<PAGE>
FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended DECEMBER 27, 1998
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 1-9573
------------------------------------------
UNO RESTAURANT CORPORATION
--------------------------------------------
(Exact name of registrant as specified in its charter)
DELAWARE 04-2953702
------------------------------- ------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
100 CHARLES PARK ROAD, WEST ROXBURY, MASSACHUSETTS 02132
-------------------------------------------------------------
(Address of principal executive offices) (Zip Code)
(617) 323-9200
-------------------------------------------------------------
(Registrant's telephone number, including area code)
-------------------------------------------------------------
(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 ___
As of January 29, 1999, 10,337,810 shares of the registrant's Common
Stock, $.01 par value, were outstanding.
<PAGE>
UNO RESTAURANT CORPORATION
INDEX
<TABLE>
<CAPTION>
PAGE
<S> <C> <C>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS............................3
Consolidated Balance Sheets --
December 27, 1998 and September 27, 1998 .......3
Consolidated Statements of Income --
Thirteen weeks ended
December 27, 1998 and December 28, 1997.........4
Consolidated Statements of Cash Flows --
Thirteen weeks ended December 27, 1998 and
December 28, 1997.. ............................5
Notes to Consolidated Financial
Statements......................................6
ITEM 2. MANAGEMENT'S DISCUSSION AND
ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS.......................8
ITEM 3. QUANTITATIVE AND QUALITATIVE
DISCLOSURE ABOUT MARKET RISKS..................12
PART II. OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K...............13
</TABLE>
2
<PAGE>
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands except per share data)
<TABLE>
<CAPTION>
December 27, Sept.27,
1998 1998
----------- --------
(Unaudited)
<S> <C> <C>
ASSETS
CURRENT ASSETS
Cash $ 1,121 $ 2,030
Accounts receivable, net 2,727 1,784
Inventory 2,699 2,296
Prepaid expenses and other assets 640 815
--------- ---------
TOTAL CURRENT ASSETS 7,187 6,925
PROPERTY, EQUIPMENT AND LEASEHOLD IMPROVEMENTS
Land 17,595 16,874
Buildings 29,217 27,823
Leasehold improvements 95,955 93,324
Equipment 54,213 52,536
Construction in progress 1,332 3,309
--------- ---------
198,312 193,866
Less allowance for depreciation and amortization 71,602 68,543
--------- ---------
126,710 125,323
OTHER ASSETS
Deferred income taxes 7,833 7,450
Royalty fee 136 157
Liquor licenses and other assets 3,333 3,340
--------- ---------
$ 145,199 $ 143,195
--------- ---------
--------- ---------
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable $ 5,555 $ 6,589
Accrued expenses 9,730 7,949
Accrued compensation and taxes 2,055 2,666
Income taxes payable 1,787 995
Current portion of long-term debt and capital
lease obligations 4,089 4,081
--------- ---------
TOTAL CURRENT LIABILITIES 23,216 22,280
Long-term debt, net of current portion 40,388 38,676
Capital lease obligations, net of current portion 613 666
Other liabilities 7,987 7,904
SHAREHOLDERS' EQUITY
Preferred Stock, $1.00 par value, 1,000 shares authorized, none issued
Common Stock, $.01 par value, 25,000 shares authorized, 13,795 and 13,776
shares issued and outstanding in Fiscal Years 1999 and 1998, respectively 138 138
Additional paid-in capital 54,046 53,944
Retained earnings 43,646 42,203
--------- ---------
97,830 96,285
Treasury Stock (3,464 and 3,175 shares at cost, in
Fiscal Years 1999 and 1998, respectively) (24,835) (22,616)
--------- ---------
TOTAL SHAREHOLDERS' EQUITY 72,995 73,669
--------- ---------
$ 145,199 $ 143,195
--------- ---------
--------- ---------
</TABLE>
3
<PAGE>
CONSOLIDATED STATEMENTS OF INCOME
(Amounts in thousands except per share data)
<TABLE>
<CAPTION>
THIRTEEN WEEKS ENDED
---------------------------
December 27, December 28,
1998 1997
------------ -------------
<S> <C> <C>
REVENUES
Restaurant sales $ 44,933 $ 41,611
Consumer product sales 2,564 2,285
Franchise income 1,250 1,072
-------- --------
48,747 44,968
COSTS AND EXPENSES
Cost of sales 12,952 11,331
Labor and benefits 14,906 13,749
Occupancy 7,094 6,990
Other operating costs 4,245 4,032
General and administrative 3,488 3,126
Depreciation and amortization 3,061 3,014
-------- --------
45,746 42,242
-------- --------
OPERATING INCOME 3,001 2,726
OTHER EXPENSE 847 923
-------- --------
Income before income taxes 2,154 1,803
