Document:

STORE OPERATING LICENSE AGREEMENT

                                  "DAIRY QUEEN"

                        STORE OPERATING LICENSE AGREEMENT

     THIS AGREEMENT entered into this 1st day of February, 1984 , by and between
DAIRY QUEEN OF ARIZONA, INC., an Arizona corporation, hereinafter referred to as
"Company",  and BOWLIN'S  INCORPORATED,  A New Mexico  Corporation , hereinafter
referred to as "Licensee", "Store Owner", "0perator".

I. PREMISES OF THIS AGREEMENT.

     1.  Licensee  hereby  agrees  that  this  Agreement  is  premised  upon the
following of facts which are accepted, and specifically agreed upon by Licensee:

         a. Company is the  exclusive  Licensee of Dairy Queen in the  territory
comprising the subject matter of this Agreement  entitled to use,  license,  and
permit  others to use the  trademark  and trade name  "Dairy  Queen" and certain
other trademarks (hereinafter referred to as "derivative  trademarks") which are
derived  from the words "Dairy  Queen" or either of said words or  abbreviations
thereof, including by way of example and not limitation trademarks employing the
use of the word  "Queen",  the  letters  - "Q" or  "D.Q.";  said  "Dairy  Queen"
trademark  having  been  registered  in the State of  Arizona  and in the United
States Patent Office as Registrations  Nos. 728,531 and 728,894.  This Agreement
and  undertaking  by License  includes  every  single use or  derivation  of the
trademark,  the method, or of operation, or any information or material or items
derived therefrom.

         b. Company and its  predecessors  in interest have promoted,  developed
and  established  within said areas a franchise  business  under said  exclusive
license,  which  comprises  the  selling of a frozen  and/or  semi-frozen  dairy
product in various forms  (including  for example such items as buster and dilly
bars) under the trademark  "Dairy  Queen" from retail  stores  bearing the trade
name "Dairy Queen", has used the trademark "Dairy Queen" or freezers used in the
preparation  of and  dispensing  said  product and has  employed  certain  other
equipment,  items, designs, logos, promotional material,  merchandising methods,
techniques, standards,  requirements,  uniforms, supplies, ingredients, methods,
and other techniques, which are to remain the specific property of Company, and,
after this Agreement ends, are to be returned to Company, and for which Licensee
has no right to utilize said items.

         c. In entering this Agreement, Licensee agrees that Licensee desires to
engage in the "Dairy  Queen"  business  and  further  desires to enter into this
written  franchise  and  license  agreement  with  Company  for  the  use of the
trademark and trade name and any derivative  trademarks,  and to become involved
in a  business  subject  to the  covenants  set  forth  herein,  the  use of the
merchandising  methods  employed  herein,  said use by Licensee to be subject to
conditions  and controls  herein  prescribed for the purposes of offering to the
public  wholesome  products of a uniform  quality and standard and of protecting
the interests of all persons engaged in said business.

         d. That by entering this  Agreement,  Licensee  specifically  agrees to
become  subject to all  regulations,  policies,  and  standards  as set forth by
Company from time to time.

         e.  Further,  Licensee  agrees to provide only those  services and sell
only those products specifically approved and authorized by the Company.

II. LICENSE.

     Company  hereby grants to Licensee,  subject to the terms,  conditions  and
provisions  hereof,  and  subject  to any  and all  policies  of  Company  to be
enunciated during the term of this Agreement,  and any which are in existence at
this time,  an exclusive  right and license to operate a "Dairy  Queen" Store at
the following location only:

  Located  approximately 70 Miles East of Phoenix,  Arizona and 46 Miles West of
  Tucson, Arizona on Interstate I-10, Pinal County.

  With a protected area of ONE and ONE-HALF MILES in any

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  and all  directions  from the above  address by ways of public  streets as set
  forth in paragraph 18 herein.

said license to include the rights to:

     1.  Establish  and operate a "Dairy  Queen" store  employing  "Dairy Queen"
merchandising  methods,  materials,  and using the trademark "Dairy Queen",  and
said derivative trademark on and in association with the advertising and sale of
the frozen dairy  products,  and the trade name "Dairy  Queen" on the said store
from which the product is sold, and further subject to the further provisions of
this Agreement.

     2. To use in said store only  approved  machines,  and items of any and all
kind approved by Company. As to freezers, "Dairy Queen" freezers must be used in
producing  and  dispensing  said  "Dairy  Queen"  products,   it  being  clearly
understood  and agreed by Licensee that no approved  "Dairy Queen" freezer shall
be moved or caused or permitted to be removed from said authorized  location for
the purpose of operating same.

     3. Use of the trademark "Dairy Queen" on said approved freezers produced by
authorized manufacturers.

     4. Use at the authorized location on, and in association with,  production,
packaging,  and sale of uniform and approved  products  and services  designated
periodically  by Company,  involving  the related sales  promotion  programs and
materials  approved  periodically by Company,  and utilizing any form equipment,
uniforms,  merchandising means, fixtures, supplies, ingredients, and other items
as  approved  by  Company  for  use  in  the  storage,  preparation,  packaging,
merchandising, and sale of such products.

III. LICENSEE'S ACCEPTANCE AND ACKNOWLEDGMENTS.

     1. Licensee  hereby accepts said License  subject to the terms,  provisions
and  conditions  hereof,  and  agrees to cause  one  "Dairy  Queen"  store to be
established and maintained at the

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authorized location and agrees to provide active and continuous  supervision and
management upon standards and policies as set by the Company.

     2.  Company is the  exclusive  licensee  of the right to use the  trademark
names  at the  location  for and in  which  the  within  franchise  and  license
agreement is operative, and has the exclusive right to grant to Licensee the use
of said trade names.

     3. The trade names and trademarks  have valuable good will to Company,  and
are a valued property right, the use of which has been licensed to Company.

     4.  The  authorized  location,  the  Dairy  Queen  Store,  and  the  use of
trademarks and trade name shall be used only in connection with such products as
may be  specified by Company and not  otherwise,  and shall at all times be used
and only in a manner approved by the Company. In years of technological  change,
new products and services :are of ten developed.  It is the specific  purpose of
this Agreement, that in the event there are merchandising changes, technological
changes, and changes in merchandising,  the approval of Company must be received
in writing  prior to  offering  any such  goods,  or  service.  Otherwise,  this
Agreement  will be declared null and void. As a specific  example of the purpose
of this provision, Licensee agrees that it is the purpose of this Agreement that
present "Dairy Queen" products are to be sold to members of the general

                                       -4-
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public  from  standardized  "Dairy  Queen"  locations.  That the  "Dairy  Queen"
locations are built for a specific  purpose in mind, and not for the use or sale
or development  of such specific items as video games and arcades.  Such uses of
the  premises  are not  allowed  pursuant  to the terms of this  Agreement,  and
Licensee hereby agrees to same.

     5. Licensee  shall use no trade name or trademark  other than "Dairy Queen"
in said business except with the written consent of Company. Similarly, Licensee
shall link no other  trademarks  or trade names  belonging to others with "Dairy
Queen" in a "Dairy Queen"  authorized  location.  For example,  Licensee is only
entitled to sell "Dairy  Queen"  products  or services at their  location.  They
cannot sell items of food, or otherwise,  without the  authorization of Company.
See Addendum 4A-1 Attached.

     6. Licensee specifically agrees that this Agreement, at the sole option and
discretion of Company,  may be declared  null and void if Licensee  breaches any
provisions of this Agreement, and, if after having seven (7) days written notice
of breach by mail, the conditions specified have not been corrected by Licensee.
Then, Company,  at its own option,  may, terminate this Agreement.  See Addendum
4A-11 attached.

     7. Licensee further and specifically agrees that under no circumstances may
breaches of this Agreement, whether continuing or otherwise, at any time, in any
way, be regarded as waived by Company.

     8. As to  Licensee's  obligations,  time is always of the  essence  in this
Agreement.

IV. TERM.

     1. The  license  granted  herein  shall be for a term of  twenty-five  (25)
years, unless sooner terminated in accordance with the provisions hereof.

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V. MONETARY AGREEMENTS.

     1. Licensee shall pay to Company as a franchise fee (see attached  Addendum
to "Dairy Queen"  License) the sum of Agreement No. 4 upon the execution of this
Agreement. Said fee is a fee paid to Company for granting and entering into this
Agreement.  Said fee is  earned  when  paid,  and is not  refundable  under  any
circumstances whatsoever.

     2. In addition to the franchise fee, and during the term of this Agreement,
Licensee shall pay to Company,  as a royalty,  a sum of 29 cents for each gallon
of liquid "mix" used in the preparation of the frozen "Dairy Queen" product sold
under the trademark and trade name "Dairy Queen". It is mutually  understood and
agreed that in the event  Company  should ever  authorize  the use of  powdered,
concentrated,  or substitute mixes, the payment shall be based on the equivalent
in liquid mix.

         a. At the commencement of each 2 (two) year term of this Agreement, the
Company  reserves  the right and has an option to  increase  the royalty fee per
gallon as follows: By an additional five (5) cents per gallon.

         b. All amounts due and owing shall be paid on a monthly basis and shall
be computed at the end of each month's  operation and  remittance for same shall
be made to  Company  on or  before  the  third  (3rd.)  of the  following  month
accompanied  by r b. All amounts due and owing shall be paid on a monthly  basis
and shall be reports  required by said Company.  The  computation of said amount
shall be certified  and sworn to by Licensee in a manner or form  prescribed  by
Company  and   Licensee   shall  supply  to  Company  all   self-supporting   or
supplementary  materials  as Company may require to verify the  accuracy of such
remittances. Furthermore, Licensee grants to Company the right to check with any
suppliers, Company's or others, with whom Licensee is doing business to check on
the operation of the business.

         c. Payment dates as set forth herein are specifically  agreed to be the
dates upon which said items are to be

                                      -6-
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received by the Company.  Any payments of any nature or kind received  after the
due date subjects  Licensee to default.  THE  ACCEPTANCE OF LATE PAYMENTS  SHALL
NOT,  UNDER ANY  CIRCUMSTANCES  BE DEEMED A WAIVER  BY  COMPANY  OF THE RIGHT TO
PROMPT AND APPROPRIATE  PAYMENT.  Any payments  received after the eighth of any
month shall be subject to a late fee equal to five (5%) percent of the amount of
said sum due. In  addition,  any sums paid after the eighth  shall be subject to
interest  at the  rate  of one and  one-half  (1-1/2%)  percent  per  month.  In
addition,  Licensee  agrees to  compensate  Company  for any and all  collection
efforts or activities on any payments made after the due dates contained herein.
These expenses shall include office expenses,  telephone  expenses,  expenses of
time and effort of employees  to write  letters,  make phone cal1s,  and attempt
contact with Licensee or  Licensee's  agents and shall include any and al1 costs
and expenses in contacting  collection agencies,  lawyers, or other personnel in
an  attempt  to speed  payment.  The  amount  of any and all  expenses  shall be
determined by Company, in Company's sole discretion,  and Licensee hereby agrees
to grant Company the right to determine the amount of said expenses,  and hereby
agrees to be bound by said decision of Company. Any failures to pay said amounts
as set by  Company  shall  also  be  regarded  as a  breach  of  this  Agreement
subjecting Licensee to forfeiture, pursuant to page 18, Section XXII.

         d. In addition to any and all other options as required,  or allowed by
law, or as provided in this  Agreement,  Company shall have the right to require
Licensee,  if  delinquent  at any  time,  to make a  pre-payment  equal to three
month's royalties as security for the prompt payment of any and all obligations.

                                       -7-
<PAGE>
         e. Company  shall  further have the option to require  Licensee to make
pre-payments  on royalty and  advertising  and  merchandising  fees by requiring
Licensee to pay a surcharge  on each gallon of mix,  and on other  products  and
ingredients  used in the conduct of business at the  authorized  location to the
respective suppliers thereof.  Licensee shall pay the surcharge to the suppliers
at the time of purchase of such commodities.  The surcharge shall be established
by Company in such amounts as  determined  by Company,  which  amounts shall not
substantially   exceed  the  monthly  continuing   royalty,   advertising,   and
merchandising fees due hereunder.,.  The surcharge shall be paid to the supplier
or suppliers for the account of the Company.  The amount so prepaid and remitted
to Company from  suppliers will be credited  against the continuing  license and
advertising and merchandising fees at the end of each month.

     3.  Licensee  further  agrees to pay to Company the amount of not less than
three  (3%)  percent,  nor more  than  six (6%)  percent,  of all  gross  sales,
excluding sales taxes, as and for the promotion and advertising of "Dairy Queen"
products. To this end, Company reserves the sole right in its sole discretion to
establish and organize  advertising and promotional  programs from time to time.
Payments of  advertising  and  merchandising  fund money shall be subject to the
same terms and  conditions as royalty fee payments  required in this  Agreement.
See Addendum 4A-III attached.

     4. In addition, Licensee agrees to spend additional monies in merchandising
and marketing of their individual "Dairy Queen" store.

VI. TRANSFER OF AGREEMENT.

     1. Company  reserves the right to know  specifically at all times with whom
Company is doing business.

     2. Licensee shall not transfer,  assign,  encumber,  or in any way alienate
this  Agreement,  or the rights,  duties,  or  obligations  under this Agreement
without the written approval of Company.

                                       -8-
<PAGE>
     Licensee  shall give Company  written notice of intent to sell. Any attempt
to transfer,  assign,  sell, or alienate without the express written approval of
Company shall  immediately  breach this Agreement.  No party without the express
written  permission  of  Company  shall  have the  right to sell  "Dairy  Queen"
products at the location specified in this Agreement, or at any other location.

     3. If any sale,  transfer,  or  assignment  of any nature or kind is agreed
upon by Company,  Company is hereby given the right of first refusal to any such
agreed upon transfer or sale.  Notwithstanding  anything the contrary  contained
above in this part 2 hereof,  Licensee  hereby  grants to  Company  the right of
first refusal to purchase all of Licensee's right,  title and interest in and to
Licensee's  "Dairy Queen"  business  located at the Authorized  Location in this
Agreement in the event  Licensee  should desire to sell the same. In such event,
Licensee shall notify Company in writing that he has received and is prepared to
accept  a good  faith  offer  from a third  party  who is  financially  able and
otherwise  qualified  to become a licensee  of Company.  The said  notice  shall
identify proposed purchaser and be signed by Licensee and proposed purchaser and
precisely set forth all of the terms of the written offer which  Licensee  shall
have received from the proposed  purchaser.  Company shall then have thirty (30)
days after the receipt of such notice to  exercise  its right of first  refusal,
the same to be in  writing  and on the same  terms  and  conditions,  MINUS  any
realtor's fees, as have been offered to Licensee by the proposed purchaser.

     4. In the event of any assignment agreed upon by Company Licensee shall pay
to  Company  contemporaneously   therewith  the  sum  of  TWO  THOUSAND  DOLLARS
($2,000-00) or a sum equal to one half of the license fees paid for the previous
calendar year, whichever is greater, as and for a transfer fee.

                                       -9-
<PAGE>
     This agreement may be transferred to any proposed new assignee, transferee,
or purchaser in it's  entirety:  Should  proposed new assignee,  transferee,  or
purchaser  desire  to  extend  the  duration  of,  or  modify  the terms of this
agreement  such  modification  would be  contingent  upon and subject to the new
party entering into a new agreement with Company.  If, for any reason,  Company,
and the proposed  assignee,  transferee,  or purchaser cannot agree to the terms
and  conditions of a new  contract,  then any attempt at  assignment,  transfer,
sale, no matter how enumerated, shall be void.

VII. DEATH OR DISABILITY.

     In the event of the  death,  disability  or  incapacity  of any  individual
Licensee or principal officer or director of an incorporated Licensee or partner
in a partnership Licensee,  should the decedent's heir or successor in interest,
or the  corporation  or  partnership,  as the case may be,  wish to  continue as
Licensee  hereunder,  such person  shall apply for  Company's  consent  thereto,
successfully complete Company's training program and pay the applicable transfer
fee, in accordance with this paragraph VII as in any case of a proposed transfer
of Licensee's interest in this Agreement.

VIII. BUSINESS NAME.

     Licensee shall not use the word "Dairy Queen" as a part of its corporate or
business  name unless first  approved in writing by Company,  and shall use only
the words "Dairy Queen" (and no other words whatsoever) as the trade name on the
store from which the product is sold.

IX. FURTHER LICENSEE DECLARATIONS.

     1. Licensee agrees that nothing contained herein gives him any right, title
or interest in the trademark and trade name "Dairy Queen" nor in said derivative
trademarks  except the right to use same under the terms and  conditions of this
Agreement and that Licensee's use thereof inures to the benefit of the owner

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hereof.  Licensee  hereby  acknowledges  the validity of the trademark and trade
name "Dairy Queen" and any derivative trademarks therefrom and further agrees to
do nothing or use the trademark and trade name or said derivative  trademarks in
any way to infringe the rights of Company or Company's licensor.  Licensee shall
use  only the  trademark  and  trade  name  "Dairy  Queen"  and said  derivative
trademarks on and in association with the advertising and sale of a frozen dairy
product, and no other product,  which shall in quality and mode and condition of
manufacture  and sale comply with such  standards as may be fixed or approved by
Company. It is further agreed by the parties hereto that in order to promote and
protect the  business  interests  of each of the  parties,  the good will of the
"Dairy Queen"  business and the business  interests of other persons  engaged in
the "Dairy Queen" business,  requires substantial uniformity to be maintained in
the type,  standard  and  quality  of the "Dairy  Queen"  stores,  the mix,  the
freezers,   and  products  used  therein,  the  conditions  of  preparation  and
merchandising and sale of the product.  To this end, it is agreed that the rules
and controls and policies of Company,  those  contained in this  Agreement,  and
enacted  by  Company  shall  prevail.   Licensee  agrees  that  the  provisions,
restrictions,  and controls  and  agreements  provided in this  document are all
necessary,  reasonable,  and  desirable  for such  purposes and that  Licensee's
"Dairy Queen" business shall be conducted in accordance with Company's standards
and  requirements.  The  standards  and  requirements  include  requirements  of
quality,  production,   appearance,   cleanliness,  service,  merchandising  and
advertising.  The  setting  forth of  specific  items is not in any way meant to
limit  the  specific  items to which  this  Agreement  applies.  it is  mutually
understood  and agreed that these  controls  include the  specific  requirements
without limiting any general statement or policy or controls expressed.

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     2. Licensee further agrees to utilize only such "mix" in the preparation of
"Dairy Queen"  products which  conforms to the standards  prescribed by Company.
Licensee shall strictly observe the product overrun  limitations  which shall be
made known to Licensee by Company  from time to time  during this  Agreement  as
guidance to Licensee in  formulating  products for sale.  "Product  overruns" is
defined by the parties as being the amount of air  incorporated  into the "Dairy
Queen"  mix  in the  course  of  producing  "Dairy  Queen"  products.  To  avoid
misunderstanding, Company and Licensee acknowledge that neither shall expect the
other to be agreeable to a product overrun exceeding forty-five (45%) percent.

     3.  Licensee  further  agrees to  utilize  only such  supplies  used in the
production, handling, serving garnishing of "Dairy Queen" products and ancillary
lines and related goods conforming to standards  prescribed by Company from time
to time.

     4.  Company  shall  have  the  sole  right  to  approve  the  supplies  and
ingredients used in the business.

     5. Licensee  shall use only approved  "Dairy  Queen"  freezers  produced by
authorized manufacturers.

     6. Licensee shall produce and sell the "Dairy Queen" product line only in a
store  constructed in accordance  with plans furnished by Company and containing
approved  "Dairy Queen"  signs;  said plans to remain the property of Company at
all times;  and shall maintain the store in a high state of repair,  cleanliness
and sanitation at all times.  Before any store for the sale or  distribution  of
"Dairy  Queen" is  constructed,  the  location  thereof  shall be subject to the
approval,  in writing, of Company.  Licensee further agrees to acquire the right
to use or to commence  promptly  the  construction  of one such  building at the
authorized  location  hereinabove  described  and  complete or contract  for the
completion  the same on or before July 1984.  Upon  completion  of said building
Licensee shall, at his own expense,  install freezers and equipment therein in a
manner approved by Company. The parking area shall be

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black-topped or paved in a manner approved by Company.  No material  alterations
to or changes in said  building or  premises  shall be made during the period of
this contract or any renewal hereof without the prior approval in writing by the
Company.

     7.  Licensee  shall  hire and  supervise  efficient,  competent,  sober and
courteous  operators and employees wearing uniform Company dress for the purpose
of operating the business.  Licensee shall set their wages and  commissions  and
pay all such wages and  commissions  due them with no liability  therefor on the
Company.  Licensee  shall  require all its  employees to work in clean  uniforms
approved by the Company but furnished at the cost of Licensee or the employee as
Licensee may determine.

