FORM 10-Q

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON,, D.C. 20549

☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

FOR THE QUARTERLY PERIOD ENDED: ~~DECEMBER 3~~SEPTEMBER ~~1, 2017~~27, 2020

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

COMMISSION FILE NUMBER: 001-7829

BOWL AMERICA INCORPORATED

(Exact name of registrant as specified in its charter)

MARYLAND	54-0646173
(State of Incorporation)	(I.R.S.Employer Identification No.No.)

6446 Edsall Road,, Alexandria, Virginia 22312

(Address of principal executive offices)(Zip Code)

(703) 941-6300

(Registrant's telephone number including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Class A Common stock (par value $.10)	BWL-A	NYSE American

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 by check mark whether the registrant has submitted electronically ~~and posted on its corporate Web site, if any,~~ every Interactive Data File required to be submitted ~~and posted~~ pursuant to Rule 405 of Regulation S-T (232.405) of this ~~chapter)~~chapter during the preceding 12 months (or for such shorter period that the registrant was required to submit ~~and post~~ such files).

Yes X☒ No __☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a

smaller reporting company, or an emerging growth company. See the definitions of “ large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large Accelerated Filer __☐ Accelerated Filer __☐

Non-Accelerated Filer __☐ Smaller Reporting Company X☒ Emerging Growth Company __☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended

transition period for complying with any new or revised financial accounting standards

provided pursuant to Section 13(a) of the Exchange Act. __

☐

Indicate by check mark whether the registrant is a shell company (as defined by Rule 12b-2 of the Exchange Act)

Yes __☐ No X☒

Indicate the number of shares outstanding of each of the issuer's

classes of common stock, as of the latest practicable date:

	Shares Outstanding at
	~~February 9, 2018~~November 10, 2020
Class A Common Stock,
$.10 par value	3,~~746,454~~3,746,454

Class B Common Stock,
$.10 par value	~~1,414,517~~1,414,517

PART 1. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

BOWL AMERICA INCORPORATED AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS

(Unaudited)

	Thirteen Weeks Ended					Twenty-six Weeks Ended					Thirteen Weeks Ended
	December 31,			January 1,		December 31,			January 1,		September 27,			September 29,
	2017			2017		2017			2017		2020			2019
Operating Revenues:
Bowling and other	$	4,484,745		$	4,378,959	$	8,233,015		$	7,956,338	$	1,166,872		$	3,609,673
Food, beverage and merchandise sales		1,883,777			1,855,585		3,399,260			3,342,542		469,130			1,514,938
Total Operating Revenues		6,368,522			6,234,544		11,632,275			11,298,880
Total Operating Revenue												1,636,002			5,124,611

Operating Expenses:
Employee compensation and benefits		2,720,700			2,737,379		5,404,571			5,418,712		1,319,472			2,735,214
Cost of bowling and other services		1,508,075			1,472,207		2,975,983			2,941,577		943,680			1,602,173
Cost of food, beverage and merchandise sales		574,338			577,183		1,047,225			1,059,458		147,273			444,032
Depreciation and amortization		238,026			275,198		474,110			567,892		247,808			235,178
General and administrative		229,403			210,565		436,031			441,341		157,500			268,099
Total Operating Expenses		5,270,542			5,272,532		10,337,920			10,428,980		2,815,733			5,284,696

Operating Income		1,097,980			962,012		1,294,355			869,900		(1,179,731	)		(160,085	)
Interest, dividend and other income		81,449			111,188		185,466			204,902
Interest expense		-			2,594		-			5,316

Earnings before provision for income taxes		1,179,429			1,070,606		1,479,821			1,069,486
Provision for income taxes (benefit)		(257,305	)		374,700		(152,105	)		374,300
Interest, dividend and other income												89,516			106,457
Change in value of investments												126,226			429,053
PPP Loan interest expense												4,690			-

Net Earnings	$	1,436,734		$	695,906	$	1,631,926		$	695,186
(Loss) earnings before provision for income tax												(968,679	)		375,425

Earnings per share-basic & diluted	$	.28		$	.14	$	.32		$	.14
Provision (benefit) for income tax												(230,956	)		90,100

Net (Loss) earnings											$	(737,723	)	$	285,325

Net (Loss) earnings per share-basic & diluted												(.14	)		.06

Weighted average shares outstanding		5,160,971			5,160,971		5,160,971			5,160,971		5,160,971			5,160,971

Dividends paid	$	877,365		$	877,365	$	1,754,730		$	1,754,730	$	0		$	903,170

Per share, dividends paid, Class A	$	.17		$	.17	$	.34		$	.34	$	0		$	.175

Per share, dividends paid, Class B	$	.17		$	.17	$	.34		$	.34	$	0		$	.175

The operating results for the thirteen (13) ~~and twenty-six (26)~~ week ~~periods~~period ended ~~December 31, 2017~~September 27, 2020 are not necessarily indicative of results to be expected for the year. See notes to condensed consolidated financial statements.

BOWL AMERICA INCORPORATED AND SUBSIDIARIES

~~CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (CONTINUED)~~

~~(Unaudited)~~

~~CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS~~

Thirteen Weeks Ended

Twenty-six Weeks Ended

December 31,

January 1,

December 31,

January 1,

2017

2017

2017

2017

Net Earnings
$ 1,436,734 $ 695,906 $ 1,631,926 $ 695,186
Other comprehensive earnings- net of tax

Unrealized gain (loss) on available- for-sale securities net of tax (benefit) of ($598) and $54,819 for 13 weeks, and $91,192 and ($59,000) for 26 weeks
1,775 88,938 148,960 (96,008
)
Reclassification adjustment for (gain) loss included in Net Income net of tax (benefit) of $2,167 & ($2,227)
- - (3,520
)
3,619

Comprehensive earnings
$ 1,438,509 $ 784,844 $ 1,777,366 $ 602,797

~~The operating results for the thirteen (13) and twenty-six (26) week periods ended December 31, 2017 are not necessarily indicative of results to be expected for the year.~~

