UNITED STATES
SECURITIES & 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 April 30, 1997
OR
[ ]TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from
Commission file number 0-12343
VICORP Restaurants, Inc.
(Exact name of registrant as specified in its charter)
COLORADO 84-0511072
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
400 West 48th Avenue, Denver, Colorado 80216
(Address of principal executive offices)
(Zip Code)
(303) 296-2121
(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
The registrant had 9,119,794 shares of its $.05 par value Common Stock
outstanding as of June 10, 1997.
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
VICORP Restaurants, Inc.
CONSOLIDATED BALANCE SHEETS
(in thousands)
<TABLE>
<CAPTION>
April 30, October 31,
1997 1996
---------- -----------
(unaudited)
ASSETS
<S> <C> <C>
Current assets
Cash $ 2,662 $ 1,406
Receivables 1,965 3,221
Inventories 4,997 6,517
Deferred income taxes 5,000 5,000
Prepaid expenses and other 1,014 1,202
--------- ---------
Total current assets 15,638 17,346
--------- ---------
Property and equipment, net 126,948 134,653
Deferred income taxes 39,812 41,324
Other assets 9,903 10,623
--------- ---------
Total assets $ 192,301 $ 203,946
========= =========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Current maturities of
long-term debt (Note 2) $ 83 $ 78
Current maturities of capitalized
lease obligations 1,431 1,514
Accounts payable, trade 9,520 11,131
Accrued compensation 5,370 5,686
Accrued taxes 7,290 6,941
Accrued insurance 4,510 4,524
Other accrued expenses 4,437 4,776
-------- --------
Total current liabilities 32,641 34,650
-------- --------
Long-term debt (Note 2) 14,065 24,642
Capitalized lease obligations 8,249 8,943
Non-current accrued insurance 4,427 5,349
Other non-current liabilities and credits 6,862 8,093
Commitments and contingencies
Shareholders' equity
Series A Junior Participating Preferred
Stock, $.10 par value, 200,000 shares
authorized, no shares issued
Common stock, $.05 par value, 20,000,000
shares authorized, 9,079,794 and 9,055,026
shares issued and outstanding 454 453
Paid-in capital 84,659 84,431
Retained earnings 40,944 37,385
-------- --------
Total shareholders' equity 126,057 122,269
-------- --------
Total liabilities and shareholders' equity $ 192,301 $ 203,946
======== ========
</TABLE>
The accompanying notes are an integral part of the financial statements.
VICORP Restaurants, Inc.
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(in thousands, except per share data)
<TABLE>
<CAPTION>
Three Three Six Six
months months months months
ended ended ended ended
--------- -------- -------- ---------
April 30, April 30, April 30, April 30,
1997 1996 1997 1996
--------- --------- --------- ---------
<S> <C> <C> <C> <C>
Revenues
Restaurant operations $ 78,569 $ 85,297 $ 161,671 $ 173,707
Franchise operations 747 856 1,575 1,727
------- ------- -------- --------
Total revenues 79,316 86,153 163,246 175,434
------- ------- -------- --------
Costs and expenses
Restaurant operations
Food 24,387 27,585 51,674 59,513
Labor 25,190 27,168 51,019 56,091
Other operating 20,755 24,104 42,063 47,507
General and administrative 5,803 6,494 11,850 12,088
------- ------- ------- -------
Operating Profit 3,181 802 6,640 235
Interest expense 659 984 1,416 2,114
Other (income)expense, net (187) (253) (338) (485)
------- ------- ------- -------
Income(loss) before income tax
expense (benefit) 2,709 71 5,562 (1,394)
Income tax expense (benefit) 976 26 2,003 (523)
------- ------- ------- -------
Net income (loss) $ 1,733 $ 45 $ 3,559 $ (871)
======= ======= ====== ========
Earnings (loss) per common
and dilutive common
equivalent share $ .19 $ .00 $ .39 $ (.10)
======= ======== ======= ========
Weighted average common
shares and dilutive common
share equivalents 9,143 9,139 9,152 9,047
======= ====== ====== ======
</TABLE>
The accompanying notes are an integral part of the financial statements.
VICORP Restaurants, Inc.