     8.  Licensee  agrees at all times to repaint the buildings on said premises
at least annually and to maintain said  buildings and said entire  premises in a
high state of repair,  cleanliness  and  sanitation.  Should  Licensee's  "Dairy
Queen" store be rated other than the highest rating given by any local, state or
federal sanitation or health authorities, said store shall immediately be closed
and such steps or measures  shall be taken by Licensee  as may be  necessary  to
obtain the highest  rating before it is reopened for business.  Any such closing
shall be regarded as a material breach of this  Agreement.  It is agreed between
the  parties  that  cleanliness  and  sanitation  are two of the most  important
ingredients in general public  acceptance of "Dairy Queen" products.  Any action
by any  authority  closing  a "Dairy  Queen"  store  is  regarded  as a  serious
dereliction by Licensee.

     9. Licensee further  covenants that in the event Company  standards are not
met, the store may be closed until steps are taken to remedy this situation,  or
at company's option, this Agreement may terminate, as to page 18, Section XXII.

     10. All advertising  cartons,  containers,  wrappers and papergoods used in
the advertising, sale and distribution of the

                                      -13-
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"Dairy Queen" products shall,  where  practicable,  indicate that it is produced
and sold on the authority of Company and shall be subject to approval by Company
before being used.

     11. All portions of "Dairy  Queen"  products sold or offered for sale shall
comply with requirements  established from time to time by Company as to weight,
size,  and  appearance  and all such  products  shall  be  processed  in  strict
accordance with the formula and methods furnished by Company.

     12. From time to time as Company shall deem desirable,  Company may place a
qualified representative at Licensee's place of business to train, instruct, and
familiarize  employees thereof with the standard business methods and procedures
of Company, or, may require Licensee or any supervisory or operating employee of
Licensee to spend a reasonable  amount of time at another like place of business
designated  by Company  for the purpose of  observing,  receiving  training  and
instruction, and practicing standard business methods and procedure.

     13.  Licensee  further  agrees,  that  at  any  time  company  may  send  a
representative to Licensee's location to review documents, records, the physical
facilities, and the operation of the business.

     14.  Licensee  agrees to comply with all applicable  federal state,  local,
county, and municipal laws, statutes,  ordinances and regulations  pertaining to
the  conduct of the "Dairy  Queen"  business  and the sale of the "Dairy  Queen"
products.

     15. As noted  previously,  Licensee  agrees that technology may develop new
forms of amusement such as video games. Nothing in this Agreement authorizes the
use of any items developed by time, or technology,  or ingenuity,  which are not
authorized by this Agreement, or by Company in writing.

     16.  Licensee  further  agrees to appear at and attend  the annual  Company
store operator's meeting and convention, and to appear and attend at any and all
conferences, meetings, or other functions as are designated by Company.

                                      -14-
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X. SIGNS.

     1. Licensee  shall  prominently  identify the store with one or more of the
trademarks  specified  by  Company,  and with no other name or mark,  said signs
shall as to color, lettering, size, design and general appearance be approved by
company prior to construction and erection.

     2. Licensee  shall at his own expense  cause such signs to be  constructed,
erected, and maintained throughout the term of this Agreement. All signs must be
approved by Company.

     3. Company is hereby given the right to designate any  additional  signs to
be placed at the premises,  at  Licensee's  expense.  Such signs shall  include,
where appropriate,  highway signs and other similar sign items. Company shall be
the sole arbitor of when such signs, or additional  signs, are appropriate or in
need of maintenance.

XI. FREEZERS.

     All approved  "Dairy Queen"  freezers used in producing and  dispensing the
"Dairy Queen" product shall have a nameplate  fastened  thereto  identifying the
same as "Dairy Queen"  freezers,  and shall be first approved by Company for use
in "Dairy Queen" stores.

XII. RELATED GOODS.

     1.  Licensee  may sell in said  "Dairy  Queen"  store  only  such  products
permitted and approved in writing by Company.

     2. No food, sandwiches, hamburgers, cigarettes, potato chips, gum, or other
like products are to be sold from said "Dairy Queen".

     3. Similarly, no unauthorized services, including games are to be allowed.

XIII. BUSINESS HOURS.

     1. Licensee shall operate its "Dairy Queen"  business during a period-of at
least  nine (9)  consecutive  months  in each  calendar  year and such  place of
business  shall be opened to the public at least  twelve (12) hours  during each
day of said period.

                                      -15-
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Acts  of God,  war,  strikes  or  riots  preventing  Licensee  from  temporarily
complying with the foregoing shall exempt compliance therewith.

     2.  Licensee  shall close said "Dairy  Queen"  business for a period of not
less than two (2)  weeks of each  calendar  year for the  purpose  of  necessary
maintenance  and repairs - painting and general  cleaning.  See  Addendum  4A-IV
attached.

XIV. INSPECTION.

     Company, or its authorized representative,  shall have the right to inspect
the  premises,  and every  portion of its  operation  for the  purpose of making
inspections  to  ascertain if all the  provisions  of this  Agreement  are being
observed.  Furthermore,  Company is  entitled to test,  sample,  and inspect all
supplies,  products, and materials of all kinds, the preparation and formulation
thereof,  and the  conditions of sanitation and  cleanliness in the  production,
handling, and serving thereof.

XV. RECORDS AND REPORTS.

     Licensee  agrees to keep a complete set of books and records from which all
sums payable  under this  Agreement  may be  determined.  Such books and records
shall include a monthly profit and loss  statement  reflecting the operations of
Licensee's business, copies of which Licensee shall furnish to Company within 25
days after the end of each month's operation.  The aforesaid books, records, and
financial  statements  shall be  maintained  by  Licensee  on forms  meeting the
specifications  of Company.  All such  records  shall be open and  available  to
Company for  inspection  at all times.  Company shall have the right to cause an
audit of the business of Licensee to be made for a determination of gross sales.
If any  statement  of gross sales  previously  submitted  by Licensee to Company
shall be found to be incorrect by audit or otherwise,  in an amount in excess of
two (2%) percent of gross sales,  Licensee shall be subject to  immediately  pay
the cost of such  audit as well as any  additional  fees  found to be payable by
Licensee to company; and may be subject to termination,  otherwise,  the cost of
audit shall be paid by Company.

                                      -16-
<PAGE>
XVI. LITIGATION.

     As between  Company and  Licensee,  Company  shall  control all  litigation
relating  to the  trademark  and trade name  "Dairy  Queen" and said  derivative
trademarks  and  shall be the  sole  judge as to  whether  or not suit  shall be
instituted for the infringement  thereof, the expense for any such litigation in
the  territory  stated  herein  shall be borne by Company and  Licensee  and any
others,  in manner and  extent to be agreed  upon in each  instance  by the said
parties.  Licensee shall promptly notify Company of any such use or infringement
of which he becomes aware.

XVII. LIABILITY INSURANCE.

     Licensee  hereby waives all claims against  Company for damages to property
or  injuries to persons  arising  out of the  operation  of said  business,  and
Licensee  shall  indemnify and save Company  harmless of and from any damages or
injury to property or persons  arising from or growing out of the  operations of
said business in any way, or the  consumption  of the product  hereof.  Licensee
further  covenants and agrees to purchase and maintain in full force and effect,
at Licensee's  sole expense,  liability  insurance in an amount of not less than
$300,000.00  insuring  both parties  hereto from  liability for any and all such
damage or injury and Licensee further agrees to deliver to Company a certificate
evidencing  the existence of such insurance  coverage and Licensee's  compliance
with the provisions of this paragraph.

XVIII. COMPETITIVE LICENSE.

     Company shall not license the  establishment  of any  competitive  business
under said  trademarks  and trade name within the protected area covered by this
Agreement  during  the term  hereof.  Similarly,  Licensee  shall  not  license,
establish, or operate any competitive business within the protected area covered
by this Agreement during the term hereof without written consent of Company.

                                      -17-
<PAGE>
XIX. PAYMENT OF DEBTS.

     Licensee  covenants  and  agrees to pay  promptly  when due,  all taxes And
assessments  that may be assessed  against said  premises or  equipment  used in
connection with Licensee's "Dairy Queen" business, all liens and encumbrances of
any kind and character created,  or placed upon or against any of said property,
as well as all  accounts  and  other  indebtedness  of every  kind  incurred  by
Licensee in the conduct of said business;  and should Licensee default in making
any such payment, Company shall be authorized to pay same and Licensee covenants
promptly to reimburse Company on demand of such payment. By undertaking any such
payments,  Company is not under any  circumstances  obligating itself to pay any
said sums,  but is doing so only to  protect  Company's  good name and  Licensee
under  this  Agreement.  Company,  by doing  so,  shall  not be  undertaking  or
sustaining any liability for any such debts or obligations or liabilities in any
way, shape or form.

XX. INDEPENDENT CONTRACTOR.

     It is agreed and  understood  that Licensee is an independent  agency,  and
independent contractor,  not in any manner the agent or employee of Company, nor
has Company any  interest in the  business of Licensee  except to the extent set
forth in this Agreement.

XXI. INDEMNITY

     Licensee agrees to save and hold Company harmless from any loss,  damage or
liability  incurred by Company by reason of any  violation of this  Agreement by
Licensee.

XXII. NOTICES OF BREACH.

     1. In the event that Company  determines  that  Licensee has failed to meet
the requirements and specifications established in this Agreement, or any of the
terms and conditions  hereof,  Company shall notify  Licensee in writing of that
fact, and shall. set forth the terms and conditions to be corrected. If Licensee
fails to correct such problems,  violations, or conditions within seven (7) days
from the date of mailing of said notice, by certified mail/to the address of the
authorized  location,  Company  shall  thereupon  have the right to  cancel  and
terminate this Agreement.

                                      -18-
<PAGE>
XXIII. MODERNIZATION.

     1. Because business advances,  and because society changes,  and methods of
doing business change, it is the duty of Licensee to modernize,  refurbish,  the
building, equipment, signage, and all other items as may be reasonably necessary
to permit the business to conform to the standards then  existing,  and to cause
such repairs or remodeling,  at his expense as are necessary to keep Licensee in
compliance with all of the terms and conditions of this Agreement. Failure to do
so will be regarded as a breach of this Agreement.

     2. In any event,  at the time of any proposed  transfer,  the Licensee must
modernize,  refurbish,  and/or replace  building,  equipment and any other items
from the store as are necessary to be in compliance with the requirements of the
Company as then existing.

XXIV. BANKRUPTCY.

     In the event that Licensee shall be declared  insolvent or bankrupt,  or in
the event a receiver be  appointed,  or that any  proceedings  taken by, for, or
against  Licensee  under any  provision  of the  Federal  Bankruptcy  Act or any
amendment thereof,  or make an assignment for the benefit of creditors under any
State law, this Agreement shall be terminated and all rights of License shall be
forfeited forthwith to the Company.

XXV. NON-COMPETE CLAIMS.

     Neither  Licensee  nor any  principal  of an  incorporated  Licensee  shall
directly or  indirectly  engage in any  competitive  business with the protected
area of the authorized  location for a period of two and one-half  (2-1/2) years
after the date of termination  by either party with or without  cause.  Licensee
shall not assert any claim or cause of action against Company after one (1) year
following the effective date of termination of this Agreement.

XXVI. TERMINATION.

     1. Termination by Licensor.

         Upon termination of this Agreement:

         a. All rights of  Licensee to the use of the  trademarks  and all other
rights and licenses granted herein including a right

                                      -19-
<PAGE>
to license and conduct the "Dairy  Queen"  business at the  authorized  location
shall revert to Company without further act or deed of any party. limited solely
to DAIRY QUEEN stores owned or franchised by it, in connection with a particular
and  unique  semi-frozen  confection,  of the  nature  generically  of  what  is
sometimes  known in the trade as a slush drink and novelty  confection,  made in
accordance  with  prescribed  secret  formulae,   standards  and  specifications
(hereinafter sometimes referred to as PRODUCT):, and

     WHEREAS,  the  parties are  desirous  of  providing  for a  sub-license  of
TRADEMARKS  so that  LICENSEE is  authorized  and entitled to use  TRADEMARKS at
LOCATION in a manner which is consistent  and uniform with the use of TRADEMARKS
at other DAIRY QUEEN stores throughout the country; and

     WHEREAS,  the parties agree and acknowledge  that TRADEMARKS are a valuable
and subsisting  property right, that PRODUCT is a unique and superior confection
heretofore  sold at retail only in DAIRY QUEEN stores,  and that the  provisions
herein respecting the standards and  specifications  for PRODUCT and for the use
of TRADEMARKS are reasonable and necessary to protect their  respective  rights,
and the rights of those having superior and similar rights therein.

     NOW,  THEREFORE,  in  consideration  of the  premises  and  of  the  mutual
undertakings and obligations herein set forth, it is agreed:

     1.  LICENSOR  hereby  licenses to LICENSEE the  exclusive  privilege to use
TRADEMARKS,  provided  that  such  is  limited  solely  to  use at  LOCATION  in
connection with PRODUCT and is subject to the provisions hereof.

     2. Nothing herein shall be understood to be a sale,  assignment or grant to
LICENSEE of any right, title or interest in and to TRADEMARKS.

     3. For this  license,  LICENSEE  shall pay to  LICENSOR,  or to  whoever is
designated  in writing by LICENSOR to receive  payment in LICENSOR'S  behalf,  a
service fee as specified in Exhibit 1 hereto.  LICENSEE  understands  and agrees
that the AMERICAN DAIRY QUEEN  CORPORATION (from which LICENSOR has received its
rights in and to  TRADEMARKS)  may buy and sell some or all of the  ingredients,
equipment, or containers used in the making of PRODUCT and in so doing may

         b. Any right,  title and  interest  of  Licensee  in, to and under this
operating  Agreement  shall  become the  property  of  Company.  Licensee  shall
immediately cease all use and display of trademarks,  materials, and any and all
ancillary items, services or products,  and shall pay all sums due to Company or
its affiliate or whose payment by Company or its affiliate has guaranteed.

         c. Company  shall have first option to purchase any and all freezers of
any kind  whatsoever  owned by Licensee and used by him in the production of the
"Dairy Queen"  product at and for an amount equal to the original price paid for
each such freezer less fifty (50%)  percent for use and  depreciation  for first
year.

         d. Less twenty  (20%)  percent  per year after first  twelve (12) month
period.

     2. Termination by Licensee.

     Licensee shall not be entitled to terminate this agreement for cause unless
he shall have given Company  written notice of the grounds for such  termination
and  Company  shall  have  failed  to  cure  such  grounds  to  the   reasonable
satisfaction  of Licensee  within thirty (30) days of Company's  receipt of such
notice.  As a condition to Licensee or his successor  terminating this Agreement
without cause at any time prior to the tenth  anniversary  of  Licensee's  first
opening the store for business, Licensee shall pay to Company an amount equal to
two times the  license  fee payable to Company in respect to (1) the last twelve
(12) months of the store's active operations, or (2) the entire period the store
has been open for business, whichever is the shorter period.

                                      -20-
<PAGE>
XXVII. MISCELLANEOUS CLAUSES.

     1. In the event at any time one or more clauses of this Agreement  shall be
held to be void by any court,  such clauses  shall be deemed to be separable and
the  remainder of this  Agreement  shall be deemed to be valid and in full force
and effect.

     2. Any waiver by Company of any breach by  Licensee  shall not be deemed to
be a waiver of any  subsequent  breach nor an  estoppel to enforce its right for
any subsequent breach.

     3. This Agreement constitutes the agreement between the parties, and is the
sole  agreement  between the  parties,  an  embodies  all prior  agreements  and
negotiations  with respect to the "Dairy Queen"  business.  Licensee agrees that
there are no  representations  of any kind made by Company  except as  contained
herein.

     4. If Licensee consists of two or more individuals,  such individuals shall
be jointly and severally  liable,  and  references to Licensee in this Agreement
shall include all such individuals.

     5. This  Agreement  shall be binding  upon and inure to the  benefit of the
administrators, executors, heirs, successors, and assigns of the parties.

XVIII. ADMINISTRATIVE AND PROMOTIONAL FEES.

     1.  Licensee  acknowledges  and agrees that Company may  compensate  itself
and/or it's affiliated  companies for the expense of administering and promoting
the sales promotion programs set forth herein.

XXIX. DIFFERENT FORMS OF LICENSE AGREEMENTS.

     1.  Licensee  acknowledges  that he is aware of the fact that some existing
licensees  of  Company  operate  under  different  forms of  Agreement  and that
consequently,  Company's  obligations  an rights  with  respect  to the  various
licensees may differ.

XXX. RULES OF COMPANY.

     1. Company is the sole judge of that which is  compatible  with the sale of
"Dairy  Queen"  products,  and  Licensee  shall not look beyond  Company in such
matters as rules and controls. These

                                      -21-
<PAGE>
matters  are  left to the  sole  discretion  of  Company,  and  Licensee  hereby
specifically agrees.

     IN WITNESS  WHEREOF,  the parties have caused the  foregoing  "Dairy Queen"
Store Operating  License Agreement to be executed all as of the date first above
written.

                                  DAIRY QUEEN OF SOUTHERN ARIZONA, INC.
                                                            First Party

                                  By /s/ Mildred L. Hanigan
                                     -------------------------------------------
                                     MILDRED L. HANIGAN, President

                                  BOWLIN'S CORPORATION, a New Mexico Corporation
                                  ----------------------------------------------
                                                                        LICENSEE

                                  By: /s/ C.C. Bess, Exec. V. Pres.
                                      ------------------------------------------
                                      C. C. BESS, Executive Vice-President

ATTEST:

/s/ Tom Hanigan
---------------------------------

WITNESS:

/s/ Signature Illegible
---------------------------------

                                      -22-
<PAGE>
                   ADDENDUM TO "DAIRY QUEEN" LICENSE AGREEMENT
                                     NO. 4A

     This Addendum made and entered into, in duplicate, at Douglas,  Arizona, on
this  1st day of  February  , 1984 , by and  between  DAIRY  QUEEN  OF  SOUTHERN
ARIZONA,  INC.,  an  Arizona  Corporation,  hereinafter  called  "Company",  and
BOWLIN'S  INCORPORATED  Of 136  Louisiana  NE,  Albuquerque,  New Mexico,  87108
hereinafter called "Licensee".

     WHEREAS, the parties hereto have executed a "DAIRY QUEEN LICENSE AGREEMENT"
(duplicate  copy of which  agreement is attached  hereto)  dated this 1st day of
February , 1984 , and  covering the  following  "Authorized  Location":  Located
approximately  70 Miles East of  Phoenix,  Arizona  and 46 Miles West of Tucson,
Arizona on Interstate I-10, Pinal County

                                        I

     WHEREAS, the parties have mutually agreed to the following:

     NOW  THEREFORE,  in  consideration  of the mutual  promises  and  covenants
contained herein, it is agreed by and between the parties hereto as follows:

DAIRY QUEEN OF SOUTHERN ARIZONA,  INC,  acknowledges with BOWLIN'S  INCORPORATED
that at present  there is already a system of food and gift items offered to the
public in their establishment.  it is also fully understood and agreed that this
present  business is physically and factually a separate and independent  entity
from the DAIRY QUEEN addition. Granted, there will be common entrance and access
to both businesses.

HOWEVER,  it is mutually  understood and agreed upon, since Licensee  operates a
full line novelty and curio business in a store building with gasoline and other
automotive  items  sold on the  premises  with  said  store  building  adjoining
Licensee's DAIRY QUEEN operation,  the sales in Licensee's merchandise,  novelty
and curio plus gasoline and  automotive  items shall not be subject to the sales
continuing  Licensee fees or promotional fees as is provided in said DAIRY QUEEN
LICENSE AGREEMENT.

WITH RESPECT TO Page 5,  Article 5, of the DAIRY QUEEN  LICENSE  AGREEMENT,  the
company hereby  authorizes and approves of the continued sales of the usual food
products  sold  heretofore  by the Licensee at his existing  fast food  snackbar
operation and elsewhere in the main store  building,  provided such products are
not identical to those offered by the Company.

HOWEVER,  if Company becomes a "BRAZIER SYSTEM FOOD APPROVED TERRITORY OPERATOR,
then and at such time Licensee will convert the above existing food service to a
"DAIRY QUEEN  BRAZIER FOOD SYSTEM"  standards and all BRAZIER FOOD SYSTEM" sales
would become  subject to the  Franchise  and Royalty fees agreed to in the above
referred to DAIRY QUEEN LICENSE AGREEMENT.

                                       II

     WITH RESPECT TO: Page 5, Article 6, of the DAIRY QUEEN  LICENSE  AGREEMENT,
notification of any breach or default must be by Certified mail,  Return Receipt
Requested, to the Licensee

at:

                              Bowlin's Incorporated
                                136 Louisiana NE
                          Albuquerque, New Mexico 87108

And Licensee shall have at least seven (7) days to cure such default.

