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U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 12b-25
NOTIFICATION OF LATE FILING
[ ] Form 10-K [ ] Form 20F [ ] Form 11-K [X] Form 10-Q [ ] Form N-SAR
For Period Ended:October 31, 1998
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[ ] Transition Report on Form 10-K
[ ] Transition Report on Form 20-F
[ ] Transition Report on Form 11-K
[ ] Transition Report on Form 10-Q
[ ] Transition Report on Form N-SAR
For the Transition Period Ended: ________________
Nothing in this form shall be construed to imply that the
Commission has verified any information contained herein.
If the notification relates to a portion of the filing checked above, identify
the Item(s) to which the notification relates:
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PART I - REGISTRANT INFORMATION
Full Name of Registrant: CROWN BOOKS CORP.
Address of Principal 3300 75th Avenue
Executive Office: Landover, MD 20785
PART II - RULES 12b-25(b) AND (c)
If the subject report could not be filed without unreasonable effort or expense
and the Registrant seeks relief pursuant to Rule 12b-25(b) [Section 23,047],
the following should be completed. (Check box if appropriate)
[X] (a) The reasons described in reasonable detail in Part III of
this form could not be eliminated without reasonable effort or expense;
[ ] (b) (i) The subject annual report, semi-annual report,
transition report on Form 10-K, Form 20F, 11-K or Form N-SAR, or portion
thereof will be filed on or before the fifteenth calendar day following the
prescribed due date; or
[X] (ii) The subject quarterly report or transition report on Form
10-Q, or portion thereof will be filed on or before the fifth calendar day
following the prescribed due date.
[ ] (c) The accountant's statement or other exhibit required by
Rule 12b-25(c) has been attached if applicable.
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PART III - NARRATIVE
Registrant filed a petition for relief under Chapter 11
of the United States Bankruptcy Code on July 14, 1998 and is currently
operating its business as a debtor-in-possession. Since the commencement of
Registrant's bankruptcy case, the Registrant has sought to minimize general and
administrative expenses to conserve cash flow, and has been forced to reduce
the staffing its accounting and financial areas. This reduced staffing has
diminished administrative capacity in such areas. Because of such diminished
capacity and because the Registrant must also prepare certain financial
information to be filed with the Bankruptcy Court, which filing is also due on
December 15, 1998, Registrant's staff has been unable to complete the
preparation of its Form 10-Q Quarterly Report.
PART IV - OTHER INFORMATION
(1) Name and address of person to contact in regard to this notification:
Thomas F. Hurley, Esq.
Montgomery, McCracken, Walker & Rhoads, LLP
123 South Broad Street
Philadelphia, PA 19109
Telephone: (215) 772-7385
(2) Have all other periodic reports required under Section 13 or 15(d) of the
Securities Exchange Act of 1934 or Section 30 of the Investment Company Act of
1940 during the preceding 12 months or for such shorter period that the
Registrant was required to file such report(s) been filed? If the answer is no,
identify report(s).
[X] Yes [ ] No
(3) Is it anticipated that any significant change in results of operations from
the corresponding period for the last fiscal year will be reflected by the
earnings statements to be included in the subject report or portion thereof?
[x] Yes [ ] No
If so, attach an explanation of the anticipated change, both narratively and
quantitatively, and, if appropriate, state the reasons why a reasonable
estimate of the results cannot be made.
It is anticipated that the net loss for the Company's
13 and 39 week periods ending October 31, 1998 will be approximately $6.2
million and $45.0 million, compared to net losses of approximately $25.6
million and $32.5 million for the corresponding periods in the prior year. Net
losses for the third quarter were reduced compared to the prior year due to the
non-recurrence of an $11.4 million one-time charge booked during the
corresponding quarter of the preceding year and the closing of unprofitable
stores during the second quarter of the current fiscal year.
CROWN BOOKS CORP. has caused this notification to be signed on its behalf by
the undersigned thereunto duly authorized.
Date: December 15, 1998 By: /s/ Richard Nason
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Richard Nason
Chief Financial Officer
