<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-Q
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the quarterly period ended June 12, 1999
-------------
or
[_] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from ______ to ______
Commission file number 1-6814
BIG V SUPERMARKETS, INC.
(Exact name of registrant as specified in its charter)
NEW YORK 14-1459448
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
176 North Main Street, Florida, New York 10921
(Address of principal executive offices) (Zip Code)
(914) 651-4411
(Registrant's telephone number, including area code)
Not applicable.
(Former name, former address and former fiscal year,
if changed since last report)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes x No
--- ---
Shares of Common Stock outstanding as of July 26, 1999: 1,000 shares
This quarterly report on Form 10-Q is being filed voluntarily and shall not be
deemed to be subject to Section 18 of the Securities Exchange Act of 1934.
<PAGE>
BIG V SUPERMARKETS, INC.
FORM 10-Q FOR THE 12-WEEKS ENDED JUNE 12, 1999
INDEX
PART I
FINANCIAL INFORMATION
<TABLE>
<CAPTION>
PAGE NO.
--------
<S> <C>
Item 1. Financial Statements
Unaudited Consolidated Statements of Income (Loss)............... 3
Unaudited Consolidated Balance Sheets............................ 4
Unaudited Consolidated Statements of Cash Flows.................. 5
Notes to Unaudited Consolidated Financial Statements............. 6
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations........................................... 7-11
PART II
OTHER INFORMATION
Item 1. Legal Proceedings................................................... 12
Item 2. Changes in Securities............................................... 12
Item 3. Defaults upon Senior Securities..................................... 12
Item 4. Submission of Matters to a Vote of Security Holders................. 12
Item 5. Other Information................................................... 12
Item 6. Exhibits and Reports on Form 8-K.................................... 12
SIGNATURES.................................................................... 13
</TABLE>
-2-
<PAGE>
BIG V SUPERMARKETS, INC.
CONSOLIDATED STATEMENTS OF INCOME (LOSS)
(In Thousands)
<TABLE>
<CAPTION>
UNAUDITED
-----------------------------------------------------------
Twelve Twelve Twenty-Four Twenty-Four
Weeks Ended Weeks Ended Weeks Ended Weeks Ended
June 12, 1999 June 13, 1998 June 12, 1999 June 13, 1998
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
SALES $ 192,711 $ 184,765 $ 383,408 $ 367,002
----------- ----------- ----------- -----------
COSTS AND EXPENSES:
Cost of Sales (exclusive of depreciation and
amortization shown separately below) 141,427 135,993 281,558 271,013
Selling, general and administrative 40,718 38,442 82,402 77,371
Depreciation and amortization 3,840 3,755 7,590 7,356
Interest expense, net of interest income of $109 and
$44 for the 12-week periods and $211 and $111
for the 24-week periods ended June 12, 1999
and June 13, 1998, respectively 5,244 5,497 10,365 10,714
----------- ----------- ----------- -----------
Total costs and expenses 191,229 183,687 381,915 366,454
----------- ----------- ----------- -----------
INCOME BEFORE INCOME TAXES
AND EXTRAORDINARY CHARGE 1,482 1,078 1,493 548
INCOME TAX EXPENSE 1,013 511 1,202 321
----------- ----------- ----------- -----------
INCOME BEFORE EXTRAORDINARY CHARGE 469 567 291 227
EXTRAORDINARY CHARGE, net of tax benefit of $246 - - 547 -
----------- ----------- ----------- -----------
NET INCOME (LOSS) $ 469 $ 567 $ (256) $ 227
=========== =========== =========== ===========
</TABLE>
See notes to unaudited consolidated financial statements.
-3-
<PAGE>
BIG V SUPERMARKETS, INC.
