Pro Image Inc., 563 W. 500 South, which operates a chain of 180 sports fan souvenir shops, has terminated a letter of intent for a possible merger with Specialty Retail Services Inc., New Brunswick, N.J.

Kevin G. Olson, and Chad H. Olson, co-founders of the franchising operation, had pursued a possible merger with SRS for several months and signed a non-binding letter of intent in September.The Olsons said that in the past two years, several franchise owners and others asked them to take Pro Image public to help with future growth.

"We are constantly working toward accelerated growth to improve the Pro Image mark and system as the dominating force in the industry. It is imperative, however, that any such recapitalization be for the good of the entire franchise system," said Chad Olson.