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
(in thousands)
<TABLE>
<CAPTION>
Six Six
Months Months
ended ended
April 30, April 30,
1997 1996
---------- ----------
<S> <C> <C>
Operations
Net income (loss) $ 3,559 $ (871)
Reconciliation to cash provided by operations
Depreciation and amortization 9,880 10,689
Deferred income tax provision (benefit) 1,512 (531)
Loss on disposition of assets 89 165
Other, net (289) (120)
------- -------
14,751 9,332
Change in assets and liabilities
Trade receivables 1,180 193
Inventories 1,520 3,297
Accounts payable, trade (1,611) (4,513)
Other current assets and liabilities (127) (2,012)
Non-current accrued insurance (922) 173
------- -------
Cash provided by operations 14,791 6,470
------- -------
Investing activities
Purchase of property and equipment (4,404) (2,967)
Purchase of other assets (66) (3)
Disposition of property 1,493 (545)
Collection of non-trade receivables 518 365
------- -------
Cash provided by (used for)
investing activities (2,459) (3,150)
------- -------
Financing activities
Issuance of debt -- 10,000
Payment of debt and capitalized
lease obligations (11,355) (14,635)
Purchase of common stock -- --
Issuance of common stock 182 --
Other, net 97 (198)
------- -------
Cash used for financing activities (11,076) (4,833)
------- -------
Increase (decrease) in cash 1,256 (1,513)
Cash at beginning of period 1,406 3,988
------- -------
Cash at end of period $ 2,662 $ 2,475
======= =======
Supplemental information
Cash paid during the period for
Interest (net of amount capitalized) $ 1,209 $ 1,992
Income taxes 293 257
</TABLE>
The accompanying notes are an integral part of the financial statements.
VICORP Restaurants, Inc.
NOTES TO FINANCIAL STATEMENTS (unaudited)
- -----------------------------------------
1. The consolidated financial statements should be read in conjunction
with the annual report to shareholders for the year ended October 31,
1996. The unaudited financial statements for the six months ended
April 30, 1997 and April 30, 1996 contain all adjustments which, in the
opinion of management, are necessary for a fair statement of the results
for the interim periods presented. All of the adjustments
included are of a normal and recurring nature.
2. As of April 30, 1997, the Company had $14,000,000 of borrowings
outstanding and $4,916,000 of letters of credit placed under its bank
credit facility. The Company's bank credit agreement expires on
October 31, 1999, but may be extended for one year.
3. In the fourth quarter of 1994, the Company adopted a plan to dispose
of 50 restaurant locations in trade areas that were no longer
considered appropriate for the Company's existing concepts. As part of
the disposal plan, the carrying value of those restaurants' assets were
written down to net realizable values. The Company also accrued for
expected carrying costs pending disposition and sublease disposition
losses. In the third quarter of fiscal 1996, the Company recorded an
asset disposal charge related to a decision to close and dispose of six
of its Angel's Diners. As of the end of fiscal 1996, the Company had
closed all the restaurants related to both disposal plans. Forty-three
stores have been disposed of through sublease, lease termination or
sale. Operating results for the closed restaurants for the second
quarter and first half of fiscal 1996 were as follows:
<TABLE>
<CAPTION>
Three months ended Six months ended
April 30, 1996 April 30, 1996
-------------- --------------
<S> <C> <C>
Sales $1,866,000 $4,134,000
Store operating profit (loss) (243,000) (645,000)
</TABLE>
During the six months ended April 30, 1997, $880,000 of closure and
carrying related costs were charged against the liability established
for such costs. Partially offsetting the charges are gains on
properties sold. As of April 30, 1997, the Company had $8,331,000 of
reserves remaining to provide for the disposal of 19 closed properties
and 13 subleased properties. Units classified as subleased may return
to closed status upon sublease termination. The reserves consisted of
$5,985,000 to reduce the disposal property to net realizable value and
$2,346,000 to provide for expected carrying costs and sublease losses.
4. Effects of Recently Issued Accounting Pronouncements
In March 1997, the Financial Accounting Standards Board ("FASB") issued
Statement of Financial Accounting Standards No. 128, "Earnings Per Share"
(SFAS No. 128), which supersedes Accounting Principles Board Opinion No. 15,
"Earnings Per Share" ("APB No. 15"). SFAS No. 128 simplifies the
requirements for reporting earnings per share ("EPS") by requiring
companies to report "basic" and "diluted" EPS. SFAS No. 128 is effective
for both interim and annual periods ending after December 15, 1997 but
requires retroactive restatement upon adoption. The Company will adopt
SFAS No. 128 in the fourth quarter of its fiscal year ending
October 31, 1998. The Company does not believe such adoption will have
a material effect on either its previously reported or future results of
operations.