CONSOLIDATED BALANCE SHEETS
(In Thousands)
<TABLE>
<CAPTION>
(UNAUDITED)
JUNE 12, 1999 DECEMBER 26, 1998/1/
-------------- --------------------
<S> <C> <C>
ASSETS
- ------
CURRENT ASSETS:
Cash $ 18,296 $ 15,674
Accounts receivable 10,910 11,941
Inventories 37,388 35,493
Refundable income taxes - 630
Prepaid expenses and other current assets 3,229 2,282
Asset Held for Sale 4,629 4,482
-------- --------
Total current assets 74,452 70,502
PROPERTY AND EQUIPMENT - At cost, less accumulated
depreciation and amortization of $91,707 at June 12, 1999
and $85,756 at December 26, 1998 54,739 57,521
GOODWILL - Less accumulated amortization of $15,867 at
June 12, 1999 and $14,938 at December 26, 1998 63,442 64,371
INVESTMENT IN WAKEFERN FOOD CORPORATION 13,173 13,173
WAKEFERN WAREHOUSE AGREEMENT - Less accumulated
amortization of $8,751 at June 12, 1999 and $8,273
at December 26, 1998 32,617 33,095
OTHER ASSETS 10,533 9,002
-------- --------
TOTAL ASSETS $248,956 $247,664
======== ========
LIABILITIES AND STOCKHOLDER'S DEFICIT
- -------------------------------------
CURRENT LIABILITIES:
Accounts payable $ 41,512 $ 43,822
Accrued expenses and taxes other than income taxes 14,403 16,825
Income taxes payable 572 -
Deferred income taxes 6,377 6,213
Current portion of long-term debt 8,405 12,499
Current portion of capitalized lease obligations 893 808
-------- --------
Total current liabilities 72,162 80,167
-------- --------
OTHER LONG-TERM LIABILITIES 10,132 10,056
-------- --------
LONG-TERM DEBT - Less current portion 164,047 153,342
-------- --------
CAPITALIZED LEASE OBLIGATIONS - Less current portion 24,770 25,228
-------- --------
DEFERRED INCOME TAXES 5,600 6,070
-------- --------
COMMITMENTS AND CONTINGENCIES
STOCKHOLDER'S DEFICIT
Common stock, par value, $1.00 per share; authorized, 1,000
shares; issued, 1,000 shares 1 1
Paid-in capital 8,105 8,405
Accumulated deficit (35,861) (35,605)
-------- --------
Total stockholder's deficit (27,755) (27,199)
-------- --------
TOTAL LIABILITIES AND STOCKHOLDER'S DEFICIT $248,956 $247,664
======== ========
</TABLE>
/1/ Taken from the audited consolidated financial statements for the year ended
December 26, 1998.
See notes to unaudited consolidated financial statements.
-4-
<PAGE>
BIG V SUPERMARKETS, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Thousands)
<TABLE>
<CAPTION>
UNAUDITED
-----------------------------
Twenty-Four Twenty-Four
Weeks Ended Weeks Ended
June 12, 1999 June 13, 1998
-------------- --------------
<S> <C> <C>
CASH BALANCE, BEGINNING OF PERIOD $ 15,674 $13,498
-------- -------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) (256) 227
Adjustments to reconcile net income (loss) to
net cash provided by operating activities:
Depreciation and amortization 7,590 7,356
Amortization of deferred debt costs (349) 540
Write-off of unamortized deferred financing costs 793 -
Amortization of discount on debt 49 52
Noncash rent expense 521 688
Deferred income taxes (306) 63
Changes in assets and liabilities:
Decrease in accounts receivable 1,031 3,310
(Increase) decrease in inventories (1,895) 2,140
Decrease in refundable income taxes 630 339
Increase in prepaid expenses (1,026) (1,043)
Increase in asset held for sale (147) -
Decrease (increase) in other assets 532 (664)
Decrease in accounts payable (2,310) (4,136)
(Decrease) increase in accrued expenses (2,422) 174
Increase in income taxes payable 572 -
Decrease in other long-term liabilities (445) (650)
-------- -------
Net cash provided by operating activities 2,562 8,396
-------- -------
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisitions of property and equipment (3,324) (5,738)
Proceeds from the sale of store equipment 2 5
Increase in investment in Wakefern Food Corp. - (40)
-------- -------
Net cash used in investing activities (3,322) (5,773)
-------- -------
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from long-term borrowings 60,000 65
Proceeds from revolver borrowings - 3,500
Principal payments on long-term debt (50,438) (6,800)
Payments on revolver borrowings (3,000) -
Financing fees in connection with new senior debt (2,507) -
Principal payments on capital lease obligations (373) (286)
Return of capital to Holding (300) -
-------- -------
Net cash provided by (used in) financing activities 3,382 (3,521)
-------- -------
NET INCREASE (DECREASE) IN CASH 2,622 (898)
-------- -------
CASH BALANCE, END OF PERIOD $ 18,296 $12,600
======== =======
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid during the period for:
Interest $ 10,290 $ 9,966
Income taxes $ 10 $ 19
</TABLE>
See notes to unaudited consolidated financial statements.