~~See notes to condensed consolidated financial statements.~~

~~BOWL~~ ~~AMERICA INCORPORATED AND SUBSIDIARIES~~

Condensed Consolidated Balance Sheets

(Unaudited)

		As of					As of
		December 31,		July 2,			September 27,		June 28,
		2017		2017			2020		2020
ASSETS	ASSETS					ASSETS
CURRENT ASSETS:
Cash and cash equivalents		$	1,293,634	$	604,671		$	1,120,490	$	1,659,264
Short-term investments			1,972,472		2,951,315			134,224		134,202
Marketable investment securities								5,344,294		5,216,218
Inventories			554,234		534,741			452,742		486,105
Prepaid expenses and other			512,782		555,687			254,724		523,662
Income tax refundable			25,572		-
Current deferred income tax benefit			10,597		8,162
Income taxes refundable								766,244		766,244
TOTAL CURRENT ASSETS			4,369,291		4,654,576			8,072,718		8,785,695
LAND, BUILDINGS & EQUIPMENT, net of accumulated depreciation of $40,848,979 and $40,978,609			19,062,939		18,860,778
LAND, BUILDINGS & EQUIPMENT, net of accumulated depreciation of $41,287,255 and $41,039,447								17,444,961		17,667,517

OTHER ASSETS:
Marketable investment securities			5,523,003		5,272,318
Right to use asset								1,772,662		1,812,937
Cash surrender value-life insurance			772,326		772,326			282,895		282,895
Other			66,315		66,315			64,265		64,265
TOTAL OTHER ASSETS			6,361,644		6,110,959			2,119,822		2,160,097
TOTAL ASSETS		$	29,793,874	$	29,626,313		$	27,637,501	$	28,613,309

LIABILITIES AND STOCKHOLDERS' EQUITY	LIABILITIES AND STOCKHOLDERS' EQUITY					LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable		$	472,306	$	673,786		$	197,760	$	269,373
Accrued expenses			662,548		1,069,668			699,400		932,528
Dividends payable			877,365		877,365
Income taxes payable			-		22,543
Other current liabilities			1,631,122		342,324			732,522		395,629
TOTAL CURRENT LIABILITIES			3,643,341		2,985,686			1,629,682		1,597,530
LONG-TERM DEFERRED COMPENSATION			18,413		18,413
NONCURRENT DEFERRED INCOME TAXES			1,523,091		2,035,821
Lease liability								1,633,090		1,672,371
Note Payable PPP Loan								1,500,000		1,500,000
DEFERRED INCOME TAXES								1,095,435		1,326,391
TOTAL LIABILITIES			5,184,845		5,039,920			5,858,207		6,096,292

COMMITMENTS AND CONTINGENCIES

STOCKHOLDERS' EQUITY
Preferred stock, par value $10 a share: Authorized and unissued, 2,000,000 shares			-		-			-		-
Common stock, par value $.10 a share:
Authorized, 10,000,000 shares
Class A issued and outstanding 3,746,454			374,645		374,645
Common stock, par value $.10 a share: Authorized, 10,000,000 shares Class A issued and outstanding 3,746,454								374,645		374,645
Class B issued and outstanding 1,414,517			141,452		141,452			141,452		141,452
Additional paid-in capital			7,854,108		7,854,108			7,854,108		7,854,108
Accumulated other comprehensive earnings-
Unrealized gain on available-for-sale securities, net of tax			2,627,428		2,481,988
Retained earnings			13,611,396		13,734,200			13,409,089		14,146,812
TOTAL STOCKHOLDERS' EQUITY			24,609,029		24,586,393			21,779,294		22,517,017

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$	29,793,874	$	29,626,313		$	27,637,501	$	28,613,309

See notes to condensed consolidated financial statements.

~~BOWL~~ ~~AMERICA INCORPORATED AND SUBSIDIARIES~~

BOWL AMERICA INCORPORATED AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

Twenty-six Weeks Ended

December 31,

January 1,

2017

2017

Cash Flows From Operating Activities

Net earnings
$ 1,631,926 $ 695,186
Adjustments to reconcile net earnings to net cash provided by operating activities:

Depreciation and amortization
474,110 567,892
Loss on involuntary cancellation of available-for-sale securities
- 5,845
Gain on sale of available-for-sale securities
(8,531
)
-
Provisional estimate for reduction in deferred tax from tax act
(604,190
)
-
Changes in assets and liabilities

(Increase) decrease in inventories
(19,493
)
7,265
Decrease in prepaid & other
42,905 240,828
Decrease in accounts payable
(201,480
)
(152,617
)
Decrease in accrued expenses
(407,120
)
(549,138
)
Decrease in income taxes payable
(48,115
)
(252,800
)
Increase in other current liabilities
1,288,798 1,296,409
Net cash provided by operating activities
2,148,810 1,858,870

Cash Flows From Investing Activities

Expenditures for land, building and equip
(676,271
)
(170,629
)
Net sales & maturities (purchases) of short-term investments
(42
)
(1,748
)
Proceeds from sale of available-for-sale securities
1,000,000 -
Purchases of marketable securities
(28,804
)
(49,677
)
Net cash provided by (used in) investing activities
294,883 (222,054
)

Cash Flows From Financing Activities

Proceeds from note payable
- 500,000
Payment of cash dividends
(1,754,730
)
(1,754,730
)

Net cash used in financing activities
(1,754,730
)
(1,254,730
)

Net Increase in Cash and Equivalents
688,963 382,086

Cash and Equivalents, Beginning of period
604,671 986,193

Cash and Equivalents, End of period
$ 1,293,634 $ 1,368,279

Supplemental Disclosures of Cash Flow Information

Cash Paid During the Period for:

Interest
- 5,316
Income taxes
$ 500,200 $ 627,100

	Thirteen Weeks Ended
	September 27,			September 29,
	2020			2019
Cash Flows From Operating Activities
Net (loss) income	$	(737,723	)	$	285,325
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Depreciation and amortization		247,808			235,178
Amortization of right to use asset		40,275			46,422
Increase in deferred taxes		(230,956	)		89,040
Unrealized gain on marketable securities		(126,226	)		(424,849	)
Net purchases of marketable securities		(1,850	)		(10,242	)
Gain on sale of trading securities		-			(9,487	)
Changes in assets and liabilities
Decrease (increase) in inventories		33,363			(265	)
Decrease in prepaid & other		268,938			537,805
Decrease in accounts payable		(71,613	)		(403,093	)
Decrease in accrued expenses		(233,128	)		(272,689	)
Increase in income taxes refundable		-			(5,000	)
Increase in other current liabilities		336,893			635,914
Decrease in lease liability		(39,281	)		(43,003	)
Net cash (used in) provided by operating activities		(513,500	)		661,056

Cash Flows From Investing Activities
Net expenditures for land, building and equipment		(25,252	)		(202,701	)
Net (purchases) sales & maturities of short-term investments		(22	)		299,119
Proceeds from sale of securities		-			1,000,000
Net cash (used in) provided by investing activities		(25,274	)		1,096,418

Cash Flows From Financing Activities
Payment of cash dividends		-			(903,170	)
Net cash used in financing activities		-			(903,170	)

Net Change in Cash and Equivalents		(538,774	)		854,304

Cash and Cash Equivalents, Beginning of period		1,659,264			269,844

Cash and Cash Equivalents, End of period	$	1,120,490		$	1,124,148


Supplemental Disclosures of Cash Flow Information
Cash Paid During the Period for:
Income taxes	$	-		$	5,000

See notes to condensed consolidated financial ~~information.~~statements.

BOWL AMERICA INCORPORATED AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY

	COMMON STOCK
	Class A Shares		Class A Amount		Class B Shares		Class B Amount		Additional Paid-In Capital		Retained Earnings
Balance, June 30 2019		3,746,454	$	374,645		1,414,517	$	141,452	$	7,854,108	$	15,549,961
Cash dividends paid		-		-		-		-		-		(903,170	)
Net earnings for the quarter		-		-		-		-		-		285,325
Balance, September 29, 2019		3,746,454	$	374,645		1,414,517	$	141,452	$	7,854,108	$	14,932,116

	COMMON STOCK
	Class A Shares		Class A Amount		Class B Shares		Class B Amount		Additional Paid-In Capital		Retained Earnings
Balance, June 28, 2020		3,746,454	$	374,645		1,414,517	$	141,452	$	7,854,108	$	14,146,812
Cash dividends paid		-		-		-		-		-		-
Net loss for the quarter		-		-		-		-		-		(737,723	)
Balance, September 27, 2020		3,746,454	$	374,645		1,414,517	$	141,452	$	7,854,108	$	13,409,089

The accompanying notes to the consolidated financial statements are an integral part of these financial statements.

BOWL AMERICA INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

For the T~~wenty-six~~Thirteen Weeks Ended

~~December 31, 2017~~September 27, 2020

(Unaudited)

1. Basis for Presentation

The accompanying unaudited condensed consolidated financial statements of Bowl America Incorporated and subsidiaries (the "Company"), have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. The condensed consolidated balance sheet as of ~~July 2, 2017~~ June 28, 2020 has been derived from the Company's audited financial statements. Certain information and note disclosures normally included in the annual financial statements, prepared in accordance with accounting principles generally accepted in the United States of America, have been condensed or omitted pursuant to those rules and regulations, although the Company believes that the disclosures made are adequate to make the information presented not misleading.

In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments and reclassifications (all of which are of a normal, recurring nature) that are necessary for the fair presentation of the Company’s financial position and results of operations for the periods presented. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company's annual report on Form 10-K10-K for the year ended ~~July 2, 2017.~~June 28, 2020.

2. Investments

The Company’s investments are categorized as ~~available-for-sale.~~current assets. Short-term investments consist of certificates of deposits and treasury bills with maturities of generally three months to one year. Equity securities consist primarily of telecommunications ~~stocks. Mutual funds consist of~~stocks and a mutual fund that invests in federal agency mortgage backed securities (Ginnie Mae). The fair value of the Company’s investments at ~~December 31, 2017~~ September 27, 2020 and ~~July 2, 2017~~ June 28, 2020 were as follows:

December 31, 2017 Description	Fair Value		Cost basis		Unrealized Gain (loss)
September 27, 2020 Description							Fair Value		Cost basis		Unrealized Gain (Loss)
Short-term investments	$	133,965	$	133,965	$	-	$	134,224	$	134,224	$	-
Equity securities	$	5,523,003	$	1,279,914	$	4,243,089	$	4,853,973	$	1,279,914	$	3,574,059
Mutual funds	$	1,838,507	$	1,837,480	$	1,027	$	490,321	$	477,029	$	13,292
July 2, 2017 Description	Fair Value		Cost basis		Unrealized Gain
Short-term investments	$	133,922	$	133,922	$	-
Equity securities	$	5,272,318	$	1,279,914	$	3,992,404
Mutual funds	$	2,817,392	$	2,800,144	$	17,248

June 28, 2020 Description	Fair Value		Cost basis		Unrealized Gain
Short-term investments	$	134,202	$	134,202	$	-
Equity securities	$	4,725,470	$	1,279,914	$	3,445,556
Mutual funds	$	490,748	$	475,179	$	15,569

The fair values of the ~~Company~~’sCompany’s investments were determined as follows:

December 31, 2017 Description	Quoted Price for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
September 27, 2020 Description							Quoted Price for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)

Certificates of deposits	$	-	$	133,965	$	-
Certificates of deposits and Treasury Bills							$	-	$	134,224	$	-
Equity securities		5,523,003		-		-		4,853,973		-		-
Mutual funds		1,838,507		-		-		490,321		-		-

Total	$	7,361,510	$	133,965	$	-	$	5,344,294	$	134,224	$	-

July 2, 2017 Description	Quoted Price for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
June 28, 2020 Description							Quoted Price for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)

Certificates of deposits	$	-	$	133,922	$	-	$	-	$	134,202	$	-
Equity securities		5,272,318		-		-		4,725,470		-		-
Mutual funds		2,817,392		-		-		490,748		-		-

