| [X] | Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the quarterly period ended September 30, 2010 |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------|

| [   ] | Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the transition period from _____________ to _____________ |
|----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------|

| Yes X | No  _ |
|-------|-----------------|

| Yes__ | No __ |
|-------|-------|

| Large accelerated filer __                                            | Accelerated filer __              |   |
|-----------------------------------------------------------------------|-----------------------------------|--------|
| Non-accelerated filer __(Do not check if a smaller reporting company) | Smaller reporting company X  |   |

| Yes | No  X |
|-----|-----------------|

| TABLE OF CONTENTS                                                                                                                               |
|-------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                            |   |
|                                                                                                                                            |   |
|                                                                                                                                            | PAGE |
| PART I – FINANCIAL INFORMATION                                                                                                            |   |
|                                                                                                                                            |   |
| Item 1.  Financial Statements                                                                                                         |   |
|                                                                                                                                            |   |
| Consolidated Condensed Balance Sheets as of September 30, 2010 and December 31, 2009                                                            | 4 |
|                                                                                                                                            |   |
| Consolidated Condensed Statements of Operations and Comprehensive Income (Loss) for the Three and Nine Months Ended September 30, 2010 and 2009 |  5 |
|                                                                                                                                            |   |
| Consolidated Condensed Statements of Cash Flows for the Nine Months Ended September 30, 2010 and 2009                                           |  6 |
|                                                                                                                                            |   |
| Notes to Consolidated Condensed Financial Statements                                                                                            | 7-17 |
|                                                                                                                                            |   |
| Item 2.  Management’s Discussion and Analysis of Financial Condition and Results of Operations                                  | 18-33 |
|                                                                                                                                            |   |
| Item 3.  Quantitative and Qualitative Disclosures about Market Risk                                                                   | 34 |
|                                                                                                                                            |   |
| Item 4.  Controls and Procedures                                                                                                      | 34 |
|                                                                                                                                            |   |
| PART II – OTHER INFORMATION                                                                                                               |   |
|                                                                                                                                            |   |
| Item 1. Legal Proceedings                                                                                                                       | 35 |
|                                                                                                                                            |   |
| Item 1A. Risk Factors                                                                                                                           | 35 |
|                                                                                                                                            |   |
| Item 2. Unregistered Sales of Equity Securities and Use of Proceeds                                                                             | 35 |
|                                                                                                                                            |   |
| Item 3. Defaults Upon Senior Securities                                                                                                         | 35 |
|                                                                                                                                            |   |
| Item 4. (Removed and Reserved)                                                                                                                  | 35 |
|                                                                                                                                            |   |
| Item 5. Other Information                                                                                                                       | 35 |
|                                                                                                                                            |   |
| Item 6. Exhibits                                                                                                                                | 35-36 |
|  Signatures                                                                                                                                |  37 |

PART

| EMERGING VISION, INC. AND SUBSIDIARIESCONSOLIDATED CONDENSED BALANCE SHEETS(In Thousands, Except Share Data) |   |
|--------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                         |   | September 30, |   |   | December 31, |   |
|   ASSETS                                                                                                |   | 2010 |   |   | 2009 |   |
|                                                                                                         |   | (unaudited) |   |   |   |   |
| Current assets:                                                                                              |   |   |   |   |   |   |
| Cash and cash equivalents                                                                                    |   | $ | 1,246 |   |   | $ | 1,576 |   |
| Franchise receivables, net of allowance of $129 and $188, respectively                                       |   |   | 1,718 |   |   |   | 1,665 |   |
| Optical purchasing group receivables, net of allowance of $186 and $155, respectively                        |   |   | 5,952 |   |   |   | 4,594 |   |
| Other receivables, net of allowance of $44 and $15, respectively                                             |   |   | 259 |   |   |   | 237 |   |
| Current portion of franchise notes receivable, net of allowance of $30 and $42, respectively                 |   |   | 256 |   |   |   | 221 |   |
| Inventories, net                                                                                             |   |   | 353 |   |   |   | 309 |   |
| Prepaid expenses and other current assets                                                                    |   |   | 466 |   |   |   | 447 |   |
| Deferred tax assets                                                                                          |   |   | 171 |   |   |   | 276 |   |
| Total current assets                                                                                         |   |   | 10,421 |   |   |   | 9,325 |   |
|                                                                                                         |   |   |   |   |   |   |   |   |
| Property and equipment, net                                                                                  |   |   | 754 |   |   |   | 872 |   |
| Franchise notes receivable                                                                                   |   |   | 326 |   |   |   | 290 |   |
| Deferred tax asset, net of current portion                                                                   |   |   | 614 |   |   |   | 534 |   |
| Goodwill                                                                                                     |   |   | 3,651 |   |   |   | 3,651 |   |
| Intangible assets, net                                                                                       |   |   | 2,704 |   |   |   | 2,839 |   |
| Other assets                                                                                                 |   |   | 257 |   |   |   | 238 |   |
| Total assets                                                                                                 |   | $ | 18,727 |   |   | $ | 17,749 |   |

| LIABILITIES AND SHAREHOLDERS’ EQUITY                                                                                                                                                            |   |   |         |   |   |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------------|--------|--------|--------|
|                                                                                                                                                                                                  |   |   |         |   |   |   |
| Current liabilities:                                                                                                                                                                                  |   |   |         |   |   |   |
| Accounts payable and accrued liabilities                                                                                                                                                              |   | $      | 4,347        |   |   | $      | 4,564 |   |
| Optical purchasing group payables                                                                                                                                                                     |   |   | 5,407        |   |   |   | 4,336 |   |
| Put option liability – related party                                                                                                                                                            |   |   | 700          |   |   |   | 700 |   |
| Short-term debt                                                                                                                                                                                       |   |   | 3,721        |   |   |   | 1,116 |   |
| Related party obligations                                                                                                                                                                             |   |   | 336          |   |   |   | 334 |   |
| Total current liabilities                                                                                                                                                                             |   |   | 14,511       |   |   |   | 11,050 |   |
|                                                                                                                                                                                                  |   |   |         |   |   |   |   |   |
| Long-term debt                                                                                                                                                                                        |   |   | 24           |   |   |   | 3,792 |   |
| Related party borrowings, net of current portion                                                                                                                                                      |   |   | -            |   |   |   | 83 |   |
| Franchise deposits and other liabilities                                                                                                                                                              |   |   | 299          |   |   |   | 262 |   |
| Total liabilities                                                                                                                                                                                     |   |   | 14,834       |   |   |   | 15,187 |   |
|                                                                                                                                                                                                  |   |   |         |   |   |   |   |   |
| Commitments and contingencies                                                                                                                                                                         |   |   |         |   |   |   |   |   |
|                                                                                                                                                                                                  |   |   |         |   |   |   |   |   |
| Shareholders' equity:                                                                                                                                                                                 |   |   |         |   |   |   |   |   |
| Preferred stock, $0.01 par value per share; 5,000,000 shares authorized:  Senior Convertible Preferred Stock, $100,000 liquidation preference per share; 0.74 shares issued and outstanding |   |   |   74    |   |   |   |   74 |   |
| Common stock, $0.01 par value per share; 150,000,000 shares authorized; 125,475,143 and 128,992,938 shares issued, respectively, and 125,292,806 and 128,810,601 shares outstanding, respectively     |   |   |   1,254 |   |   |   |   1,289 |   |
| Additional paid-in capital                                                                                                                                                                            |   |   | 128,059      |   |   |   | 128,024 |   |
| Accumulated comprehensive loss                                                                                                                                                                        |   |   | (292         | )      |   |   | (150 | ) |
| Accumulated deficit                                                                                                                                                                                   |   |   | (124,998     | )      |   |   | (126,471 | ) |
| Treasury stock, at cost, 182,337 shares                                                                                                                                                               |   |   | (204         | )      |   |   | (204 | ) |
| Total shareholders' equity                                                                                                                                                                            |   |   | 3,893        |   |   |   | 2,562 |   |
| Total liabilities and shareholders' equity                                                                                                                                                            |   | $      | 18,727       |   |   | $      | 17,749 |   |