-5-
<PAGE>
BIG V SUPERMARKETS, INC.
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
----------------------------------------------------
1. Basis of Presentation
---------------------
The accompanying interim consolidated financial statements as of and for
the period ended June 12, 1999, included herein, have been prepared in
accordance with generally accepted accounting principles for interim financial
information and with the instructions to Form 10-Q and rule 10-01 of Regulation
S-X promulgated by the Securities and Exchange Commission. The balance sheet at
December 26, 1998 has been taken from the audited financial statements as of
that date. In the opinion of management, the consolidated financial statements
include all adjustments, which consist only of normal recurring adjustments
necessary for a fair presentation of operating results for the interim periods.
Certain financial information and footnote disclosures normally included in
financial statements prepared in accordance with generally accepted accounting
principles have been omitted. Accordingly, reference is made to the consolidated
financial statements and notes thereto included in the Company's annual report
on Form 10-K for the year ended December 26, 1998. Operating results for the
periods presented are not necessarily indicative of the results for the entire
fiscal year.
2. Income Taxes
------------
Income taxes are based on the estimated effective tax rate expected to be
applicable for the full fiscal year in accordance with Accounting Standards
Board Opinion No. 28, "Interim Financial Reporting".
3. Preopening Costs
----------------
Effective December 27, 1998, the Company adopted Statement of Position
(SOP) No. 98-5, Reporting on the Costs of Start-Up Activities, which requires
the costs associated with start-up activities, such as opening a store, be
expensed as incurred. There was no financial statement impact related to the
adoption of this SOP.
4. Extraordinary Charge
--------------------
On January 14, 1999 the Company refinanced its existing Credit Agreement
("Agreement") by entering into a new Bank Credit Agreement ("New Agreement")
with different lenders. The Company repaid amounts due under the Agreement
prior to their scheduled maturity dates and recognized an extraordinary after-
tax charge of $547,000 as a result of writing-off unamortized deferred financing
costs associated with the Agreement.
-6-
<PAGE>
ITEM 2.
Management's Discussion and Analysis of Financial Condition and Results of
Operations
Basis of Presentation
The following discussion of the Company's financial condition and results
of operations should be read in conjunction with the unaudited financial
statements and notes thereto included elsewhere in this Form 10-Q.
<TABLE>
<CAPTION>
12-Weeks Ended 12-Weeks Ended 24-Weeks Ended 24-Weeks Ended
June 12, 1999 June 13, 1998 June 12, 1999 June 13, 1998
--------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C>
Income Statement Data:
Sales............................................ 100.0% 100.0% 100.0% 100.0%
Gross margin..................................... 26.6 26.4 26.6 26.2
Selling, general and administrative.............. 21.1 20.8 21.5 21.1
EBITDA (1)....................................... 5.6 5.6 5.2 5.1
Depreciation and amortization.................... 2.0 2.0 2.0 2.0
Interest, net.................................... 2.7 3.0 2.7 2.9
------ ------ ------ ------
Income (Loss) before income taxes
and extraordinary charge.. 0.8 0.6 0.4 0.2
Income tax expense............................... 0.5 0.3 0.3 0.1
------ ------ ------ ------
Income before extraordinary charge............... 0.3 0.3 0.1 0.1
Extraordinary charge............................. 0.0 0.0 0.2 0.0
------ ------ ------ ------
Net income (loss)................................ 0.3% 0.3% (0.1)% 0.1%
====== ====== ====== ======
Other Data (in millions):
EBITDA........................................... $ 10.7 $ 10.3 $ 19.8 $ 18.8
====== ====== ====== ======
Net cash provided by operating activities........ $ 6.6 $ 12.5 $ 2.6 $ 8.4
====== ====== ====== ======
Net cash used in investing activities............ $ (2.6) $ (2.2) $ (3.3) $ (5.8)
====== ====== ====== ======
Net cash (used in) provided
by financing activities......................... $ (2.5) $ (9.1) $ 3.4 $ (3.5)
====== ====== ====== ======
</TABLE>
(1) EBITDA represents earnings before interest expense, depreciation and
amortization, including noncash losses on the sale of property, plant and
equipment, income taxes and LIFO provision/credit. EBITDA is a widely accepted
financial indicator of a company's ability to service and/or incur debt, and
also represents a primary debt covenant of the Company. Noncompliance with this
covenant would represent a default under the Company's debt agreements which
could subject the Company to debt acceleration if not waived or amended. EBITDA
should not be construed as an alternative to, or a better indicator of,
operating income (as determined in accordance with generally accepted accounting
principles) or to cash flows from operating activities (as determined in
accordance with generally accepted accounting principles) and should not be
construed as an indication of the Company's operating performance or as a
measure of liquidity.