                                       III

     WITH  RESPECT  TO:  Page 8,  Paragraph  V, 3, of the  DAIRY  QUEEN  LICENSE
AGREEMENT, Company agrees to waive the payment of promotion and advertising fees
by the Licensee, upon demonstration by the Licensee that he is providing outdoor
advertising  through  the  use of  billboards  located  along  Interstate  10 in
Arizona,  such  advertising  being to the  mutual  benefit of both  Company  and
Licensee.

                                       IV

     WITH RESPECT TO:  Paragraph XIII, 2: IT IS FURTHER AGREED that such closing
shall be at the  Licensee's  option,  but the  necessary  repairs,  maintenance,
painting, and cleaning shall be promptly accomplished to the satisfaction of the
Company on a regular and routine basis.

     IN WITNESS WHEREOF,  the parties have caused the foregoing  Amendment to be
executed all as of the date first written above.

ATTEST                                    DAIRY QUEEN OF SOUTHERN ARIZONA, INC.
                                                An Arizona Corporation

BY: /s/ Tom Hanigan                       BY: /s/ Mildred L. Hanigan
    -------------------------------           ---------------------------------
                                                Mildred L. Hanigan - President

ATTEST

BY: /s/ Signature Illegible               BOWLIN'S INCORPORATED
    -------------------------------       136 Louisiana NE
                                          Albuquerque, New Mexico  87108

                                          BY: /s/ C.C. Bess, Exec. V. Pres.
                                              ----------------------------------
                                              C.C. Bess-Executive Vice-President

                                       -2-
<PAGE>
                   ADDENDUM TO "DAIRY QUEEN" LICENSE AGREEMENT

                                      NO. 4

     This Addendum made and entered into, in duplicate,  at Douglas Arizona,  on
this 1st day of February  1984 by and between  DAIRY QUEEN OF SOUTHERN  ARIZONA,
INC.  and  Arizona  Corporation,  hereinafter  called  "Company",  and  BOWLIN'S
INCORPORATED  of 136  Louisiana NE,  Albuquerque,  NM 87108  hereinafter  called
"Licensee".

     WHEREAS, the parties hereto have executed a "DAIRY QUEEN LICENSE AGREEMENT"
(duplicate  copy of which  agreement is attached  hereto) dated 1 February 1984,
and covering the following "Authorized Location".

     Located  approximately 70 Miles East of Phoenix,  Arizona and 46 Miles West
of Tucson, Arizona on Interstate 1-10, Pinal County

     WHEREAS,  the  parties  hereto  wish to  amend  such  agreement  heretofore
executed to provide for a single  combination  Franchise  Fee and Royalty Fee in
consideration of the rights granted Licensee under said Agreement and in lieu of
the separate Franchise Fee and Royalty Fee provided for in said Agreement:

     NOW,  THEREFORE,  in  consideration  of the mutual  promises and  covenants
contained herein, it is agreed by and between the parties hereto as follows:

     1.  Paragraph 5 of the said "Dairy Queen"  License  Agreement,  between the
parties hereto, is amended to read as follows;

     Licensee  shall  pay to  Company,  as a total  combined  Franchise  Fee and
Royalty Fee in respect of ,the rights  granted  Licensee under the terms of said
"Dairy Queen" License  Agreement,  a sum computed upon a percentage of the total
combined  gross retail  sales,  exclusive of sales taxes,  of all products  sold
under said License  Agreement,  the same to be computed in  accordance  with the
following schedule:

     Four Percent (4%) of all gross sales in each calendar year.

     It is hereby fully understood and agreed the aforesaid  computed sum is to,
and does,  include a Royalty Fee of  Twenty-Nine  Cents (29 cents) per gallon of
liquid "mix" used, the balance being the separate continuing Franchise Fee.

     Gross  Sales  shall  include  sales of every  kind and  nature  from and in
connection with said store, including the sale of "Dairy Queen" products and all
other products and related goods which may be authorized for sale therein.

     IN WITNESS WHEREFOF,  the parties have caused the forgoing  Amendment to be
executed all as of the date first above written.

ATTEST:                                   DAIRY QUEEN OF SOUTHERN ARIZONA, INC.,
                                                          an Arizona Corporation

/s/ Tom Hanigan                           By: /s/ Mildred L. Hanigan
----------------------------                  ----------------------------------
                                              Mildred L. Hanigan       President

WITNESS:

/s/ David B. Raybold                      BOWLIN'S INCORPORATED
----------------------------              -------------------------------------
                                          A New Mexico corporation

                                          /s/ C.C. Bess Exec. V. Pres.
----------------------------              --------------------------------------
                                          C.C. Bess  Exec. V. Pres.     LICENSEE
<PAGE>
                                   "MR. MISTY"

                           STORE SUBLICENSE AGREEMENT
              BETWEEN STATE OR DISTRICT OPERATOR AND STORE OPERATOR

     THIS AGREEMENT is executed in quadruplicate this 1st day of February, 1984,
by and between DAIRY OUEEN OF SOUTHERN ARIZONA, INC. (hereinafter referred to as
LICENSOR),and  BOWLIN'S  INCORPORATED  of 136  Louisiana  NE,  Albuquerque,  New
Mexico, 87108 (hereinafter referred to as LICENSEE):

     WHEREAS,  LICENSEE is the  operator of the DAIRY  QUEEN*  store  located at
Approximately  70 Miles East of  Phoenix,  AZ and 46 Miles  West of Tucson,  AZ,
Pinal  County  (hereinafter  referred  to as  LOCATION),  under and by virtue of
written authority granted by LICENSOR; and

     WHEREAS,  LICENSOR has been licensed the exclusive right and license within
its DAIRY QUEEN  Franchise  Territory to use and to  sub-license  the use of the
following described trademarks, hereinafter referred to as TRADEMARKS:

          (a)  The words "MR. MISTY" and "MR. MISTY KISS," and
          (b)  The fanciful  caricature  used in connection with "MR. MISTY" and
               "MR. MISTY KISS"; and

     WHEREAS,  LICENSOR'S  said  right and  license  to use said  TRADEMARKS  is
limited  solely to DAIRY QUEEN stores owned or  franchised  by it, in connection
with a particular and unique semi-frozen  confection,  of the nature generically
of what is sometimes known in the trade as a slush drink and novelty confection,
made in accordance with prescribed secret formula,  standards and specifications
(hereinafter sometimes referred to as PRODUCT):, and

     WHEREAS,  the  parties are  desirous  of  providing  for a  sub-license  of
TRADEMARKS  so that  LICENSEE is  authorized  and entitled to use  TRADEMARKS at
LOCATION in a manner which is consistent  and uniform with the use of TRADEMARKS
at other DAIRY QUEEN stores throughout the country; and

     WHEREAS,  the parties agree and acknowledge  that TRADEMARKS are a valuable
and subsisting  property right, that PRODUCT is a unique and superior confection
heretofore  sold at retail only in DAIRY QUEEN stores,  and that the  provisions
herein respecting the standards and  specifications  for PRODUCT and for the use
of TRADEMARKS are reasonable and necessary to protect their  respective  rights,
and the rights of those having superior and similar rights therein.

     NOW,  THEREFORE,  in  consideration  of the  premises  and  of  the  mutual
undertakings and obligations herein set forth, it is agreed:

     1.  LICENSOR  hereby  licenses to LICENSEE the  exclusive  privilege to use
TRADEMARKS,  provided  that  such  is  limited  solely  to  use at  LOCATION  in
connection with PRODUCT and is subject to the provisions hereof.

     2. Nothing herein shall be understood to be a sale,  assignment or grant to
LICENSEE of any right, title or interest in and to TRADEMARKS.

     3. For this  license,  LICENSEE  shall pay to  LICENSOR,  or to  whoever is
designated  in writing by LICENSOR to receive  payment in LICENSOR'S  behalf,  a
service fee as specified in Exhibit 1 hereto.  LICENSEE  understands  and agrees
that the AMERICAN DAIRY QUEEN  CORPORATION (from which LICENSOR has received its
rights in and to  TRADEMARKS)  may buy and sell some or all of the  ingredients,
equipment,  or  containers  used in the  making of  PRODUCT  and in so doing may
realize some profit.

                                       -1-
<PAGE>
     4.  LICENSEE  admits and agrees not to contest the validity or ownership of
TRADEMARKS or LICENSOR'S  superior  right to the use thereof during the duration
of this  agreement  and for a period of two (2) years after the  termination  of
this agreement.

     5. LICENSEE'S use of TRADEMARKS on PRODUCT enclosure and on advertising and
promotional  literature with respect  thereto,  will conform in every respect to
samples which LICENSOR provides to LICENSEE or expressly approves in writing.

     6. LICENSEE  acknowledges  that it is of the utmost importance that PRODUCT
sold at LOCATION  under  TRADEMARKS  shall conform  strictly to said  prescribed
standards and specifications emanating through, from or provided by LICENSOR for
the quality, flavor, appearance and texture of PRODUCT, for the ingredients used
in the production of PRODUCT, for the equipment necessary,  including dispensing
freezers,  to make PRODUCT at LOCATION,  and for the containers in which PRODUCT
is sold,  as determined  from time to time. A copy of the current  standards and
specifications  is  attached  and  made a part  hereof  as  Exhibit  2.  PRODUCT
purchased  by LICENSOR or its  representatives  from  LICENSEE or from any store
licensed  hereunder  during the normal course of business shall be considered as
representative of PRODUCT sold by LICENSEE in determining LICENSEE'S conformance
with said standards and specifications. Failure on LICENSEE'S part to conform to
said standards and  specifications  shall  constitute a material  breach of this
agreement  entitling LICENSOR to terminate the same upon giving thirty (30) days
written  notice.  This paragraph,  however,  shall not be construed to mean that
LICENSEE is  required  to purchase  any of the  ingredients,  or  equipment,  or
containers  used in making and selling  PRODUCT  from  LICENSOR or from  sources
designated by LICENSOR,  if there is another source or sources  available  which
can provide  ingredients,  or equipment,  or containers which satisfy LICENSOR'S
standards and  specifications.  Said  standards and  specifications  may include
suggestions  as to retail prices for PRODUCT sold at LOCATION,  but, if so, such
are no more than suggestions,  are not binding or mandatory,  and nothing herein
or therein  contained  shall  require or obligate  LICENSEE  or anyone  licensed
hereunder  in any way to sell  PRODUCT  at any price  other  than that which the
seller voluntarily determines.

     7. Each  reproduction,  publication  and use of TRADEMARKS  pursuant hereto
shall bear the statutory notice of trademark  registration  adjacent thereto, as
required or approved by LICENSOR.

     8. Any use which LICENSEE may make of TRADEMARKS shall inure to the benefit
of LICENSOR.

     9. This license shall be in effect until  terminated by mutual agreement of
the parties,  provided  that  LICENSOR  shall have the right to  terminate  this
license  upon  giving  thirty  (30) days prior  written  notice to  LICENSEE  if
LICENSEE (a) fails to carry out any of the provisions of this agreement,  or (b)
ceases or refuses for any reason to continue to  participate  in the DAIRY QUEEN
service  programs of the  AMERICAN  DAIRY QUEEN  CORPORATION  or its  affiliated
companies.  LICENSEE shall have the right to terminate this license and to cease
using  TRADEMARKS  and PRODUCT  effective at the end of any  calendar  year upon
giving at least thirty (30) days prior written notice to LICENSOR.

     10. In the event that  LICENSOR'S  rights in and to TRADEMARKS  and PRODUCT
are  terminated  for any reason,  whether by LICENSOR'S own action or otherwise,
this agreement and LICENSEE'S rights hereunder shall automatically terminate.

     11. Upon the  expiration  or  termination  of this  license for any reason,
LICENSEE will promptly and completely  cease and desist in the use of TRADEMARKS
or of any similar  trademark,  as well as the secret formulation for the base of
PRODUCT.

     12.  LICENSEE  admits and  acknowledges  that it enters into this agreement
freely  and  voluntarily,   understanding   all  the  provisions   hereof,   and
understanding  further  that  it is not  necessary  for it to  enter  into  this
agreement in order to continue to enjoy any existing right and interest licensed
to it by LICENSOR in connection with LOCATION.

     13. LICENSEE is fully and solely responsible for any and all claims made on
account of injuries to persons or otherwise,  arising from or as a result of the
manufacture,  use, or  consumption  of PRODUCT  sold at LOCATION  and shall hold
LICENSOR completely harmless therefrom.

     14. The waiver of any breach  hereof  shall not be  effective  to waive any
subsequent breach hereof.

                                      -2-
<PAGE>
     15. The authorization hereby granted to LICENSEE to use and sell TRADEMARKS
and PRODUCT at LOCATION is limited as provided  herein and does not include,  by
implication or otherwise, authorization to use or sell any other non-DAIRY QUEEN
product or non-DAIRY QUEEN trademark not previously approved by LICENSOR.

     16. This agreement is to be governed by and  interpreted in accordance with
the  laws  of  the  State  of  Illinois,   embodies  the  entire  agreement  and
understanding of the parties  relating to the subject matter hereof,  and may be
amended or modified only by an instrument executed by both parties.  The making,
execution and delivery hereof has been induced by no representation,  statement,
warranty, or agreement other than expressed herein.

     17. This agreement is binding on the successors and assigns of the parties,
and  LICENSEE  shall not  assign or lease  this  agreement  or any of the rights
granted hereunder without prior written consent of LICENSOR.

     IN WITNESS  WHEREOF the parties  hereto have caused their  signatures to be
affixed the day, month and year first above written.

                                       DAIRY QUEEN OF SOUTHERN ARIZONA, INC.

                                        /s/ Mildred L. Hanigan
                                       -----------------------------------------
                                       LICENSOR   Mildred L. Hanigan, President

                                       BOWLIN'S INCORPORATED
                                       136 Louisiana NE
                                       Albuquerque, New Mexico 87108
                                       -----------------------------------------
                                       LICENSEE

                                       /s/ C.C. Bess, Exec. V. Pres.
                                       -----------------------------------------
                                       LICENSEE C. C. Bess, Executive V. Pres.

                                       -3-
<PAGE>
                           DESCRIPTION OF EXHIBITS TO
                           STORE SUBLICENSE AGREEMENT
                            BETWEEN STATE OR DISTRICT
                           OPERATOR AND STORE OPERATOR

Exhibit 1:     Statement  of amount of and method of  computing  service fee; to
               which  should  be  added  a  designation  by  LICENSOR  of who is
               authorized   to  collect   service  fees  paid  pursuant  to  the
               agreement.

               (See attached Draft of Exhibit 1)

Exhibit 2:     Copy  of  current  standards  and   specifications  for  PRODUCT,
               including  such  for  ingredients,   processing,  equipment,  and
               containers.

                                   EXHIBIT # 1

     LICENSEE shall pay a service fee of 74 cents per gallon of mix processed by
LICENSEE,  either through his equipment or otherwise, into "Mr. Misty" products.
Said service fee is to be included as a part of the purchase  price of the basic
ingredients  (i.e.,  mix and flavors)  used in the  preparation  of "Mr.  Misty"
Products.  Said service fee shall be paid to American Dairy Queen Corporation at
the time of purchase of said ingredients by LICENSEE.  Regardless of the form in
which this basic  ingredient is  purchased,  whether dry,  fluid,  concentrated,
flavored,  or unflavored,  the number of gallons of the mix which,  according to
the current  standards and  specifications,  the quantity  purchased  will make,
shall be calculated  at the time of purchase,  and said fee shall be paid on the
number of gallons of mix so  calculated.  American  Dairy Queen  Corporation  is
acting as the agent of LICENSOR in collecting  said fee and upon making  payment
to it,  LICENSEE is no longer  responsible  for the ultimate  payment thereof to
LICENSOR.  LICENSEE  shall  keep at  location  a record  by  dates,  nature  and
quantities of all of its purchases of such basic  ingredient and shall make such
record available for inspection by LICENSOR or its  representatives  at any time
and from time to time during LICENSEE'S regular business hours.

     LICENSOR  may from time to time in writing  specify  some  other  person or
entity to whom or which said service fee shall be paid by LICENSEE.

                                   EXHIBIT # 2

                        STANDARDS AND SPECIFICATIONS FOR
                              "MR. MISTY" PRODUCTS

The following  standards and  specifications are effective until further written
notice  from the  American  Dairy Queen  Corporation.  The "Mr.  Misty"  license
agreements to which this exhibit  pertains  require strict  compliance  with the
standards and specifications  here set forth. Should any store operator have any
question about the  interpretation  of the standards and  specifications,  he is
requested to contact  either  American  Dairy Queen  Corporation or his regional
franchise  operator from whom he received his rights to use the "Mr.  Misty" and
"Mr. Misty Kiss" trademarks.

The  sources  for  approved  freezers  and for  approved  base and  concentrated
flavors,  which are  recommended  below,  are the only sources of such which are
known at this time and which when used as  provided  herein  will  produce  "Mr.
Misty" products meeting the required  standards of quality,  taste,  appearance,
temperature, texture, and consistency. If and when other sources of freezers, or
of base and  concentrated  flavors become known to or are made known to American
Dairy Queen  Corporation,  these  sources will be reviewed to ascertain if their
product satisfies these standards and specifications.  If so, these sources will
be added to those approved below.

     I-FREEZER:

          Freezers  approved  for  dispensing  "Mr.  Misty"  products  are those
          manufactured  for this purpose by the following  manufacturers:  H. C.
          Duke and Son, East Moline, Illinois, and Stoelting Bros. Manufacturing
          Company,  Kiel,  Wisconsin.  The steps in  maintaining,  cleaning  and
          operating the freezers of either of said manufacturers must be adhered
          to as stated in the manufacturer's instructions.  The additional steps
          for the  operation of an approved  freezer which are stated below must
          also be complied with.

     II-"MR. MISTY" BASE INGREDIENT AND FLAVORED CONCENTRATES:

          The  unflavored  base  ingredient  to be used in  making  "Mr.  Misty"
          products  is  made  in  accordance   with  the  secret   formulae  and
          specifications  of the owner of the "Mr.  Misty" and "Mr.  Misty Kiss"
          trademarks.  Only the base  ingredient  so made may be used in  making
          products sold under these trademarks. American Dairy Queen Corporation
          has  arranged for the  manufacture  of such base  ingredient,  and the
          store  operator  will know he has the proper  base  ingredient  if the
          label thereon  indicates  that it is approved by American  Dairy Queen
          Corporation.  The foregoing also applies to the flavored  concentrates
          for use in making  flavored "Mr. Misty"  products.  At this time, both
          the approved base  ingredient and the approved  flavored  concentrates
          are available  through American Dairy Queen  Corporation.  If and when
          the owner of the  trademarks  authorizes  a  different  or  additional
          source for either the base  ingredient  or the flavored  concentrates,
          these standards and specifications will be modified accordingly.

     III-"MR. MISTY" PRODUCTS FORMULA AND SPECIFICATIONS:

         A.-LIQUID BASE:

          1.   UNFLAVORED BASE INGREDIENT AND ADDITION OF FLAVORS UPON SERVING:

               (a)  To five (5) pounds of sugar,
               (b)  Add one (1) pint of approved unflavored base ingredient.
               (c)  Add sufficient water to make five (5) gallons of mix.
               (d)  Stir the resulting mix thoroughly and place into an approved
                    dispensing freezer.
               (e)  Add desired flavor upon serving as follows:

                    (i)  Place  the  correct  amount  of  the  desired  flavored
                         concentrate in the bottom of the cup in the proportions
                         indicated below, and
                    (ii) Fill the  balance  of the cup with the  unflavored  mix
                         dispensed from the approved freezer.

               (f)  The  proportions  of the desired  flavor  concentrate  to be
                    added upon serving are:

<TABLE>
<CAPTION>
                                  "MR. MISTY"                         "MISTY KISS"
<S>                                                           <C>
                    (i)  Four (4) oz. cup: (sample size)      (i)  Quart container:
                         1/2 pumpstroke (1/8 oz.)                  6 pumpstrokes(1 1/2 oz)
                   (ii)  Nine (9) oz. cup:                         Fill to 24 oz.level with
                         1 pumpstroke (1/4 oz.)                    unflavored mix.
                  (iii)  Twelve (12) oz. cup:
                         1 1/2 pumpstrokes (3/8 oz.)
                   (iv)  Sixteen (16) oz. cup:
                         2 pumpstrokes (1/2 oz.)
</TABLE>

          2.   PREFLAVORING TO SERVE ONE FLAVOR DIRECT FROM DISPENSER FREEZER:

               "Mr.  Misty"  products  may be  preflavored  in  order to serve a
               single-flavored  product directly from the freezer, at the option
               of the store  operator,  in accordance  with the  following:  add
               twenty (20) ounces of approved  flavored  concentrate to five (5)
               gallons  of  unflavored  mix  made  as  specified   above,   stir
               thoroughly, and place in an approved freezer.

          IV-FREEZER OPERATION:

               Proper sanitation  instructions for use in the dispensing freezer
               are available from the authorized freezer manufacturers; however,
               all freezers will be cleaned and  sanitized at least weekly.  The
               operating  temperature of the freezing compartment must be within
               one   (I(Degree))   degree,   more  or  less,   of   twenty-seven
               (27(Degree)) degrees at all times.

