The latter development was part-financed from European Union grants of a combined HUF 133m. Peck-Snack, which was earlier part of the Fornetti franchise network, has started distributing its products under its own brand name since March this year. Currently, they supply frozen baked goods to more than 700 Hungarian and close to 500 Croatian franchise partners. As part of the project started last year, production technology was upgraded, production became computer-controlled and an integrated business management system was implemented. As a result of the capacity increase, the builder of the Pek-Snack network now directly employs more than 200 workers in Hungary. Fornetti Europa Kft as the exclusive beneficiary of the Fornetti franchise rights and know-how terminated its agreement with its Igal partner at the end of December 2010 citing quality problems. Janos Galantai, managing director of Pek-Snack Kft, formerly called Fornetti Pannon Kft, then told MTI that its former partner was setting unacceptable conditions and they have managed to keep most of their former partners.