Provision for income taxes 711 595
-------- --------
Net income before cumulative effect
of change in accounting principle $ 1,443 $ 1,208
Cumulative effect of change in
accounting principle for pre-opening
costs, net of income tax benefit
of $313 636
-------- --------
NET INCOME $ 1,443 $ 572
-------- --------
-------- --------
Basic and Diluted Earnings per Share:
Net income $ .14 $ .11
Cumulative effect of change in
accounting principle .06
-------- --------
Net income $ .14 $ .05
-------- --------
-------- --------
Weighted average shares outstanding:
Basic 10,453 10,965
Diluted 10,485 11,021
</TABLE>
4
<PAGE>
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands)
<TABLE>
<CAPTION>
THIRTEEN WEEKS ENDED
---------------------------
December 27, December 28,
1998 1997
-------- --------
<S> <C> <C>
OPERATING ACTIVITIES
Net Income $ 1,443 $ 572
Adjustments to reconcile net income to net cash
provided by operating activities:
Cumulative effect of change in accounting principal 636
Depreciation and amortization 3,090 3,040
Deferred income taxes (383) (445)
Provision for deferred rent 90 139
(Gain)Loss on disposal of equipment (1)
Changes in operating assets and liabilities, net of effects from business
acquisitions:
Accounts receivables (943) 1,002
Inventory (403) (31)
Prepaid expenses and other assets 172 (1,079)
Accounts payable and other liabilities 129 (1,915)
Income taxes payable 792 (207)
-------- --------
NET CASH PROVIDED BY OPERATING ACTIVITIES 3,986 1,712
INVESTMENT ACTIVITIES
Additions to property, equipment and
leasehold improvements (4,446) (3,625)
Proceeds from sale of fixed assets 1
-------- --------
NET CASH USED FOR INVESTING ACTIVITIES (4,445) (3,625)
FINANCING ACTIVITIES
Proceeds from revolving credit agreement 17,794 15,765
Principal payments on revolving credit agreement
and capital lease obligations (16,127) (13,411)
Purchase of Treasury Stock (2,219)
Exercise of stock options 102 10
-------- --------
NET CASH PROVIDED BY FINANCING ACTIVITIES (450) 2,364
-------- --------
INCREASE (DECREASE) IN CASH (909) 451
CASH AT BEGINNING OF PERIOD 2,030 1,486
-------- --------
CASH AT END OF PERIOD $ 1,121 $ 1,937
-------- --------
-------- --------
</TABLE>
5
<PAGE>
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE A - BASIS OF PRESENTATION
The accompanying unaudited, consolidated financial statements have been prepared
in accordance with instructions to Form 10-Q and, therefore, do not include all
information and footnotes normally included in financial statements prepared in
conformity with generally accepted accounting principles. They should be read in
conjunction with the financial statements of the company for the fiscal year
ended September 27, 1998.
The accompanying financial statements include all adjustments (consisting only
of normal recurring accruals) that management considers necessary for a fair
presentation of its financial position and results of operations for the interim
periods presented.
NOTE B - EARNINGS PER SHARE
Basic earnings per share represents net income divided by the weighted average
shares of common stock outstanding during the period. Weighted average shares
used in diluted earnings per share include common stock equivalents arising from
stock options using the treasury stock method.
The following table sets forth the computation of basic and diluted earnings per
share.
<TABLE>
<CAPTION>
Thirteen Weeks Ended
-------------------------------
December 27, December 28,
1998 1997
------------ ------------
<S> <C> <C>
Numerator for Basic Earnings
per Share:
Weighted average shares
outstanding 10,452,756 10,965,252
Common Stock equivalents:
Stock options 32,314 55,884
------------ -----------
Numerator for Diluted Earnings
per Share:
Weighted average shares
outstanding including common
stock equivalents 10,485,070 11,021,136
----------- -----------
----------- -----------
Net Income before cumulative
effect of change in
accounting principle $1,443,000 $1,208,000
Cumulative effect of change
in accounting principle for
preopening costs net of
income taxes 636,000
----------- ------------
Net Income $1,443,000 $ 572,000
----------- -----------
----------- -----------
Basic and Diluted Earnings per Share:
Net Income before cumulative
effect of change in
accounting principle $ .14 $ .11
Cumulative effect of change in
accounting principle .06
----------- -----------
Net Income $ .14 $ .05
----------- -----------
----------- -----------
</TABLE>
6
<PAGE>
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONT.)