          V-APPROVED CUPS AND CONTAINERS:

               "Mr.  Misty"  products may be served only in cups and  containers
               which are imprinted with the "Mr. Misty" trademarks in the format
               and  style   appearing  on  cups  and   containers   approved  or
               distributed   by  or  obtained   through   American  Dairy  Queen
               Corporation  or an  approved  source.  Samples of such format and
               style will be furnished by American Dairy Queen  Corporation upon
               request.

          VI-ADVERTISING AND DISPLAY MATERIALS:

               The  approved  format for signs,  posters  and other  advertising
               materials to promote "Mr.  Misty"  products shall be as appear in
               signs, posters and advertising  materials approved or distributed
               by or obtained through American Dairy Queen Corporation.  Samples
               thereof will be provided upon request.

The above standards and  specifications  supersede any previously  issued by the
Dairy Queen National Development Company and American Dairy Queen Corporation.

                                        AMERICAN DAIRY QUEEN CORPORATION

                                        By: /s/ Signature Illegible
                                            ------------------------------------
                                            President
<PAGE>
                                                                  APPENDIX "B-2"

APR 1985                                                 RECEIVED
RECEIVED                                               FEB 28 1985

                              FOOD SERVICE ADDENDUM
                          TO "DAIRY QUEEN" SUBFRANCHISE
                           AND/OR SUBLICENSE AGREEMENT

Food Service  Addendum  entered  into this 21st day of February,  1985 , between
DAIRY QUEEN OF SO. AZ., INC. of the city of Douglas, County of Cochise and State
of Arizona,  hereinafter  referred to as  "Licensor",  and BOWLIN'S  INC., a New
Mexico Corporation of the City of Albuquerque, county of Bernalillo and State of
New Mexico, hereinafter referred to as "Licensee":

     WHEREAS,  Licensor  is a  licensee  of  American  Dairy  Queen  Corporation
(hereinafter referred to as "American") in certain areas of the right to license
others to use a distinctive food service system (the "System") identified by the
"Brazier"  or other  trademarks  owned by  American  and  listed on  Appendix  A
(hereinafter collectively referred to as "Trademarks"); and,

     WHEREAS,  Licensor  has been  licensed by American to develop,  promote and
establish  the  System as an adjunct to the  "Dairy  Queen"  business  conducted
within Licensor's  Territory,  and to license "Dairy Queen"  sublicensees to use
the System and one or more of the Trademarks designated periodically by American
to identify the System and its various products; and

     WHEREAS,  Licensor  and  Licensee  are parties to a certain  "Dairy  Queen"
Franchise  and/or  License  Agreement  executed by Licensee  and Licensor or its
predecessor  whereby  Licensee is  authorized  to operate a "Dairy Queen" retail
store  (hereinafter  referred  to as "the  Store") at the  address  set forth in
Paragraph 2.1 of this addendum; and,

     WHEREAS, Licensor and Licensee each desire that all products sold under the
System or any of the Trademarks consistently conform to the quality standards of
the system as well as the highest expectations of consumers;

     NOW,  THEREFORE,  in  consideration of the premises and the mutual promises
and covenants herein contained, the parties hereby agree as follows:

     1.   AMENDMENT.

          1.1  Coordination of Agreements.  This Amendment shall be attached to,
     made a part of and wholly merged into that certain "Dairy Queen" franchise,
     License or Operating agreement dated the 1st day of

D.Q.S.A., INC. Form Food Service
Appendix "B-2" - 1 February 1985

     February  1984,  between the  undersigned  parties (the  "Agreement").  The
     Agreement  supplemented by this Addendum,  is to remain in full force,  and
     effect and is to be deemed  superseded by this Amendment only to the extent
     necessary to implement the terms hereof in connection  with  Licensee's use
     of the System for the "food service" aspect of his business.  The Agreement
     shall  continue  to,  govern  the  "Dairy  Products"  aspect of  Licensee's
     business.  As used herein,  the term "dairy  products"  and  references  to
     Licensee's  "Dairy Queen"  business as conducted prior to execution of this
     Addendum  refer to frozen or  semi-frozen  or other dairy or  confectionery
     products,  including  beverages,  and the "Dairy Queen" trademarks,  now or
     hereafter created, whose use is licensed to Licensee by the Agreement.  The
     term "food  service"  and  references  to the "System"  defined  herein and
     licensed  hereunder refer to all other prepared or ready-to-eat  foods, and
     the related "Dairy Queen", "Brazier" and other trademarks, now or hereafter
     created,  whose use is licensed  to  Licensee by this  Addendum or that are
     registered for foods or restaurant  services other than those defined above
     as "dairy  products"  and  related  marks.  In all other  cases and for all
     purposes the Agreement and this Addendum  shall be construed and treated as
     a single  instrument  and,  to the  extent  that they are not  inconsistent
     therewith,  all the terms and  provisions  hereinafter  contained  shall be
     defined and interpreted in conjunction with all of the terms and provisions
     of said Franchise and/or License Agreement.

          1.2 Preservation of Rights. The license granted by this Addendum shall
     continue until terminated by either Licensee or Licensor in accordance with
     the  provisions  of this  Amendment.  Under  no  circumstances  shall  this
     Addendum  remain  in effect  after any  termination  or  expiration  of the
     Agreement.  Upon any  termination or expiration of this Addendum,  Licensee
     shall  revert to no lesser nor greater  status or rights  than  Licensee is
     entitled  to under the  Agreement  as it existed  immediately  prior to the
     execution  of this  Addendum.  Each party  shall  have the same  rights and
     duties in respect to the "Dairy  Queen"  trademark as each had  immediately
     prior to execution  of this  Addendum.  Termination  or  expiration  of the
     Agreement  in  accordance  with its  terms,  however,  shall  automatically
     terminate this Addendum without further notice or action of either party.

     2. LICENSE.  Licensor hereby grants to Licensee,  subject to all the terms,
conditions and provisions hereof, the right and license to:

          2.1 Store  Identification.  Use the  Trademarks  at or about the Store
     located at Picacho Peak exit,  approx. 70 mi. E. of Phoenix,  AZ and 46 mi.
     West of  Tucson,  On I-10,  Pinal  County  on and in  association  with the
     advertising,  promotion  and sale of all uniform and approved  food service
     products and services as Licensor periodically may authorize.

          2.2  Trademark  Usage.  Use  the  Trademarks  at the  Store  on and in
     association   with  the  uniform   equipment,   supplies,   containers  and
     ingredients for the food service and other products approved periodi-

                                       -2-
<PAGE>
         cally by Licensor,  and to use one or more of the Trademarks designated
         periodically by American on signage used to identify the Store.

          2.3  Business  Method.  Employ  in  the  business  of  the  Store  the
     merchandising, sales promotion programs and business methods and techniques
     developed and approved by American and adopted and approved by Licensor.

          2.4  Assistance.  Receive  the  assistance  and  services  of Licensor
     provided for in this Addendum.

     3.  ACCEPTANCE OF LICENSE.  Licensee  hereby accepts the above license from
Licensor subject to all the-t'erms,  provisions and conditions hereof and agrees
to implement the System as Licensee's  sole food service  system and menu within
ninety  days  of  the  date  of  this  Addendum.   Licensee  further   expressly
acknowledges and agrees:

          3.1 Trademark Ownership. American is the owner of all right, title and
     interest in and to the Trademarks  together with the good will,  associated
     with or  attributable  to the  Trademarks,  of the business with which said
     Trademarks  have been and.  are used at and about  Licensee's  Store.  Said
     trademarks are valuable  property rights owned by American.  Licensee shall
     not  contest or  challenge  American's  ownership  or  registration  of the
     Trademarks.

          3.2 Trademark Use. The  Trademarks  shall be used only on or with such
     products and services as may be approved or specified by Licensor and shall
     at all times be used only in a manner approved by Licensor.

          3.3 Location of Use.  Licensee's right to the use of the Trademarks is
     specifically  limited to the site of the Store under the Agreement,  and in
     connect ion with sales promotion programs approved by Licensor.

          3.4 Other Marks.  Licensee shall use no other trademarks,  trade names
     or service  marks in the food  service  business at the Store  except those
     authorized  periodically  by Lisensor except with the prior written consent
     of Licensor.

          3.5 Changes in Marks.  Licensee acknowledges that Licensor shall, have
     the right and power in its sole discretion  within the Territory to select,
     adopt,  alter, amend or discontinue the use of one or more words,  phrases,
     trademarks,  trade  names,  service  marks  or,  the  like,  heretofore  or
     hereafter  in use in  connection  with the  food  service  business  hereby
     licensed to Licensee,  from time to time as Licensor may deem  expedient or
     as may be required by American;  and Licensee further  acknowledges that no
     such usage,  terminology,  or adoption,  change or discontinuance  thereof,
     shall in any manner or degree have any effect upon the  remainders  of this
     Addendum or upon Licensee's original "Dairy Queen" franchise agreement. Any
     such new or altered

                                       -3-
<PAGE>
     word(s),  trademarks,  trade  names or  service  marks or the like shall be
     deemed  subsumed  under  the  definition  of  the  Trademarks   hereinabove
     contained. Licensor engages that it will not make an unreasonable number of
     such changes, or make such changes at unreasonably close intervals.

          3.6 Authorized  Trademarks.  Licensor shall keep Licensee  informed by
     means of revisions to the attached Appendix A, which is hereby incorporated
     herein,  as  to  the  full  list  of  currently   authorized  food  service
     trademarks,  trade names and service marks. Licensee shall., upon notice of
     any  alteration   therein,   forthwith   conform  his  operations  to  such
     enumeration as revised.

          3.7 Business Identification.  Licensee shall not use the Trademarks or
     any of them as a part of his  corporate  or business  name and shall use in
     connection  with  his  food  service  business  only  one  or  more  of the
     Trademarks as may be designated  periodically by American as the trade name
     on the store from which the said food  service  products  and  services are
     sold, but Licensee  shall also display the "Dairy Queen"  Trademark on said
     store.

          3.8 Business Method. Licensee shall adopt and follow in good faith the
     systems,  programs  and methods  prescribed  for  Licensee's  food  service
     operation pursuant to this Addendum.

          3.9 Conflicts of Interest.  Neither  Licensee nor any person owning an
     interest  directly or indirectly in Licensee  shall  directly or indirectly
     operate or permit to be  operated  or hold any  interest  (other than 1% or
     less of the  outstanding  stock or debt of any class of any public company)
     in  any  restaurant  or  fast-food  business  other  than  Bowlin's  or its
     affiliates  at the time of  signing  or one  authorized  by this  agreement
     without the prior written consent of Licensor.

     4. TRADEMARK  STANDARDS  AND  REQUIREMEMENTS.  Licensee agrees that nothing
herein contained gives him any right, title or interest in the Trademarks except
the right to use the same under the terms and  conditions  of this  Addendum and
that  Licensee's  use thereof  inures to the benefit of  American.  American and
Licensor have the right to distribute for their own account products  identified
by the Trademarks  through other methods of distribution that may be established
periodically.

          4.1 Uniform Use of Marks.  Licensee  shall confine his use of the food
     service Trademarks to the sales promotion programs and sale of food service
     products  and  services  which shall in  quality,  mode and  conditions  of
     manufacture  and  sale,  comply  with  such  reasonable  standards  as  are
     established or approved from time to time by Licensor.  In order to promote
     and protect the business interests of each of the parties, the value of the
     "Dairy Queen" business and the business  interests of other persons engaged
     in such business,  Licensee shall adhere to system  standards of uniformity
     prescribed by Licensor in the

                                       -4-
<PAGE>
     type, standard and quality of stores,  equipment,  supplies and ingredients
     used therein, and the conditions of preparation and the procedures employed
     in the sale of said  products  and  services.  Licensor  shall  not make an
     unreasonable number of changes with respect to such matters.

          4.2 Uniform Facilities. Licensee agrees that the food service business
     hereunder be conducted in accordance with Licensor's  uniform  requirements
     with  respect to quality,  prodcution,  appearance,  cleanliness,  service,
     merchandising  and sales promotion  standards.  Licensee  acknowledges  and
     agrees that substantial  uniformity in facilities,  products,  services and
     operations  are  essential  to the  conduct of a system  such as the "Dairy
     Queen"  system,  and  therefore  further  agrees  to  honor  and  implement
     recommendations  of Licensor  directed to  enhancing  and  furthering  such
     uniformity.

          4.3 Equipment and  Supplies.  Licensee  agrees to purchase and use, in
     the  operation  of the food  service  portion  of  Licensee's  Store,  only
     equipment, supplies and ingredients which are approved by Licensor. Nothing
     herein shall be construed as an attempt to limit  unreasonably  the sources
     from which Licensee may procure equipment, supplies and ingredients. Rather
     it is the  intention of the parties that such items  conform to  Licensor's
     standards and specifications of consistent quality and uniformity.  Nothing
     contained  herein  shall be  deemed  to  require  Licensor  to  approve  an
     inordinate  number of  suppliers  of a given item or  service  which in the
     reasonable  judgment of Licensor  would result in higher cost  generally to
     Licensor's  licensees or prevent  effective and  economical  supervision of
     suppliers by Licensor,  Requests for approval of additional suppliers shall
     be in writing and shall contain such information as Licensor may reasonably
     request.  Licensor  reserves  the right to charge  back to  Licensee or the
     proposed supplier all reasonable expenses incurred in considering  requests
     for approval.

          4.4 Approved Adaptations.  Complete and detailed uniformity under many
     varying  conditions may not be possible or practical and Licensor  reserves
     the right and privilege,  at Licensor's sole discretion and as Licensor may
     deem in its best  interests to vary  standards for any other licensee based
     upon the  peculiarities  of a particular site or  circumstance,  density of
     population,  business  potential.,   population  of  trade  area,  existing
     business  practices or any other  condition  which  Licensor deems to be of
     importance  to the  successful  operation  of  such  licensee's.  business.
     Licensee  shall not be entitled to any  variation  from  specifications  or
     standards  prescribed  hereunder by reason of any variation  granted to any
     other person.  Licensee  acknowledges that he is aware that other licensees
     of  Licensor  or  American  operate  under a number of  different  forms of
     agreement and that, consequently, the obligations and rights of the parties
     to such  agreements may differ  materially in certain  instances from those
     provided herein. Licensee further agrees that any requirement, standard

                                       -5-

     or  specification  prescribed  hereunder is subject to reasonable  periodic
     modification  or  recission  by Licensor or American to adapt the System to
     changing conditions and competitive circumstances.

          4.5  Litigation.  In the event any  person  who is not a  licensee  of
     Licensor or American, uses or infringes upon the Trademarks, American shall
     control  all  litigation  and shall be the sole  judge as to whether or not
     suit shall be  instituted,  prosecuted or settled,  the terms of settlement
     and  whether  or not any other  action is taken.  Licensee  shall  promptly
     inform  Licensor of any  litigation or threatened  litigation by or against
     Licensee  which  arises out of the  operation  of  Licensee's  business  or
     pertains  to the  Trademarks.  Thereafter,  Licensee  shall  keep  Licensor
     informed of the status of any such litigation or threatened  litigation and
     cooperate  with any action  reasonably  undertaken  by Licensor or American
     with respect thereto.

          4.6 Notice of Potential  Profit.  American and Licensor  hereby advise
     Licensee that  American,  Licensor  and/or the affiliates of either of them
     may from time to time make available to Licensee  goods,  products,  and/or
     services  for use in  Licensee's  Store on whose  sale  American,  Licensor
     and/or such  affiliates  may make a profit.  American and Licensor  further
     advise Licensee that American, Licensor or the affiliates of either of them
     may  from  time  to  time  receive   consideration  from  suppliers  and/or
     manufacturers in  consideration of rights licensed or services  rendered to
     such  persons.   Licensee  agrees  that  American,   Licensor  and/or  such
     affiliates shall be entitled to said profits and/or consideration.

     5. PRODUCT AND OPERATIONS STANDARDS. The following provisions shall control
with respect to products and operations of Licensee's food service operations:

          5.1 Authorized  Product Line.  Licensee's food service business at the
     Store shall be 'confined to the  preparation and sale of only such products
     as Licensor  periodically  designates and approves.  The Store shall not be
     used  for any  other  business  than  the food  service  business  licensed
     hereunder and Licensee's current "Dairy Queen" business, and Licensee shall
     not  offer  for  sale  therefrom  any  other  product  or  service  of  any
     description  without  the written  consent of  Licensor.  Specifically  but
     without limiting the foregoing,  alcoholic or intoxicating  beverages shall
     not be sold or offered for sale or otherwise  handled  upon said  premises.
     RE: Sect. 1, paragraph 4 of pg.1, Addendum 4A to the "Agreement".

          5.2  Approved  Menu.  Attached  hereto as Appendix B is the  currently
     approved menu for Licensee's food service business.  Licensor may from time
     to time make reasonable  modifications  to said approved menu provided said
     modifications  are made in  respect to all  licensees  which have this or a
     comparable  agreement  and are  located  in  similar  marketing  areas.  In
     addition,  Licensee  may  from  time to time  request  variation  from  the
     currently approved menu. Proposal for such

                                       -6-
<PAGE>
     variation  shall be  submitted  in writing to Licensor for its approval and
     shall be in the form (if any)  prescribed by Licensor.  Said proposal shall
     contain sufficient  information to permit Licensor to evaluate the proposal
     fairly and fully. Such variations shall only be made with the prior written
     consent of Licensor.

          5.3 Authorized Ingredients,  Formulas, Supplies, Preparation. Licensee
     shall  use in  preparing  food  service  products  only  such  ingredients,
     formulas and supplies as specified by Licensor and in such portions, sizes,
     appearance and packaging as set forth in the most current "Store Management
     Operations Manual" and "Product Preparation Charts".  Licensee acknowledges
     and agrees that these may be changed from time to time by Licensor and that
     Licensee is  obligated  to conform to the  requirements  as so changed from
     time to time. All other supplies,  including  containers,  eating utensils,
     napkins and all other customer service  materials and promotional  items of
     all  descriptions  and  types  shall  meet  the  reasonable   standards  of
     uniformity and quality as now or hereafter are approved by Licensor for the
     Territory.  Licensee.  shall be furnished  with  current  lists of approved
     equipment,  supplies,  ingredients,  services and  applicable  standards of
     uniformity and quality.

          5.4 Serving  and  Promotional  Items.  All sales  promotion  material,
     customer "good will" items, cartons, containers,  wrappers and paper goods,
     eating and serving utensils, customer convenience items (including napkins,
     baby bibs, and disposal  containers) used in the sales promotion,  sale and
     distribution of all food service products shall, where practicable, contain
     one or more of the Trademarks authorized for use by Licensee as appropriate
     to the product in question, and indicate that it is produced and sold under
     the  authority  of  American  and shall be subject to  approval by American
     before being used.

          5.5 Health and Sanitation.  Licensee's food service  business shall be
     operated  and  maintained  at all  times  in  compliance  with  any and all
     applicable  health and  sanitary  standards  prescribed  by Licensor and by
     governmental  authority including any standards prescribed by Licensor that
     are more, restrictive than-those set by governmental authority. In addition
     to  complying  with such  standards,  if the Store  shall be subject to any
     sanitary or health  inspection by any governmental  authorities under which
     it may be  rated  in one or more  than  one  classification,  it  shall  be
     maintained and operated so as to be rated in the highest  available  health
     and  sanitary  classification  with  respect  to each  governmental  agency
     inspecting the same.

          5.6 Inspection.  Licensor, American or their authorized representative
     shall  have the right to enter  Licensee's  Store at all  reasonable  times
     during the business day for the purpose of making  periodic  inspections to
     ascertain if all the provisions of this Adden-

                                       -7-
<PAGE>
     dum are being observed by Licensee and to inspect  Licensee's Store,  lands
     and equipment,  and to test,  sample and inspect his supplies,  ingredients
     and products,  as well as the storage,  preparation and formulation thereof
     and  the  conditions  of  sanitation   and   cleanliness  in  the  storage,
     production, handling and serving thereof.

     6. SALES PROMOTION PROGRAMS AND FEES.

          6.1 Sales Promotion  Programs and Payment of Administrative  Expenses.
     Licensee  shall  cooperate  in sales  promotion  programs of approved  food
     service products.  To this end Licensor reserves the right to establish and
     organize sales promotion  programs from time to time and Licensee agrees to
     pay to Licensor a sales promotion program fee as set forth in Paragraph 6.3
     hereof. Licensee acknowledges and agrees that Licensor has had in the past,
     and shall have in the future,  the discretion to determine  expenditures of
     funds collected in respect to sales promotion programs and as to the timing
     and  selection  of the  promotional  materials  and programs for which said
     expenditures are made, provided,  however,  that Licensor shall make a good
     faith  effort  to  expend  such  funds in the  general  best  interests  of
     participating  licensees.  Licensor shall expend sales  promotion  funds as
     provided  herein.  Licensee  acknowledges  and  agrees  that  Licensor  may
     compensate  itself  and/or  its  affiliated  companies  for the  expense of
     administering  and promoting  such food service sales  promotion  programs.
     Licensor shall advise Licensee annually of the receipts and expenditures of
     sales promotion  programs and of Licensor's  expense of  administering  and
     promoting said programs.