In March 1997, the FASB issued Statement of Financial Accounting Standards
No. 129, "Disclosure of Information about Capital Structure" (SFAS No. 129),
which continues the existing requirements of APB No. 15 but expands the
number of companies subject to portions of its requirements. Specifically,
SFAS No. 129 requires that entities previously exempt from the requirements
of APB No. 15 disclose the pertinent rights and privileges of all securities
other than ordinary common stock. SFAS No. 129 is effective for periods
ending after December 15, 1997. The Company was not exempt from APB No. 15;
accordingly, the adoption of SFAS No. 129 will not have any effect on the
Company.
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
Results of operations
- ---------------------
The Company's quarterly financial information is subject to seasonal
fluctuation.
Restaurant operations
The following table sets forth certain operating information for the
Company's operating concepts and the Company as a whole.
<TABLE>
<CAPTION>
Second Quarter Year-to-Date
------------------------ ----------------------
Three Three Six Six
months ended months ended months ended months ended
------------- ------------- ------------- -------------
April 30, April 30, April 30, April 30,
1997 1996 1997 1996
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
Bakers Square
Restaurant sales $ 46,180,000 $ 50,684,000 $ 96,615,000 $104,825,000
Restaurant operating profit 2,830,000 2,043,000 6,184,000 2,097,000
Restaurant operating profit % <F1> 6.1% 4.0% 6.4% 2.0%
Divisional administrative costs 1,254,000 1,018,000 2,385,000 1,872,000
Divisional operating profit(loss) 1,576,000 1,025,000 3,799,000 225,000
Restaurants at quarter-end 152 156
Village Inn
Restaurant sales $ 31,960,000 $ 32,938,000 $ 64,245,000 $ 65,472,000
Restaurant operating profit 5,372,000 4,512,000 10,722,000 8,904,000
Restaurant operating profit %<F1> 16.8% 13.7% 16.7% 13.6%
Franchise income 747,000 856,000 1,575,000 1,727,000
Divisional administrative costs 880,000 653,000 1,656,000 1,246,000
Divisional operating profit 5,239,000 4,715,000 10,641,000 9,385,000
Restaurants at quarter-end 97 99
Angel's
Restaurant sales $ 429,000 $ 1,675,000 $ 811,000 $ 3,410,000
Restaurant operating profit(loss) 35,000 (115,000) 9,000 (405,000)
Restaurant operating profit % 8.2% (6.9%) 1.1% (11.9%)
Divisional administrative costs 0 69,000 7,000 179,000
Divisional operating profit(loss) 35,000 (184,000) 2,000 (584,000)
Restaurants at quarter-end 1 5
Consolidated
Restaurant sales $ 78,569,000 $ 85,297,000 $161,671,000 $173,707,000
Food cost % 31.0% 32.3% 32.0% 34.3%
Labor cost % 32.1% 31.9% 31.6% 32.3%
Other operating cost % 26.4% 28.3% 26.0% 27.3%
Restaurant operating profit % 10.5% 7.6% 10.5% 6.1%
Restaurant operating profit 8,237,000 6,440,000 16,915,000 10,596,000
Franchise income 747,000 856,000 1,575,000 1,727,000
Divisional general and
administrative costs 2,134,000 1,740,000 4,048,000 3,297,000
----------- ----------- ----------- ----------
Divisional operating profit 6,850,000 5,556,000 14,442,000 9,026,000
----------- ----------- ----------- ----------
Unallocated general and
administrative costs 3,669,000 4,754,000 7,802,000 8,791,000
----------- ----------- ----------- ----------
Operating profit 3,181,000 802,000 6,640,000 235,000
=========== =========== =========== ==========
</TABLE>
________________
<F1> The Company changed its method of allocating administrative and support
expenses between its various divisions during the second quarter. The
operating results for the first half of the year in this report incorporate
restated figures for the first quarter which do not conform to the figures
previously reported for that period.
Consolidated restaurant sales decreased $6.7 million, or 7.9%, during the
second fiscal quarter and decreased $12.0 million, or 6.9% for the
first half of fiscal 1997 compared to last year. Contributing to lower sales was
the operation of 10 fewer restaurants for the second quarter of 1997.