Total	$	8,089,710	$	133,922	$	-	$	5,216,218	$	134,202	$	-

The equity securities portfolio includes the following stocks:

AT&T shares			82,112
Manulife shares			2,520
Uniti shares ~~(formerly CSAL)~~			815
NCR shares			774
Teradata shares			774
Vodafone shares			6,471
CenturyLink shares			4,398
Frontier Communications shares			300
~~Sprint~~T-Mobile shares			~~40,000~~4,102
V~~erizon~~Verizon shares			31,904
Windstream shares			~~679~~135

On ~~July 10, 2017,~~ ~~Frontier Communications completed a~~ 1~~-for-~~15 ~~reverse stock split reducing Bowl America’s holdings to~~ ~~300~~ ~~shares from~~ ~~4,508.~~ On ~~August 1, 2016~~ ~~Dex Media completed a financial restructuring. Previous shares of Dex Media’s common stock were cancelled with~~ no ~~distribution to shareholders resulting in a loss of~~ ~~$5,845~~ ~~on the Company’s holdings.~~

The Mutual fund included in the table above is Vanguard GNMA Admiral Shares #536 fund. The fair value of certificates of deposits is estimated using present value techniques and comparing the values derived from those techniques to certificates with similar values.

3.3. Leasing arrangements

As of September 27, 2020, the Company leases one bowling center. The lease is classified as an operating lease in accordance with ASU 2016-02. For the first quarter ended September 27, 2020, the Company recorded amortization of its right to use asset under the related lease of $40,275 which is included as a component of rent expense. The related long-term lease liability at September 27, 2020 was $1,633,090. The current portion of the lease liability of $154,335 is included in other current liabilities on the accompanying condensed consolidated balance sheet.

4. Commitments and Contingencies

The ~~Company~~’sCompany’s purchase commitments at ~~December 31, 2017,~~ September 27, 2020, are for materials, supplies, services and equipment as part of the normal course of business.

4.5. Employee benefit plans

The Company has two defined contribution plans with Company contributions determined by the Board of Directors. The Company has no defined benefit plan or other postretirement plan.

5.~~Income Taxes~~

~~A. On~~ ~~December 22, 2017,~~ the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act includes broad and complex changes to the U.S. tax code, including a reduction in the U.S. federal corporate tax rate from 35 ~~percent to~~ 21 ~~percent effective~~ ~~January 1, 2018..~~ ~~For fiscal~~ ~~2018,~~ ~~the Company will record its income tax provision based on a blended U.S. statutory tax rate of~~ ~~27.5~~ ~~percent, which is based on a proration of the applicable tax rates before and after the effective date of the Tax Act. The statutory tax rate of~~ 21 ~~percent will apply for fiscal~~ ~~2019~~ ~~and beyond.~~

~~The Tax Act also puts in place new tax laws that~~ ~~may~~ ~~impact the Company’s taxable income beginning in fiscal~~ ~~2019,~~ ~~which include, but are~~ ~~not~~ limited to (i) reducing the dividends received exclusion, (ii) adding a provision that could limit the amount of deductible interest expense, and (iii) limiting the deductibility of certain executive compensation.

~~Shortly after the Tax Act was enacted, the SEC issued accounting guidance, which provides a~~ ~~one~~~~-year measurement period during which a company~~ ~~may~~ ~~complete its accounting for the impacts of the Tax Act.~~ ~~To the extent a company’s accounting for certain income tax effects of the Tax Act is incomplete, the company~~ ~~may~~ determine a reasonable estimate for those effects and record a provisional estimate in its financial statements. If a company cannot determine a provisional estimate to be included in the financial statements, it should continue to apply the provisions of the tax laws that were in effect immediately prior to the Tax Act being enacted.

~~During the~~ ~~second~~ ~~quarter of fiscal~~ ~~2018,~~ ~~the Company recorded provisional discrete tax benefits of $~~ ~~604,190~~ ~~related to the Tax Act. The Company adjusted its U.S. deferred tax liabilities by~~ ~~$604,190~~ ~~due to the reduction in the U.S. federal corporate tax rate. The resulting adjustment increased current quarter and year to date earnings per share by~~ ~~11.7~~ ~~cents. This net reduction in deferred tax liabilities also included the estimated impact on the Company’s net state deferred tax liabilities.~~

6.5. New Accounting Standards

In ~~January 2016,~~ the Financial Accounting Standards Board (FASB) issued guidance on equity securities that requires entities to recognize changes in unrealized gains and losses on equity securities in income in the current period unless the entity is recording the related investment under the equity method or consolidating the related entity. This amendment is effective for the Company~~’s fiscal year ending~~ ~~June 2019~~ ~~with earlier adoption permitted. Management is currently assessing the impact of this standard on the Company’s financial statements.~~

In February 2016, the FASB issued guidance on leases which requires entities to recognize right-of-use assets and lease liabilities on the balance sheet for the rights and obligations created by all leases, including operating leases, with terms of more than 12 months. The new guidance also requires additional disclosures on the amount, timing, and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative information. This amendment is effective for

the Company’s fiscal year ending June 2020 with early adoption permitted. ~~We are in~~The Company adopted this standard effective July 1, 2019. The result was the ~~process~~recognition of ~~evaluating~~a right to use asset of $1,977,523 and a corresponding lease liability for the ~~impact the adoption of this guidance will have on our consolidated financial statements and related disclosures.~~

7. ~~Subsequent Events~~same amount.

In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement. As part of the FASB's disclosure framework project, it has eliminated, amended and added disclosure requirements for fair value measurements. Entities will no longer be required to disclose the amount of, and reasons for, transfers between Level 1 and Level 2 of the fair value hierarchy, the policy of timing of transfers between levels of the fair value hierarchy and the valuation processes for Level 3 fair value measurements. Public companies will be required to disclose the range and weighted average used to develop significant unobservable inputs for Level 3 fair value measurements. This ASU is effective for public entities for annual and interim periods beginning after December 15, 2019. Early adoption is permitted as of the beginning of any interim or annual reporting period. The Company ~~has evaluated subsequent events through~~adopted this standard for its March 2020 fiscal quarter. The impact of adopting the ~~time of filing these financial statements with the Securities and Exchange Commission on~~ ~~February 13, 2018,~~ ~~and has determined that~~ no ~~material subsequent events have occurred.~~standard was not material.