| EMERGING VISION, INC. AND SUBSIDIARIESCONSOLIDATED CONDENSED STATEMENTS OF OPERATIONSAND COMPREHENSIVE INCOME (LOSS)(Unaudited) (In Thousands, Except Per Share Data) |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                                                  |   | For the Three Months Ended September 30, |   |   | For the Nine MonthsEnded September 30, |   |
|                                                                                                                                                                  |   | 2010 |   |   | 2009 |   |   | 2010 |   |   | 2009 |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Revenues:                                                                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |
| Optical purchasing group sales                                                                                                                                        |   | $ | 14,247 |   |   | $ | 13,657 |   |   | $ | 42,259 |   |   | $ | 39,022 |   |
| Franchise royalties                                                                                                                                                   |   |   | 1,358 |   |   |   | 1,350 |   |   |   | 4,229 |   |   |   | 4,250 |   |
| Membership fees – VisionCare of California                                                                                                                      |   |   | 915 |   |   |   | 893 |   |   |   | 2,696 |   |   |   | 2,640 |   |
| Retail sales – Company-owned stores                                                                                                                             |   |   | 644 |   |   |   | 551 |   |   |   | 2,277 |   |   |   | 1,581 |   |
| Franchise related fees and other revenues                                                                                                                             |   |   | 42 |   |   |   | 67 |   |   |   | 283 |   |   |   | 210 |   |
| Total revenues                                                                                                                                                        |   |   | 17,206 |   |   |   | 16,518 |   |   |   | 51,744 |   |   |   | 47,703 |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Costs and operating expenses:                                                                                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cost of optical purchasing group sales                                                                                                                                |   |   | 13,631 |   |   |   | 13,104 |   |   |   | 40,343 |   |   |   | 37,358 |   |
| Cost of retail sales – Company-owned stores                                                                                                                     |   |   | 198 |   |   |   | 162 |   |   |   | 609 |   |   |   | 421 |   |
| Selling, general and administrative expenses                                                                                                                          |   |   | 2,971 |   |   |   | 3,838 |   |   |   | 9,277 |   |   |   | 10,289 |   |
| Total costs and operating expenses                                                                                                                                    |   |   | 16,800 |   |   |   | 17,104 |   |   |   | 50,229 |   |   |   | 48,068 |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating income (loss)                                                                                                                                               |   |   | 406 |   |   |   | (586 | ) |   |   | 1,515 |   |   |   | (365 | ) |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other (expense) income:                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest on franchise notes receivable                                                                                                                                |   |   | 10 |   |   |   | 7 |   |   |   | 25 |   |   |   | 20 |   |
| Other income, net                                                                                                                                                     |   |   | 16 |   |   |   | 8 |   |   |   | 182 |   |   |   | 67 |   |
| Interest expense, net                                                                                                                                                 |   |   | (53 | ) |   |   | (55 | ) |   |   | (157 | ) |   |   | (170 | ) |
| Total other (expense) income                                                                                                                                          |   |   | (27 | ) |   |   | (40 | ) |   |   | 50 |   |   |   | (83 | ) |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income (loss) before provision for income taxes                                                                                                                       |   |   | 379 |   |   |   | (626 | ) |   |   | 1,565 |   |   |   | (448 | ) |
| Provision for income taxes                                                                                                                                            |   |   | 12 |   |   |   | 11 |   |   |   | 92 |   |   |   | 22 |   |
| Net income (loss)                                                                                                                                                     |   |   | 367 |   |   |   | (637 | ) |   |   | 1,473 |   |   |   | (470 | ) |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Comprehensive income (loss):                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Foreign currency translation adjustments                                                                                                                              |   |   | 36 |   |   |   | 74 |   |   |   | (142 | ) |   |   | 127 |   |
| Comprehensive income (loss)                                                                                                                                           |   | $ | 403 |   |   | $ | (563 | ) |   | $ | 1,331 |   |   | $ | (343 | ) |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net income (loss) per share:                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic and diluted                                                                                                                                                     |   | $ | 0.00 |   |   | $ | (0.00 | ) |   | $ | 0.01 |   |   | $ | (0.00 | ) |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted-average number of common shares outstanding:                                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                                                                                                 |   |   | 125,293 |   |   |   | 128,816 |   |   |   | 127,577 |   |   |   | 126,480 |   |
| Diluted                                                                                                                                                               |   |   | 125,293 |   |   |   | 128,816 |   |   |   | 127,663 |   |   |   | 126,480 |   |

| EMERGING VISION, INC. AND SUBSIDIARIESCONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS(Unaudited) (Dollars in Thousands)  |   |
|-------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                          |   | For the Nine MonthsEnded September 30, |   |
|                                                                                                                          |   | 2010 |   |   | 2009 |   |
| Cash flows from operating activities:                                                                                         |   |   |   |   |   |   |
| Net income (loss)                                                                                                             |   | $ | 1,473 |   |   | $ | (470 | ) |
| Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                      |   |   |   |   |   |   |   |   |
| Depreciation and amortization                                                                                                 |   |   | 409 |   |   |   | 483 |   |
| Provision for doubtful accounts                                                                                               |   |   | 89 |   |   |   | 216 |   |
| Deferred tax assets                                                                                                           |   |   | 25 |   |   |   | - |   |
| Loss on the sale of property and equipment                                                                                    |   |   | 28 |   |   |   | 68 |   |
| Disposal of property and equipment                                                                                            |   |   | - |   |   |   | 14 |   |
| Non-cash compensation charges related to put option liability                                                                 |   |   | - |   |   |   | 700 |   |
|         Changes in operating assets and liabilities:                                  |   |   |   |   |   |   |   |   |
| Franchise and other receivables                                                                                               |   |   | (97 | ) |   |   | (290 | ) |
| Optical purchasing group receivables                                                                                          |   |   | (1,395 | ) |   |   | (1,532 | ) |
| Notes receivable                                                                                                              |   |   | (101 | ) |   |   | (2 | ) |
| Inventories                                                                                                                   |   |   | (44 | ) |   |   | (1 | ) |
| Prepaid expenses and other current assets                                                                                     |   |   | (19 | ) |   |   | (49 | ) |
| Other assets                                                                                                                  |   |   | (4 | ) |   |   | (35 | ) |
| Accounts payable and accrued liabilities                                                                                      |   |   | (217 | ) |   |   | (78 | ) |
| Optical purchasing group payables                                                                                             |   |   | 1,071 |   |   |   | 1,425 |   |
| Franchise deposits and other liabilities                                                                                      |   |   | 37 |   |   |   | (189 | ) |
| Net cash provided by operating activities                                                                                     |   |   | 1,255 |   |   |   | 260 |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |
| Cash flows from investing activities:                                                                                         |   |   |   |   |   |   |   |   |
| Settlement on accounts payable related to enhancing trademark value                                                           |   |   | - |   |   |   | 102 |   |
| Proceeds from sale of Company-owned store                                                                                     |   |   | 50 |   |   |   | - |   |
| Costs associated with enhancing trademark value                                                                               |   |   | - |   |   |   | (101 | ) |
| Purchases of property and equipment                                                                                           |   |   | (189 | ) |   |   | (27 | ) |
| Net cash used in investing activities                                                                                         |   |   | (139 | ) |   |   | (26 | ) |
|                                                                                                                          |   |   |   |   |   |   |   |   |
| Cash flows from financing activities:                                                                                         |   |   |   |   |   |   |   |   |
| Costs associated with extending credit facility                                                                               |   |   | (60 | ) |   |   | - |   |
| Borrowings under credit facility                                                                                              |   |   | - |   |   |   | 150 |   |
| Payments under credit facility                                                                                                |   |   | (1,150 | ) |   |   | (500 | ) |
| Payments on related party obligations and other debt                                                                          |   |   | (94 | ) |   |   | (338 | ) |
| Net cash used in financing activities                                                                                         |   |   | (1,304 | ) |   |   | (688 | ) |
| Net decrease in cash before effect of foreign exchange rate changes                                                           |   |   | (188 | ) |   |   | (454 | ) |
| Effect of foreign exchange rate changes                                                                                       |   |   | (142 | ) |   |   | 127 |   |
| Net decrease in cash and cash equivalents                                                                                     |   |   | (330 | ) |   |   | (327 | ) |
| Cash and cash equivalents – beginning of period                                                                         |   |   | 1,576 |   |   |   | 2,090 |   |
| Cash and cash equivalents – end of period                                                                               |   | $ | 1,246 |   |   | $ | 1,763 |   |
|  Supplemental disclosures of cash flow information:                                                                      |   |   |   |   |   |   |   |   |
| Cash paid during the period for:                                                                                              |   |   |   |   |   |   |   |   |
| Interest                                                                                                                      |   | $ | 148 |   |   | $ | 150 |   |
| Income taxes                                                                                                                  |   | $ | 26 |   |   | $ | 27 |   |
|                                                                                                                          |   |   |   |   |   |   |   |   |
| Non-cash investing and financing activities:                                                                                  |   |   |   |   |   |   |   |   |
| Notes receivable in connection with the sale of Company-owned stores (inclusive of all inventory and property and equipment)  |   | $ | - |   |   | $ | 44 |   |
| Notes receivable in connection with franchisee settlement (inclusive of all franchise related receivables)                    |   | $ | 143 |   |   | $ | 95 |   |