          6.2 Approved  Materials.  Licensee shall use only such sales promotion
     program materials or other advertising materials as are furnished, approved
     or made available by or through  Licensor and/or  American.  Said materials
     shall be used only in a manner prescribed by Licensor and/or American.

          6.3 Sales  Promotion  Program  Fee.  Licensee  shall pay to Licensor a
     sales  promotion  fee to be expended in accordance  with the  provisions of
     Paragraph  6.1.  The sales  promotion  fee shall be a sum equal to not less
     than 3% nor more than 6% of  Licensee's  gross  retail  sales (net of sales
     taxes),   including  both  dairy  product  and  food  service  sales,  from
     Licensee's Store. Licensor shall notify Licensee of the exact percentage by
     January of each year. (Except no notification will be given with respect to
     any year for which the  percentage  is to be unchanged  from the  preceding
     year). Such percentage shall be the same as that to be employed during such
     succeeding  year by the  majority  of "Dairy  Queen"  licensees  within the
     marketing area as determined by Licensor within which  Licensee's  Store is
     located. This sales promotion fee (and the license

                                       -8-
<PAGE>
     fee provided for in Paragraph  8.1) are in addition to, and not in lieu of,
     any fees (other titan sales  promotion or advertising  fees) required to be
     paid  pursuant  to  Licensee's  above-referenced  "Dairy  Queen"  franchise
     agreement;  the sales  promotion  herein  provided for shall  supersede and
     replace any sales  promotion  or  advertising  fees  required to be paid by
     Licensee to Licensor under any other such  franchise or License  agreement.
     RE: Sect. III of page 2 Addendum 4A to the "Agreement".

          6.4 Yellow  Pages.  Licensee  shall,  if requested  by Licensor,  list
     separately,  or participate in a listing,  in the Yellow Pages of his local
     telephone directory  containing such copy as may reasonably be specified by
     Licensor. The cost of listing shall be paid by Licensee, or by Licensee and
     other  participating  licensees  in the case of a joint  listing.  Licensor
     shall not specify an unreasonably expensive listing.

     7.  FACILITY  STANDARDS.  The  following  shall  control  with  respect  to
Licensee's facilities at his Store:

          7.1. Store Facility.  Licensee agrees that the food service facilities
     shall be constructed and equipped in accordance  with Licensor's  currently
     approved  specifications  and standards for building,  equipment,  signage,
     fixtures, location and design and accessory features.

          7.2 Future Alteration.  Any replacement , reconstruction,  addition or
     modification in building, interior or exterior decor or image, equipment or
     signage,  to be made after  consent is granted by Licensor  for the initial
     plans, whether at the request of Licensee or of Licensor,  shall be made in
     accordance  with  written  specifications  which  have  received  the prior
     written consent of Licensor, which shall not be unreasonably withheld.

          7.3 Maintenance.  The building,  equipment and signage employed in the
     conduct  of  Licensee's  food  service  business  shall  be  maintained  in
     accordance with specific lists prepared by Licensor and based upon periodic
     inspections of the premises by Licensor's representatives.  Within a period
     of ninety (90) days after the receipt of any particular  maintenance  list,
     Licensee shall effect the items of maintenance designated therein including
     the repair of defective  items and/or the  replacement of  unrepairable  or
     obsolete  items of equipment  and  signage.  Routine  maintenance  shall be
     conducted in  accordance  with general  schedules  published by Licensor or
     American and made available to Licensee.

          7.4   Relocation.   Should  it  become   necessary,   on   account  of
     condemnation,  sale or other cause, including expiration or cancellation of
     lease,  to  relocate  the  entire  Store,  Licensor  shall  grant  Licensee
     authority to do so at a  site,  acceptable  to  Licensor,  that is within a
     radius of 1,000 meters of the Authorized Location, is reasonably

                                       -9-
<PAGE>
     suited for a "Dairy  Queen"  retail  store,  does not infringe on rights of
     another  licensee,  is  reasonably  distant from other "Dairy Queen" retail
     stores, and provided that the new retail store is constructed, equipped and
     fully ready to be opened for business  within one year after  discontinuing
     operation  of a "Dairy  Queen"  Store at the  Authorized  Location,  all in
     accordance  with the current  standards  of American  and  Licensor at that
     time.  If the need to relocate the Store is  attributable  to the voluntary
     act or  omission of  Licensee,  Licensee's  right to relocate  the Store as
     provided  herein shall be void and  Licensee's  interest in this  Agreement
     shall be abandoned  unless Licensee shall have given Licensor notice of his
     intent to  relocate  not less than sixty  (60) days  prior to  closing  the
     Store,  shall have procured a site  acceptable  to Licensor  within 60 days
     after  closing the prior Store,  and shall have opened the new retail Store
     for business within 180 days of such closure.

          7.5  Modernization  and  Refurbishment  Upon Transfer.  Each and every
     transfer of any interest in this Agreement or business conducted  hereunder
     is expressly  conditioned  upon Licensee  promptly  effecting such items of
     modernization,  refurbishing  and/or  replacement  of building,  equipment,
     fixtures and signage as may be  reasonably  necessary to permit the same to
     conform to the standards then prescribed by American for similarly-situated
     new "Dairy Queen" store operations.  Licensee  acknowledges and agrees that
     the  requirements  of this  Paragraph are both  reasonable and necessary to
     insure  continued  public  acceptance  and  patronage of the "Dairy  Queen"
     system,  and to avoid  deterioration or obsolescence in connection with the
     operation of the business.

     8. PERSONNEL AND SUPERVISION STANDARDS. The following shall control respect
to personnel, training and supervision:

          8.1  Training.  Licensee  shall,  at  Licensee's  expense,  attend and
     complete  American's training program,  at Minneapolis,  Minnesota,  (or at
     another  location  designated by Licensor)  prior to opening of Licensee' s
     food service operations. If Licensee operates the Store principally through
     a hired manager,  Licensee  shall, at Licensee's  expense,  also cause such
     person to attend and complete American's, or Licensor's,  training program.
     Under no  circumstances  shall  Licensee  permit  management of the Store's
     operations  on a  regular  basis  by a  person  who  has  not  successfully
     completed American `s or Licensor's training program.

          8.2 Staffing. Licensee shall hire and supervise efficient,  competent,
     sober and courteous  persons as his employees for the operation of his food
     service  business and set and pay their wages,  commissions  and incentives
     with no liability therefor on American or Licensor.  Licensee shall require
     all his  employees  to work in clean  uniforms  approved  by  Licensor  but
     furnished  at the  cost  of  Licensee  or his  employees  as  Licensee  may
     determine.  No employee  of  Licensee  shall be deemed to be an employee of
     Licensor or American for any purpose(s) whatsoever.

                                      -10-
<PAGE>
          8.3  Internal  Training  Program.   Licensor  shall  provide  or  make
     available  to  Licensee  an  in-store.   training  program  for  all  store
     employees.  Licensee  still  train  and  periodically  re-train  all  store
     employees  using the training  aids made  available  by Licensor.  American
     periodically  will  revise  such  training  materials  and  aids  and it or
     Licensor will make the same available for purchase by Licensee.

          8.4  Attendance  at Meetings.  Licensee,  or  Licensee's  manager,  at
     Licensee's  expense,  shall  attend  at least  one  national,  regional  or
     approved local  marketing area meeting each year which American  originates
     for and on behalf of "Dairy  Queen"  operators to set forth new methods and
     programs  in  store  operation,   training,  management,  sales  and  sales
     promotion programs. Licensor further strongly recommends that key employees
     of Licensee also attend such meetings.

     9. FEES, REPORTING AND FINANCIAL MANAGEMENT

          9.1  Continuing  Franchise  License Fee.  During the full term of this
     Operating Agreement, and in consideration of the rights licensed hereunder,
     Licensee  shall pay to  Licensor  as  license  fee in respect to the rights
     licensed  herein a sum  equal to 4% of gross  retail  sales,  exclusive  of
     retail  sales  taxes of all  products,  goods and  wares of every  kind and
     nature  sold from;  or in  connection  with the food  service  portion  of,
     Licensee's  "Dairy  Queen"  Store,  including,  but  without  limiting  the
     generality  of the  foregoing,  sales  of  all  products  under  any of the
     Trademarks  as well as sales of other food service  merchandise  whether or
     not identified by other brand names.

          9.2 Computations and Remittances.  All amounts due and owing hereunder
     shall be computed at the end of each month's  operation and  remittance for
     the same  shall be made to  Licensor  on or  before  the  tenth  day of the
     following  month  accompanied by the reports  provided for in Paragraph 9.4
     hereof. The computation of said amounts,  shall be certified by Licensee in
     the manner and form  specified  by Licensor  and  Licensee  shall supply to
     Licensor  such  supporting  or  supplementary  materials  as  Licensor  may
     reasonably require to verify the accuracy of such remittances.

          9.3 Surcharge Method of  Precollection.  At Licensor's option Licensor
     may require  Licensee to pay to  suppliers  of food  service  products  and
     ingredients  a  surcharge  on all units of such  commodities  purchased  by
     Licensee.  Said surcharge shall be established by Licensor at a reasonable,
     rate so as to approximate the amount of license fee and sales promotion fee
     which will be payable by  Licensee.  Said  surcharge  shall be paid to said
     supplier or suppliers  for the account of Licensor,  and be regarded by the
     parties as a method of  precollection  of said license and sales  promotion
     fees.  The amounts so collected  shall be credited by Licensor  against the
     license and sales  promotion  fees due from Licensee to Licensor at the end
     of each month's operations. Licensor shall submit to License on Licensor's

                                      -11-
<PAGE>
     choice of a monthly  or  quarterly  basis a  reconciliation  of  Licensee's
     license  and sales  promotion  fees  account  setting  forth the  credit to
     Licensee's  account from amounts collected for Licensor by suppliers by way
     of the aforesaid  surcharge method.  Should Licensee fail to submit reports
     in accordance with Paragraph 9.4, Licensor may make said  reconciliation of
     amounts  due in  conformance  with its best  judgment as to amounts due and
     Licensor's  reconciliation  shall  be  conclusive  as to  the  amounts  due
     Licensor from Licensee  within,  a period of ten (10) days after mailing of
     said reconciliation to Licensee by Licensor,  Licensee provides evidence in
     a form  satisfactory to Licensor of the correct amounts due. Licensee shall
     pay such  amounts,  if any  determined  to be owed  pursuant to  Licensor's
     reconciliation  within ten (10) days after a mailing of notice to  Licensee
     by Licensor.  If Licensor determines that Licensee has over-paid license or
     sales  promotion  fees on the  surcharge  basis,  Licensor  shall  remit to
     Licensee  an amount  equal to the  excess  fees  collected  at the time the
     monthly or quarterly reconciliation is provided Licensee.

          9.4 Records and Reports.  Licensee  shall keep true records from which
     all sums payable under this Agreement and the dates of accrual  thereof may
     be readily  determined  including but not limited to a monthly statement or
     profit and loss; an annual balance sheet,  statement of profit and loss and
     statement of changes in financial position;  records of purchases,  special
     sales and  promotions,  check  registers,  sales tax  returns,  daily  cash
     register tapes or similar  records showing all sales and such other related
     information as Licensor may reasonably specify. Licensee shall make written
     reports to Licensor in such form as Licensor  periodically  may  reasonably
     prescribe,  within  ten (10) days after the end of each  month's  operation
     setting forth such  information and data as may be reasonably  necessary to
     determine  the sums payable to Licensor by Licensee  during said month.  In
     addition to the  foregoing  and in addition  to such other  information  as
     Licensor may from time to time  reasonably  require,  said  monthly  report
     shall  accurately  set forth the gross retail sales of the Store as well as
     the total of number of gallons of mix,  the total number of pounds of meat,
     and the quantity of other basic  commodities  used by the Store during said
     month and the sources  where  .said mix,  meat and other  commodities  were
     purchased.  For the purpose of said  reports,  the date of use of such mix,
     meat and other commodities shall be deemed to be the date of receipt at the
     Store.

          9.5  Inspection  and Audit.  Licensee shall keep all books and records
     relating to the Store at a location where they shall be readily  accessible
     to  Licensor   and   American.   Licensor,   American  or  the   authorized
     representative  of either  shall  have the right at all  times  during  the
     business  day to enter the  premises  where  Licensee's  books and  records
     relative to the Store are kept,  and to inspect,  copy and audit such books
     and  records.  In the event that any such  inspection  or audit  reveals an
     understatement of Licensee's gross sales,  continuing license fees or sales
     promotion fee of 2-1/2%. or more, or a

                                      -12-
<PAGE>
     variance  of 5% or more from other data  reported to Licensor in respect to
     any other  material  item,  in  addition  to any other  rights it may have,
     Licensor or American  may  conduct  such  further  periodic  audits  and/or
     inspections  or  Licensee's  books  and  records  as  it  reasonably  deems
     necessary  for up to two years  thereafter  and such further  audits and/or
     inspections  shall be at  Licensee's  sole expense  including  professional
     fees, travel and living expenses directly related thereto.

          9.6 Financial Responsibility and Insurance. Licensee hereby waives all
     claims against Licensor and American for damages to property or injuries to
     persons  arising out of the operation of  Licensee's  business and Licensee
     shall  indemnify  and save  Licensor and American  harmless of and from any
     damage or injury to property or persons  arising from or growing out of the
     operations of Licensee's business.  Licensee further agrees to purchase and
     maintain in full force and effect, at Licensee's expense,  public liability
     insurance in an amount not less than  $500,000,  or such greater  amount as
     Licensor periodically may reasonably specify taking into account inflation,
     risk levels or other factors  deemed  important by Licensor,  insuring both
     parties hereto, and American,  by name, from liability for any and all such
     damage or injury and waiving the insurer's  rights or  subrogation  against
     Licensor and American.  Licensee agrees to deliver to Licensor periodically
     a certificate evidencing the existence of such insurance coverage and which
     provides that Licensor will be given not less than thirty (30) days written
     notice of material change of or termination or cancellation of the policy.

          9.7 Offsets.  Licensee  waives any and all existing and future  claims
     and offsets against any amounts due hereunder,  which amounts shall be paid
     when due,  Licensor and American  shall be entitled to apply or cause to be
     applied  against  amounts due to either of them or any of their  respective
     affiliated  companies  any  amounts  which may from time to time be held by
     either of them or their  respective  affiliates on Licensee's  behalf or be
     owed to Licensee by  Licensor or American or their  respective  affiliates.
     All amounts owed by Licensee to Licensor hereunder shall bear interest from
     their due  date(s)  until paid at the lesser of 18% per annum 9 the maximum
     contract  rate  of  interest  permitted  by the  law of  the  state  of the
     Authorized Location of Licensee's Store.

     10. RESOLUTION OF DISPUTES;  TERMINATION. Except as qualified below, in the
event of any dispute  between the  parties,  hereto  arising  under,  out of, in
connection with or in relation to this Agreement,  said dispute shall be settled
in a court of law. However, at the agreement of both parties, said dispute shall
be submitted by the parties to binding  arbitration in accordance with the Rules
and Procedures and under the auspices of the American  Arbitration  Association.
The  arbitration  shall take place at the capital of the state of the Authorized
Location of Licensee or at such other place as may be mutually  agreeable to the
parties.  The  decision of the  arbitrators  shall be final,  and binding on all
parties.  Notwithstanding the foregoing,.  Licensee recognizes that his Store is
one of a large number of stores similarly situated and selling to the public

                                      -13-
<PAGE>
similar  products,  and hence the  failure  on the part of a single  License  or
sublicensee  to comply with the terms of his Agreement  could cause  irreparable
damage  to  Licensor,  American  and/or  to  some  or all  other  "Dairy  Queen"
licensees.  Therefore,  it is  mutually  agreed that in the event of a breach or
threatened  breach of any of the terms of this  Addendum by  Licensee,  Licensor
shall forthwith be entitled to an injunction restraining such breach and/or to a
decree of  specific  performance  without  having  to show or prove  any  actual
damage,  together with recovery of  reasonable  attorney's  fees and other costs
incurred in  obtaining  said  equitable  relief,  until such time as a final and
binding  determination  is made by the arbitrators  and/or the court of law. The
foregoing  equitable  remedy  shall be in  addition  to, and not in lieu of, all
other remedies or rights which  Licensor  might  otherwise have by virtue of any
breach of this  Agreement  by  Licensee.  Licensor  also  reserves  the right to
commence a civil action  against  Licensee or take other  appropriate  action to
collect  sums of money due to  Licensor , and to compel  Licensee to compile and
submit  required  reports  to  Licensor  or  to  permit  inspections  or  audits
authorized by this Addendum.  The  prevailing  party in any action or proceeding
hereunder shall be entitled to recover its reasonable  attorney's fees and costs
therein.

          10.1 Breach of Contract.  Licensee shall be in default hereunder if he
     does any act that  manifests  his intent to  abandon  the  license  granted
     herein, or if Licensor reasonably determines that Licensee has breached any
     of the terms of this Addendum, which without limiting the generality of the
     foregoing shall include making any false report to Licensor; failure to pay
     when due any  amounts  required  to be paid to  Licensor or American or the
     affiliates  of either  whether  pursuant  to this  Addendum or to any third
     party as required by this Addendum; conviction of Licensee of any felony or
     misdemeanor  which  brings or tends to bring the  Trademarks  or the "Dairy
     Queen" system into  disrepute or impairs or tends to impair the goodwill of
     the  Trademarks,  failure to abide,  by "Dairy Queen" system  standards and
     requirements  in connection  with the  operation of Licensee's  business or
     failure to meet any requirements or specifications established with respect
     to product quality, physical property, conditions or equipment or materials
     used, products manufactured,  menu or use of approved products, packages or
     promotional  materials.  Failure of Licensee to pay to,  Licensor  any past
     due,  amount owed within  seven (7) days of  Licensor's  written  notice of
     default therein shall be construed as Licensee's  voluntary  abandonment of
     this Addendum and the food service business operated hereunder.

          10.2 Termination by Licensor. Except as hereinafter provided,  failure
     of Licensee to cure a default by Licensee  hereunder  within seven (7) days
     from the date of a  written  notice  of  default  mailed  or  delivered  to
     Licensee,  which notice states such default, shall give Licensor good cause
     to terminate this Addendum. Termination shall be accomplished by mailing or
     delivering to Licensee  written notice of  termination,  which notice shall
     state the grounds  therefore and shall be effective (i)  immediately in any
     case of voluntary abandonment of this Addendum by Licensee or conviction of
     Licensee of an offense

                                      -14-
<PAGE>
     directly related to the business  conducted  hereunder;  or (ii) sixty (60)
     days  after the date of such  notice  of  termination  in all other  cases;
     provided,  however,  that  notwithstanding  any  other  provision  of  this
     Paragraph 10, this Addendum may be terminated  immediately  upon failure of
     Licensee  to cure  within  twenty-four  (24)  hours of notice  thereof  any
     default  under  this  Addendum  which  materially  impairs  the  good  will
     associated with any of the Trademarks.  In addition to the foregoing,  this
     Addendum may be  terminated,  by Licensor upon any ground or by any shorter
     period of notice (but not less than seven days except as provided above) as
     may  be  expressly  permitted  from  time  to  time  by  applicable  law or
     regulation.  The provisions of any applicable law or regulation prescribing
     permissible  grounds, or minimum periods of notice, for termination of this
     franchise  shall  supersede  any  provision of this  Addendum  that is less
     favorable to Licensee  than such law or  regulation.  This  Addendum  shall
     terminate  automatically  without  notice or any act by any party  upon any
     termination or expiration of Licensee's  "Dairy Queen" franchise  agreement
     referred to in Paragraph 1.1.

          10.3 Loss of Lease;  Failure to Reopen.  Subject to the  provisions of
     Paragraph 5.4 hereof,  any  termination  of the land or building  lease for
     Licensee's  Store,  or any  failure  to  rebuild  or repair  and reopen for
     operation Licensee's destroyed or damaged store within one year of the date
     of  occurrence  of such  destruction  or  damage,  shall  be  construed  as
     Licensee's voluntary abandonment of this franchise and Addendum.

     11. TERMINATION CONSEQUENCES. Upon termination of this Addendum:

          11.1 Reversion of Rights.  All rights,  title and interest of Licensee
     in and to this Addendum shall become the property of Licensor.