NOTE C - PRE-OPENING COSTS
In 1998, the Accounting Standards Executive Committee of the American Institute
of Certified Public Accountants (AICPA) issued Statement of Position 98-5 ("SOP
98-5") entitled "Reporting on the Costs of Start-up Activities." The SOP 98-5
requires companies to expense as incurred all start-up and pre-opening costs
that are not otherwise capitalizable as long lived assets. This new accounting
standard is effective for fiscal years beginning after December 15, 1998 with
early adoption encouraged. The Company has elected early adoption of the
accounting standard retroactive to the beginning of fiscal 1998. The cumulative
effect of this change in accounting principle was $636,000, net of income taxes.
7
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS
SAFE HARBOR CAUTIONARY STATEMENT
From time to time, information and statements provided by the Company in filings
with the Securities and Exchange Commission, shareholder reports, press releases
and oral statements may include forward-looking statements which reflect the
Company's current views with respect to future events and financial performance.
Forward-looking statements are made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995. Investors are cautioned
that all forward-looking statements involve risks and uncertainties, which could
cause actual results to differ materially from historical results or those
anticipated. The Company undertakes no obligation to publicly update or revise
any forward-looking statements, whether as a result of new information, future
events or otherwise. Risks and uncertainties include, without limitation, the
Company's ability to open new restaurants and operate new and existing
restaurants profitably, changes in local, regional and national economic
conditions, especially economic conditions in the areas in which the Company's
restaurants are concentrated, increasingly intense competition in the restaurant
industry, increases in food, labor, employee benefits and similar costs, and
other risks detailed from time to time in the Company's news releases, reports
to shareholders and periodic reports filed with the Securities and Exchange
Commission.
The following tables set forth the percentage relationship to total revenues,
unless otherwise indicated, of certain items included in the Company's income
statements and operating data for the periods indicated:
THIRTEEN WEEKS ENDED DECEMBER 27, 1998 COMPARED TO THIRTEEN WEEKS ENDED
DECEMBER 28, 1997
<TABLE>
<CAPTION>
13 WEEKS ENDED
------------------------------
12/27/98 12/28/97
-------- --------
<S> <C> <C>
REVENUES:
Restaurant sales 92.2% 92.5%
Consumer product sales 5.3 5.1
Franchise income 2.5 2.4
------ ------
Total 100.0% 100.0%
------ ------
COSTS AND EXPENSES:
Cost of food & beverages (1) 27.3% 25.8%
Labor and benefits (1) 31.4 31.3
Occupancy costs (1) 14.9 15.9
Other operating costs (1) 8.9 9.2
General and administrative 7.2 7.0
Depreciation and amortization (1) 6.4 6.9
------ ------
Operating income 6.2 6.1
Other expense 1.7 2.1
------ ------
Income before taxes 4.5 4.0
Provision for income taxes 1.5 1.3
------ ------
Net Income before cumulative
effect of change in
accounting principle 3.0% 2.7%
Cumulative effect of change
in accounting principle for
pre-opening costs, net of
income tax benefit 1.4
------ ------
Net Income 3.0% 1.3%
------ ------
------ ------
</TABLE>
(1) Percentage of restaurant and consumer product sales
8
<PAGE>
NUMBER OF RESTAURANTS AT END OF QUARTER:
Company-owned Uno's - full service 97 95
Franchised Uno's - full service 65 66
Total revenue increased 8.4% to $48.8 million from $45.0 million last year.
Company-owned restaurant sales rose 8.0% to $44.9 million from $41.6 million
last year due primarily to a 5.7% increase in comparable store sales for the
first quarter versus the same period last year. Average weekly sales, which
includes sales at comparable stores as well as new units, increased 6.3% during
the first quarter, reflecting higher-than-average sales levels for its newest
prototype units. The latest variation of the new prototype units generated sales
volumes approximately 14% higher than our non-prototype store average for the
quarter. Store operating weeks of full-service Pizzeria Uno units grew 2.1% as
four restaurants were added during the past four quarters, three of them in the
first quarter of fiscal 1999.