EMERGING 

|                                                                   |   | For the Three Months Ended September 30, |    |   | For the Nine Months Ended September 30, |   |
|------------------------------------------------------------------------|--------|------------------------------------------|---------|--------|-----------------------------------------|--------|
|                                                                   |   | 2010                                     |    |   | 2009                                    |   |   | 2010 |   |   | 2009 |   |
| Numerator:                                                             |   |                                     |    |   |                                    |   |   |   |   |   |   |   |
| Net income (loss):                                                     |   | $                                        | 367     |   |                                    | $      | (637 | ) |   | $ | 1,473 |   |   | $ | (470 | ) |
|                                                                   |   |                                     |    |   |                                    |   |   |   |   |   |   |   |   |   |   |   |
| Denominator:                                                           |   |                                     |    |   |                                    |   |   |   |   |   |   |   |   |   |   |   |
| Weighted-average shares of common stock outstanding                    |   |                                     | 125,293 |   |                                    |   | 128,816 |   |   |   | 127,577 |   |   |   | 126,480 |   |
| Dilutive effect of stock options                                       |   |                                     | -       |   |                                    |   | - |   |   |   | 86 |   |   |   | - |   |
| Weighted-average shares of common stock outstanding, assuming dilution |   |                                     | 125,293 |   |                                    |   | 128,816 |   |   |   | 127,663 |   |   |   | 126,480 |   |
|                                                                   |   |                                     |    |   |                                    |   |   |   |   |   |   |   |   |   |   |   |
| Net income (loss) per share:                                           |   |                                     |    |   |                                    |   |   |   |   |   |   |   |   |   |   |   |
| Basic and diluted                                                      |   | $                                        | 0.00    |   |                                    | $      | (0.00 | ) |   | $ | 0.01 |   |   | $ | (0.00 | ) |

|                                                            |   | As ofSeptember 30,2010 |   |   | As of December 31, 2009 |   |
|-----------------------------------------------------------------|--------|------------------------|--------|--------|-------------------------|--------|
|                                                            |   | (unaudited)            |   |   |                    |   |
| Total Assets:                                                   |   |                   |   |   |                    |   |
|      Optical Purchasing Group Business |   | $                      | 11,980 |   |                    | $      | 11,161 |   |
|      Franchise                         |   |                   | 5,093  |   |                    |   | 4,915 |   |
|      Company Store                     |   |                   | 801    |   |                    |   | 655 |   |
|      VisionCare of California          |   |                   | 556    |   |                    |   | 630 |   |
|      Corporate Overhead                |   |                   | 289    |   |                    |   | 386 |   |
|      Other                             |   |                   | 8      |   |                    |   | 2 |   |
| Total assets                                                    |   | $                      | 18,727 |   |                    | $      | 17,749 |   |

| Total Goodwill:                                                 |   |   |   |   |   |   |
|-----------------------------------------------------------------|--------|--------|--------|--------|--------|--------|
|      Optical Purchasing Group Business |   | $      | 2,385  |   |   | $      | 2,385 |   |
|      Franchise                         |   |   | 1,266  |   |   |   | 1,266 |   |
|      Company Store                     |   |   | -      |   |   |   | - |   |
|      VisionCare of California          |   |   | -      |   |   |   | - |   |
|      Corporate Overhead                |   |   | -      |   |   |   | - |   |
|      Other                             |   |   | -      |   |   |   | - |   |
| Total goodwill                                                  |   | $      | 3,651  |   |   | $      | 3,651 |   |

| Total Intangible Assets:                                        |   |   |   |   |   |   |
|-----------------------------------------------------------------|--------|--------|--------|--------|--------|--------|
|      Optical Purchasing Group Business |   | $      | 1,750  |   |   | $      | 1,885 |   |
|      Franchise                         |   |   | 954    |   |   |   | 954 |   |
|      Company Store                     |   |   | -      |   |   |   | - |   |
|      VisionCare of California          |   |   | -      |   |   |   | - |   |
|      Corporate Overhead                |   |   | -      |   |   |   | - |   |
|      Other                             |   |   | -      |   |   |   | - |   |
| Total intangible assets                                         |   | $      | 2,704  |   |   | $      | 2,839 |   |

|                                                            |   | For the Three MonthsEnded September 30, |   |   | For the Nine MonthsEnded September 30, |   |
|-----------------------------------------------------------------|--------|-----------------------------------------|--------|--------|----------------------------------------|--------|
|                                                            |   | 2010                                    |   |   | 2009                                   |   |   | 2010 |   |   | 2009 |   |
| Net Revenues:                                                   |   |                                    |   |   |                                   |   |   |   |   |   |   |   |
|      Optical Purchasing Group Business |   | $                                       | 14,247 |   |                                   | $      | 13,657 |   |   | $ | 42,259 |   |   | $ | 39,022 |   |
|      Franchise                         |   |                                    | 1,388  |   |                                   |   | 1,405 |   |   |   | 4,389 |   |   |   | 4,445 |   |
|      VisionCare of California          |   |                                    | 915    |   |                                   |   | 893 |   |   |   | 2,696 |   |   |   | 2,640 |   |
|      Company Store                     |   |                                    | 644    |   |                                   |   | 551 |   |   |   | 2,277 |   |   |   | 1,581 |   |
|      Corporate Overhead                |   |                                    | -      |   |                                   |   | - |   |   |   | - |   |   |   | - |   |
|      Other                             |   |                                    | 12     |   |                                   |   | 12 |   |   |   | 123 |   |   |   | 15 |   |
| Net revenues                                                    |   | $                                       | 17,206 |   |                                   | $      | 16,518 |   |   | $ | 51,744 |   |   | $ | 47,703 |   |
|  Income (loss) before Provision for Income Taxes:          |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
|      Optical Purchasing Group Business |   | $                                       | 213    |   |                                   | $      | (535 | ) |   | $ | 827 |   |   | $ | (157 | ) |
|      Franchise                         |   |                                    | 982    |   |                                   |   | 623 |   |   |   | 2,961 |   |   |   | 1,812 |   |
|      VisionCare of California          |   |                                    | 22     |   |                                   |   | 12 |   |   |   | 34 |   |   |   | 41 |   |
|      Company Store                     |   |                                    | (109   | )      |                                   |   | (273 | ) |   |   | (137 | ) |   |   | (505 | ) |
|      Corporate Overhead                |   |                                    | (709   | )      |                                   |   | (451 | ) |   |   | (2,051 | ) |   |   | (1,640 | ) |
|      Other                             |   |                                    | (20    | )      |                                   |   | (2 | ) |   |   | (69 | ) |   |   | 1 |   |
| Income (loss) before provision for income taxes                 |   | $                                       | 379    |   |                                   | $      | (626 | ) |   | $ | 1,565 |   |   | $ | (448 | ) |
|                                                            |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation and Amortization:                                  |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
|      Optical Purchasing Group Business |   | $                                       | 70     |   |                                   | $      | 77 |   |   | $ | 213 |   |   | $ | 230 |   |
|      Franchise                         |   |                                    | 13     |   |                                   |   | 71 |   |   |   | 46 |   |   |   | 191 |   |
|      VisionCare of California          |   |                                    | 4      |   |                                   |   | 5 |   |   |   | 15 |   |   |   | 16 |   |
|      Company Store                     |   |                                    | 17     |   |                                   |   | 13 |   |   |   | 47 |   |   |   | 46 |   |
|      Corporate Overhead                |   |                                    | 29     |   |                                   |   | - |   |   |   | 78 |   |   |   | - |   |
|      Other                             |   |                                    | 1      |   |                                   |   | - |   |   |   | 10 |   |   |   | - |   |
| Total depreciation and amortization                             |   | $                                       | 134    |   |                                   | $      | 166 |   |   | $ | 409 |   |   | $ | 483 |   |
|                                                            |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
| Interest Expense, Net:                                          |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
|      Optical Purchasing Group Business |   | $                                       | 43     |   |                                   | $      | 44 |   |   | $ | 125 |   |   | $ | 133 |   |
|      Franchise                         |   |                                    | 3      |   |                                   |   | 11 |   |   |   | 11 |   |   |   | 37 |   |
|      VisionCare of California          |   |                                    | -      |   |                                   |   | - |   |   |   | - |   |   |   | - |   |
|      Company Store                     |   |                                    | -      |   |                                   |   | - |   |   |   | - |   |   |   | - |   |
|      Corporate Overhead                |   |                                    | 7      |   |                                   |   | - |   |   |   | 21 |   |   |   | - |   |
|      Other                             |   |                                    | -      |   |                                   |   | - |   |   |   | - |   |   |   | - |   |
| Total interest expense, net                                     |   | $                                       | 53     |   |                                   | $      | 55 |   |   | $ | 157 |   |   | $ | 170 |   |