8.6. Reclassifications

Certain previous year amounts have been reclassified to conform with current year presentation.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q contains forward-looking statements concerning our business, operations and financial performance and condition as well as our plans, objectives and expectations for our business operations and financial performance and condition that are subject to risks and uncertainties. More recent risks and uncertainties include the ongoing effects of the business disruption related to the current COVID-19 pandemic on revenues, operating income, the ability to keep locations open, governmental regulations to limit the spread of COVID-19 such as social distancing and enhanced safety measures, times of operation and reaction to increased cases of COVID-19. All statements other than statements of historical fact included in this Quarterly Report on Form 10-Q are forward-looking statements. These forward-looking statements are based on current expectations, estimates, forecasts and projections about our business,, our sales and the industry in which we operate and our management’s beliefs and assumptions. These statements are not guarantees of future performance or development and involve risks, uncertainties and other factors that are in some cases beyond our control. The forward-looking statements included in this Quarterly Report on Form 10-Q are made as of the date hereof. We are under no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law.

COVID-19

The Company closed all bowling centers on March 18, 2020, as required by the orders from state and federal governments, in an effort to mitigate the spread of COVID-19. The majority of bowling leagues chose to end their Spring 2020 season early as it became clear that a return to bowling would not be quick. Our three Florida locations reopened in May 2020, which provided the Company some revenue in the fourth quarter of fiscal 2020 while all other centers remained closed. All of our Virginia centers reopened in early July, one Maryland location opened July 22 and the last closed center was allowed to reopen on August 31, 2020 with a maximum of 50 customers at one time. Almost all locations are currently required to operate at only 50% capacity. We implemented social distancing and enhanced cleaning procedures and all areas in which we operate continue to mandate the wearing of masks in the centers except when eating or drinking. Our safety procedures are designed to keep employees and customers safe and have allowed us to offer league bowling. All center employees except the center manager were furloughed in March and the corporate staff was reduced to a minimum. Employees are returned to work as business requires and currently approximately 60% of pre-COVID employees have been returned to work. The Company maintained health insurance for all employees on the plan at the time of closure, paying the employee portion of premiums due for those furloughed.

Future developments in the continuously changing pandemic environment, whether new mandated closures or restrictions, a worsening of the global and local economy, high unemployment rates, reduced consumer discretionary spending and other factors can negatively affect our business, however it is difficult to determine with much accuracy what the longer term impact could be. Our fall league bowling season has begun better than expected in spite of the limitations, but we have been able to be creative in making maximum use of space while following social distancing requirements. However, revenues from parties and corporate events are currently non-existent.

Management believes the effects of the pandemic will continue to have an adverse effect on our revenues, financial condition and operating results for fiscal 2021 and potentially, some time after.

LIQUIDITY AND CAPITAL RESOURCES

The Company views a strong financial position as a major benefit to shareholders and emphasizes payment of dividends as

part of its financial plan. A portion of earnings has consistently been invested to create a reserve to protect the Company in downturns in business, to capitalize on opportunities for expansion and modernization, ~~and~~ to provide a secure source of ~~income.~~income and to provide a predictable return to its owners. For these reasons, the Company prefers a conservative approach to investing rather than taking greater risk for possible rapid growth. The Company balances market volatility by using both fixed income and equity investments in managing its reserve funds. Any equity security is subject to price ~~fluctuation;~~fluctuation however, the stocks held by the Company have historically had relatively low volatility. The Company has long been invested in a Government National Mortgage Association (“Ginnie Mae”) fund and domestically domiciled stocks with the perceived potential of appreciation, primarily telecommunications stocks. The Company considers that this diversity also provides a measure of safety of principal.

With the exception of 13,120 shares of Verizon, the ~~equity securities~~common stocks in our portfolio have come from spin-offs, mergers and acquisitions of AT&T and United Telecommunications (now ~~Sprint)~~T-Mobile) purchased in 1979 and 1984 and ~~from~~ one insurance company acquired at no cost when ~~that~~the company demutualized. While not all stocks in the portfolio are domestic American companies any longer, since the original purchases at an approximate cost of $630,000, we have received approximately $967,000 from mergers and sales and over ~~$4,700,000~~$5,500,000 in dividends, the majority of which ~~received favorable~~were tax ~~treatment~~favored in the form of ~~a dividends received deduction~~exclusion from federal taxable income. ~~The dividends received deduction continues into this fiscal year.~~ These ~~equity~~marketable securities are carried at their fair value on the last day of each reporting period. The ~~fair~~ value of the securities on ~~December 31, 2017~~September 27, 2020 was approximately ~~$5,500,000 and on July 2, 2017~~$4.9 million. The value of securities held at June 28, 2020 was approximately ~~$5,300,000.~~$4.7 million.

The

The Company’s original investment in the Vanguard GNMA bond fund began in 1988 with purchases of shares in the fund totaling approximately ~~$1,400,000. In August 2017, $1,000,000~~$1,400,000 and have been used as a source of ~~this fund was redeemed to meet the August 2017 dividend payment.~~cash when needed.. The fund is carried at fair value on the last day of the reporting period. At ~~December 31, 2017,~~September 27, 2020, the value was approximately ~~$1,838,000~~$490,000. In August 2019 approximately $1,000,000 of the fund was redeemed to meet the August 2019 dividend payment.

In March 2020 the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) which is administered by the Small Business Administration was signed into law. The CARES Act established a Paycheck Protection Program (“PPP”) under which qualified businesses could apply for a loan to help fund payroll, rent and related costs. The Company applied for a PPP loan and on June 1, 2020 received $1,500,000 under a loan agreement which calls for interest of 1%. The loan repayment, after a seven month deferral, begins January 1, 2021 and final payment is due June 1, 2022. All or a portion of payments of principal and interest may be forgiven if used for covered, documented payroll costs, rent and utilities. We anticipate applying for loan forgiveness in the second quarter of fiscal 2021. Any amount not forgiven will be due at ~~July 2, 2017,~~maturity. Any expenses paid with the ~~value was $1,837,000..~~loan and forgiven will not be deductible for federal tax purposes.