-7-
<PAGE>
Results of Operations
12 and 24-Weeks Ended June 12, 1999 Compared to 12 and 24-Weeks Ended June 13,
1998
Sales
For the 12 and 24-week periods ended June 12, 1999, total store sales were
$192.7 million and $383.4 million, respectively. Sales for the comparable
periods ended June 13, 1998 totaled $184.8 million and $367.0 million,
respectively.
Total and same store sales increased 4.3% for the quarter ended June 12,
1999, as compared to the prior year. For the 24-week period ended June 12, 1999
total and same store sales increased 4.5% and 3.5%, respectively, as compared to
the same period of the prior year.
The increase in total store sales was attributable to sustained growth
across the chain partially offset by several competitive openings.
Gross Margin
Gross margin, as a percentage of sales, was 26.6% for both the 12 and 24-
week periods ended June 12, 1999, respectively. Gross margin for the comparable
periods ended June 13, 1998, was 26.4% and 26.2%, respectively. The margin
increase was the result of improvements in nonperishable selling margins
partially offset by planned margin reductions in certain perishable departments.
Selling, General and Administrative Expenses
Selling, general and administrative expenses were 21.1% of sales for the
12-week period ended June 12, 1999 and 20.8% for the comparable prior year
period. The increase was attributable to additional equipment rental cost,
higher advertising and administrative payroll.
Selling, general and administrative expenses, as a percentage of sales,
were .4% higher for the 24-week period ended June 12, 1999, compared to the same
period of the prior year. The year-to-date increase was attributable to the
items discussed above.
EBITDA
EBITDA increased 3.9% to $10.7 million for the 12-week period ended June
12, 1999, compared to $10.3 million for the comparable prior year period. The
quarterly EBITDA increase was due to the aforementioned improvements in gross
profit partially offset by increases in selling, general and administrative
expenses. For the 24-week period ended June 12, 1999, EBITDA increased 5.3% to
$19.8 million compared to $18.8 million for the comparable prior year period.
-8-
<PAGE>
Depreciation and Amortization
Depreciation and amortization, as a percentage of sales, was 2.0% for the
12 and 24-week periods ended June 12, 1999 and June 13, 1998. The consistent
rate represents an absolute dollar increase of $0.1 million and $0.2 million for
the 12 and 24-week periods ended June 12, 1999 compared to the prior year. The
increase was due to incremental depreciation from several major remodels
completed during 1999.
Interest, net
Interest, net, decreased $0.3 million, or .3% of sales for the 12-week
period ended June 12, 1999, compared to the prior year period. The decrease was
due to scheduled principal payments, lower deferred financing cost amortization
and increased interest income resulting from $6.2 million of cash in escrow for
the future payment of junior subordinated debt. For the 24-week period ended
June 12, 1999 interest, net, decreased $0.3 million or .2% of sales.
Net Income (Loss)
Net income was $0.5 million and $0.6 million for the 12-week periods ended
June 12, 1999 and June 13, 1998, respectively. The decrease in net income in the
current quarter was attributable to a higher income tax expense. Net loss for
the 24-week period ended June 12, 1999 was $0.3 million compared to net income
of $0.2 million for the same period of the prior year. The decrease in net
income for the 24-week period was attributable to the extraordinary write-off of
unamortized deferred financing costs from the Company's old senior debt.