|                                                            |   |   |   |   |   |   |   |   |   |   |   |   |
|-----------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Capital Expenditures:                                           |   |   |   |   |   |   |   |   |   |   |   |   |
|      Optical Purchasing Group Business |   | $      | 25     |   |   | $      | -      |   |   | $      | 33     |   |   | $ | - |   |
|      Franchise                         |   |   | 3      |   |   |   | 5      |   |   |   | 7      |   |   |   | 13 |   |
|      VisionCare of California          |   |   | 1      |   |   |   | -      |   |   |   | 1      |   |   |   | - |   |
|      Company Store                     |   |   | 18     |   |   |   | -      |   |   |   | 56     |   |   |   | 3 |   |
|      Corporate Overhead                |   |   | 9      |   |   |   | 4      |   |   |   | 92     |   |   |   | 11 |   |
|      Other                             |   |   | -      |   |   |   | -      |   |   |   | -      |   |   |   | - |   |
| Total capital expenditures                                      |   | $      | 56     |   |   | $      | 9      |   |   | $      | 189    |   |   | $ | 27 |   |

|                                             |   | For the Three MonthsEnded September 30, |   |   | For the Nine MonthsEnded September 30, |   |
|--------------------------------------------------|--------|-----------------------------------------|--------|--------|----------------------------------------|--------|
|                                             |   | 2010                                    |   |   | 2009                                   |   |   | 2010 |   |   | 2009 |   |
| Net Revenues:                                    |   |                                    |   |   |                                   |   |   |   |   |   |   |   |
|      United States      |   | $                                       | 6,200  |   |                                   | $      | 6,269 |   |   | $ | 19,772 |   |   | $ | 19,667 |   |
|      Canada             |   |                                    | 11,006 |   |                                   |   | 10,249 |   |   |   | 31,972 |   |   |   | 28,036 |   |
| Net revenues                                     |   | $                                       | 17,206 |   |                                   | $      | 16,518 |   |   | $ | 51,744 |   |   | $ | 47,703 |   |
|                                             |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
| Income (Loss) before Provision for Income Taxes: |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
|      United States      |   | $                                       | 168    |   |                                   | $      | (843 | ) |   | $ | 782 |   |   | $ | (1,147 | ) |
|      Canada             |   |                                    | 211    |   |                                   |   | 217 |   |   |   | 783 |   |   |   | 699 |   |
| Income (loss) before provision for income taxes  |   | $                                       | 379    |   |                                   | $      | (626 | ) |   | $ | 1,565 |   |   | $ | (448 | ) |

|                                        |   | As ofSeptember 30,2010 |   |   | As of December 31, 2009 |   |
|---------------------------------------------|--------|------------------------|--------|--------|-------------------------|--------|
|                                        |   | (unaudited)            |   |   |                    |   |
| Total Assets:                               |   |                   |   |   |                    |   |
|      United States |   | $                      | 14,139 |   |                    | $      | 14,195 |   |
|      Canada        |   |                   | 4,588  |   |                    |   | 3,554 |   |
| Total assets                                |   | $                      | 18,727 |   |                    | $      | 17,749 |   |

| Total Goodwill:                             |   |   |   |   |   |   |
|---------------------------------------------|--------|--------|--------|--------|--------|--------|
|      United States |   | $      | 3,651  |   |   | $      | 3,651 |   |
|      Canada        |   |   | -      |   |   |   | - |   |
| Total goodwill                              |   | $      | 3,651  |   |   | $      | 3,651 |   |

| Total Intangible Assets, net:               |   |   |   |   |   |   |
|---------------------------------------------|--------|--------|--------|--------|--------|--------|
|      United States |   | $      | 2,704  |   |   | $      | 2,839 |   |
|      Canada        |   |   | -      |   |   |   | - |   |
| Total intangible assets, net                |   | $      | 2,704  |   |   | $      | 2,839 |   |

|                                        |   | For the Three MonthsEnded September 30, |   |   | For the Nine MonthsEnded September 30, |   |
|---------------------------------------------|--------|-----------------------------------------|--------|--------|----------------------------------------|--------|
|                                        |   | 2010                                    |   |   | 2009                                   |   |   | 2010 |   |   | 2009 |   |
| Depreciation and Amortization:              |   |                                    |   |   |                                   |   |   |   |   |   |   |   |
|      United States |   | $                                       | 123    |   |                                   | $      | 164 |   |   | $ | 398 |   |   | $ | 475 |   |
|      Canada        |   |                                    | 11     |   |                                   |   | 2 |   |   |   | 11 |   |   |   | 8 |   |
| Total depreciation and amortization         |   | $                                       | 134    |   |                                   | $      | 166 |   |   | $ | 409 |   |   | $ | 483 |   |
|                                        |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
| Interest Expense, net:                      |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
|      United States |   | $                                       | 53     |   |                                   | $      | 55 |   |   | $ | 157 |   |   | $ | 170 |   |
|      Canada        |   |                                    | -      |   |                                   |   | - |   |   |   | - |   |   |   | - |   |
| Interest expense, net                       |   | $                                       | 53     |   |                                   | $      | 55 |   |   | $ | 157 |   |   | $ | 170 |   |
|                                        |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
|                                        |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
| Capital Expenditures:                       |   |                                    |   |   |                                   |   |   |   |   |   |   |   |   |   |   |   |
|      United States |   | $                                       | 56     |   |                                   | $      | 9 |   |   | $ | 189 |   |   | $ | 27 |   |
|      Canada        |   |                                    | -      |   |                                   |   | - |   |   |   | - |   |   |   | - |   |
| Capital expenditures                        |   | $                                       | 56     |   |                                   | $      | 9 |   |   | $ | 189 |   |   | $ | 27 |   |

