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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 12B-25
Commission File Number: 0-21203
NOTIFICATION OF LATE FILING
(Check One):
[X] Form 10-K [ ] Form 11-K [ ] Form 20-F [ ] Form 10-Q [ ] Form N-SAR
For Period Ended: June 28, 2000
Nothing in this form shall be construed to imply that the Commission has
verified any information contained herein.
PART I. REGISTRANT INFORMATION
Full name of registrant: Diedrich Coffee, Inc.
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Address of principal executive office (Street and number): 2144 Michelson Drive
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City, State and Zip Code: Irvine, California 92612
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PART II. RULE 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), the
following should be completed. (Check appropriate box.)
[X] (a) The reasons described in reasonable detail in Part III of this form
could not be eliminated without unreasonable effort or expense;
[X] (b) The subject annual report, semi-annual report, transition report on
Form 10-K will be filed on or before the 15th calendar day following
the prescribed due date; and
[n/a](c) The accountants' statement or other exhibits required by Rule 12b-25(c)
have been attached if applicable.
PART III. NARRATIVE
We are unable to file our Form 10-K within the prescribed time period
because the officers and staff responsible for preparation of the Form 10-K have
been devoting substantial attention to completing negotiations with our lender
with respect to an amendment to our Credit Agreement. As a result, we are
unable, without unreasonable effort or expense, to complete our Form 10-K and to
have it meaningfully reviewed by our board of directors prior to its due date.
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PART IV. OTHER INFORMATION
(1) Name and telephone number of person to contact in regard to this
notification: Matthew McGuinness, (949) 260-6737.
(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) have 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.
Please see our press release dated August 17, 2000 attached hereto as
Exhibit A.
Diedrich Coffee, Inc.
(Name of registrant as specified in charter)
Has caused this notification to be signed on its behalf by the undersigned
thereunto duly authorized.
Date: September 26, 2000
By: /s/ Mathhew McGuiness
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Matthew McGuinness,
Chief Financial Officer
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EXHIBIT A
THURSDAY AUGUST 17, 7:01 AM EASTERN TIME
PRESS RELEASE
SOURCE: Diedrich Coffee, Inc.
DIEDRICH COFFEE, INC. QUANTIFIES PREVIOUSLY ANNOUNCED FOURTH QUARTER CHARGES
IRVINE, Calif., Aug. 17 /PRNewswire/ -- Diedrich Coffee, Inc. (Nasdaq: DDRX -
news), the nation's second largest coffeehouse operator, franchisor and roaster
in the specialty coffee market, today reported that it expects to record
non-cash asset impairment charges against fiscal fourth quarter earnings in the
range of $15 to $18 million relating to its Gloria Jean's operation. The Company
previously reported in a June 29, 2000 press release that it expected to record
substantial non-cash asset impairment charges related to Gloria Jean's, but was
unable to quantify the expected range of those charges at that time. The Company
also noted today that it expects to record operating losses between $5 million
and $6 million for the fiscal year ended June 2000, including approximately $2.5
million in operating charges resulting from increased reserves for future rents
and lease termination costs for closed Gloria Jean's locations, severance and
relocation expenses, increased reserves for certain inventories, and other
miscellaneous charges. The Company will report forth quarter and full year
results for fiscal 2000, as well as the exact amount of charges in its press
release and 10K filing, both of which will be issued by the end of September
2000.
As previously announced, the asset impairment charges will be reflected in
Diedrich Coffee's fourth quarter and year-end results for the fiscal year ended
June 28, 2000, and will consist primarily of reductions in the amount of
goodwill carried on the Company's balance sheet associated with its Gloria
Jean's operating division. The charges reflect the closure of 39 Gloria Jean's
store locations and other operating shortfalls experienced in its Gloria Jean's
subsidiary.
"This was a tough but necessary step for us to take," said Tim Ryan, President
and CEO of Diedrich Coffee, Inc. "While the recent focus has been on the
resolution of problems at our Gloria Jean's units, there are many positive
things happening there, including five recent international store openings, the
continuing positive same-store sales for the first time in five years, the
higher financial and operational standards recently implemented throughout the
system, and the major repositioning test scheduled to commence this fall. In
addition, our Diedrich Coffee brand coffeehouse system is growing, with another
franchise unit opening last week in Cypress, CA, and two other franchise stores
under construction, as that part of our business continues to pick up momentum,"
concluded Mr. Ryan.
As previously announced the Company is in technical violation of its financial
covenants in its credit agreement, however it has made all of its principal and
interest payments due to-date under the existing credit agreement, and is
continuing to negotiate amended terms.
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About Diedrich Coffee
Diedrich Coffee, Inc. is the nation's second largest retailer in the specialty
coffee market with annual system-wide revenues in excess of $150 million
annually through 363 retail locations in 37 states and nine foreign countries.
The Company's primary brands are Diedrich Coffee brand coffeehouses and Gloria
Jean's Coffees, the nation's leading chain of mall-based coffee stores.
Headquartered in Irvine, Calif., Diedrich Coffee specializes in sourcing and
custom roasting the world's highest quality coffees and offering them to
customers through its coffeehouses and mall stores and via wholesale, mail order
and its website. For more information about Diedrich Coffee, call (800)
354-5282, or visit the Company's website at www.diedrich.com .
Forward Looking Statements
Statements in this news release that relate to future plans, financial results
or projections, events or performance are forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended, and fall under the safe
harbor. Actual results could differ materially from those anticipated in the
forward-looking statements as a result of a number of factors, including but not
limited to, the successful management of Diedrich Coffee's growth strategy,
impact of competition, the availability of working capital and other risks and
uncertainties described in detail under "Risk Factors and Trends Affecting
Diedrich Coffee and its Business"' in the Company's annual report on form 10-K
for the fiscal year ended Jan. 27, 1999.
SOURCE: Diedrich Coffee, Inc.