          11.2  Discontinuation of Use of Marks. All of Licensee's rights to the
     use of the  Trademarks  and the right and license to conduct the franchised
     food  service   business  shall  revert  to  Licensor  and  Licensee  shall
     immediately cease all use of all such Trademarks and pay all, monies due at
     said  date.  Licensee  shall  promptly  and at his own  expense  remove  or
     obliterate all store signage and displays furnished to Licensee by Licensor
     and shall remove or obliterate any signage or displays at Licensee's  Store
     or in his  possession  bearing any of said  Trademarks or names or material
     confusingly similar to any of said Trademarks.

     12. MISCELLANEOUS.

          12.1 Severability. In the event at any future time one or more clauses
     of this Addendum shall be held to be void or  unenforceable  for any reason
     by any court of  competent  jurisdiction,  such clause or clauses  shall be
     deemed to be separable and the remainder of this

                                      -15-
<PAGE>
     Addendum  shall be deemed to be valid and in full  force and effect and the
     terms of this Addendum shall be equitably  adjusted so as to compensate the
     appropriate party for any consideration  lost because of the elimination of
     such clause or clauses.

          12.2 Waivers.  Any waiver by Licensor of any breach by Licensee  shall
     not be  deemed  to be a waiver of any  other or  subsequent  breach  nor an
     estoppel  to  enforce  its  rights in  respect  of any other or  subsequent
     breach.

          12.3 Joint Liability;  Pronoun References. If Licensee consists of two
     or more individuals, such individuals shall be jointly and severally liable
     and  references  to  Licensee  in this  Addendum  shall  include  all  such
     individuals.  Reference  to  Licensee  as male shall also  include a female
     licensee,  partnership  or  corporation  or any  other  business  entity as
     relevant in the context.

          12.4 Conformance with Law. This Addendum shall be deemed to be amended
     from time to time as may be necessary to bring any of its  provisions  into
     conformity with valid applicable laws or regulations.

          12.5  Transfer   Prohibited.   This  Addendum  is  not  assignable  or
     transferable  in whole or in part to any party except in connection  with a
     transfer  or  assignment  of the `Dairy  Queen"  franchise  referred  to in
     Paragraph  1.1 to which  Licensor  has  given its  prior  written  consent.
     Regarding transfer fee as set forth in the "Agreement", gross sales amounts
     shall  include all gross sales of "Dairy  Queen"  Soft Serve  Products  and
     Brazier Food line, in computing transfer fee.

          12.6 Entire  Agreement.  Subject to the  exceptions  set forth in this
     Addendum,  this Addendum constitutes the sole agreement between the parties
     with  respect  to  its  subject  and  embodies  all  prior  agreements  and
     negotiations with respect to the System.  There are no  representations  of
     any kind except as  contained  herein.  Paragraph  captions are for ease of
     reference and do not alter or limit the provisions of this Addendum.

          12.7 Relationship. Licensee is an independent contractor and is not in
     any manner the agent,  partner or employee or Licensor nor has Licensor any
     interest in, or power over, the business of Licensee, except to the limited
     extent expressly set forth in this Agreement.

          12.8 Parties Bound.  This  Agreement  shall be binding upon, and inure
     solely to the benefit of, the administrators, executors, heirs, successors,
     and  assigns of the  parties.  No person  who is not a named  party to this
     Agreement is, or is intended to be, a beneficiary hereof.

                                      -16-
<PAGE>
     IN WITNESS WHEREOF, the parties hereto have executed the foregoing Addendum
the date first above written.

                                         LICENSOR:

                                         Dairy Queen of Northern Arizona, Inc.
                                         ---------------------------------------

                                         By: /s/ Mildred L. Hanigan, President
                                             -----------------------------------

                                         LICENSEE:

                                         /s/ Michael L. Bowlin
                                             -----------------------------------

                                         Bowlin's, Inc.
                                         ---------------------------------------

                                         ---------------------------------------

                                         ACCEPTED:
                                         AMERICAN DIARY QUEEN CORPORATION

                                         By /s/ Signature Illegible
                                            ------------------------------------

                                            Its  V.P.
                                                 -------------------------------

D.Q.S.A., INC. Form Food Service
Appendix "2-B" - 1 February 1985
                                      -17-DAIRY QUEEN OPERATING AGREEMENT

                        "DAIRY QUEEN" OPERATING AGREEMENT

This  Agreement  entered  into this 30th day of  October,  1985,  by and between
Interstate Dairy Queen Corporation of the city of Atlanta, county of Dekalb, and
state of Georgia,  herinafter  referred to as "Licensor" and McClure Investments
of the city of Albuquerque county of Bernalillo,  and State of New Mexico herein
after referred to as "Licensee":

     WHEREAS,  Licensor  is the  exclusive  licensee of  American  Dairy.  Queen
Corporation in certain  geographical  areas including the territory  hereinafter
defined of the right to use,  license and permit others to use the "Dairy Queen"
trademark,  service mark and trade name which has been  registered in the United
States  Patent  Office,  in each state of the union and in foreign  countries as
well as those trademarks and service marks (hereinafter collectively referred to
as  "Trademarks"),  a list of which is attached hereto and made a part hereof as
Appendix A; and

     WHEREAS,  Licensor  and its  predecessors  in  interest  acting  under said
exclusive license instituted,  developed,  promoted,  and established the "Dairy
Queen" franchise  business and system in the aforesaid  territory which consists
of the sale of dairy products,  food products,  beverages and other products and
services  under said  trademarks and utilizing in connection  therewith  certain
types  of  facilities,  equipment,  supplies,  ingredients,   merchandising  and
business techniques and methods together with advertising and promotion programs
developed from time to time; and

     WHEREAS,  it is the  purpose of Licensor to provide to Licensee in a retail
store  outlet an  organization  to control  and make  uniform the  operation  of
facilities  and  equipment  together  with the quality of products,  the use and
protection  of  the  trademarks  and-to  make  available  uniform  and  approved
equipment, supplies, ingredients,  merchandising and business techniques and the
advertising and promotional programs of American Dairy Queen Corporation, and

     WHEREAS,  Licensee  desires to engage in the  "Dairy  Queen"  business  and
system and to enter into this operating  Agreement subject to the conditions and
controls  herein  prescribed for the purpose of offering to the public  products
and services of uniformly  high quality and  standards to the end of  protecting
the interests of Licensee,  of Licensor, of American Dairy Queen Corporation and
all other persons engaged in said business.

     WHEREAS,  it is the intent of both Licensor and Licensee to preserve within
the context of a "Dairy Queen" retail store  continuing  consumer  confidence in
the  reliability  and quality of all products sold under any of the  Trademarks,
and,  each party  desires  that all products  sold under any of the  Trademarks,
consistently  conform to the highest expectations of consumers of such products,
and, whereas,  by this Agreement the parties  contemplate that Licensee's store,
in addition to the normal "Dairy Queen" food and beverage products may also sell
Permitted Products, as defined hereinafter.
<PAGE>
     NOW,  THEREFORE,  in  consideration  of the mutual  promises and  covenants
herein  contained,  the grant by Licensor of this  Operating  Agreement  and the
payment by Licensee of the participation fees provided in Paragraph 9 hereof, it
is agreed by and between the parties hereto as follows:

                                GRANT OF LICENSE

Licensor's     1.   Licensor  hereby  grants  to  Licensee,  subject  to all the
Grant to            terms,  conditions  and  provisions  hereof,  the  right and
License             license to:

                    1.1  Establish  and  operate a retail  store  under the name
                         "Dairy   Queen"  at  I-40 and  Rio  Puerco  (exit  140)
                         Albuquerque, New Mexico 87005

                         hereinafter  referred to as the  "Authorized  Location"
                         (provided, however, in the event an Authorized Location
                         is not designated on the date hereof, and such location
                         is not designated herein by Licensor within ninety (90)
                         days after such date,  this Agreement shall become null
                         and void and all deposit is including the franchise fee
                         shall be returned to Licensee).

                    1.2  Use at the Authorized  Location the trademark on and in
                         association  with  sale  of all  uniform  and  approved
                         products and services as American  may  authorize  from
                         time  to  time,   with  all  approved  sales  promotion
                         programs relative thereto.

                    1.3  Use  at  the   Authorized   Location   the  on  and  in
                         association with the uniform equipment,  supplies,  and
                         ingredients for the products approved by American.

                    1.4  Employ in the business of said store the merchandising,
                         advertising,   promotion   and  business   methods  and
                         techniques developed, adopted and approved by American.

Acceptance     2.   Licensee  hereby  accepts the above  license  from  Licensor
by Licensee         subject to all the terms, by Licensee provisions

                                       -2-
<PAGE>
                    and  conditions  hereof and agrees that Licensee shall cause
                    to have a "Dairy Queen" store established within 180 days of
                    the date hereof  (unless an  extension  of time is expressly
                    authorized   in  writing  by   Licensor),   and   thereafter
                    maintained  and operated at the Authorized  Location,  under
                    Licencee's active and continuous  supervision and management
                    and  upon  the  standards  hereinafter  provided.   Licensee
                    further expressly acknowledges and agrees:

                    2.1  American is the owner of all right,  title and interest
                         in and to the trademark, and the good will attributable
                         thereto of the business in  connection  with which said
                         Trademarks  have been,  and are and will be used at the
                         Authorized  Location.  Licensor is the  licensee of the
                         right  to use the  Trademarks  in the  territory  which
                         includes the  Authorized  Location.  Specifically,  but
                         without limiting the foregoing,  Licensee disclaims any
                         and  all  right,  title  and  interest  in  or  to  the
                         Trademarks  and to the good  will  associated  with the
                         Trademarks  of the "Dairy  Queen"  retail  store at the
                         Authorized  Location and  acknowledges  and agrees that
                         all  such  good  will  is  the  exclusive  property  of
                         American.

                    2.2  The  trademarks are valuable  property  rights owned by
                         American.

                    2.3  The  trademarks  shall be used only in connection  with
                         such  products  and  services  as  may be  approved  or
                         specified  by  American  and shall at all times be used
                         only in a manner approved by American.

                    2.4  Licensee's   rights  to  the  use  of   trademarks   is
                         specifically   limited  to   Licensee's   retail  store
                         operation at Authorized Location.

                    2.5  Licensee shall use no other trademarks,  trade names or
                         service marks in said business except those  authorized
                         by  American  and as set forth in  Appendix A except by
                         the prior written consent of American.

                    2.6  Licensee  shall  not use the words  "Dairy  Queen" as a
                         part of its  corporate  or business  name unless  first
                         approved in writing by American, and shall use only the
                         word "Dairy Queen" (and no other words  whatsoever)  as
                         the  trade  name  on the  store  from  which  the  said
                         products and services are sold.  In the event  American
                         does approve the use of the words "Dairy Queen", or any
                         of the Trademarks, as a part of Licensee's corporate or
                         business  name  Licensee  shall  cause  such name to be
                         changed so as to eliminate  those works and  Trademarks
                         from the

                                       -3-
<PAGE>
                         name within  thirty  (30)  days  after  termination  of
                         this Agreement.

                    2.7  Licensee  shall  adopt  and  follow  in good  faith the
                         systems,  programs and methods  prescribed  by Licensor
                         for Licensee's retail operation in accordance with this
                         Operating Agreement.

                    2.8  Neither  Licensee  nor any  person  owning an  interest
                         directly or  indirectly in Licensee  shall  directly or
                         indirectly operate or permit to be operated or hold any
                         interest  (other  then 1% or  less  of any  outstanding
                         stock or debt of any class of any  public  company)  in
                         any  restaurant  or  fast-food  business  other  than a
                         Stuckey's Pecan Shoppe or its affiliates at the time of
                         signing or one authorized by this Agreement without the
                         prior written consent of Licensor.

                                      TERM

Term           3.   The License  granted herein shall continue until  terminated
                    by Licensee, with or without cause, on sixty (60) days prior
                    written notice to Licensor, or until otherwise terminated by
                    either   Licensee  or  Licensor  in   accordance   with  the
                    provisions of this Agreement.

                      TRADEMARK STANDARDS AND REQUIREMENTS

General        4.   Licensee agrees that nothing in this agreement gives him the
Declarations        right to use the Trademarks except the right to use the same
                    under the terms and  conditions  of this  Agreement and that
                    Licensee's  use there of injures to the benefit of American.
                    Specifically,  but without limiting the foregoing,  Licensee
                    acknowledges  and agrees that American has the right and may
                    distribute  for its own account  products  identified by the
                    Trademarks  through not only "Dairy Queen" retail stores but
                    through any other distribution method which may from time to
                    time be established.

Use of              4.1  Licensee  shall  confine his use the  trademarks to the
Trademarks               sales promotion programs, sale of products and services
                         which  shall  in  quality,   mode  and   conditions  of
                         manufacture and sale, comply with such standards as are
                         established  or  approved  by  American.  In  order  to
                         promote and protect the  business  interests of each of
                         the parties,  the value of the "Dairy  Queen"  business
                         and the  business  interests of other  persons  engaged
                         therein,  uniformity  shall be  maintained in the type,
                         standard and quality of stores, equipment, supplies and
                         ingredients   used  therein,   and  the  conditions  of
                         preparation and the procedures  employed in the sale of
                         said products and services.

                                       -4-
<PAGE>
Acknowledge         4.2  Licensee agrees that the provisions,  restrictions  and
of                       controls  provided in this Operating  Agreement are all
Necessity of             necessary,  reasonable  and desirable for such purposes
Uniformity               and that Licensee's said business shall be conducted in
                         accordance with American's  uniform  requirements  with
                         respect    to    quality,    production,    appearance,
                         cleanliness,  service,  merchandising  and  advertising
                         standards.   Licensee   acknowledges  and  agrees  that
                         substantial   uniformity   in   facilities,   products,
                         services and operations are essential to the conduct of
                         a  system  such  as  the  "Dairy  Queen"  system,   and
                         therefore   further   agrees  to  honor  and  implement
                         recommendations  of American and  Licensor  directed to
                         enhancing and furthering such uniformity.

Equipment           4.3  Licensee  agrees to purchase and use, in the  operation
and Supplies             of  Licensee's   "Dairy   Queen"  retail  store,   only
                         equipment, supplies, ingredients and services which are
                         approved  by American or by  Licensor.  Nothing  herein
                         shall   be   constructed   as  an   attempt   to  limit
                         unreasonably   the  sources  from  which  Licensee  may
                         procure equipment,  supplies,  ingredients or services.
                         Rather,  it is the  intention  of the parties that such
                         items    conform   to    American's    standards    and
                         specifications  of consistent  quality and  uniformity.
                         Nothing  contained  herein  shall be deemed to  require
                         Licensor to approve an  inordinate  number of suppliers
                         of a given  item or  service  w3hich in the  reasonable
                         judgment  of  American  or  licensor  would  result  in
                         licensees   or   prevent   effective   and   economical
                         supervision  of  suppliers  by approval  of  additional
                         suppliers  shall be in writing and shall  contain  such
                         information  as American and  Licensor  may  reasonably
                         request.  American  and  Licensor  reserve the right to
                         charge back to Licensee or the  proposed  supplier  all
                         reasonable  expenses  incurred in considering  requests
                         for approval.

Approved            4.4  Complete  and  detailed  uniformity  under many varying
Adaptations              conditions   may  not  be  possible  or  practical  and
                         Licensor   reserves   the  right  and   privilege,   at
                         American's  sole discretion and as American may deem in
                         the best  interests  of all  concerned  in any specific
                         instance,  to  accommodate  special needs of Licensee's
                         Authorized  Site or that of any other like based on the
                         peculiar  site  or  location,  density  of  population,
                         business potential,  population of trade area, existing
                         business  practices,  requirements of local law, or any
                         other   condition   which   Licensor  deems  to  be  of
                         importance  to  the  successful  operation  of  a  like
                         business.

                                       -5-
<PAGE>
Litigation          4.5  In the event that any person,  firm or company,  who is
                         not a licensee or  franchisee  of American or Licensor,
                         uses or infringes upon the  Trademarks,  American shall
                         control all  litigation  and shall be the sole judge as
                         to  whether or not suit  shall be  instituted  or other
                         action taken.

Notice of           4.6  Licensor  and  American   hereby  advise  Licensee  the
Potential                licensor,  American  and  /or  affiliates  of  American
American and/or          and/or Licensor may from time to time make available to
Licensor Profit          Licensee  goods,  products  and/or  services for use in
                         Licensee's "Dairy Queen" retail store in respect to the
                         sale or provision of which  Licensor,  American  and/or
                         affiliates  of  American  and/or  Licensor  may  make a
                         profit.   Licensor   further   advises   Licensee  that
                         Licensor, American and/or affiliates of American and/or
                         Licensor  may from time to time  receive  consideration
                         from suppliers and /or manufactures in consideration of
                         such  services  provided  or  rights  licensed  to such
                         persons  by  American,  Licensor  or  their  respective
                         affiliates.

                       FACILITY STANDARDS AND MAINTENANCE

               5.   The following  provisions and conditions  shall control with
                    respect to Licensee's Authorized Location and retail store:

Store Facility      5.1  Licensee agrees that the retail store shall constructed
                         and equipped in accordance  with  American's  currently
                         approved  specifications  and  standards  in respect to
                         building,  equipment,   inventory,  signage,  fixtures,
                         location and design and accessory features.

Future              5.2  Any    replacement,    reconstruction,    addition   or
Alteration               modification in building,  equipment or signage,  to be
                         made  hereafter,  whether at the request of Licensee or
                         of Licensor,  shall be made in accordance  with written
                         specifications   approved  by  Licensor  or   American.
                         Licensor and American shall not  unreasonably  withhold
                         such approval.

Maintenance         5.3  The  building,  equipment  and signage  employed in the
                         conduct of Licensee's  business  shall be maintained in
                         accordance with an annual  maintenance list prepared by
                         Licensor  and based upon  periodic  inspections  of the
                         premises by Licensor's representatives. Within a period
                         of ninety  (90) days after the  receipt of such  annual
                         maintenance  list,  Licensee  shall effect the items of
                         maintenance  reasonably  provided therein including the
                         repair of  defective  items and/or the  replacement  of
                         unrepairable   or  obsolete   items  of  equipment  and
                         signage.  Routine  maintenance  shall be  conducted  in
                         accordance with general schedules published by Licensor
                         or American and made available to Licensee. -6-

Relocation          5.4  Should it become necessary, on account of condemnation,
                         sale,   or  other  cause,   including   expiration   or
                         cancellation of lease or rental  contract,  to relocate
                         said store,  Licensor shall grant Licensee authority to
                         do so within a radius of 1,000 yards of the  Authorized
                         Location,  provided the new site is  reasonably  suited
                         for a "Dairy  Queen"  retail store in  accordance  with
                         Licensor's standards for store sites, does not infringe
                         on rights of another  licensee,  is reasonably  distant
                         from other "Dairy  Queen"  retail  stores,  and the new
                         retail  store is  constructed,  equipped and opened for
                         business in  accordance  with the current  standards of
                         American   at  that   time   within   one  year   after
                         discontinuing operation of a "Dairy Queen" retail store
                         at the previous Authorized Location.

                    5.5  Each and every  transfer as provided in Paragraph  9.10
                         hereof shall be  expressly  conditioned  upon  Licensee
                         promptly   performing   and  effecting  such  items  of
                         modernization    and/or    replacement   of   building,
                         equipment,  and signage as may be  necessary  to permit
                         the same to conform to the standards then prescribed by
                         American  for  similarly   situated  store  operations.
                         Licensee   recognizes   and   acknowledges   that   the
                         requirements  of this paragraph 5.5 are both reasonable
                         and necessary to insure continued public acceptance and
                         patronage and to avoid deterioration or obsolescence in
                         the business conducted hereunder.

               PRODUCTS AND OPERATIONS STANDARDS AND REQUIREMENTS

               6.   The  following  provisions  shall  control  with  respect to
                    products and operations:

                    6.1  Licensee's   business   shall   be   confined   to  the
                         preparation and sale of only such products as from time
                         to time are designated or approved by American for sale
                         by  Licensees   which  are  parties  to  this  form  of
                         Operating  Agreement.  The  premises  upon  which  said
                         business  is  operated  shall not be used for any other
                         business  and there  shall not be sold or  offered  for
                         sale therefrom any other product or service  (excepting
                         the   preparation,   storage  and  sale  of   Permitted
                         Products)  without  the  written  consent of  American.
                         Specifically,   but  without  limiting  the  foregoing,
                         alcoholic or  intoxicating  beverages shall not be sold
                         or  offered  for sale or  otherwise  handled  upon said
                         premises.

Approved Menu       6.2  Attached hereto as Appendix B is the currently approved
                         menu for  Licensee's  retail  store.  American may from
                         time  to time  make  reasonable  modifications  to said
                         approved menu provided said  modifications  are made in
                         respect  to all  licensees  which  have  this  form  of
                         Operating Agreement and are located in similar areas of
                         the  country.  In  addition,  Licensee may from time to
                         time request variation from

                                      -7-
<PAGE>
                         the currently approved menu. Such variations shall only
                         be made with the written consent of the American.