Operations

|                                                  |   | For the Nine Months Ended September 30 (in thousands): |   |
|-------------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                                  |   | 2010                                                   |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                         |   |                                                   |   |   |   |   |   |   |   |   |   |   |
| Optical purchasing group sales                        |   | $                                                      | 14,247 |   |   | $ | 13,657 |   |   | $ | 590 |   |   |   | 4.3 | % |
| Cost of optical purchasing group sales                |   |                                                   | 13,631 |   |   |   | 13,104 |   |   |   | 527 |   |   |   | 4.0 | % |
| Gross margin                                          |   |                                                   | 616    |   |   |   | 553 |   |   |   | 63 |   |   |   | 11.4 | % |
|  Selling, General and Administrative Expenses:   |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                         |   |                                                   | 89     |   |   |   | 109 |   |   |   | (20 | ) |   |   | (18.3 | %) |
| Depreciation and amortization                         |   |                                                   | 70     |   |   |   | 77 |   |   |   | (7 | ) |   |   | (9.1 | %) |
| Rent and related overhead                             |   |                                                   | 70     |   |   |   | 57 |   |   |   | 13 |   |   |   | 22.8 | % |
| Credit card and bank fees                             |   |                                                   | 44     |   |   |   | 38 |   |   |   | 6 |   |   |   | 15.8 | % |
| Professional fees       |   |                                                   | 19     |   |   |   | 64 |   |   |   | (45 | )  |   |   | (70.3 | %) |
| Relocation expenses                                   |   |                                                   | 38     |   |   |   | - |   |   |   | 38 |   |   |   | n/a |   |
| Bad debt                                              |   |                                                   | 30     |   |   |   | 24 |   |   |   | 6 |   |   |   | 25.0 | % |
| Compensation expense                                  |   |                                                   | -      |   |   |   | 700 |   |   |   | (700 | ) |   |   | (100.0 | %) |
| Other general and administrative costs                |   |                                                   | 6      |   |   |   | 8 |   |   |   | (2 | ) |   |   | (25.0 | %) |
| Total selling, general and administrative expenses    |   |                                                   | 366    |   |   |   | 1,077 |   |   |   | (711 | ) |   |   | (66.0 | %) |
| Operating Income (Loss)                               |   |                                                   | 250    |   |   |   | (524 | ) |   |   | 774 |   |   |   | 147.7 | % |

| Other Income (Expense):                         |   |   |   |   |   |   |   |   |   |   |   |   |
|-------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Other income                                    |   |   | 6      |   |   |   | 33     |   |   |   | (27    | )      |   |   | (81.8 | %) |
| Interest expense, net                           |   |   | (43    | )      |   |   | (44    | )      |   |   | 1      |   |   |   | 2.3 | % |
| Total other expense                             |   |   | (37    | )      |   |   | (11    | )      |   |   | (26    | )      |   |   | (236.4 | %) |
| Income (loss) before provision for income taxes |   | $      | 213    |   |   | $      | (535   | )      |   | $      | 748    |   |   |   | 139.8 | % |

|                                                |   | For the Nine Months Ended September 30 (in thousands): |   |
|-----------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                                |   | 2010                                                   |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                       |   |                                                   |   |   |   |   |   |   |   |   |   |   |
| Optical purchasing group sales                      |   | $                                                      | 42,259 |   |   | $ | 39,022 |   |   | $ | 3,237 |   |   |   | 8.3 | % |
| Cost of optical purchasing group sales              |   |                                                   | 40,343 |   |   |   | 37,358 |   |   |   | 2,985 |   |   |   | 8.0 | % |
| Gross margin                                        |   |                                                   | 1,916  |   |   |   | 1,664 |   |   |   | 252 |   |   |   | 15.1 | % |
|  Selling, General and Administrative Expenses: |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                       |   |                                                   | 325    |   |   |   | 340 |   |   |   | (15 | ) |   |   | (4.4 | %) |
| Depreciation and amortization                       |   |                                                   | 213    |   |   |   | 230 |   |   |   | (17 | ) |   |   | (7.4 | %) |
| Rent and related overhead                           |   |                                                   | 194    |   |   |   | 172 |   |   |   | 22 |   |   |   | 12.8 | % |
| Professional fees                                   |   |                                                   | 107    |   |   |   | 137 |   |   |   | (30 | ) |   |   | (21.9 | %) |
| Credit card and bank fees                           |   |                                                   | 106    |   |   |   | 84 |   |   |   | 22 |   |   |   | 26.2 | % |
| Relocation expenses                                 |   |                                                   | 55     |   |   |   | - |   |   |   | 55 |   |   |   | n/a |   |
| Bad debt                                            |   |                                                   | 14     |   |   |   | 115 |   |   |   | (101 | ) |   |   | (87.8 | %) |
| Compensation expense                                |   |                                                   | -      |   |   |   | 700 |   |   |   | (700 | ) |   |   | (100.0 | %) |
| Other general and administrative costs              |   |                                                   | 23     |   |   |   | 25 |   |   |   | (2 | ) |   |   | (8.0 | %) |
| Total selling, general and administrative expenses  |   |                                                   | 1,037  |   |   |   | 1,803 |   |   |   | (766 | ) |   |   | (42.5 | %) |
| Operating Income (Loss)                             |   |                                                   | 879    |   |   |   | (139 | ) |   |   | 1,018 |   |   |   | 732.4 | % |

| Other Income (Expense):                         |   |   |   |   |   |   |   |   |   |   |   |   |
|-------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Other income                                    |   |   | 73     |   |   |   | 115    |   |   |   | (42    | )      |   |   | (36.5 | %) |
| Interest expense                                |   |   | (125   | )      |   |   | (133   | )      |   |   | 8      |   |   |   | 6.0 | % |
| Total other expense                             |   |   | (52    | )      |   |   | (18    | )      |   |   | (34    | )      |   |   | (188.9 | %) |
| Income (loss) before provision for income taxes |   | $      | 827    |   |   | $      | (157   | )      |   | $      | 984    |   |   |   | 626.8 | % |

|                                                |   | For the Three Months Ended September 30 (in thousands): |   |
|-----------------------------------------------------|--------|---------------------------------------------------------|--------|
|                                                |   | 2010                                                    |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                       |   |                                                    |   |   |   |   |   |   |   |   |   |   |
| Royalties                                           |   | $                                                       | 1,358  |   |   | $ | 1,350 |   |   | $ | 8 |   |   |   | 0.6 | % |
| Franchise and other related fees                    |   |                                                    | 30     |   |   |   | 55 |   |   |   | (25 | ) |   |   | (45.5 | %) |
| Net revenues                                        |   |                                                    | 1,388  |   |   |   | 1,405 |   |   |   | (17 | ) |   |   | (1.2 | %) |
|  Selling, General and Administrative Expenses: |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                       |   |                                                    | 171    |   |   |   | 343 |   |   |   | (172 | ) |   |   | (50.1 | %) |
| Professional fees                                   |   |                                                    | 86     |   |   |   | 127 |   |   |   | (41 | ) |   |   | (32.3 | %) |
| Rent and related overhead                           |   |                                                    | 54     |   |   |   | 92 |   |   |   | (38 | ) |   |   | (41.3 | %) |
| POS system installation costs                       |   |                                                    | 34     |   |   |   | 18 |   |   |   | 16 |   |   |   | 88.9 | % |
| Bad debt                                            |   |                                                    | 29     |   |   |   | - |   |   |   | 29 |   |   |   | n/a |   |
| Convention and trade show expenses                  |   |                                                    | 14     |   |   |   | 35 |   |   |   | (21 | ) |   |   | (60.0 | %) |
| Depreciation                                        |   |                                                    | 13     |   |   |   | 71 |   |   |   | (58 | ) |   |   | (81.7 | %) |
| Other general and administrative costs              |   |                                                    | 21     |   |   |   | 62 |   |   |   | (41 | ) |   |   | (66.1 | %) |
| Total selling, general and administrative expenses  |   |                                                    | 422    |   |   |   | 748 |   |   |   | (326 | ) |   |   | (43.6 | %) |
| Operating Income                                    |   |                                                    | 966    |   |   |   | 657 |   |   |   | 309 |   |   |   | 47.0 | % |