Short-term investments ~~investments~~ including ~~the GNMA fund, mentioned above, that was reclassified to short term investments from the category of marketable securities in the prior year,~~any Certificates of Deposits, Treasury Bills and cash and cash equivalents totaled ~~$3,266,000~~$1,254,714 at ~~the end of the fiscal second quarter of 2018~~September 27, 2020 compared to ~~$3,556,000~~$1,793,466 at ~~July 2, 2017.~~June 28, 2020.

The ~~Company~~’sCompany’s position in all the above investments is a source of liquidity during downturns in business and in other times can serve as capital for possible expansion. Potential volatility in the trading prices of the marketable securities held by the Company could impact the Company’s opportunities for expansion. The Board of Directors reviews the portfolio ~~weekly~~ and any use of this reserve at its quarterly meetings.

~~In August 2016~~The Company closed its leased Mathis Avenue location in Manassas, Virginia, which had been operating with a negative cash flow, on July 28, 2019. Most of the ~~Company obtained a $500,000 short-term loan~~equipment was transferred to ~~meet the August 2016 dividend obligation. The loan~~ ~~was paid in full January 6, 2017.~~our other locations.

InDuring the ~~six-month~~three-month period ended ~~December 31, 2017,~~September 27, 2020, the Company expended approximately ~~$676,000~~$25,000 for the purchase of building, entertainment and restaurant equipment. The Company has no ~~long-term debt and has made no application for~~current plans to obtain additional third party funding for any equipment purchases as cash and cash flows are currently sufficient to finance all contemplated purchases and to meet short-term purchase commitments and operating lease commitments.

The ~~six-month~~ first quarter decreases in the categories of Prepaid expenses and other and of Accounts Payable ~~and Accrued Expenses are~~were attributable primarily ~~due~~ to ~~seasonal~~the timing of the payments including compensation, insurance and taxes and for contributions to benefit plans.

Current liabilities generally increase during the first three quarters of the fiscal year as bowling leagues deposit prize fund monies with the Company throughout the league season. These funds are returned to the leagues at the end of the bowling season, generally in the fourth quarter. At ~~December 31, 2017,~~September 27, 2020, league deposits of approximately ~~$1,394,000~~$402,000 were included in the current liabilities category.

Cash ~~flow provided by~~used in operating activities in the t~~wenty-six~~thirteen weeks ended ~~December 31, 2017~~September 27, 2020 was ~~$2,149,000 which, along with~~approximately $514,000. Cash flow and cash on hand ~~and redemption of a portion of the Vanguard GNMA fund, mentioned above, was~~were sufficient to meet day-to-day cash needs and pay dividends. Cash dividends of approximately $877,000, or $.17 per share, were paid to shareholders during the quarter ended December 31, 2017, and the six months total was approximately $1,754,000 or $.34 per share.needs. In ~~December 2017~~March 2020, the Company ~~declared a regular~~suspended quarterly ~~dividend~~dividends following the required shutdown of ~~$.17 per share, payable February 14, 2018 to shareholders of record on January 10, 2018.~~the Company’s bowling centers. The economic climate is part of the consideration at the Directors’ quarterly reviews of future estimates of cash flows. The Board of Directors decides the amount and timing of any dividend at its quarterly meeting based on its appraisal of the state ~~and trends~~ of the business and estimate of future opportunities at such time.

~~OVERVIEW~~Overview

The Company is in the entertainment business which, by its nature, has ups and downs based on consumer tastes and ~~preferences~~.preferences. Generally, promotional and open play bowling which depends on the public’s discretionary budget dollars and their choices, accounts for more than half of our business. While bowling has the advantage of being an entertainment that is close to home and relatively inexpensive, new forms of sports and entertainment are offered to the public continually creating challenges, but our response is helped by having the resources to be able to promote the sport. Weather is also a factor, especially for casual bowlers. While extreme heat or rainy weather prompt people to look for indoor activities, heavy snow storms can keep customers from reaching the centers. Postponed league games are made up later in the season, but lost open play income is never recovered. The Company operates primarily in the Washington, DC area where its business is vulnerable to sequestration or other downsizing of the federal government.

RESULTS OF OPERATIONS

All seventeen of the Company’s bowling centers were closed on March 18, 2020, by government order due to the COVID-19 pandemic. Only our three Florida centers were open the entire 13 week period ended September 27, 2020, having reopened in late May 2020. Thirteen of the remaining locations opened in July 2020 and the last center reopened on August 31, 2020. All locations were mandated at 50% capacity or less during the quarter. While the bowling business is seasonal and the first or “summer” quarter is typically the slowest, the pandemic was the primary negative factor on revenues. All comparisons in this discussion are significantly impacted by the ongoing government mandates and public perception of the current state of the COVID-19 pandemic.

For the thirteen week period ended September 27, 2020, net loss was $737,723 or $.14 per share and for the period ended September 29, 2019, net earnings were $285,325 or $.06 per share.

The following table~~s set~~ sets forth the items in our consolidated summary of operations for the fiscal quarters ended September 27, 2020, and ~~year-to-date periods ended December 31, 2017, and January 1, 2017,~~September 29, 2019, and the dollar and percentage changes therein.