Authorized          6.1  Licensee  shall use in preparing  products only such as
Ingredients,             are specified by American and in such  portions,  sizes
Formulas,                and appearance and packaging as set forth in American's
Supplies,                most current "Store Management  Operations  Manual" and
Preparation;             "products  preparation  charts".  Copies of the current
Subject to Change        "Store  management  Operations  Manual"  and  "products
by American              preparation Preparation;  Subject to Change by American
                         charts"  have been  supplied  to  Licensee  by Licensor
                         temporaneously   with   execution  of  this   Operating
                         Agreement.  Licensee acknowledges and agrees that these
                         may be changed  from time to time by American  and that
                         Licensee is obligated to conform to the requirements as
                         so  changed  from  time to time.  All  other  supplies,
                         including  cones,  cups,  containers,  eating utensils,
                         napkins,  and all other customer  service  materials of
                         all description and types,  shall meet the standards of
                         uniformity  and quality as now or hereafter  reasonably
                         set by American. Licensee shall be furnished with lists
                         of  approved  equipment,   supplies,   ingredients  and
                         services.

Serving and         6.4  All sales  promotional  material,  customer  "goodwill"
Promotion Items          items, cartons,  containers,  wrappers and paper goods,
                         eating and serving utensils, customer convenience items
                         (including    napkins,    baby   bibs,   and   disposal
                         containers),  used in the  sales  promotion,  sale  and
                         distribution of all products  covered by this Operating
                         Agreement shall, where practicable, contain one or more
                         Trademarks  and  indicate  that it is produced and sold
                         under  authority  of  American  and shall be subject to
                         approval by Licensor or American before being used.

Maintenance         6.5  Licensee's   said   business   shall  be  operated  and
and Sanitation           maintained at all times in compliance  with any and all
                         reasonable health and sanitary standards  prescribed by
                         American or by governmental  authority.  In addition to
                         complying with such  standards,  if such store shall be
                         subject to any  sanitary  or health  inspection  by any
                         governmental authorities under which it may be rated in
                         one or  more  than  one  classification,  it  shall  be
                         maintained  and  operated  so  as to be  rated  in  the
                         highest  available  health and sanitary  classification
                         with respect to each governmental agency inspecting the
                         same.

Inspection and      6.6  American,  Licensor  or its  authorized  representative
Recommendation           shall  have  the  right  from  time to  time  to  enter
                         Licensee's  store at all  reasonable  times  during the
                         business  day  for  the  purpose  of  making   periodic
                         inspections  to ascertain if all the provisions of this
                         Operating Agreement are being observed by Licensee

                                       -8-
<PAGE>
                         and to inspect Licensee's said store, lands, equipment,
                         and  to  test,   sample  and  inspect   his   supplies,
                         ingredients   and  products,  as   well   as   storage,
                         preparation and formulation thereof and  the conditions
                         of   sanitation   and   cleanliness   in  the  storage,
                         production, handling and serving thereof.

Period of           6.7  Whenever  it  shall  appear  in  Licensor's  reasonable
Operation                judgment  that  Licensee's  said  business is not being
                         operated in compliance  with the  requirements  hereof,
                         that the volume of business  being done is not equal to
                         the  average  volume  of  other  businesses   similarly
                         situated,  or that the  business is not being  operated
                         profitably  or  efficiently,  Licensor,  at  Licensor's
                         option:  Period of Operation 6.7 Licensee's store shall
                         be opened to the public and operated  twelve months per
                         year and at least  twelve  hours  each day of the year.
                         Any variance from this  provision must be authorized in
                         writing by Licensor Acts of God, war,  strikes or riots
                         preventing Licensee from temporarily complying with the
                         foregoing  shall  to  that  extent  suspend  compliance
                         therewith.

Notice of           6.8  Licensee acknowledges that he is aware of the fact that
Existence of             present  licensees  of Licensor  and  American  operate
Different Forms          under a number of different forms of agreement and that
of  License              consequently  Licensor's and American's obligations and
Agreements               rights in  respect  to their  respective  licenses  may
                         differ materially in certain instances.

                       PERSONNEL AND SUPERVISION STANDARDS

               7.   The following  provisions and conditions  shall control with
                    respect to personnel, training and supervision:

Management          7.1  Licensee   shall  adopt  and  use  as  his   continuing
System                   operational   routine  the   standard   "Dairy   Queen"
                         management system as well as American's  standards with
                         respect to product preparation, merchandising, employee
                         recruitment   and  training,   equipment  and  facility
                         maintenance and sanitation.  From time to time American
                         will revise these programs to meet changing  conditions
                         of  retail  operation  in the best  interest  of "Dairy
                         Queen"  retail  stores,  and  Licensee  shall adopt and
                         implement any such changes.

Training            7.2  Licensee   shall,   at   Licensee's   expense,   attend
                         American's  store  management  training  program,  at a
                         place  to be  designated  by  American,  prior  to  the
                         opening  of  Licensee's  store.  In the event  Licensee
                         fails  to  complete  such  training  to the  reasonable
                         satisfaction  of American  or  Licensor,  Licensor  may
                         within  thirty  (30)  days   thereafter   declare  this
                         Agreement   null  and  void   whereupon   all  deposits
                         including  the  franchise  fee  shall  be  returned  to
                         Licensee.  If during the term hereof Licensee  operates
                         said store with a manager other than himself,  Licensee
                         shall,  at  Licensee's  expense,  cause such  person to
                         attend and successfully complete such training program.

                                       -9-
<PAGE>
Staffing            7.3  Licensee shall hire and supervise efficient, competent,
                         sober and  courteous  operators  and  employees for the
                         operation  of the business and set and pay their wages,
                         commissions and incentives  with no liability  therefor
                         on American or Licensor. Licensee shall require all his
                         employees  to  work  in  clean  uniforms   approved  by
                         Licensor  but  furnished at the cost of Licensee or his
                         employees as

Internal            7.4  Licensor shall provide or make available to Licensee an
Training                 in-store  training  program  for all  store  employees.
Program                  Licensee  shall  train and  periodically  re-train  all
                         store  employees using the training aids made available
                         by Licensor.  From time to time,  American  will revise
                         such  training  materials  and aids and it or  Licensor
                         make the same available to Licensee for purchase.

Attendance at       7.5  Licensee,   or  manager  of  Licensee,   at  Licensee's
Meetings                 expense,  shall attend at least one national,  regional
                         or approved  local  marketing  area  meeting  each year
                         which Licensor  and/or  American  originates for and on
                         behalf  of  "Dairy  Queen"  operators  to set forth new
                         methods  and  programs  in store  operation,  training,
                         management, sales and sale promotion programs. Licensor
                         further  strongly  recommends  that  key  employees  of
                         Licensee also attend such meetings.

                            SALES PROMOTION PROGRAMS

Sales Promotion     8.1  Licensor and Licensee, together with other licensees of
Programs and             American,   shall  cooperate  in  the  sales  promotion
Payment to               programs of approved  products.  To this end,  American
American of              has reserved the right to establish and organize  sales
Expenses for             promotion  programs  from  time  to time  and  Licensee
Administering            agrees to pay to Licensor for  remittance to American a
Same                     sales  promotion  program fee as set forth in Paragraph
                         9.1  hereof.  Licensee  acknowledges  and  agrees  that
                         American  has had in the past,  and shall in the future
                         have, the discretion to determine expenditures of funds
                         collected in respect to sales promotion programs and as
                         to the  selection  of  the  promotional  materials  and
                         programs   for  which  said   expenditures   are  made,
                         provided,  however,  that  American  shall  make a good
                         faith  effort to expend such funds in the general  best
                         interest   of   participating    licensees.    Licensee
                         acknowledges  and agrees that  American may  compensate
                         itself  and/or  its   affiliates  for  the  expense  of
                         administering such sales promotion  programs.  Licensor
                         shall advise Licensee  annually of American's  expenses
                         in administering said sales promotion programs.

Sales Promotion     8.2  Licensee shall only use such sales promotion program or
Materials                other advertising materials as are furnished,  approved
                         or  made  available  by  or  through   American.   Said
                         materials shall be used only in a manner  prescribed by
                         American.  American  shall  not  unreasonably  withhold
                         approval of any reasonable sales promotion materials.

Yellow Pages        8.3  Licensee   shall,   if requested   by  Licensor,   list
                         separately,  or participate in a listing, in the Yellow
                         Pages of his local telephone directory  containing such
                         copy as may  reasonably  be specified by Licensor.  The
                         cost of such listing  shall be paid by Licensee,  or by
                         Licensee and other participating  licensees in the case
                         of a joint  listing.  Licensor  shall  not  specify  an
                         unreasonably expensive listing.

                    FEES, REPORTING AND FINANCIAL MANAGEMENT

Service,  Set-up,   9.1  Licensee  shall pay to Licensor as a service and set-up
Franchise,               fee  $3,000  of which  $3,000  has been  paid  upon the
License and              execution of this  Agreement and a balance of $ zero is
Sales Promotion          payable  in  accordance  with the terms of  Appendix  C
Program Fees             attached  hereto.   Said  service  and  set-up  fee  is
                         intended  to  compensate   Licensor  for  its  expenses
                         incurred,  and services  rendered in  establishing  and
                         setting up Licensee's initial operation. In addition to
                         said  service and set-up  fee,  during the full term of
                         this Operating  Agreement,  and in consideration of the
                         rights  granted   hereunder,   Licensee  shall  pay  to
                         Licensor  as  license  fee in  respect  to  the  rights
                         granted  herein a sums equal to those  specified on the
                         schedule addendum to this paragraph,  all of which sums
                         are based on gross  retail  sales,  exclusive of retail
                         sales taxes, of all products,  goods and wares of every
                         kind and nature sold from,  or in  connection  with the
                         operation  of,  Licensee's  "Dairy Queen" retail store,
                         including,  but without  limiting the generality of the
                         foregoing,   sales  of  all  products  of  any  of  the
                         Trademarks  as  well  as  sales  of  other  merchandise
                         whether  or not  identified  by other  brand  names and
                         which  may  be  authorized  for  sale  by  American  or
                         Licensor from time to time;  provided,  notwithstanding
                         the  foregoing,  that no such  continuing  license  fee
                         shall be payable  with  respect  to sales of  Permitted
                         Products.  In  addition,  mittance  to American a sales
                         promotion  fee to be  expended in  accordance  with the
                         provisions  of Paragraph  8.1. The sales  promotion fee
                         shall be a sum  equal to not less than 3% nor more than
                         5% of Licensee's  gross retail sales net of sales taxes
                         (excluding sales of Permitted Products). Licensor shall

                                      -11-
<PAGE>
                         determine and notify  Licensee of the exact  percentage
                         prior to the first day of each  fiscal year of Licensor
                         (except no  notification  will be given with respect to
                         any year for which the  percentage  is to be  unchanged
                         from the preceding year).  Such percentage shall be the
                         same as that to be employed during such succeeding year
                         by the majority of "Dairy Queen"  licensees  within the
                         marketing  area as determined by American  within which
                         Licensee's store is located.

Computations        9.2  All amount due and owing hereunder shall be computed at
and Remittances          the end of each month's  operation and  remittance  for
                         the same  shall be made to  Licensor  on or before  the
                         tenth day of the  following  month  accompanied  by the
                         reports  provided  for in  Paragraph  9.4  hereof.  The
                         computation  of said  amounts  shall be  certified  and
                         sworn  to  by  Licensee  in  the  manner  specified  by
                         Licensor  and Licensee  shall  supply to Licensor  such
                         supporting or  supplementary  materials as Licensor may
                         reasonably  require  to  verify  the  accuracy  of such
                         remittances.

Surcharge           9.3  At Licensor's  option, Licensor  may require  Method of
Method of                Licensee to pay to suppliers of mix, meat Precollection
Precollection            and other products and ingredients  used in the conduct
                         of the  business  a  surcharge  on all  units  of  such
                         commodities purchased by Licensee. Said surcharge shall
                         be paid to such  supplier  by  Licensee  at the time of
                         purchase of such  commodities.  Said surcharge shall be
                         established  by Licensor at a reasonable  rate so as to
                         approximate   the  amount  of  license  fee  and  sales
                         promotion  fee which will be payable by Licensee.  Said
                         surcharge  shall be paid to said  supplier or suppliers
                         for the account of Licensor, the same to be regarded by
                         the  parties  as a  method  of  precollection  of  said
                         license  and  sales  promotion  fees.  The  amounts  so
                         collected  shall be credited  by  Licensor  against the
                         license and sales  promotion  fees due from Licensee to
                         Licensor  at  the  end  of  each  month's   operations.
                         Licensor  shall  submit to  Licensee  on a  monthly  or
                         quarterly  basis a  reconciliation  of said license and
                         sales  promotion fees account setting forth the credits
                         to  Licensee's  account by reason of amounts  collected
                         for  Licensor  by  suppliers  by way  of the  aforesaid
                         surcharge  method.  In the event Licensee shall fail to
                         submit  reports  in  accordance   with  Paragraph  9.4,
                         Licensor may make said reconciliation of amounts due in
                         conformance  with its best judgment with regard to said
                         amounts  due and  same  shall be  conclusive  as to the
                         amounts due  Licensor  from  Licensee  unless  within a
                         period  of  ten  (10)  days   after   mailing  of  said
                         reconciliation   to  Licensee  by  Licensor,   Licensee
                         provides evidence in a form satisfactory to Licensor of
                         the correct amounts due.

                                      -12-
<PAGE>
                         Licensee shall pay such amounts,  if any, determined to
                         be owed  pursuant to Licensor's  reconciliation  within
                         ten (10) days after a mailing of notice to  Licensee by
                         Licensor.  If Licensor  determines  that  Licensee  has
                         overpaid   license  or  sales  promotion  fees  on  the
                         surcharge  basis,  Licensor  shall remit to Licensee an
                         amount  equal to the excess fees  collected at the time
                         the  monthly or  quarterly  reconciliation  is provided
                         Licensee.

Reports and         9.4  Licensee  shall keep true  records  from which all sums
Record                   payable  under this  Agreement and the dates of accrual
                         thereof may be readily determined.  Licensee shall make
                         written  reports to  Licensor  in such form as Licensor
                         may from time to time  prescribe  within  fourteen (14)
                         days after the end of each  month's  operation  setting
                         forth the amount of gross sales of all  products  from,
                         or in connection  with the operation of, said store and
                         the business  thereof during said month. In addition to
                         the   foregoing,   and  in   addition   to  such  other
                         information  as Licensor may from time to time require,
                         said  monthly  report  shall  accurately  set forth the
                         total  number of  gallons of mix,  the total  number of
                         pounds  of  meat,  and  the  quantity  of  other  basic
                         commodities used during said month and the sources from
                         which  said  mix,  meat  and  other   commodities  were
                         purchased   together  with  a  complete   statement  of
                         Licensee's  cost of  labor,  utilities,  rent  and each
                         other  cost  of  operation.  For  the  purpose  of said
                         reports  the date of use of such  mix,  meat and  other
                         commodities  shall be deemed to be the date of  receipt
                         at the  store.  Licensor,  American  or the  authorized
                         representative  of either  shall  have the right at all
                         times  during  the  business  day to  enter  Licensee's
                         premises where books and records relative to said store
                         are kept, and to inspect, copy and audit such books and
                         records. In the event that any such inspection or audit
                         reveals a variance of 3% or more from data  reported to
                         Licensor or  American,  in addition to any other rights
                         it may have,  Licensor  or American  may  conduct  such
                         further   periodic   audits   and/or   inspections   of
                         Licensee's  books and  records as it  reasonably  deems
                         necessary  for  up to  one  year  thereafter  and  such
                         further   audits   and/or   inspections   shall  be  at
                         Licensee's sole expense  including  without  limitation
                         reasonable professional fees, travel and room and board
                         expenses directly related thereto.

Financial           9.5  Licensee  agrees to employ sound  financial  management
Planning and             practices  in  connection  with the  operation  of said
Management               business  and to that end  Licensee  shall  maintain on
                         forms approved or provided by Licensor or American

                                      -13-
<PAGE>
                         a  monthly  profit  plan,  a  monthly  profit  and loss
                         statement  and  a  monthly  balance  sheet   accurately
                         reflecting   the   operations  and  condition  of  said
                         business. In addition to the foregoing,  Licensee shall
                         employ such methods of record keeping,  bookkeeping and
                         reporting   as   Licensor   shall  from  time  to  time
                         reasonably  require  and copies of all  monthly  profit
                         plans, profit and loss statements,  sales summaries and
                         breakdowns  for the preceding  month shall be forwarded
                         to  Licensor  on or before  the  fourteenth  day of the
                         following month.

Payment             9.6  Licensee  agrees to pay  promptly,  when due, all taxes
of Debts                 and  assessments  that  may be  assessed  against  said
                         premises  or  the   equipment   or  supplies   used  in
                         connection  with  Licensee's  business,  all  liens and
                         encumbrances  of every  kind and  character  created or
                         placed  upon or against  any of said  property  and all
                         accounts and other  indebtedness of every kind incurred
                         by  Licensee in the  conduct of said  business.  In the
                         event  Licensee  should  default  in  making  any  such
                         payment, Licensor shall be authorized but not required,
                         to pay the same on  Licensee's  behalf  and  Licensee's
                         covenants  promptly to reimburse Licensor on demand for
                         any such  payment.  to  Licensor by the same arise this
                         Paragraph  vision of this  interest  at 12% per Any and
                         all amounts owing Licensee hereunder, whether under the
                         provisions of 9.6 or under any other  Agreement,  shall
                         bear  interannum or the maximum rate  permitted by law,
                         whichever  is less,  from and after the date of accrual
                         thereof.

Timely              9.7  The default by  Licensee  in the timely  payment of any
Payment                  indebtedness  owing to Licensor and/or American,  or to
                         any  affiliates  of Licensor  and/or  American,  or the
                         default by Licensee in the payment of any  indebtedness
                         of Licensee

Insolvency,         9.8  In the event that  Licensee  be declared  insolvent  or
Etc.                     bankrupt, or in the event a receiver is appointed, this
                         Operation Agreement shall automatically terminate as of
                         the date of such declaration or appointment.

Liability and       9.9  Licensee  hereby  waives  all claims  against  Licensor
Insurance                and/or  American for damages to property or injuries to
                         persons  arising  out of the  operation  of  Licensee's
                         business,   and  Licensee  shall   indemnify  and  save
                         Licensor  and/or  American  and/or  the  affiliates  of
                         either harmless of and from

                                      -14-
<PAGE>
                         any damage or injury to  property  or  persons  arising
                         from  or in  connection  with  the  operation  of  said
                         business or the  consumption  of the  product  thereof.
                         Licensee  further  agrees to purchase  and  maintain in
                         full  force  and   effect   during  the  term  of  this
                         Agreement,   at  Licensee's  sole  expense,   liability
                         insurance in an aggregate amount not less than $300,000
                         insuring  Licensee,  Licensor  and  American  from  li4
                         ability  for any and all  such  damage  or  injury  and
                         Licensee further agrees to deliver to Licensor a proper
                         certificate  evidencing the existence of such insurance
                         coverage and Licensee's  compliance with the provisions
                         of this  paragraph and which provides that Licensor and
                         American  will be given thirty (30) days prior  written
                         notice of material change,  termination or cancellation
                         of the policy.  Said insurance  coverage shall commence
                         as of the date  Licensee  commences  operating a "Dairy
                         Queen"  retail  store or as of the date the  Authorized
                         Location  is  first  identified  as a site  on  which a
                         "Dairy Queen" retail store will be operated,  whichever
                         shall first occur.

Assignment and      9.10 Licensee agrees not to transfer, assign or alienate his
Transfer                 interest  herein  or  hereunder  in  whole  or in  part
                         without the prior  written  consent of Licensor,  which
                         consent  shall  not  be  withheld   unreasonably,   but
                         Licensor may insist that any proposed  assignment be an
                         assignment of all of Licensee's  interest hereunder and
                         that any proposed assignee,  be a person, in Licensor's
                         reasonable   judgment,   qualified  to  provide  active
                         supervision   over  the  operation  of  said  store  in
                         compliance  with Licensee's  obligations  hereunder and
                         who has  sufficient  net worth and  sources  of capital
                         which meet Licensor's then current  requirements  for a
                         store  operation of the type  contemplated by this form
                         of  agreement.  In the event  Licensee's  said interest
                         should be so  transferred  or assigned,  Licensee shall
                         pay to Licensor contemporaneously  therewith the sum of
                         One  Thousand  Five  Hundred  Dollars  ($1,500),  or an
                         amount  equal to one-half  of the license  fees paid or
                         payable by  Licensee  in respect of  operations  in the
                         twelve (12)  months  ending with the month prior to the
                         month in which the assignment is approved, whichever is
                         the greater  amount,  as a fee for the preparation of a
                         new  Operating   Agreement  in  assignee's   name,  for
                         Licensor's  assistance  in reset-up of the retail store
                         and  for  any  and  all  other  expenses  incurred  and
                         services   rendered  by  Licensor  in  effecting   said
                         transfer.  In the  event  of any such  assignment,  the
                         assignee,  as a condition  of Licensor  approving  such
                         assignment,   must   attend   and  to  the   reasonable
                         satisfaction of Licensor

                                      -15-
<PAGE>
                         successfully    complete,    at   assignee's   expense,
                         American's  training  program  at  American's  training
                         center.   In  the  event  Licensee  is  a  corporation,
                         partnership or other entity,  any transfer or transfers
                         of  stock  (or  other  form  of   ownership   interest)
                         constituting in the aggregate a controlling interest in
                         Licensee shall be subject to the consent,  transfer fee
                         and all other applicable  provisions of this Agreement.
                         Licensor  may  withhold  its  consent  to any  proposed
                         transfer   until  all  amounts   owed  by  Licensee  to
                         Licensor,  American,  the affiliates or subsidiaries of
                         either and approved  "Dairy Queen"  suppliers have been
                         paid in full.