| Other Income (Expense):                  |   |   |   |   |   |   |   |   |   |   |   |   |
|------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Interest on franchise notes receivable   |   |   | 10     |   |   |   | 7      |   |   |   | 3      |   |   |   | 42.9 | % |
| Other income (expense), net              |   |   | 9      |   |   |   | (30    | )      |   |   | 39     |   |   |   | 130.0 | % |
| Interest expense, net                    |   |   | (3     | )      |   |   | (11    | )      |   |   | 8      |   |   |   | 72.7 | % |
| Total other income (expense)             |   |   | 16     |   |   |   | (34    | )      |   |   | 50     |   |   |   | 147.1 | % |
| Income before provision for income taxes |   | $      | 982    |   |   | $      | 623    |   |   | $      | 359    |   |   |   | 57.6 | % |

|                                                |   | For the Nine Months Ended September 30 (in thousands): |   |
|-----------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                                |   | 2010                                                   |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                       |   |                                                   |   |   |   |   |   |   |   |   |   |   |
| Royalties                                           |   | $                                                      | 4,229  |   |   | $ | 4,250 |   |   | $ | (21 | ) |   |   | (0.5 | %) |
| Franchise and other related fees                    |   |                                                   | 160    |   |   |   | 195 |   |   |   | (35 | ) |   |   | (17.9 | %) |
| Net revenues                                        |   |                                                   | 4,389  |   |   |   | 4,445 |   |   |   | (56 | ) |   |   | (1.3 | %) |
|  Selling, General and Administrative Expenses: |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                       |   |                                                   | 665    |   |   |   | 1,054 |   |   |   | (389 | ) |   |   | (36.9 | %) |
| Professional fees                                   |   |                                                   | 421    |   |   |   | 409 |   |   |   | 12 |   |   |   | 2.9 | % |
| Rent and related overhead                           |   |                                                   | 195    |   |   |   | 366 |   |   |   | (171 | ) |   |   | (46.7 | %) |
| POS system installation costs                       |   |                                                   | 77     |   |   |   | 42 |   |   |   | 35 |   |   |   | 83.3 | % |
| Bad debt                                            |   |                                                   | 47     |   |   |   | 66 |   |   |   | (19 | ) |   |   | (28.8 | %) |
| Depreciation                                        |   |                                                   | 46     |   |   |   | 191 |   |   |   | (145 | ) |   |   | (75.9 | %) |
| Convention and trade show expenses                  |   |                                                   | 38     |   |   |   | 211 |   |   |   | (173 | ) |   |   | (82.0 | %) |
| Other general and administrative costs              |   |                                                   | 59     |   |   |   | 212 |   |   |   | (153 | ) |   |   | (72.2 | %) |
| Total selling, general and administrative expenses  |   |                                                   | 1,548  |   |   |   | 2,551 |   |   |   | (1,003 | ) |   |   | (39.3 | %) |
| Operating Income                                    |   |                                                   | 2,841  |   |   |   | 1,894 |   |   |   | 947 |   |   |   | 50.0 | % |

| Other Income (Expense):                  |   |   |   |   |   |   |   |   |   |   |   |   |
|------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Interest on franchise notes receivable   |   |   | 25     |   |   |   | 20     |   |   |   | 5      |   |   |   | 25.0 | % |
| Other income (expense), net              |   |   | 106    |   |   |   | (65    | )      |   |   | 171    |   |   |   | 263.1 | % |
| Interest expense, net                    |   |   | (11    | )      |   |   | (37    | )      |   |   | 26     |   |   |   | 70.3 | % |
| Total other income (expense)             |   |   | 120    |   |   |   | (82    | )      |   |   | 202    |   |   |   | 246.3 | % |
| Income before provision for income taxes |   | $      | 2,961  |   |   | $      | 1,812  |   |   | $      | 1,149  |   |   |   | 63.4 | % |

|                                                |   | For the Three Months Ended September 30 (in thousands): |   |
|-----------------------------------------------------|--------|---------------------------------------------------------|--------|
|                                                |   | 2010                                                    |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                       |   |                                                    |   |   |   |   |   |   |   |   |   |   |
| Retail sales                                        |   | $                                                       | 558    |   |   | $ | 474 |   |   | $ | 84 |   |   |   | 17.7 | % |
| Exam fees                                           |   |                                                    | 86     |   |   |   | 77 |   |   |   | 9 |   |   |   | 11.7 | % |
| Net revenues                                        |   |                                                    | 644    |   |   |   | 551 |   |   |   | 93 |   |   |   | 16.9 | % |
| Cost of retail sales                                |   |                                                    | 190    |   |   |   | 162 |   |   |   | 28 |   |   |   | 17.3 | % |
| Gross margin                                        |   |                                                    | 454    |   |   |   | 389 |   |   |   | 65 |   |   |   | 16.7 | % |
|  Selling, General and Administrative Expenses: |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                       |   |                                                    | 295    |   |   |   | 332 |   |   |   | (37 | ) |   |   | (11.1 | %) |
| Rent and related overhead                           |   |                                                    | 183    |   |   |   | 261 |   |   |   | (78 | ) |   |   | (29.9 | %) |
| Advertising                                         |   |                                                    | 38     |   |   |   | 40 |   |   |   | (2 | ) |   |   | (5.0 | %) |
| Other general and administrative costs              |   |                                                    | 47     |   |   |   | 29 |   |   |   | 18 |   |   |   | 62.1 | % |
| Total selling, general and administrative expenses  |   |                                                    | 563    |   |   |   | 662 |   |   |   | (99 | ) |   |   | (15.0 | %) |
| Loss before provision for income taxes              |   | $                                                       | (109   | ) |   | $ | (273 | ) |   | $ | 164 |   |   |   | 60.1 | % |

|                                                |   | For the Nine Months Ended September 30 (in thousands): |   |
|-----------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                                |   | 2010                                                   |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                       |   |                                                   |   |   |   |   |   |   |   |   |   |   |
| Retail sales                                        |   | $                                                      | 1,956  |   |   | $ | 1,330 |   |   | $ | 626 |   |   |   | 47.1 | % |
| Exam fees                                           |   |                                                   | 321    |   |   |   | 251 |   |   |   | 70 |   |   |   | 27.9 | % |
| Net revenues                                        |   |                                                   | 2,277  |   |   |   | 1,581 |   |   |   | 696 |   |   |   | 44.0 | % |
| Cost of retail sales                                |   |                                                   | 554    |   |   |   | 421 |   |   |   | 133 |   |   |   | 31.6 | % |
| Gross margin                                        |   |                                                   | 1,723  |   |   |   | 1,160 |   |   |   | 563 |   |   |   | 48.5 | % |
|  Selling, General and Administrative Expenses: |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                       |   |                                                   | 958    |   |   |   | 810 |   |   |   | 148 |   |   |   | 18.3 | % |
| Rent and related overhead                           |   |                                                   | 632    |   |   |   | 654 |   |   |   | (22 | ) |   |   | (3.4 | %) |
| Advertising                                         |   |                                                   | 91     |   |   |   | 100 |   |   |   | (9 | ) |   |   | (9.0 | %) |
| Other general and administrative costs              |   |                                                   | 179    |   |   |   | 101 |   |   |   | 78 |   |   |   | 77.2 | % |
| Total selling, general and administrative expenses  |   |                                                   | 1,860  |   |   |   | 1,665 |   |   |   | 195 |   |   |   | 11.7 | % |
| Loss before provision for income taxes              |   | $                                                      | (137   | ) |   | $ | (505 | ) |   | $ | 368 |   |   |   | 72.9 | % |

|                                                |   | For the Three Months Ended September 30 (in thousands): |   |
|-----------------------------------------------------|--------|---------------------------------------------------------|--------|
|                                                |   | 2010                                                    |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                       |   |                                                    |   |   |   |   |   |   |   |   |   |   |
| Membership fees                                     |   | $                                                       | 915    |   |   | $ | 893 |   |   | $ | 22 |   |   |   | 2.5 | % |
|  Selling, General and Administrative Expenses: |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                       |   |                                                    | 798    |   |   |   | 793 |   |   |   | 5 |   |   |   | 0.6 | % |
| Rent and related overhead                           |   |                                                    | 42     |   |   |   | 42 |   |   |   | - |   |   |   | 0.0 | % |
| Other general and administrative costs              |   |                                                    | 54     |   |   |   | 51 |   |   |   | 3 |   |   |   | 5.9 | % |
| Total selling, general and administrative expenses  |   |                                                    | 894    |   |   |   | 886 |   |   |   | 8 |   |   |   | 0.9 | % |
| Operating Income                                    |   |                                                    | 21     |   |   |   | 7 |   |   |   | 14 |   |   |   | 200.0 | % |