Thirteen weeks ended

December 31, 2017 and January 1, 2017

Dollars in thousands

12/31/ 2017

1/01/ 2017

Change

% Change

Operating Revenues:

Bowling and other
$ 4,485 $ 4,379 $ 106 2.4
1,884 1,856 28 1.5
Total Operating Revenue
6,369 6,235 134 2.2
Operating Expenses:

Employee Compensation and benefits
2,721 2,738 (17
)
(0.6
)
Cost of bowling and other services
1,508 1,472 36 2.4
Cost of food, beverage and merchandise sales
574 577 (3
)
(0.5
)
Depreciation and amortization
238 275 (37
)
(13.4
)
General and administrative
230 211 19 9.0
Total Operating Expenses
5,271 5,273 (2
)
(0.0
)

Operating Income
1,098 962 136 14.1
Interest, dividend and other income
82 112 (30
)
(26.8
)
Interest expense
- 3 (3
)
(100.0
)
Earnings before taxes
1,180 1,071 109 10.2
Income taxes (benefit) provision
(257
)
375 (632
)
(168.5
)
Net Earnings
$ 1,437 696 741 106.5

	Twenty-six weeks ended											Thirteen weeks ended
	December 31, 2017 and January 1, 2017											September 27, 2020 and September 29, 2019
	Dollars in thousands											Dollars in thousands
	12/31/2017			1/01/ 2017		Change			% Change			2020			2019			Change			% Change
Operating Revenues:
Bowling and other	$	8,233		$	7,956	$	277			3.5		$	1,167		$	3,610		$	(2,443	)		(67.7	)
Food, beverage and merchandise sales		3,399			3,343		56			1.7			469			1,515			(1,046	)		(69.0	)
Total Operating Revenues		11,632			11,299		333			3.0
													1,636			5,125			(3,489	)		(68.1	)
Operating Expenses:
Employee Compensation and benefits		5,405			5,419		(14	)		(0.3	)		1,319			2,736			(1,417	)		(51.8	)
Cost of bowling and other services		2,976			2,942		34			1.2			944			1,602			(658	)		(41.1	)
Cost of food, beverage and merchandise sales		1,047			1,059		(12	)		(1.1	)		147			444			(297	)		(66.9	)
Depreciation and amortization		474			568		(94	)		(16.5	)		248			235			13			5.5
General and administrative		436			441		(5	)		(1.1	)		158			268			(110	)		(41.0	)
Total Operating Expenses		10,338			10,429		(91	)		(0.9	)
													2,816			5,285			(2,469	)		(46.7	)
Operating income		1,294			870		424			48.7
Interest, dividend and other income		186			205		(19	)		(9.3	)
Interest expense		-			5		(5	)		(100.0	)
Earnings before taxes		1,480			1,070		410			38.3
Income taxes (benefit) provision		(152	)		375		(527	)		(140.5	)

Operating (loss) income													(1,180	)		(160	)		(1,020	)		(637.5	)

Interest, dividend and other income													90			106			(16	)		(15.1	)
Change in market value of marketable securities													126			429			(303	)		(70.6	)
PPP Loan interest expense													5			-			5			100.0
(Loss) earnings before income taxes													(969	)		375			(1,344	)		(358.4	)
Income taxes													(231	)		90			(321	)		(356.7	)
Net Earnings	$	1,632		$	695	$	937			134.8		$	(738	)	$	285		$	(1,023	)		(359.0	)

~~Earnings were $~~1,436,734 or $.28 per share for the thirteen week period and $1,631,926 or $.32 per share for the twenty-six week period ended December 31, 2017. For the thirteen-week and twenty-six periods ended January 1, 2017, net earnings were $695,906 and $695,186 or $.14 per share, respectively. Eighteen centers were in operation in both the current and prior year periods. In addition, both the current and prior year periods included the holiday week between Christmas and New Year’s Day. The operating results for fiscal 2018 periods included in this report are not necessarily indicative of results to be expected for the year.

Operating Revenues

Total operating revenues ~~increased $134,000~~decreased 68.1% or $3,489,000 to ~~$6,369,000~~$1,636,000 in the thirteen-week period ended September 27, 2020, compared to a decrease of 5.8% or $316,000 to $5,125,000 in the three-month period ended September 29, 2019. Bowling and other revenue decreased $2,443,000 or 67.7% in the current year fiscal quarter compared to a decrease of $223,000 or 5.8% in the comparable prior year quarter. Food, beverage and merchandise sales were down $1,046,000 or 69.0% in the current year quarter compared to a decrease of $93,000 or 5.8% in the prior year comparable quarter. Cost of sales decreased $297,000 or 66.9% in the current year three-month period.

Operating Expenses

Operating expenses decreased $2,469,000 or 46.7% to $2,816,000 in the three-month period ended ~~December 31, 2017~~September 27, 2020 compared to an increase of ~~$229,000~~$84,000 or 1.6% to ~~$6,235,000~~$5,285,000 in the three-month period ended January 1, 2017. The current fiscal six-month period operating revenues were up $333,000 versus an increase of $373,000 in the comparable six-month period a year ago. Bowling and other revenue increased $106,000 in the quarter and increased $277,000 year-to-date for the periods ended December 31, 2017 versus an increase of $213,000 in the quarter and of $316,000 for the six-month period ended January 1, 2017.

~~Food, beverage and merchandise sales~~ ~~increased $28,000 or 1.5% in the current~~prior year quarter ~~and were up $56,000 or 1.7% in the six-month period. Cost of sales decreased 0.5% in the current fiscal three month period and 1.1% for the six month period~~ ended ~~December 31, 2017.~~

~~Operating~~ ~~Expenses~~

~~Operating expenses were~~ down $2,000 in the current three month period and down $91,000 in six-month period or less than 1%, respectively, versus decreases of $44,000 or 0.8% and $183,000 or 1.7% in the three and six month periods, respectively, last year.September 29, 2019. Employee compensation and benefits ~~for the three and six month periods~~ were down ~~$17,000~~$1,417,000 or 51.8% and ~~$14,000~~down $5,000 or ~~less than 1%, respectively,~~0.2% in the ~~periods ended December 31, 2017. Group health insurance costs decreased 7.3% as a result~~fiscal first quarters of ~~changes in plan offerings~~2021 and ~~lower participation.~~2020, respectively. Included in this category of expense are contributions to our two benefit plans, both of which are defined contribution plans. There is no additional obligation beyond the current year contribution.