During the second fiscal quarter of 1997, sales decreased 4.0% and guest
counts declined 2.3% on a comparable same store basis. Same store sales
for Village Inn decreased 1.5% and Bakers Square's same store sales
contracted by 5.6%. Comparable guest counts for Village Inn decreased 1.0%
and Bakers Square declined 3.3%.
For the first half of fiscal 1997, comparable total store sales decreased
3.4%, reflective of a 5.1% decrease for Bakers Square and a .9% decrease
for Village Inn. The comparable sales decrease in Bakers Square was due to
adverse weather conditions early in the period resulting in a decrease in guest
counts. Village Inn's year-to-date comparable sales decrease was largely
due to lower guest counts.
The Company continues to focus on addressing the issue of declining guest counts
at its Bakers Square concept. Bakers Square Midwest units are currently being
remodeled in a significant campaign to enhance the dining experience. In
addition, both tactical marketing programs and special incentive programs in
the local restaurants will be expanded to increase customer awareness and
improve service levels.
Consolidated restaurant operating profit increased $1.8 million, or 27.9%,
and increased as a percentage of restaurant sales from 7.6% to 10.5% in the
second quarter of 1997 versus the second quarter of 1996. Both Village Inn
and Bakers Square contributed to the improvement. Bakers Square's
restaurant operating profit percentage increased by 2.1 points, while
Village Inn's increased by 3.1 points over the same quarter of 1996.
Consolidated restaurant operating profit increased for the first
half of fiscal 1997 compared to 1996's first half largely due to operating
efficiencies in food, labor and other costs.
The following presents select quarterly trend data related to the
operations of Bakers Square and Village Inn:
<TABLE>
<CAPTION>
Bakers Square Village Inn
------------- -----------
Comparable Comparable
Comparable Store Store Comparable Store Store
Store Guest Operating Store Guest Operating
Sales Counts Margin Sales Counts Margin
------------------------------- --------------------------------
<S> <S> <S> <S> <S> <S> <S>
1996:
1st Qtr -7.6% -0.3% 0.1% 0.0% -0.8% 13.5%
2nd Qtr 1.1% 0.0% 4.0% 4.4% 3.5% 13.7%
3rd Qtr 0.5% -4.5% 6.8% 2.4% 2.9% 15.6%
4th Qtr -3.6% -4.3% 7.7% 0.1% 0.7% 17.7%
1997:
1st Qtr -4.6% -2.4% 6.7% -0.2% -0.2% 16.6%
2nd Qtr -5.6% -3.3% 6.1% -1.5% -1.0% 16.8%
</TABLE>
Asset Disposal
- --------------
As of April 30, 1997, the Company had closed all of the 56 restaurants
scheduled for disposition under plans adopted in fiscal 1994 and fiscal
1996. In the first half of fiscal 1997, the Company closed four
restaurants which were not included in either disposition plan. The
following table details sales and operating results for the 60 restaurants
for the second quarter and first half of fiscal 1997 compared to the prior
year:
<TABLE>
<CAPTION>
Three Months Ended Three Months Ended Six Months Ended Six Months Ended
April 30, 1997 April 30, 1996 April 30, 1997 April 30, 1996
------------------ ------------------ ---------------- ----------------
Operating Operating Operating Operating
Profit Profit Profit Profit
Sales (Loss) Sales (Loss) Sales (Loss) Sales (Loss)
------- ---------- ---------- ---------- --------- --------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Bakers Square $213,000 $ (50,000) $ 1,288,000 $ (22,000) $ 783,000 $ (69,000) $ 2,979,000 $ (185,000)
Village Inn 234,000 38,000 462,000 0 460,000 65,000 899,000 (9,000)
Angel's -- -- 1,120,000 (165,000) -- -- 2,306,000 (401,000)
-------- ---------- ---------- --------- --------- --------- ----------- -----------
Total $447,000 $ (12,000) $ 2,870,000 $(187,000) $1,243,000 $ (4,000) $ 6,184,000 $ (595,000)
======== ========== =========== ========== ========== ========= =========== ===========
</TABLE>
Other revenues and expense
- --------------------------
Compared to 1996's second quarter, franchise revenue in 1997's second
quarter decreased by $109,000. For the first half of fiscal 1997,
franchise revenue decreased by $152,000 compared to last year. The
decrease was largely the result of a decrease in royalties related to
adoption of a revised franchise agreement by several existing franchisees
as well as lower franchise sales income.