Liquidity and Capital Resources
The Company completed a $60 million debt refinancing on January 14, 1999.
This enabled the Company to pay its existing senior debt of $46.7 million and
revolver borrowings of $3.0 million. All other mandatory principal payments
required by the various debt agreements were paid during the 12 and 24-week
periods ended June 12, 1999.
The Company had a working capital ratio of 1.0:1 at June 12, 1999 and .9:1
at December 26, 1998. The Company typically requires small amounts of working
capital since inventory is generally sold prior to the time payments to Wakefern
Food Corp. and other suppliers are due. The Company's primary source of
liquidity during the 12-weeks ended June 12, 1999 was cash flow generated
through operations supplemented by revolver usage.
Net cash provided by operating activities was $2.6 million and $8.4
million for the 24-week periods ended June 12, 1999 and June 13, 1998,
respectively. The decrease in net cash provided by operating activities during
the current period was primarily due to an increase in inventory levels and the
prior year collection of several large accounts receivable balances.
Net cash used in investing activities was $3.3 million and $5.8 million
for the 24-week periods ended June 12, 1999 and June 13, 1998, respectively.
The decrease from the prior year resulted from the opening of the Company's
new store in Mt. Vernon, New York in the
-9-
<PAGE>
first quarter of 1998 and capital spending in 1999 being concentrated in the
second half of the year.
Net cash provided by financing activities was $3.4 million for the 24-week
period ended June 12, 1999 compared to net cash used in financing activities of
$3.5 million in the comparable prior year period. The increase in cash provided
by financing activities was due to the refinancing of the Company's senior debt.
For the 52 weeks ending December 25, 1999, the Company projects its major
uses of cash will be as follows: (i) cash interest payments (including
capitalized leases) of $23.1 million; (ii) capital expenditures of $15.0
million; and (iii) scheduled debt and capital lease payments of $13.3 million
(including the non-recourse demand note payable solely from the proceeds of the
sale of the Company's Baldwin Place Shopping Center located in Somers, New
York). Management believes operating cash flow combined with borrowings under
the bank revolving credit facility will be sufficient to meet the Company's
operating needs, scheduled capital expenditures and will enable the Company to
service its debt in accordance with its terms.
The new Bank Credit Agreement ("New Agreement") provides for a $25.0
million revolving credit facility. No borrowings were outstanding as of June
12, 1999, however, $6.4 million was used from this facility for letters of
credit and bonding purposes. The New Agreement requires the Company to meet
certain financial covenants, including maximum amounts of annual capital
expenditures, minimum fixed charge coverage ratios, maximum leverage ratios and
minimum amounts of consolidated net worth. The Company complied with all of its
financial covenants as of June 12, 1999 and management believes the Company will
remain in compliance for the next twelve months.
Year 2000 Issues
Most of the Company's key business processes (such as product procurement,
product delivery, inventory identification, retail sales and financial
information reporting) depend on computer based systems. For this reason and
the information technology (IT) interrelationships between Big V Supermarkets,
Inc. and Wakefern Food Corporation ("Wakefern"), the Company has participated
with Wakefern in a comprehensive assessment of its business exposure relative to
the Year 2000 issue (Y2K). The assessment covers both IT and other environment
(Non-IT) systems to identify the potential areas affected by Y2K.
The Company and Wakefern have assessed all systems for Y2K readiness,
giving the highest priority to those IT systems that are considered critical to
its business operations. Wakefern provides all of the Company's financial,
general ledger and payroll applications and a majority of the Company's
processing services. Some in-store IT system are currently Y2K compliant.
Others, including receiving and labor management are at various stages of
remediation or testing. The Company anticipates all critical IT systems will be
Y2K compliant before the end of 1999.
The Company has completed an inventory of its Non-IT systems, which
includes those systems containing embedded chip technology commonly found in
buildings and related equipment. Remediation required for the Non-IT systems
will be performed throughout 1999.
The Company and Wakefern are utilizing the necessary internal and external
resources to replace, upgrade or modify all significant systems affected by Y2K.