Cost of bowling and other services ~~increased $36,000~~ decreased $658,000 or ~~2.4% and $34,000 or 1.2%~~41.1% in the ~~six-month periods~~quarter ended ~~December 31, 2017, respectively. In~~September 27, 2020 versus an increase of $65,000 or 4.2% in the ~~twenty-six weeks~~comparable quarter ended ~~December 31, 2017, maintenance~~September 29, 2019. Maintenance and repair costs ~~increased $47,000~~ decreased $100,000 or ~~12.1%, primarily~~45.2% versus an increase of $15,000 or 7.5% in the ~~result of interior upgrades~~current year and prior year quarters, respectively. Both the current and prior year periods included roof repairs and changeover to ~~two~~LED lightening in parking lots at several locations. Advertising costs ~~during~~decreased $51,000 or 60.8% in the quarter ended September 27, 2020. Utility costs were down $130,000 or 34.5% in the current period and were flat in the prior year ~~twenty-six week period ended December 31 2017, were up $3,000 or 1.6%. For the fiscal six month period ended December 31, 2017 utility costs were up 0.9%.~~quarter. Supplies and services expenses ~~were down $34,000 or 8.7%~~ in the current year ~~six-month~~ period ~~primarily~~declined $129,000 or 67.2% as locations had supplies on hand prior to the ~~result of a decrease~~March 2020 shutdown. The same category was up $26,000 or 15.8% in part related to closing costs at Manassas in the ~~cost of amusement game supplies~~prior year quarter. Bank and credit card processing fees were down $137,000 as a result of ~~outsourcing our amusement game business.~~

~~Insurance~~lower traffic. Food and beverage supplies expense ~~excluding health insurance~~ ~~increased 5%~~declined $54,000 or 27.7% in the ~~current year-to-date period versus a decrease of 1% in last year’s comparable period.~~quarter ended September 27, 2020.

Depreciation and amortization expense ~~was~~ ~~down 16.5%~~increased $13,000 or 5.5% period ended September 27, 2020 due to increased capital purchases in the ~~current six-month period and down 15.9%~~prior year.

The quarter ended September 27, 2020 resulted in a net operating loss of $1,180,000. Operating loss was $160,000 in the prior year ~~six-month period.~~period which includes approximately $104,000 in one-time expenses related to the closing of the Manassas location.

~~As a result of the above,~~ ~~the first six-month period of fiscal 2018 resulted in operating income of $1,294,000 compared to operating income of $869,900 in the prior year comparable six-month period.~~

Interest,Dividend and OtherIncome

Interest,, dividend and other income decreased ~~$19,000~~$16,000 to $90,000 in the ~~fiscal 2018 six-month~~three month period ~~and decreased $36,000 in the comparable 2017 year-to-date period, respectively. The current year decrease relates primarily to lower investment balances.~~ended September 27, 2020.

Income Taxes

On ~~December 22, 2017~~The loss for the U.S. government enacted comprehensive tax legislation, the Tax Cuts and Jobs Act (“Tax Act”), which reduced the corporate tax rate from 35% to 21%. The provisions call for a blended tax rate for fiscal year companies resultingquarter ended September 27, 2020, resulted in a ~~reduction~~tax benefit of ~~the effective tax rate from 34.4% last year to~~ approximately 30.5% in the current year. In addition the Tax Act required an adjustment to the Company’s deferred tax account in this second quarter resulting in credits to income tax expense for both the current year quarter and six month period.$231,000.

~~CRITICAL~~CRITICAL ACCOUNTING POLICIES

Management has identified accounting for marketable investment securities as a critical accounting policy due to the significance of the amounts included in the ~~Company~~’sCompany’s balance sheet under the captions of Short-term investments and Marketable investment securities. The Company exercises judgment ~~in determining the classification of its investment securities as available-for-sale and~~ in determining their fair value. The Company records these investments at their fair value with the unrealized gain or loss recorded in ~~accumulated other comprehensive earnings, a component of stockholders’ equity, net of deferred taxes. Additionally, from time to time~~income or loss in the ~~Company must assess whether write-downs are necessary for other than temporary declines in value.~~current period.

Management has identified accounting for the impairment of long-lived assets as a critical accounting policy due to the significance of the amounts included in the ~~Company~~’sCompany’s balance sheet under the caption of Land, Buildings and Equipment. The Company reviews long-lived assets whenever events or changes indicate that the carrying amount of an asset may not be recoverable. In making such evaluations, the Company compares the expected future cash flows to the carrying amount of the assets. An impairment loss equal to the difference between the assets’ fair value and carrying value is recognized when the estimated future cash flows are less than the carrying amount.

ITEM 4. CONTROLS AND PROCEDURES.

The ~~Company~~’sCompany’s Chief Executive Officer and Chief Financial Officer ~~have~~has concluded that the Company’s disclosure controls and procedures are effective based on ~~their~~her evaluation of such controls and procedures as of ~~December 31, 2017.~~September 27, 2020. There was no change in the Company’s internal control over financial reporting identified in connection with the evaluation that occurred during the quarter ended ~~December 31, 2017,~~September 27, 2020, that materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

BOWL AMERICA INCORPORATED AND SUBSIDIARIES

S.E.C. FORM 10-Q

PART II - OTHER INFORMATION

Item 6. Exhibits.

20	Press release issued ~~February 13, 2018~~November 10, 2020 (furnished herewith)

~~31.1~~31	Certification of Chief Executive Officer ~~Pursuant to Section 302 of the Sarbanes-Oxley Act filed herewith~~

~~31.2~~	~~Certification of~~and Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act filed herewith

32	Written Statement of the Chief Executive Officer and Chief Financial Officer Pursuant to 18 U.S.C. 1350 filed herewith

101	Interactive data files for the thirteen ~~and twenty six~~ weeks ended ~~December 31, 2017~~September 27, 2020 in eXtensible Business Reporting Language

Pursuant to the requirements of the Securities Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	Bowl America Incorporated
	(Registrant)

~~Date:~~ ~~February 13, 2018~~	~~By:~~ ~~/s/ Leslie H Goldberg~~
	~~Leslie H. Goldberg, President~~



Date: ~~February 13, 2018~~November 10, 2020	By: /s/ Cheryl AA. Dragoo
	Cheryl A. Dragoo, CFOCEO and CFO