Frisch's Restaurants, Inc. (Amex: FRS) reported record sales and higher earnings for the fifty-three weeks ended June 3, 2001. Fiscal year 2000 contained 52 weeks. Revenues rose 13.7% to $190,029,600 from $167,199,800 for last year. Net earnings for the year rose 25.1% to $7,685,793 compared to $6,145,541 last year. Earnings per share increased 36.7% to $1.49 from $1.09 per share last year. Earnings per share from continuing operations were $1.27 this year compared to $1.08 per share last year.

For the thirteen-week fourth quarter, revenues rose 21.0% to $49,761,739 from $41,141,426 for the twelve-week period last year. On a comparable twelve-week basis, the revenue increase was 11.4%. Net earnings rose 2.4% to $2,142,138 from $2,091,805. Earnings per share were $.42 for the quarter this year compared to $.38 per share last year. Earnings per share from continuing operations were $.40 for the quarter this year versus $.34 per share last year.

Craig F. Maier, President and Chief Executive Officer, said, "Same store sales for our Big Boy restaurants increased 3.4% for the year, including a fourth quarter increase, marking the fifteenth consecutive quarter of same store sales increases in our Big Boy restaurants. We opened our second new Big Boy restaurant that utilizes our new building design last week. In addition, we now have eleven Golden Corrals open, and three more are under construction, two of which will mark our entry into northeastern Ohio. We are extremely pleased with the performance of both of our concepts."

At the end of the fiscal year, Frisch's Restaurants, Inc. operated 86 family-style restaurants under the name of Frisch's Big Boy in Indiana, Kentucky and Ohio and licensed another 36 restaurants to other Big Boy operators. The Company also owns and operates eleven Golden Corral restaurants in greater Cincinnati and Dayton, Ohio and Louisville, Kentucky with plans to develop 30 more through 2007 in the Cincinnati, Dayton, Louisville, Cleveland and Toledo markets. Frisch's has recorded positive net earnings for all 41 years the Company has been public and paid its 162nd consecutive quarterly cash dividend last week.

Statements contained in this press release, which are not historical facts are forward-looking statements as that item is defined in the Private Securities Litigation Act of 1995. Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from estimated results. Such risks and uncertainties are detailed in the Company's filings with the Securities and Exchange Commission.

  • Contact:
  • Bill Roberts, CTC
  • (937) 434-2700
  • Wayne Buckhout, CTC
  • (937) 434-2700

                 Frisch's Restaurants, Inc. and Subsidiaries
                      CONSOLIDATED STATEMENT OF EARNINGS
                    (In thousands, except per share data)

                                  Year Ended                Quarter Ended
                             June 3,       May 28,      June 3,       May 28,
                               2001          2000         2001          2000
    Sales                  $187,465      $165,847     $ 49,409      $ 40,788
    Other                     2,564         1,353          353           353
      Total revenue         190,029       167,200       49,762        41,141

    Cost of sales
     Food and paper          62,696        54,621       16,756        13,563
     Payroll and related     64,826        57,287       17,181        13,920
     Other operating costs   38,074        34,230        9,956         7,720
                            165,596       146,138       43,893        35,203
    Administrative and
     advertising             10,285         9,225        2,331         2,319
    Impairment of
     long-lived assets        1,549            --           --            --
    Interest                  2,607         2,411          602           649
      Total costs and
       expenses             180,037       157,774       46,826        38,171
      Earnings from
       continuing operations
       before income tax      9,992         9,426        2,936         2,970
    Income taxes              3,435         3,351          896         1,156
      Earnings from
       continuing operations  6,557         6,075        2,040         1,814
    Income from discontinued
     operations (net of
     applicable tax)            430            70          (57)          278
    Gain on disposal of
     discontinued operations
     (net of applicable tax)    699            --          159            --
    Earnings from
     discontinued operations  1,129            70          102           278
    Net earnings           $  7,686      $  6,145     $  2,142      $  2,092
    Diluted net earnings
     per share of common
     stock:
      Continuing
       operations          $   1.27      $   1.08     $    .40      $    .34
      Discontinued operations   .22           .01          .02           .04
                           $   1.49      $   1.09     $    .42      $    .38

    Diluted average
     shares outstanding       5,144         5,658        5,089         5,412

    Depreciation included
     above                 $  8,599      $  9,621     $  2,016      $  1,920

    Opening expense included
     above                 $  1,900      $    984     $    913      $     32


                 Frisch's Restaurants, Inc. and Subsidiaries
                          CONSOLIDATED BALANCE SHEET
                          (In thousands of dollars)

                                                      June 3,        May 28,
                                                        2001           2000
    Assets
     Current assets
      Cash and equivalents                          $    280       $    565
      Receivables                                      1,465          1,234
      Inventories                                      3,602          3,737
      Hotel assets held for sale - net                    --         13,737
      Other current assets                             1,619          1,505
                                                       6,966         20,778

     Property and equipment                           88,419         73,901

     Other assets
      Goodwill                                           741            745
      Property held for sale and land investments      3,142          4,092
      Other                                            9,042          8,263
                                                      12,925         13,100

                                                    $108,310       $107,779

    Liabilities and shareholders' equity
     Current liabilities
      Accounts payable                              $  8,870       $  7,377
      Accrued expenses                                 5,994          6,278
      Other                                            3,068          4,067
                                                      17,932         17,722

     Long-term obligations
      Long-term debt                                  23,679         26,330
      Other long-term obligations                     10,253          9,560
                                                      33,932         35,890

     Shareholders' equity                             56,446         54,167


                                                    $108,310       $107,779