General and administrative expense decreased to 7.3% of revenues in the
second quarter of 1997 from 7.5% last year. Year-to-date, general and
administrative expense as a percent of revenues was 7.3% and 6.9% for 1997
and 1996, respectively.
Interest expense declined 33%, or $325,000, for the second quarter and 33%,
or $698,000, for the first half of 1997 as compared to fiscal 1996 due to
reduced credit line borrowings.
The Company's effective tax rate for the second quarter and first half of
1997 was 36% representing statutory tax rates offset somewhat by the effect
of FICA tax credits.
Liquidity and capital resources
- -------------------------------
Operating cash flows increased $8.3 million in the first half of 1997
versus the first half of 1996. The increase resulted primarily from improved
operating results and reduced working capital requirements.
As of April 30, 1997, $14,000,000 of advances were outstanding under the
Company's bank credit facility and approximately $21,100,000 was available
for additional direct advances, subject to limitations on combined balances of
direct advances and letters of credit. In the first half of 1997, the Company
reduced its outstanding borrowings by $10.5 million. The Company's bank
credit agreement expires on October 31, 1999, but may be extended for one
year.
During the first half of 1997, the Company disposed of five properties, two
through sale, and three through sublease. Also during that time, closure
and carrying costs of $880,000 were charged against the liability
established for such, and cash proceeds of $1,493,000 were realized from
the disposition of properties.
At April 30, 1997, the Company had 19 closed properties remaining which it
was trying to sell or sublease. Six of those properties were owned in fee
and the rest were leased. The Company also had 13 subleased properties.
The Company hopes to sell the fee properties over the next year and $3.8
million of proceeds are expected to be realized from their sale. The
Company does not anticipate significant proceeds from the disposition of
the leased properties. It is expected that the majority of the leased
properties will be subleased over the next twelve to eighteen months. Cash
carrying costs of approximately $2.3 million are expected to be incurred
over that period. The Company expects to sublease six of the properties at
rentals lower than the Company's obligations under the prime leases. Those
sublease losses will be incurred over the remaining years of the leases and
the Company does not anticipate that the losses will materially affect the
Company's liquidity.
As of April 30, 1997, authorizations granted by the Board of Directors for
the purchase of 300,500 common shares of the Company's common stock
remained available. No shares were purchased in the first half of 1997.
Future purchases with respect to the authorizations may be made from time
to time in the open market or through privately negotiated transactions and
will be dependent upon various business and financial considerations.
Capital expenditures approximating $15.6 million are expected during the
remainder of the fiscal year. The level of planned expenditures may be
reduced as a result of operating conditions. Cash provided by operations,
the unused portion of the Company's bank credit facility and other
financing sources are expected to be adequate to fund these expenditures
and any cash outlays for the purchase of the Company's common stock as
authorized by the Board.
VICORP has guaranteed certain leases for twenty-five (25) restaurant
properties sold to others in 1986 and twenty (20) restaurant leases of
certain franchisees and others. Minimum future rental payments remaining
under these leases were approximately $11.5 million as of October 31, 1996.
These guarantees are included in the definition of financial instruments
with off-balance-sheet risk of accounting loss; however, the Company has
not been required to make any payments with respect to these guarantees and
presently has no reason to believe any payments will be required in the
future. The Company believes it is impracticable to estimate the fair
value of these financial guarantees (e.g., amounts the Company could pay to
remove the guarantees) because the Company has no present intention or need
to attempt settlement of any of the guarantees.
Outlook
- -------
The Company is evaluating various alternative investment strategies for
utilizing cash flow from operations. These alternatives include, but may
not be limited to, new Village Inn restaurant properties, paydown of credit
facility debt, repurchase of common stock, and acquisition of restaurant
concerns in the family style segment.
