UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q/A
Amendment No. 1
(To include disclosure on year 2000 issues)
(Mark One)
[ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended AUGUST 31, 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 0-19623
MIAMI SUBS CORPORATION
(Exact name of registrant as specified in its charter)
Florida 65-0249329
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
6300 N.W. 31st Avenue, Fort Lauderdale, Florida 33309
(Address of principal executive offices)
(Zip Code)
(954) 973-0000
(Registrant's telephone number, including area code)
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
Indicate the number of shares outstanding of each of the issuer's classes
of common stock, as of the latest practicable date.
Class Outstanding at October 6, 1998
Common Stock, $.01 par value 27,119,340
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
Year 2000
The Company is continuing its evaluation and assessment of its various
information technology and non-information technology systems, including
software, hardware and equipment that may be potentially affected by the Year
2000 issue. The Company estimates that its evaluation and assessment of these
various systems will be completed shortly. Based on its preliminary
assessment of these systems and discussions with its third-party providers,
the Company currently believes that such internal systems are or will be Year
2000 compliant with minimum modifications, which should be completed by May
31, 1999. Following initial testing, additional remedial action may be
necessary and further testing will be performed. The Company has not yet
determined the cost of completing its Year 2000 plan on its internal systems,
but currently does not estimate that such costs will be material.
The Company is currently in the process of contacting critical suppliers of
products and services to determine the extent to which the Company may be
vulnerable to such parties failure to resolve their own Year 2000 issues. The
Company will assess and attempt to mitigate its risks with respect to the
failure of these third parties to be Year 2000 compliance. The effect, if
any, on the Company's results of operations from the failure of third parties
to be Year 2000 compliant can not be reasonably estimated.
The Company will also be working with and assisting its independent
franchisees to ensure that their point of sale and other equipment is capable
of handling the Year 2000 issue. In the event that such systems are not
adequately modified as necessary, it may adversely affect the franchisees
operations which would adversely affect the Company's results of operations.
Based on the Company's current assessment to date, no matters have been
identified and the Company does not currently believe that the Year 2000 issue
will have a material adverse effect on the Company's financial condition or
results of operations. The Company's beliefs and expectations, however, are
based on certain assumptions and expectations that may ultimately prove to be
inaccurate. Potential sources of risk include the inability of suppliers to
be Year 2000 compliant, which could result in delays in product deliveries
from suppliers, and disruption of the distribution channel.
The Company has not yet established a contingency plan, but intends to develop
a plan to mitigate the effects of problems experienced by vendors or service
providers in regard to the timely implementation of Year 2000 programs. This
contingency plan is expected to be developed and in place by July 31, 1999.
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.
MIAMI SUBS CORPORATION
Date: January 8, 1999 By:/s/ Jerry W. Woda
JERRY W. WODA
Senior Vice President,
Chief Financial Officer,
and Principal Accounting
Officer