Consumer product sales increased 12.2% for the first quarter this year to
$2,564,000 from $2,285,000 last year. Sales in the contract food service
category grew 42.6% over last year. The growth was led by increased shipments
to airlines, hotels, cinemas and corporate dining businesses. Sales of fresh
product to retail grocers in the New England region increased 17.2% over the
same period last year while the category as a whole declined 6.2% due to the
loss of a large account.
Franchise income, which includes royalty income and initial franchise fees,
increased to $1,250,000 versus $1,072,000 last year. Royalty income increased
9.1% to $1,170,000 this year compared to $1,072,000 last year. The increase in
royalty income was primarily due to a 9.8% increase in average weekly sales for
full-service franchised restaurants. Franchise fees of $80,000 were recorded
this year compared to no fees last year. Four full-service franchise restaurants
opened and two full-service franchise restaurants closed during the first
quarter of fiscal 1999.
Operating income was $3,001,000, which represents an operating margin of 6.2%.
Operating income for last year was $2,726,000, which represents an operating
margin of 6.1%.
Cost of food and beverage as a percentage of restaurant and consumer product
sales increased to 27.3% compared to 25.8% last year. This increase was due
in part to cost increases associated with the company-wide rollout of the new
menu initiative and higher cheese costs, which were up approximately 24% over
last years levels. The block cheese market, which reached a record level of
$1.90 per pound during the quarter, dropped dramatically to $1.25 per pound
early in January 1999. Labor costs were up slightly 31.4% from 31.3% last
year as a percentage of restaurant and consumer product sales as an increase
in the average wage rate was absorbed by increased productivity. Occupancy
costs declined as a percentage of restaurant and consumer product sales to
14.9% from 15.9% due to operating leverage gains from higher unit volumes.
Other operating costs were down to 8.9% as a percentage of restaurant and
consumer product sales from 9.2% last year on lower advertising expense.
General and administrative expenditures as a percentage of total revenues
increased to 7.2% from 7.0% last year on higher salary and wage expense,
increased trainee labor expense and higher store opening expense related to
the opening of three full-service company-owned and four full-service
franchise restaurants during the quarter. Depreciation and amortization
expense as a percentage of restaurant and consumer product sales was down to
6.4% versus 6.9% last year due to increased sales leverage.
Other expense of $847,000 decreased from $923,000 last year. Interest expense
decreased to $799,000 from $884,000 last year due to a slightly lower borrowing
rate and a reduced level of debt. The effective tax rate of 33% for the quarter
remained the same as last year.
The Company adopted SOP 98-5 "Reporting on the Costs of Start-up Activities"
retroactive to the beginning fiscal 1998, and the cumulative effect of this
change in accounting principle was $636,000, net of income taxes, for the first
fiscal quarter of 1998. Net income increased to $1,443,000 from $572,000 last
year based on the factors noted above, and reflects the change in accounting
principle adopted.
9
<PAGE>
LIQUIDITY AND SOURCES OF CAPITAL
The following table presents a summary of the Company's cash flows for the
period ended December 27, 1998.
<TABLE>
<CAPTION>
(IN THOUSANDS)
--------------
<S> <C>
Net cash provided by operating activities $ 3,986
Net cash used in investing activities (4,445)
Net cash used in financing activities (450)
--------
Increase (Decrease) in cash $ (909)
--------
--------
</TABLE>
Historically, the Company had leased most of its restaurant locations and
pursued a strategy of controlled growth, financing its expansion principally
from operating cash flow, public equity offerings, the sale of senior, unsecured
notes, and revolving lines of credit. During the first three months of fiscal
1999, the Company's investment in property, equipment and leasehold improvements
was $4.4 million.
The Company currently plans to open approximately six to eight restaurants in
fiscal 1999, three of which were opened in the first quarter. The average cash
investment required to open a full service Pizzeria Uno restaurant, excluding
land and pre-opening costs, is approximately $1.6 million.
