphy-Shannon holds a BA degree in Communications from Bridgewater State College in Massachusetts.

    Brenda Palumbo, Development

    Ms. Palumbo joined Acara s as Vice President of Development with a wealth of first hand experience and formal education in the spa industry. She currently oversees all new medical spa development, including: market assessment, feasibility, and pre-

    opening implementation.

    Since graduating from Cornell University's School of Hotel

    Administration in 1991, Brenda has worked exclusively in the spa

    segment of the hospitality industry. Brenda's experience includes

    Acara Partners, copyright 2008 page 6

    single- and multi-unit management experience covering destination, hotel/resort and day spas. She has also worked as an industry consultant specializing in spa development and pre-opening services.

    As a Regional Director of Spa Operations for Stonewater Spas, Brenda oversaw the operations of ten day spas in seven states. Playing an active role in this startup company, Brenda assisted in the development of company wide operating procedures, marketing and sales initiatives, budgets, and brand standards.

    Brenda also served as Spa Director at the Hilton Short Hills and the Hyatt Regency Newport. As a consultant, Brenda has been involved in numerous spa openings and development projects with a variety of spa owners and developers (Intrawest, Health Fitness Dynamics, Marriott Hartford, Cortiva Education). She began her career at New Age Health Spa, a small destination spa in Neversink, NY where she served as General Manager.

    Pia Prevost, Architecture & Interior Design

    Pia Prevost possesses over twenty years of wide ranging international experience in the field of Architectural and Interior Design.

    Pia Prevost is dedicated to providing a customized approach to each design. This entails working closely and knowledgeably with each Client in order to define and enhance a unique concept, and to closely examine the Client’s operations, goals and objectives. These key elements form the

    foundation of Prevost’s design process.

    Her design philosophy is to articulate a space that is both dramatic and utilitarian. This is ultimately achieved through skillful attention to the space, finishes, colors, and through the use of distinctive artwork / accessories.

    Among her accomplishments in architectural and interior design are numerous day spas for Stonewater one of the nation’s leading Day Spa Companies now known as Premier Spas and

    Salons. With this company, she worked closely with the Corporate Director of Retail to develop retail display units that were used throughout the locations. Most recently she created a design concept to renovate and upgrade a chain of 37 Medical Spas on the West Coast.

    In addition to her formative spa experience Pia has extensive

    hospitality experience with ten years in the Real Estate

    Division of Swissair Transportation Inc. as the Owner’s

    Representative and Project Manager for new construction and

    renovation projects in the field of hospitality. During this

    time, she completed projects within budgets up of $ 40

    million.

    In 1999 Pia Prevost was a finalist for the James Beard

    Foundation Award for Outstanding Restaurant Design in the United States and this work was published. Pia Prevost graduated with a Master of Architecture in Switzerland where she gained solid experience working as a Design Architect and in construction.

    Sandi Unkrur, Operations & Sales Management

    Mrs. Unkrur has extensive experience in retail healthcare, including the operational oversight of a chain of 37 medical spas as well as numerous independent new location launches. As Spa Director for Acara, Sandi oversees day to day operations and sales at every location. She has Acara Partners, copyright 2008 page 7

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