Certain matters discussed in this report are "forward-looking statements"
intended to qualify for the safe harbors from liability established by the
Private Securities Litigation Reform Act of 1995. These forward-looking
statements can generally be identified as such because the context of the
statement will include words such as the Company "believes," "anticipates,"
"expects" or words of similar import. Similarly, statements that describe
the Company's future plans, objectives or goals are also forward-looking
statements. Such forward-looking statements are subject to certain risk
and uncertainties which are described in close proximity to such statements
and which could cause actual results to differ materially from those
currently anticipated. Shareholders, potential investors and other readers
are urged to consider these factors carefully in evaluating the forward-
looking statements and are cautioned not to place undue reliance on such
forward-looking statements. The forward-looking statements made herein are
only made as of the date of this report and the Company undertakes no
obligation to publicly update such forward-looking statements to reflect
subsequent events or circumstances.
PART II - OTHER INFORMATION
Item 4. Submission of Matters to a Vote of Securities Holders.
On April 18, 1997, the Registrant held its Annual Meeting of
Shareholders. At that meeting, three proposals were submitted to the
shareholders for approval. Those proposals related to the election of
directors, ratification of the appointment of the Company's independent auditors
for VICORP's 1997 fiscal year, and the approval of the Company's Employee Stock
Purchase Plan.
As to the first proposal, each of the nominees for directors were
elected based upon the following vote:
<TABLE>
<CAPTION>
Director For Against Abstain Broker Non-
Votes
- -----------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Carole Lewis Anderson 7,758,131 750,932 -- --
Bruce B. Brundage 7,759,131 749,932 -- --
Charles R. Frederickson 8,092,030 417,033 -- --
John C. Hoyt 8,150,831 358,232 -- --
J. Michael Jenkins 8,150,831 358,232 -- --
Robert T. Marto 7,758,631 750,432 -- --
Dudley C. Mecum 7,757,731 751,332 -- --
Dennis B. Robertson 7,758,631 750,432 -- --
Hunter Yager 7,758,631 750,432 -- --
Arthur Zankel 7,817,931 691,132 -- --
</TABLE>
The selection of Arthur Andersen LLP to serve as the Company's
independent accountants for fiscal 1997 was ratified. The vote was
8,255,517 for; 244,348 against; 9,198 abstained; and no broker non-votes.
The proposal to approve the Company's Employee Stock Purchase Plan was
approved. The vote was 6,987,494 for; 358,026 against; 39,133 abstained;
and 1,124,410 broker non-votes.
Item 5. Other Information.
James R. Burke resigned as President of the Bakers Square division on
April 8, 1997. His duties were assumed by J. Michael Jenkins, Chief
Executive Officer of the Company. Nicholas P. Galanos resigned as
Executive Vice President/Development on April 4, 1997. His duties were
assumed by J. Michael Jenkins, Chief Executive Officer of the Company.
Item 6: Exhibits and Reports on Form 8-K.
(a) Exhibits
(27) Financial data schedule.
(b) Reports on Form 8-K.
None.
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.
VICORP Restaurants, Inc.
------------------------
(Registrant)
June 12, 1997 By: /s/ J. Michael Jenkins
-------------------------------------
J. Michael Jenkins,
President and Chief Executive Officer
June 12, 1997 By: /s/ Richard E. Sabourin
-------------------------------------
Richard E. Sabourin,
Executive Vice President and
Chief Financial Officer
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM VICORP
RESTAURANTS, INC. CONSOLIDATED BALANCE SHEETS AND STATEMENTS OF OPERATIONS
AS OF APRIL 30, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<CIK> 0000703799
<NAME> VICORP RESTAURANTS, INC.
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> OCT-31-1997
<PERIOD-END> APR-30-1997
<CASH> 2,662
<SECURITIES> 0
<RECEIVABLES> 1,965
<ALLOWANCES> 0
<INVENTORY> 4,997
<CURRENT-ASSETS> 15,638
<PP&E> 282,552
<DEPRECIATION> 149,870
<TOTAL-ASSETS> 192,301
<CURRENT-LIABILITIES> 32,641
<BONDS> 22,314
0
0
<COMMON> 454
<OTHER-SE> 125,603
<TOTAL-LIABILITY-AND-EQUITY> 192,301
<SALES> 161,671
<TOTAL-REVENUES> 163,246
<CGS> 51,674
<TOTAL-COSTS> 51,674
<OTHER-EXPENSES> 93,082
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 1,416
<INCOME-PRETAX> 5,562
<INCOME-TAX> 2,003
<INCOME-CONTINUING> 3,559
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 3,559
<EPS-PRIMARY> .39
<EPS-DILUTED> .39
</TABLE>