As of December 27, 1998, the Company had outstanding indebtedness of $39.5
million under its $55 million credit facility, $818,000 in capital lease
obligations and $4,747,000 under its mortgage financing. Advances under the
revolving credit facility will accrue interest at the lender's prime rate plus
0-50 basis points, or alternatively, 100-175 basis points above LIBOR. The
Company anticipates using the revolving credit facility in the future for the
development of additional restaurants, and for working capital.
In September 1998, the Board of Directors of the Company authorized the
repurchase of 1.0 million shares of the Company's Common Stock through a "Dutch
Auction" tender offer. The terms of the tender offer provided that the Company
would purchase up to 1,000,000 shares (subject to increase under certain
circumstances) of its Common Stock at prices, not in excess of $7.00 nor less
then $5.75 per share, specified by tendering stockholders. On October 30, 1998
the Company completed the repurchase of 274,721 shares at a price of $7.00 per
share. The total number of shares purchased represented approximately 3% of the
shares outstanding at the time. The Company used a portion of its $55 million
credit facility to purchase the shares tendered.
The Company believes that existing cash balances, cash generated from operations
and borrowing under its revolving line of credit will be sufficient to fund the
Company's capital requirements for the foreseeable future.
The Company is currently obligated under 95 leases, including 93 leases for
Company-owned restaurants and two leases for its executive offices. The Company
is currently negotiating the renewal of a lease for an office building
containing one of its restaurants and continues to pay rent on a tenancy at will
basis in the interim.
YEAR 2000 COMPLIANCE
The Company has completed its initial assessment of its computer systems to
identify the systems that could be affected by the "Year 2000" issue and has
developed an implementation and compliance plan to resolve the issue. The
Company's current plan calls for implementation to be completed during fiscal
year 1999. The Year 2000 problem is a result of computer programs being written
using two digits rather than four to define the applicable year. Any of the
Company's programs that have time sensitive software may recognize the date
using "00" as the year 1900 rather than the year 2000, which could result in
system failures or miscalculations using existing software.
In addition to the assessment of in-house computer systems, the Company is
in the process of assessing the readiness of its vendors, franchise partners and
non-information technology equipment for the Year 2000 issue. The Company has
received assurance from its major food distributor regarding their Year 2000
10
<PAGE>
compliance plans and has verified that its credit card processing vendor is
Year 2000 compliant. The Company is in the process of sending out
questionnaires to its business-critical vendors and franchise partners to
assess their Year 2000 readiness. Contingency plans will be developed in the
event that business-critical vendors or franchise partners do not provide the
Company with satisfactory evidence of their Year 2000 readiness. The Company
intends to make every reasonable effort to assess the Year 2000 readiness of
these critical business partners and to create action plans to address the
identified risks. The Company has determined that the most reasonably likely
worst case scenario would result from the inability to acquire food supplies
from our foodservice distributors. The Company is currently assessing this
possibility and will develop a contingency plan to assure that there is
adequate inventory on-hand to provide service until an alternative source of
supplies becomes available. The Company believes its operations will not be
significantly disrupted if other third parties with whom the Company has
relationships with are not year 2000 compliant. The Company also believes
that it will not have any material liability to third parties as a result of
any potential non-compliance with Year 2000 issues.
All maintenance and modification costs will be expensed as incurred, while
the cost of new software, if material, is being capitalized and depreciated over
its expected useful life. Testing and remediation of all the Company's systems
and applications is expected to cost approximately $250,000, of which
approximately $110,000 has been incurred as of the end of the first quarter of
fiscal 1999. Of the expected total cost of testing and remediation approximately
$60,000 relates to repair issues and the remainder to replacement of equipment.
All estimated costs have been budgeted and are expected to be funded by cash
flows from operations. No information technology projects have been deferred due
to Year 2000 compliance efforts. The Company is not pursing independent
verification of its systems as it believes that any effort would be as costly as
the remediation effort and is not warranted at this time.
The Company does not believe the costs related to the Year 2000 compliance
project will be material to its financial position or results of operations.
However, the cost of the project and the date on which the Company plans to
complete the Year 2000 modifications are based on management's best estimates,
which were derived utilizing numerous assumptions of future events including the
continued availability of certain resources, third party modification plans, and
other factors. Unanticipated failures by critical vendors, franchise partners,
as well as the failure by the Company to execute its own remediation efforts
could have a material adverse effect on the cost of the project and its
completion date. As a result, there can be no assurance that these
forward-looking estimates will be achieved and the actual cost and vendor
compliance could differ materially from those plans, resulting in material
financial risk.