| Other Income (Expense):                  |   |   |   |   |   |   |   |   |   |   |   |   |
|------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Other income                             |   |   | 1      |   |   |   | 5      |   |   |   | (4     | )      |   |   | (80.0 | %) |
| Total other income                       |   |   | 1      |   |   |   | 5      |   |   |   | (4     | )      |   |   | (80.0 | %) |
| Income before provision for income taxes |   | $      | 22     |   |   | $      | 12     |   |   | $      | 10     |   |   |   | 83.3 | % |

|                                                |   | For the Nine Months Ended September 30 (in thousands): |   |
|-----------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                                |   | 2010                                                   |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                       |   |                                                   |   |   |   |   |   |   |   |   |   |   |
| Membership fees                                     |   | $                                                      | 2,696  |   |   | $ | 2,640 |   |   | $ | 56 |   |   |   | 2.1 | % |
|  Selling, General and Administrative Expenses: |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                       |   |                                                   | 2,379  |   |   |   | 2,344 |   |   |   | 35 |   |   |   | 1.5 | % |
| Rent and related overhead                           |   |                                                   | 129    |   |   |   | 122 |   |   |   | 7 |   |   |   | 5.7 | % |
| Other general and administrative costs              |   |                                                   | 157    |   |   |   | 150 |   |   |   | 7 |   |   |   | 4.7 | % |
| Total selling, general and administrative expenses  |   |                                                   | 2,665  |   |   |   | 2,616 |   |   |   | 49 |   |   |   | 1.9 | % |
| Operating Income                                    |   |                                                   | 31     |   |   |   | 24 |   |   |   | 7 |   |   |   | 29.2 | % |

| Other Income (Expense):                  |   |   |   |   |   |   |   |   |   |   |   |   |
|------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Other income                             |   |   | 3      |   |   |   | 17     |   |   |   | (14    | )      |   |   | (82.4 | %) |
| Total other income                       |   |   | 3      |   |   |   | 17     |   |   |   | (14    | )      |   |   | (82.4 | %) |
| Income before provision for income taxes |   | $      | 34     |   |   | $      | 41     |   |   | $      | (7     | )      |   |   | (17.1 | %) |

|                                               |   | For the Three Months Ended September 30 (in thousands): |   |
|----------------------------------------------------|--------|---------------------------------------------------------|--------|
|                                               |   | 2010                                                    |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Selling, General and Administrative Expenses:      |   |                                                    |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                      |   | $                                                       | 356    |   |   | $ | 202 |   |   | $ | 154 |   |   |   | 76.2 | % |
| Professional fees                                  |   |                                                    | 72     |   |   |   | 160 |   |   |   | (88 | ) |   |   | (55.0 | %) |
| Rent and related overhead                          |   |                                                    | 65     |   |   |   | 26 |   |   |   | 39 |   |   |   | 150.0 | % |
| Combine relocation expenses                        |   |                                                    | 64     |   |   |   | - |   |   |   | 64 |   |   |   | n/a |   |
| Director fees                                      |   |                                                    | 39     |   |   |   | 35 |   |   |   | 4 |   |   |   | 11.4 | % |
| Insurance                                          |   |                                                    | 34     |   |   |   | 28 |   |   |   | 6 |   |   |   | 21.4 | % |
| Depreciation and amortization                      |   |                                                    | 29     |   |   |   | - |   |   |   | 29 |   |   |   | n/a |   |
| Other general and administrative costs             |   |                                                    | 43     |   |   |   | - |   |   |   | 43 |   |   |   | n/a |   |
| Total selling, general and administrative expenses |   |                                                    | 702    |   |   |   | 451 |   |   |   | 251 |   |   |   | 55.7 | % |
| Operating Loss                                     |   |                                                    | (702   | ) |   |   | (451 | ) |   |   | (251 | ) |   |   | (55.7 | %) |

| Other Income (Expense):                |   |   |   |   |   |   |   |   |   |   |   |   |
|----------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Interest expense, net                  |   |   | (7     | )      |   |   | -      |   |   |   | (7     | )      |   |   | n/a |   |
| Total other expense                    |   |   | (7     | )      |   |   | -      |   |   |   | (7     | )      |   |   | n/a |   |
| Loss before provision for income taxes |   | $      | (709   | )      |   | $      | (451   | )      |   | $      | (258   | )      |   |   | (57.2 | %) |

|                                               |   | For the Nine Months Ended September 30 (in thousands): |   |
|----------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                               |   | 2010                                                   |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Selling, General and Administrative Expenses:      |   |                                                   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                      |   | $                                                      | 1,014  |   |   | $ | 922 |   |   | $ | 92 |   |   |   | 10.0 | % |
| Professional fees                                  |   |                                                   | 370    |   |   |   | 377 |   |   |   | (7 | ) |   |   | (1.9 | %) |
| Rent and related overhead                          |   |                                                   | 175    |   |   |   | 77 |   |   |   | 98 |   |   |   | 127.3 | % |
| Directors fees                                     |   |                                                   | 103    |   |   |   | 104 |   |   |   | (1 | ) |   |   | (0.1 | %) |
| Insurance                                          |   |                                                   | 95     |   |   |   | 119 |   |   |   | (24 | ) |   |   | (20.2 | %) |
| Combine relocation                                 |   |                                                   | 83     |   |   |   | - |   |   |   | 83 |   |   |   | n/a |   |
| Depreciation and amortization                      |   |                                                   | 78     |   |   |   | - |   |   |   | 78 |   |   |   | n/a |   |
| Other general and administrative costs             |   |                                                   | 112    |   |   |   | 41 |   |   |   | 71 |   |   |   | 173.2 | % |
| Total selling, general and administrative expenses |   |                                                   | 2,030  |   |   |   | 1,640 |   |   |   | 390 |   |   |   | 23.8 | % |
| Operating Loss                                     |   |                                                   | (2,030 | ) |   |   | (1,640 | ) |   |   | (390 | ) |   |   | (23.8 | %) |

| Other Income (Expense):                |   |   |   |   |   |   |   |   |   |   |   |   |
|----------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Interest expense, net                  |   |   | (21    | )      |   |   | -      |   |   |   | (21    | )      |   |   | n/a |   |
| Total other expense                    |   |   | (21    | )      |   |   | -      |   |   |   | (21    | )      |   |   | n/a |   |
| Loss before provision for income taxes |   | $      | (2,051 | )      |   | $      | (1,640 | )      |   | $      | (411   | )      |   |   | (25.1 | %) |

|                                                |   | For the Three Months Ended September 30 (in thousands): |   |
|-----------------------------------------------------|--------|---------------------------------------------------------|--------|
|                                                |   | 2010                                                    |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                       |   |                                                    |   |   |   |   |   |   |   |   |   |   |
| Transitional store revenues                         |   | $                                                       | 3      |   |   | $ | - |   |   | $ | 3 |   |   |   | n/a |   |
| Other                                               |   |                                                    | 9      |   |   |   | 12 |   |   |   | (3 | ) |   |   | (25.0 | %) |
| Net revenues                                        |   |                                                    | 12     |   |   |   | 12 |   |   |   | - |   |   |   | n/a |   |
| Cost of sales                                       |   |                                                    | 8      |   |   |   | - |   |   |   | 8 |   |   |   | n/a |   |
| Gross profit                                        |   |                                                    | 4      |   |   |   | 12 |   |   |   | (8 | ) |   |   | (66.7 | %) |
|  Selling, General and Administrative Expenses: |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                       |   |                                                    | 16     |   |   |   | 12 |   |   |   | 4 |   |   |   | 33.3 | % |
| Rent and related overhead                           |   |                                                    | 1      |   |   |   | - |   |   |   | 1 |   |   |   | n/a |   |
| Depreciation and amortization                       |   |                                                    | 1      |   |   |   | - |   |   |   | 1 |   |   |   | n/a |   |
| Advertising                                         |   |                                                    | -      |   |   |   | - |   |   |   | - |   |   |   | 0.0 | % |
| Other general and administrative costs              |   |                                                    | 6      |   |   |   | 2 |   |   |   | 4 |   |   |   | 200.0 | % |
| Total selling, general and administrative expenses  |   |                                                    | 24     |   |   |   | 14 |   |   |   | 10 |   |   |   | 71.4 | % |
| Loss before provision for income taxes              |   | $                                                       | (20    | ) |   | $ | (2 | ) |   | $ | (18 | ) |   |   | (900.0 | %) |

