X0202 4 2006-11-01 0 0000039135 FRIENDLY ICE CREAM CORP frn 0001056666 SMITH DONALD N 2431 ADAMSWAY DRIVE AURORA IL 60504 1 0 1 0 Common Stock 2006-11-01 4 A 0 6000 0 A 859178 D Stock Options (Right to Buy) 10.61 2006-11-01 4 A 0 4000 0 A 2011-11-01 Common Stock 4000 4000 D These shares represent restricted stock units awarded to the Reporting Person under the Friendly Ice Cream Corporation (the "Company") 2003 Incentive Plan, as amended (the "2003 Incentive Plan"). Subject to the terms of the 2003 Incentive Plan, each restricted stock unit provides the Reporting Person with the right to receive one share of common stock of the Company when the restrictions lapse or vest. The restricted stock units vest on November 1, 2009, if the Reporting Person is a member of the Company's Board of Directors on such date, subject to accelerated vesting in the event of a change in control or the Reporting Person's death, disability or retirement. The stock options vest in three equal annual installments commencing on November 1, 2007. /s/ Gregory A. Pastore, Under Power of Attorney for Donald N. Smith 2006-11-03