Kaspien (KSPN) 8-K Results of Operations and Financial Condition

Exhibit 99.1

	Contact: Trans World Entertainment John J. Sullivan EVP, Chief Financial Officer (518) 452-1242	Contact: Financial Relations Board Marilynn Meek (mmeek@frbir.com) (212) 827-3773
38 Corporate Circle
Albany, NY 12203

www.twec.com	NEWS RELEASE
TRANS WORLD ENTERTAINMENT ANNOUNCES SECOND QUARTER 2010 RESULTS

          Albany, NY, August 19, 2010 — Trans World Entertainment Corporation (Nasdaq National Market: TWMC) today announced total net sales for the second quarter ended July 31, 2010 decreased 18% to $135.8 million, compared to $165.7 million in the second quarter of 2009. Average stores in operation during the quarter were 543 compared to 705 last year, a 23% decline. Comparable store sales in the second quarter of 2010 decreased 2%. For the second quarter of 2010, the net loss was $15.8 million, or $0.50 per share compared to a net loss of $17.8 million, or $0.57 per share for the same period last year.

          Gross profit as a percentage of sales for the second quarter of 2010 was 33.7% compared to 35.5% in the second quarter of 2009. The decrease in gross profit as a percentage of sales was due to lower vendor allowances and higher clearance markdowns. Selling, general and administrative expenses for the quarter were $57.8 million, a 20% reduction from $72.1 million in the comparable period last year. SG&A expenses were 42.5% of sales versus 43.5% of sales for the same period last year.

          Total net sales for the twenty-six week period ended July 31, 2010 decreased 18% to $292.3 million, compared to $357.2 million in 2009. Comparable store sales for the twenty-six week period ended July 31, 2010 decreased 2%. Net loss for the twenty-six week period was $27.2 million or $0.87 per share versus $31.5 million or $1.00 per share last year.

          The Company had a cash balance of $10.5 million and no borrowings outstanding on its credit facility at the end of the quarter as compared to a cash balance of $7.1 million and outstanding borrowings of $28.3 million last year. Inventory was $237.1 million, or $67 per square foot, at the end of the quarter versus $320.4 million or $72 per square foot for the same period last year.

          Trans World Entertainment is a leading specialty retailer of entertainment software, including music, video and video games and related products. The Company operates retail stores in the United States, the District of Columbia, the U.S. Virgin Islands, and Puerto Rico, primarily under the namesf.y.e. for your entertainment andSuncoast and on the web atwww.fye.com,www.wherehouse.com,www.secondspin.com, andwww.suncoast.com.

Certain statements in this release set forth management’s intentions, plans, beliefs, expectations or predictions of the future based on current facts and analyses. Actual results may differ materially from those indicated in such statements. Additional information on factors that may affect the business and financial results of the Company can be found in filings of the Company with the Securities and Exchange Commission.

- table to follow –

TRANS WORLD ENTERTAINMENT CORPORATION
Financial Results

STATEMENTS OF OPERATIONS:
(in thousands, except per share data)

	Thirteen Weeks Ended												Twenty-six Weeks Ended
	July 31, 2010			% to Sales			August 1, 2009			% to Sales			July 31, 2010			% to Sales			August 1, 2009			% to Sales
Net sales	$	135,804					$	165,746					$	292,342					$	357,179
Cost of sales		90,075			66.3	%		106,976			64.5	%		195,089			66.7	%		232,658			65.1	%
Gross profit		45,729			33.7	%		58,770			35.5	%		97,253			33.3	%		124,521			34.9	%
Selling, general and administrative expenses		57,766			42.5	%		72,114			43.5	%		117,081			40.0	%		147,812			41.3	%
Depreciation and amortization		2,788			2.1	%		3,653			2.3	%		5,651			2.0	%		7,314			2.0	%
Loss from operations		(14,825	)		-10.9	%		(16,997	)		-10.3	%		(25,479	)		-8.7	%		(30,605	)		-8.5	%
Interest expense, net		815			0.6	%		684			0.4	%		1,504			0.5	%		1,387			0.4	%
Loss before income taxes		(15,640	)		-11.5	%		(17,681	)		-10.7	%		(26,983	)		-9.2	%		(31,992	)		-8.9	%
Income tax expense (benefit)		141			0.1	%		74			0.0	%		215			0.1	%		(499	)		0.0	%
Net loss	$	(15,781	)		-11.6	%	$	(17,755	)		-10.7	%	$	(27,198	)		-9.3	%	$	(31,493	)		-8.9	%
Basic and diluted loss per common share:
Basic and diluted loss per share	$	(0.50	)				$	(0.57	)				$	(0.87	)				$	(1.00	)
Weighted average number of common shares outstanding - basic and diluted		31,424						31,394						31,409						31,345
SELECTED BALANCE SHEET CAPTIONS:
(in thousands, except store data)
													July 31, 2010						August 1, 2009
Cash and cash equivalents													$	10,505					$	7,138
Merchandise inventory														237,141						320,413
Fixed assets (net)														29,074						44,458
Accounts payable														69,233						94,675
Borrowings under line of credit														—						28,328
Long-term debt, less current portion														6,208						7,506
Stores in operation														534						697

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