Offsets             9.11 Licensee  waives any and all existing and future claims
                         and offsets  against any amounts due  hereunder,  which
                         amounts shall be paid when due.

                               CONTRACT VIOLATION

Remedies,      10.  In the  event of any  dispute  between  the  parties  hereto
Arbitration         arising under,  out of, in connection with or in relation to
                    this  Agreement,  said  dispute  shall be  submitted  by the
                    parties to binding  arbitration in accordance with the Rules
                    and  Procedures  and  under  the  auspices  of the  American
                    Arbitration Association. The arbitration shall take place at
                    the  capital  of the  state of the  Authorized  Location  of
                    Licensee or at such other place as may be mutually agreeable
                    to the  parties.  The decision of the  arbitrators  shall be
                    finally,  and binding on all  parties.  Notwithstanding  the
                    foregoing,  Licensee recognizes that his "Dairy Queen" store
                    is one of a large  number of stores  similarly  situated and
                    selling  to the  public  similar  products,  and  hence  the
                    failure on the part of a single  licensee to comply with the
                    terms of his  Operating  Agreement  could cause  irreparable
                    damage  to  Licensor,  American  and/or to some or all other
                    "Dairy Queen"  licensees.  Therefore,  it is mutually agreed
                    that in the event of a breach or threatened breach of any of
                    the terms of this Operating Agreement by Licensee,  Licensor
                    shall  forthwith  be entitled to an  injunction  restraining
                    such  breach  and/or  to a decree  of  specific  performance
                    without having to show or prove any actual damage,  together
                    with recovery of reasonable  attorney's fees and other costs
                    incurred in obtaining said equitable relief, until such time
                    as a final and binding determination is made by the

                                      -16-
<PAGE>
                    arbitrators.  The  foregoing  equitable  remedy  shall be in
                    addition  to,  and not in lieu of,  all other  remedies  and
                    rights which Licensor might  otherwise have by virtue of any
                    breach of this Agreement by Licensee.

Breach of           10.1 Licensee  shall be in  default  hereunder  if  Licensor
Contract                 determines  that  Licensee has made any false report to
                         Licensor,  or has  failed  to pay when due any  amounts
                         owed to Licensor,  or has in Licensor's judgment in any
                         other way breached any of the terms of this  Agreement,
                         including  but  not  limited  to,   failing  to  submit
                         required  reports,  failing to meet any requirements or
                         specification   established  with  respect  to  product
                         quality, physical property,  conditions or equipment or
                         materials used, products  manufactured,  menu or use of
                         approved products,  packages or promotional  materials.
                         Failure of  Licensee  to pay to  Licensor  any past due
                         amount owed  within  fourteen  (14) days of  Licensor's
                         written notice of default therein shall be construed as
                         Licensee's voluntary  abandonment of this Agreement and
                         the franchised business hereunder operated.

                    10.2 Except as hereinafter provided,  failure of Licensee to
                         cure a default by Licensee  hereunder  within  fourteen
                         (14) days from the date of a written  notice of default
                         mailed or delivered to  Licensee,  which notice  states
                         such  default,   shall  give  Licensor  good  cause  to
                         terminate   this   Agreement.   Termination   shall  be
                         accomplished  by  mailing  or  delivering  to  Licensee
                         written notice of termination, which notice shall state
                         the  grounds  therefore  and  shall  be  effective  (i)
                         immediately  in any case of  voluntary  abandonment  of
                         this Agreement by Licensee of conviction of Licensee of
                         an offense directly  related to the business  conducted
                         hereunder;  or (ii)  sixty  (60) days after the date of
                         such  notice  of   termination   in  all  other  cases;
                         provided,   however,  that  notwithstanding  any  other
                         provision of this  Paragraph 10, this  Agreement may be
                         terminated immediately upon failure of Licensee to cure
                         within  twenty-four  (24) hours of notice  thereof  any
                         default under this Agreement which  materially  impairs
                         the good will associated with any of the Trademarks. In
                         addition  to  the  foregoing,  this  Agreement  may  be
                         terminated by Licensor upon any ground or by any period
                         of  notice  as may be  permitted  from  time to time by
                         applicable law or regulation.  Any notice of default of
                         termination shall be personally  delivered or be mailed
                         by  certified  or  registered   mail,   return  receipt
                         requested, postage prepaid.

                                      -17-

Land, Building      10.3 Subject to the provisions of Paragraph 5.4 hereof,  any
Lease, or Failure        failure to  rebuild or repair and reopen for  operation
to Reopen                Licensee's  destroyed  or damaged  store or store whose
                         lease has been  terminated  or not  renewed  within one
                         year of the  date of  occurrence  of such  termination,
                         destruction or damage,  shall  automatically  terminate
                         this Operating Agreement.

                               TERMINATION RIGHTS

               11.  Upon the termination of this Operating Agreement:

Reverse of          11.1 All rights to the use of the  Trademarks  and the right
Trademark                and license to conduct said business at the  Authorized
Rights                   Location  shall revert to Licensor  and Licensee  shall
                         immediately cease all use of the Trademarks and pay all
                         monies due at said date. Licensee shall promptly and at
                         his own expense  remove or obliterate all store signage
                         and  displays  furnished  to Licensee  by Licensor  and
                         shall remove or obliterate and  thereafter  discontinue
                         all use of any signage or  displays  at the  Authorized
                         Location  or in  his  possession  bearing  any  of  the
                         Trademarks or names or material  confusingly similar to
                         any of the Trademarks.

                    11.2 All right,  title and  interest  of  Licensee in and to
                         this Operating  Agreement  shall become the property of
                         Licensor.

Purchase            11.3 Licensor shall haverthesfirst option to purchase any or
                         all equipment,  fixtures,  furnishings or supplies,  of
                         whatever kind, owned by Licensee and used by him in the
                         production of the "Dairy Queen" product,  or any of the
                         other  approved  products  under any of the  Trademarks
                         hereunder  at  a  price   determined   by  a  qualified
                         appraiser selected with the consent of both parties. if
                         the parties  cannot agree upon the selection of such an
                         appraiser  he  shall  be  appointed  by a Judge  of the
                         United States  District Court of Licensee's  Authorized
                         Location upon petition of either party.  Said option to
                         purchase  may be  exercised  by  Licensor  at any  time
                         within   thirty   (30)  days  from  the  date  of  such
                         termination  or within  thirty (30) days after the date
                         of  the  receipt  by   Licensor   of  the   appraiser's
                         determination,  whichever  shall be the later date, and
                         shall not be impaired or  terminated  by the  attempted
                         sale  or  other  transfer  of  any  such  equipment  or
                         supplies  by  Licensee  to  a  third  party-  Upon  the
                         exercise  of such  option and tender of payment for any
                         such equipment or supplies, Licensee agrees to sell and
                         deliver  the same to  Licensor  free  and  clear of all
                         encumbrances,  and to execute and deliver to Licensor a
                         bill of sale therefore.

                                      -18-
<PAGE>
Non-Compete         11.4 Licensee shall notndirectly or indirectly engage in any
                         competitive   business   within   2,000  yards  of  the
                         Authorized Location for a period of one year after said
                         date of termination of this Agreement  except through a
                         Stuckey's  Pecan Shoppe or an affiliate in operation at
                         the time of signing.

                               PERMITTED PRODUCTS

               12.  It  is  mutually   understood  and  agreed  that  the  store
                    facilities and operations of Licensee  hereunder may include
                    in addition to "Dairy Queen" or "Dairy  Queen/Brazier"  food
                    and beverage  service the sale of various other products not
                    identified or designated by Company's Trademarks, including,
                    but not  limited to,  motor  vehicle  fuel,  oil and related
                    automotive   products,   souvenir-type   products,   tobacco
                    products,  sundries, and packaged food products not intended
                    for consumption on the premises where sold and which are not
                    competitive  with food and beverage  products  identified or
                    designated   by  the   Trademarks   (all  of  said  products
                    collectively  referred to in this  Agreement  as  "Permitted
                    Products").  In order to prevent public confusion,  preserve
                    and protect the  Trademarks  and  establish  the  principles
                    which shall govern Licensee's sale of Permitted Products and
                    usage   of  the   Trademarks,   the   parties   agree   that
                    notwithstanding any provision of this or any other Agreement
                    to the contrary, the following provisions shall control with
                    regard to Permitted Products:

                    12.1 Licensee may sell Permitted  Products from its licensed
                         store.  Licensee  may  use  in  the  business  operated
                         hereunder in the manner and to the extent  permitted by
                         this Agreement  marks and names  identifying  Permitted
                         Products.

                    12.2 The  Trademarks  shall not under any  circumstances  be
                         used to identify or designate Permitted Products or any
                         other  product(s)  for which use of the  Trademarks has
                         not been specifically authorized by American. Permitted
                         Products  shall be sold only from  physical  facilities
                         (such as a different  area, room or building) which are
                         clearly  distinct  and  apart  from the  "Dairy  Queen"
                         retail store.

                    12.3 No  product   shall  be  sold  from  any  part  of  any
                         sublicensed store's site which detracts or threatens to
                         detract from the  reputation  or goodwill of the "Dairy
                         Queen"  trade name or any of the  Trademarks.  Licensor
                         shall have the right to direct  Licensee to remove from
                         the store and  discontinue the sale of any product item
                         or  items  which  in  American's  good  faith  judgment
                         violates   the  quality   standard  of  the   preceding
                         sentence.  No product shall under any  circumstances be
                         sold from the "Dairy  Queen"  portion  of the  licensed
                         store which has not received

                                      -19-
<PAGE>
                         the specific Prior approval of Licensor.

                    12.4 A building design and related facility standards, based
                         upon American's  existing design and specifications for
                         "Dairy Queen"/ "Brazier" stores,  shall be developed by
                         mutual  consultation  and  agreement,  which shall take
                         into account the particular  requirements  for a "Dairy
                         Queen"  or  "Dairy  Queen"/"Brazier"   facility  to  be
                         situated  along an Interstate  highway.  Licensee shall
                         comply strictly with the design and facility  standards
                         developed hereunder.

                    12.5 Notwithstanding  Paragraph  8.2  hereof,  Licensee  may
                         employ  off-site  advertising  media such as billboards
                         and radio  commercials,  provided such  advertising  is
                         approved by Licensor and American, and provided further
                         that no such advertising shall be used which creates or
                         fosters any  confusion  as to the  identity,  source or
                         quality  of  goods  identified  or  designated  by  the
                         Trademarks.   Licensor  acknowledges  that  it  may  be
                         necessary  to  share  extant  billboard  space  with an
                         existing   Stuckey's,   Wayfara  or  other  store,  and
                         Licensor  requires  that  advertising  for  the  "Dairy
                         Queen"  store be as visually  and  physically  separate
                         from the other advertising as is feasible.

                    12.6 Because the "Dairy Queen" store hereunder may also sell
                         Permitted    Products,    the   parties    agree   that
                         notwithstanding  any other  provision of this Agreement
                         or any other  contract  between the  parties,  Licensor
                         deems it to be necessary and  desirable,  to permit the
                         following:

                             a.   To allow Licensee to sell  Permitted  Products
                                  in conjunction  with a "Dairy Queen" or "Dairy
                                  Queen"/"Brazier" store;

                             b.   To  allow  the   principal   shareholders   of
                                  Licensee   and  members  of  their   immediate
                                  families  to own any  amount or class of stock
                                  or  debt  in  any   Stuckey's   Pecan   Shoppe
                                  business;

                             c.   To the  extent  and in  the  manner  permitted
                                  hereunder,  to allow  Licensee  to sell and to
                                  advertise  Permitted  Products in  conjunction
                                  with products  identified or designated by the
                                  Trademarks;

                             d.   Subject to  Paragraph  6-1 hereof,  to relieve
                                  Licensee from the  obligation  with respect to
                                  Permitted   Products,   to  purchase  and  use
                                  equipment,  supplies, ingredients and services
                                  approved by American;

                             e.   To allow  Licensee to construct  and equip its
                                  retail  store  in  accordance

                                      -20-
<PAGE>
                                  with  building  design  and  related  facility
                                  standards   developed   under  Paragraph  12.4
                                  hereof;

                             f.   To relieve  Licensee:  (i) from the obligation
                                  of using, in preparing or selecting  Permitted
                                  Products,  ingredients,  formulas and supplies
                                  specified   by   American;   (ii)   from   the
                                  obligation   to  observe,   with   respect  to
                                  Permitted Products,  the requirements relative
                                  to portions,  sizes,  appearance and packaging
                                  set  forth  in  American's  "Store  Management
                                  Operations  Manual" and  "product  preparation
                                  charts";  and (iii) with  respect to Permitted
                                  Products,  to allow the use of other  supplies
                                  and customer service  materials without regard
                                  to standards of uniformity  and quality as are
                                  now or hereafter set by American;

                             g.   To allow  Licensee its principal  shareholders
                                  or  members  of their  immediate  families  to
                                  engage in a competitive  business within 2,000
                                  yards of the Authorized  Location of the store
                                  licensed   hereunder,   as   defined   in  the
                                  Operating   Agreement,   but  only  through  a
                                  Stuckey's Pecan Shoppe business; and

                             h.   To  relieve  stockholders  of  this  corporate
                                  Licensee  from the  obligation  of  personally
                                  guarantying  the obligations of Licensee under
                                  the Operating  Agreement.  Sale or transfer of
                                  this  License  to  another  corporation  shall
                                  include the then customary guarantees required
                                  of corporations.

                               GENERAL PROVISIONS

                    13.1 In the event any one or more clauses of this  Agreement
                         shall  be  held to be  void  or  unenforceable  for any
                         reason  by any  court of  competent  jurisdiction  such
                         clause or clauses  shall be deemed to be separable  and
                         of no  force or  effect  in such  jurisdiction  and the
                         remainder of this Agreement shall be deemed to be valid
                         and in full  force  and  effect,  and the terms of this
                         Operating  Agreement shall be equitably  adjusted so as
                         to   compensate   the   appropriate   party   for   any
                         consideration  lost because of the  elimination of such
                         clause or clauses.

                    13.2 Any  waiver by  Licensor  of any  breach or  default by
                         Licensee  shall  not be  deemed  to be a waiver  of any
                         other or  subsequent  breach or default nor an estoppel
                         to  enforce  its  rights  in the  event of any other or
                         subsequent breach.

                    13.3 This Agreement,  and the  application  form executed by
                         Licensee requesting Licensor

                                      -21-
<PAGE>
                         to  enter  into  this  Agreement,  constitute  the sole
                         agreement  between  the  parties  with  respect  to the
                         entire subject  matter of this Operating  Agreement and
                         embodies all prior  agreements  and  negotiations  with
                         respect to the  "Dairy  Queen"  business.  There are no
                         representations  of any kind except as contained herein
                         and in the aforesaid application.

                    13.4 Except as  otherwise  provided in this  Agreement,  any
                         notice,  demand or  communication  provided  for herein
                         shall be in  writing,  signed by the party  giving  the
                         same,  deposited in the registered or certified  United
                         States mail, return receipt requested, postage prepaid,
                         and;

                             a.   If intended for American shall be addressed to
                                  American Dairy Queen Corporation at 5701 Green
                                  Valley Drive, Minneapolis, Minnesota, 55437;

                             b.   If intended for Licensor shall be addressed to
                                  Licensor at the address hereinabove set forth;

                             C.   If intended for  Licensee,  shall be addressed
                                  to   Licensee  at  the   Authorized   Location
                                  hereinabove designated;

                         or to such other  address as may have been given to the
                         other party by notification as herein provided.

                         Notices for purposes of this Agreement  shall be deemed
                         to have been  received  one  business  day after  being
                         mailed  as   provided  in  this   paragraph,   or  when
                         personally delivered.

                    13.5 If Licensee consists of two or more  individuals,  such
                         individuals  shall be jointly and severally  liable and
                         references to Licensee in this Agreement  shall include
                         all such  individuals.  Reference  to  Licensee as male
                         shall also include a female  licensee,  partnership  or
                         corporation or any other business entity.  Headings and
                         captions   contained  herein  are  for  convenience  of
                         reference  only and shall not be taken into  account in
                         construing or interpreting this Agreement.

                    13.6 Subject to the terms of  Paragraph  9.10  hereof,  this
                         Agreement  shall  be  binding  upon  and  inure  to the
                         benefit  of  the  administrators,   executors,   heirs,
                         successors and assigns of the parties.

                    13.7 This Agreement shall be effective only when approved by
                         an officer of  American  and shall be  governed  by and
                         interpreted in accordance  with the law of the state in
                         which the Authorized Location is Located.

                                      -22-
<PAGE>
                    13.8 This Agreement  shall be deemed to be amended from time
                         to  time  as  may  be  necessary  to  bring  any of its
                         provisions into  conformity with valid  applicable laws
                         or regulations.

     IN WITNESS IVHEREOF,  the parties hereto have executed the foregoing "Dairy
Queen" Operating Agreement the date first above written.

                                          LICENSEE

                                          McClure Investments, Incorporated

                                          /s/ Wayne McClure, President
                                          --------------------------------------

                                          --------------------------------------

                                          --------------------------------------

ATTEST:

/s/ Clark Flynn
---------------------------

                                          LICENSOR

ATTEST:                                   INTERSTATE DAIRY QUEEN CORPORATION
                                          --------------------------------------

/s/ Cathy E. Campbell                     /s/ Signature Illegible
---------------------------               --------------------------------------
                                          Its President

                                          --------------------------------------

                                          APPROVED:

                                          AMERICAN DAIRY QUEEN CORPORATION

                                          By: /s/ Herman E. Nelson
                                          --------------------------------------

                                          Its          V.P.
                                          --------------------------------------

                                      -23-
<PAGE>
                                                                  Date: 10/30/85

                                                                  Initials:

                      SCHEDULE ADDENDUM TO PARAGRAPH 9.1 OF

                      THE "DAIRY QUEEN" OPERATING AGREEMENT

Beginning on the first day of operation as a "Dairy  Queen"/"Brazier"  store and
continuing through the following 12 calendar months:

     1%   of all "Dairy  Queen"/"Brazier"  sales not in excess of the "Stuckey's
          Pecan Shoppe"  restaurant  sales for the 12 calendar months  preceding
          the date of opening as a "Dairy Queen"/  "Brazier" store  (hereinafter
          referred to as "existing restaurant sales")

     4%   of all  "Dairy  Queen"/"Brazier"  sales  in  excess  of the  "existing
          restaurant sales."

Second 12 full calendar months of operation as a "Dairy Queen"/"Brazier" store:

     2%   of all  "Dairy  Queen"/"Brazier"  sales  not in  excess  of  "existing
          restaurant sales"

     4%   of all "Dairy Queen"/"Brazier" sales in excess of "existing restaurant
          sales."

Third 12 full calendar months of operation as a "Dairy Queen"/"Brazier" store:

     3%   of all  "Dairy  Queen"/"Brazier"  sales  not in  excess  of  "existing
          restaurant sales"

     4%   of all "Dairy Queen"/"Brazier" sales in excess of "existing restaurant
          sales."

Fourth 12 full calendar months of operation as a "Dairy Queen"/  "Brazier" store
and thereafter:

     4%   of all "Dairy Queen"/"Brazier" sales.

Compute the above service fees monthly as follows:

          1.   Determine  total  "Dairy  Queen"/"Brazier"  sales  for the  month
               (Sales A).

          2.   Determine total "Stuckey's Pecan Shoppe" restaurant sales for the
               same month of the base year (Sales B).

          3.   If  (as  in a  partial  first  month  of  operation  as a  "DQ"/B
               restaurant)  Sales A are less than Sales B, the  service  fee due
               for the month is *I% of Sales A (* or the applicable 2%, 3% or 4%
               rate as specified in the above schedule).

          4.   If Sales A are more  than  Sales B, the  service  fee due for the
               month is

     *I%  of Sales B (.1 or the  applicable  2%, 3% or 4% rate as specified (*or
          the above schedule).

     PLUS 4% of the difference between Sales A and Sales B.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}]]