|                                                  |   | For the Nine Months Ended September 30 (in thousands): |   |
|-------------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                                  |   | 2010                                                   |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| Net Revenues:                                         |   |                                                   |   |   |   |   |   |   |   |   |   |   |
| Transitional store revenues                           |   | $                                                      | 95     |   |   | $ | - |   |   | $ | 95 |   |   |   | n/a |   |
| Other                                                 |   |                                                   | 28     |   |   |   | 15 |   |   |   | 13 |   |   |   | 86.7 | % |
| Net revenues                                          |   |                                                   | 123    |   |   |   | 15 |   |   |   | 108 |   |   |   | 720.0 | % |
| Cost of sales                                         |   |                                                   | 55     |   |   |   | - |   |   |   | 55 |   |   |   | n/a |   |
| Gross Profit                                          |   |                                                   | 68     |   |   |   | 15 |   |   |   | 53 |   |   |   | 353.3 | % |
|  Selling, General and Administrative Expenses:   |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries and related benefits                         |   |                                                   | 85     |   |   |   | 12 |   |   |   | 73 |   |   |   | 608.3 | % |
| Rent and related overhead                             |   |                                                   | 23     |   |   |   | - |   |   |   | 23 |   |   |   | n/a |   |
| Depreciation and amortization                         |   |                                                   | 10     |   |   |   | - |   |   |   | 10 |   |   |   | n/a |   |
| Advertising                                           |   |                                                   | 6      |   |   |   | - |   |   |   | 6 |   |   |   | n/a |   |
| Other general and administrative costs                |   |                                                   | 13     |   |   |   | 2 |   |   |   | 11 |   |   |   | 550.0 | % |
| Total selling, general and administrative expenses    |   |                                                   | 137    |   |   |   | 14 |   |   |   | 123 |   |   |   | 878.6 | % |
|  (Loss) income before provision for income taxes |   | $                                                      | (69    | ) |   | $ | 1 |   |   | $ | (70 | ) |   |   | (7,000.0 | %) |

|                          |   | For the Three Months Ended September 30 (in thousands): |   |
|-------------------------------|--------|---------------------------------------------------------|--------|
|                          |   | 2010                                                    |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| EBITDA Reconciliation:        |   |                                                    |   |   |   |   |   |   |   |   |   |   |
| Net income (loss)             |   | $                                                       | 367    |   |   | $ | (637 | ) |   | $ | 1,004 |   |   |   | 157.6 | % |
| Interest                      |   |                                                    | 53     |   |   |   | 55 |   |   |   | (2 | ) |   |   | (3.6 | %) |
| Taxes                         |   |                                                    | 12     |   |   |   | 11 |   |   |   | 1 |   |   |   | 9.1 | % |
| Depreciation and amortization |   |                                                    | 134    |   |   |   | 166 |   |   |   | (32 | ) |   |   | (19.3 | %) |
| EBITDA                        |   | $                                                       | 566    |   |   | $ | (405 | ) |   | $ | 971 |   |   |   | 239.8 | % |

|                          |   | For the Nine Months Ended September 30 (in thousands): |   |
|-------------------------------|--------|--------------------------------------------------------|--------|
|                          |   | 2010                                                   |   |   | 2009 |   |   | $ Change |   |   | % Change |   |
| EBITDA Reconciliation:        |   |                                                   |   |   |   |   |   |   |   |   |   |   |
| Net income (loss)             |   | $                                                      | 1,473  |   |   | $ | (470 | ) |   | $ | 1,943 |   |   |   | 413.4 | % |
| Interest                      |   |                                                   | 157    |   |   |   | 170 |   |   |   | (13 | ) |   |   | (7.6 | %) |
| Taxes                         |   |                                                   | 92     |   |   |   | 22 |   |   |   | 70 |   |   |   | 318.2 | % |
| Depreciation and amortization |   |                                                   | 409    |   |   |   | 483 |   |   |   | (74 | ) |   |   | (15.3 | %) |
| EBITDA                        |   | $                                                      | 2,131  |   |   | $ | 205 |   |   | $ | 1,926 |   |   |   | 939.5 | % |

Item 

Procedures

Item 

| 3.1 | Restated Certificate of Incorporation of Sterling Vision, Inc., filed on December 20, 1995 (incorporated by reference to Exhibit 3.1 to the Company’s Annual Report on Form 10-K/A for the year ended December 31, 1995) |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.2 | Amended and Restated By-Laws of Sterling Vision, Inc., dated December 18, 1995 (incorporated by reference to Exhibit 3.2 to the Company’s Annual Report on Form 10-K/A for the year ended December 31, 1995) |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.3 | Certification of Amendment of the Certificate of Incorporation of Sterling Vision, Inc., filed on January 26, 2000 (incorporated by reference to Exhibit 3.3 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2002, SEC File Number 001-14128, Film Number 03630359) |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.4 | Certification of Amendment of the Certificate of Incorporation of Sterling Vision, Inc., filed on February 8, 2000 (incorporated by reference to Exhibit 10.94 to the Company’s Current Report on Form 8-K, dated February 8, 2000, SEC File Number 001-14128, Film Number 549404) |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.5 | Certification of Amendment of the Certificate of Incorporation of Sterling Vision, Inc., filed on February 10, 2000 (incorporated by reference to Exhibit 10.96 to the Company’s Current Report on Form 8-K, dated February 8, 2000, SEC File Number 001-14128, Film Number 549404) |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.6 | Certification of Amendment of the Certificate of Incorporation of Sterling Vision, Inc., filed on April 17, 2000 (incorporated by reference to Exhibit 3.6 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2002, SEC File Number 001-14128, Film Number 03630359) |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.7 | Certification of Amendment of the Certificate of Incorporation of Emerging Vision, Inc., filed on July 15, 2002 (incorporated by reference to Exhibit 3.7 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2002, SEC File Number 001-14128, Film Number 03630359) |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.8 | First Amendment to Amended and Restated By-Laws of Emerging Vision, Inc., dated November 13, 2003 (incorporated by reference to Exhibit 3.8 to the Company’s Current Report on Form 8-K, dated December 31, 2003, SEC File Number 001-14128, Film Number 04610079) |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.9 | Second Amendment to Amended and Restated By-Laws of Emerging Vision, Inc., dated May 24, 2004 (incorporated by reference to Exhibit 3.9 to the Company’s Current Report on Form 8-K, dated May 24, 2004, SEC File Number 001-14128, Film Number 04866428) |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.1 | Specimen of Common Stock Certificate (incorporated by reference to Exhibit 4.1 to the Company’s Registration Statement No. 33-98368) |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------|

| 4.2 | Form of Warrant Certificate and Agreement (incorporated by reference to Exhibit 4.8 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2003, SEC File Number 001-14128, Film Number 04717075) |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 31.1 | Certification of Chief Executive Officer pursuant to Securities Exchange Act Rules 13a-14(a) and 15d-14(a) |
|------|------------------------------------------------------------------------------------------------------------|

| 31.2 | Certification of Chief Financial Officer pursuant to Securities Exchange Act Rules 13a-14(a) and 15d-14(a) |
|------|------------------------------------------------------------------------------------------------------------|

| 32.1   | Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

SIGNATURES