The total estimated costs to remediate the Y2K issue will not have a significant
adverse affect on income from operations.
-10-
<PAGE>
The Company has established a Contingency Planning Committee. To date, high
level contingency plans have been developed for all mission critical business
processes. The Company anticipates it will have a fully developed contingency
plan by September 1, 1999.
Although the Company does not expect Y2K issues to have a material adverse
impact on the Company's business as a result of the aforementioned comments, the
Company's Y2K compliance is dependent upon key business partners (primarily
Wakefern) also being Y2K compliant on a timely basis. Accordingly, there can be
no guarantee the Company's overall efforts will prevent a material adverse
impact on the Company's future results of operations, financial condition and
cash flows. The possible consequences to the Company of not being fully Y2K
compliant include temporary supermarket closings, delays in the receipt of
merchandise, errors in product ordering or acquisition and other financial
transactions and the inability to efficiently process customer purchases. In
addition, business disruptions could result from the loss of power or the loss
of communication (satellite, phone or other) among supermarkets, Wakefern and
the Company's corporate offices. However, the Company believes established
contingency plans supplemented by Wakefern's available resources will help to
minimize the impact of any isolated disruptions.
Forward-Looking Statements
Other than statements of historical fact, all statements included in this
Form 10-Q, including the statements under Item 2, "Management's Discussion and
Analysis of Financial Condition and Results of Operations", are, or may be
considered forward-looking information, as defined in the Private Securities
Litigation Reform Act of 1995. Examples of such statements in this report
include those concerning the Year 2000 issue, projected cash outlays for
interest, principal payments, and capital expenditures. The Company cautions
the reader there is no assurance actual results or business conditions will not
differ materially from those forward-looking statements whether expressed,
suggested or implied as a result of various factors. Such factors include, but
are not limited to, increased competitive pressures from existing competitors
and new entrants, general or regional economic conditions, interest rate
environment and its affect on the Company's cost of capital, the liquidity of
the Company on a cash flow basis (including the Company's ability to comply with
the financial covenants of all applicable credit agreements), the success of
operating initiatives including the ability to control various expense
categories, and other risk factors detailed herein and in other filings of the
Company.
-11-
<PAGE>
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
Not applicable.
Item 2. Changes in Securities
Not applicable.
Item 3. Defaults upon Senior Securities
Not applicable.
Item 4. Submission of Matters to a Vote of Security Holders
Not applicable.
Item 5. Other Information
Not applicable.
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
27 Financial Data Schedule
(b) Reports on Form 8-K
Not applicable.
-12-
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
BIG V SUPERMARKETS, INC.
Date: July 27, 1999 /s/ James A. Toopes, Jr.
-------------------------------------
James A. Toopes, Jr.,
Vice Chairman, Chief Financial and
Administrative Officer
Date: July 27, 1999 /s/ John Onufer, Jr.
-------------------------------------
John Onufer, Jr.,
Vice President-Finance
Date: July 27, 1999 /s/ Anthony J. Moccio
-------------------------------------
Anthony J. Moccio
Controller
-13-
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-25-1999
<PERIOD-START> DEC-27-1998
<PERIOD-END> JUN-12-1999
<CASH> 18,296
<SECURITIES> 0
<RECEIVABLES> 10,943
<ALLOWANCES> 33
<INVENTORY> 37,388
<CURRENT-ASSETS> 74,452
<PP&E> 146,446
<DEPRECIATION> 91,707
<TOTAL-ASSETS> 248,956
<CURRENT-LIABILITIES> 72,162
<BONDS> 164,047
0
0
<COMMON> 1
<OTHER-SE> (27,756)
<TOTAL-LIABILITY-AND-EQUITY> (27,755)
<SALES> 383,408
<TOTAL-REVENUES> 383,408
<CGS> 281,558
<TOTAL-COSTS> 281,558
<OTHER-EXPENSES> 7,590
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 10,365
<INCOME-PRETAX> 1,493
<INCOME-TAX> 1,202
<INCOME-CONTINUING> 291
<DISCONTINUED> 0
<EXTRAORDINARY> 547
<CHANGES> 0
<NET-INCOME> (256)
<EPS-BASIC> 0
<EPS-DILUTED> 0
</TABLE>
