EXHIBIT 99.2
FOG CUTTER CAPITAL GROUP INC.
PRO FORMA CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(dollars in thousands, except share data)
| | Nine Months Ended September 30, 2007 | |
| | |
| | As Reported | | Pro forma Adjustment | | Pro forma | |
| | | | | | | |
Revenue: | | | | | | | |
Restaurant and manufacturing sales | | $ | 29,816 | | | | $ | 29,816 | |
Restaurant franchise and royalty fees | | 1,706 | | | | 1,706 | |
Real estate rental income | | 2,851 | | (2,851 | ) | — | |
Total revenue | | 34,373 | | (2,851 | ) | 31,522 | |
| | | | | | | |
Operating costs and expenses: | | | | | | | |
Restaurant and manufacturing cost of sales | | 17,010 | | | | 17,010 | |
Real estate operating expense | | 1,022 | | (1,022 | ) | — | |
Engineering and development | | 1,091 | | | | 1,091 | |
Depreciation and amortization | | 1,684 | | (335 | ) | 1,349 | |
Total operating costs and expenses | | 20,807 | | (1,357 | ) | 19,450 | |
| | | | | | | |
General and administrative expenses: | | | | | | | |
Compensation and employee benefits | | 9,366 | | | | 9,366 | |
Professional fees | | 2,647 | | | | 2,647 | |
Fees paid to related parties | | — | | | | — | |
Other | | 12,539 | | (292 | ) | 12,247 | |
Total general and administrative expenses | | 24,552 | | (292 | ) | 24,260 | |
| | | | | | | |
Non-operating income (expense): | | | | | | | |
Gain on sale of real estate | | 13 | | (13 | ) | — | |
Gain on sale of notes receivable | | — | | | | — | |
Interest income | | 197 | | (18 | ) | 179 | |
Interest expense | | (2,704 | ) | 1,109 | | (1,595 | ) |
Other income (loss), net | | (1,086 | ) | (20 | ) | (1,106 | ) |
Total non-operating income (expense) | | (3,580 | ) | 1,058 | | (2,522 | ) |
Loss before provision for income taxes, minority interests, and equity in income of equity investees | | (14,566 | ) | (144 | ) | (14,710 | ) |
| | | | | | — | |
Minority interest in losses | | 676 | | | | 676 | |
Equity in earnings of equity investees | | — | | | | — | |
Income tax benefit | | 4,385 | | | | 4,385 | |
Income (loss) from continuing operations | | (9,505 | ) | (144 | ) | (9,649 | ) |
| | | | | | | |
Basic earnings (loss) per share from continuing operations | | $ | (1.19 | ) | $ | (0.02 | ) | $ | (1.21 | ) |
Basic weighted average shares outstanding | | 7,957,428 | | | | 7,957,428 | |
Diluted earnings (loss) per share from continuing operations | | $ | (1.19 | ) | $ | (0.02 | ) | $ | (1.21 | ) |
Diluted weighted average shares outstanding | | 7,957,428 | | | | 7,957,428 | |