IMPACT OF INFLATION
Inflation has not been a major factor in the Company's business for the last
several years. The Company believes it has historically been able to pass on
increased costs through menu price increases, but there can be no assurance that
it will be able to do so in the future. Future increases in local area
construction costs could adversely affect the Company's ability to expand.
SEASONALITY
The Company's business is seasonal in nature, with revenues and, to a greater
degree, operating income being lower in its first and second fiscal quarters
than its other quarters. The Company's seasonal business pattern is due to its
concentration of units in the Northeast, and the resulting lower winter volumes.
11
<PAGE>
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISKS
The Company has market risk exposure to interest rates on its fixed and
variable rate debt obligations and manages this exposure through the use of
interest rate swaps. The Company does not enter into contracts for trading
purposes. The information below summarizes the Company's market risk associated
with debt obligations and derivative financial instruments as of December 27,
1998. For debt obligations, the table presents principal cash flows and related
average interest rates by expected fiscal year of maturity. For variable rate
debt obligations, the average variable rates are based on implied forward rates
as derived from appropriate quarterly spot rate observations as of the fiscal
quarter end. For interest rate swaps, the table presents the notional amounts
and related weighted average interest rates by fiscal year of maturity. The
average variable rates are the implied forward rates as derived from appropriate
quarterly spot rate observations as of the fiscal quarter end.
Expected Fiscal Year of Maturity
(US$ in millions)
<TABLE>
<CAPTION>
Fair
Value
1999 2000 2001 2002 2003 THEREAFTER 12/27/98
---- ---- ---- ---- ---- ---------- --------
<S> <C> <C> <C> <C> <C> <C> <C>
Liabilities:
Fixed Rate $0.1 $0.2 $0.2 $0.3 $0.3 $3.6 $4.7
Average Interest Rate 8.75% 8.75% 8.75% 8.75% 8.75%
Variable rate $2.8 $3.7 $3.7 $3.7 $14.5 $8.5 $37.8
Average Interest Rate 6.40% 6.57% 6.74% 6.87% 6.98%
Interest Rate Swaps:
Receive Variable/
Pay Fixed $30.0 $30.0 $30.0 $(0.5)
Weighted Average
Pay Rate 5.96% 5.96% 5.84% - - -
Average Receive Rate 4.90% 5.07% 5.24%
</TABLE>
12
<PAGE>
PART II. OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) EXHIBITS
None.
(b) REPORTS ON FORM 8-K
Uno Restaurant Corporation did not file any Reports on Form
8-K during the quarter ended December 27, 1998.
13
<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.
UNO RESTAURANT CORPORATION
(Registrant)
Date: FEBRUARY 5, 1999 By: /S/ CRAIG S. MILLER
------------------------ ------------------------------
Craig S. Miller
Chief Executive Officer
(Principal Executive Officer)
Date: FEBRUARY 5, 1999 By: /S/ ROBERT M. VINCENT
------------------------ ------------------------------
Robert M. Vincent
Senior Vice President-Finance,
and Chief Financial Officer
(Principal Financial Officer)
14
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<CIK> 0000812075
<NAME> UNO RESTAURANT CORP.
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> OCT-03-1999
<PERIOD-START> SEP-28-1998
<PERIOD-END> DEC-27-1998
<CASH> 1,121
<SECURITIES> 0
<RECEIVABLES> 2,727
<ALLOWANCES> 0
<INVENTORY> 2,699
<CURRENT-ASSETS> 7,187
<PP&E> 198,312
<DEPRECIATION> 71,602
<TOTAL-ASSETS> 145,199
<CURRENT-LIABILITIES> 23,216
<BONDS> 48,988
0
0
<COMMON> 138
<OTHER-SE> 72,857<F1>
<TOTAL-LIABILITY-AND-EQUITY> 145,199
<SALES> 48,747
<TOTAL-REVENUES> 48,747
<CGS> 12,952
<TOTAL-COSTS> 45,746
<OTHER-EXPENSES> 48
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 799
<INCOME-PRETAX> 2,154
<INCOME-TAX> 711
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,443
<EPS-PRIMARY> 0.14
<EPS-DILUTED> 0.14
<FN>
<F1>NET OF TREASURY STOCK
</FN>
</TABLE>
