STATEMENT TO

[First Reprint]

ASSEMBLY, No. 677

with Assembly Floor Amendments

(Proposed By Assemblyman BAGGER)

ADOPTED: JANUARY 29, 1997

      These amendments provide that if discount coupons are a part of a motor fuel franchisor's promotion, the cost of those coupons and any advertising costs associated with the promotion of the coupons shall be borne by that franchisor. These amendments also remove the provision in the bill stipulating that if discount coupons are a part of a franchisor's promotion, a retail motor fuel dealer shall not be obligated to participate in that promotion.