FORM 10-Q
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Quarterly Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Quarter Ended March 27, 2005 Commission file Number 0-1830
BOWL AMERICA INCORPORATED
(Exact name of registrant as specified in its charter.)
MARYLAND 54-0646173
(State of Incorporation) (I.R.S. Employer Identification No.)
6446 Edsall Road, Alexandria, Virginia 22312
(Address of principal executive offices) (Zip Code)
(703)941-6300
Registrant's telephone number, including area code
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 is an accelerated
filer (as defined in Exchange Act Rule 12 b-2).
YES [ ] NO [X]
Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practical date:
Shares Outstanding at
April 24, 2005
Class A Common Stock, 3,669,311
$.10 par value
Class B Common Stock 1,468,462
$.10 par value
PART 1. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
BOWL AMERICA INCORPORATED AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(Unaudited)
Thirteen Weeks Ended Thirty-nine Weeks Ended
March 27, March 28, March 27, March 28,
2005 2004 2005 2004
_______________________ _________________________
Operating Revenues
Bowling and other $6,188,020 $6,262,066 $15,444,194 $15,751,126
Food, beverage and
merchandise sales 2,407,933 2,521,203 6,163,439 6,484,835
_________ _________ __________ __________
8,595,953 8,783,269 21,607,633 22,235,961
Operating Expenses
Compensation and benefits 3,220,410 3,287,212 9,282,911 9,628,495
Cost of bowling and other 1,568,584 1,556,491 4,622,675 4,648,706
Cost of food, beverage and
merchandise sales 690,266 754,646 1,877,514 2,095,004
Depreciation and
amortization 401,514 391,647 1,204,632 1,178,224
General and administrative 195,136 209,883 575,125 557,101
_________ _________ __________ __________
6,075,910 6,199,879 17,562,857 18,107,530
Net gain from sale of
building - - - 2,168,117
Operating Income 2,520,043 2,583,390 4,044,776 6,296,548
Investment Earnings - - 151,817 -
Interest and dividend
income 159,075 105,947 423,397 305,289
_________ _________ __________ __________
Earnings before provision
for income taxes 2,679,118 2,689,337 4,619,990 6,601,837
Provision for income taxes 978,000 984,900 1,678,000 2,411,600
_________ _________ __________ __________
Net Earnings $1,701,118 $1,704,437 $ 2,941,990 $ 4,190,237
========= ========= ========= =========
Earnings per share-basic &
diluted $.33 $.33 $.57 $.81
Weighted average shares
outstanding 5,137,773 5,138,574 5,137,773 5,138,574
Dividends paid $693,600 $693,708 $2,080,800 $1,978,353
Per share, Class A $.135 $.135 $.405 $.385
Per share, Class B $.135 $.135 $.405 $.385
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS
Net Earnings $1,701,118 $1,704,437 $ 2,941,990 $4,190,237
Other comprehensive
earnings-net of tax
Unrealized gain (loss) on
available for sale
securities (287,451) 134,662 171,206 101,151
Less: reclassification
adjustment for gain
included in net income - - (88,687) -
_________ _________ _________ _________
Comprehensive earnings $1,413,667 $1,839,099 $ 3,024,509 $4,291,388
========= ========= ========= =========
The operating results for the thirteen (13) and thirty-nine (39) week
periods ended March 27, 2005 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
March 27, 2005 June 27, 2004
________________ _____________
(Unaudited)
ASSETS
Current Assets
Cash and cash equivalents $ 3,155,521 $ 1,320,643
Short-term investments 13,320,046 11,681,729
Inventories 510,749 583,466
Prepaid expenses and other 419,864 595,460
__________ __________
Total Current Assets 17,406,180 14,181,298
Land, Buildings and Equipment
less accumulated depreciation of
$28,950,876 and $28,394,203 22,243,663 21,762,919
Other Assets
Marketable equity securities 4,057,837 4,041,161
Cash surrender value-life insurance 469,817 467,603
Other long-term assets 78,080 126,600
__________ __________
TOTAL ASSETS $44,255,577 $40,579,581
========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts payable $ 828,746 $ 805,812
Accrued expenses 795,855 891,289
Dividends payable 693,600 693,600
Other current liabilities 2,629,107 334,317
Income taxes payable 642,021 179,855
Current deferred income taxes 148,675 148,675
__________ __________
Total Current Liabilities 5,738,004 3,053,548
Long-term Deferred Compensation 74,278 74,278
Noncurrent Deferred Income Taxes 2,603,574 2,555,174
__________ __________
TOTAL LIABILITIES 8,415,856 5,683,000
__________ __________
Stockholders' Equity
Preferred stock,
par value $10 a share: Authorized
and unissued 2,000,000 shares
Common stock,
par value $.10 per share
Authorized 10,000,000 shares
Class A issued and outstanding -
3,669,311 shares 366,932 366,932
Class B issued and outstanding -
1,468,462 146,846 146,846
Additional paid-in capital 7,479,072 7,479,072
Accumulated other comprehensive
earnings-Unrealized gain on
available-for-sale securities,
net of tax 2,030,868 1,948,918
Retained earnings 25,816,003 24,954,813
__________ __________
TOTAL STOCKHOLDERS' EQUITY $35,839,721 $34,896,581
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY $44,255,577 $40,579,581
========== ==========
<FN>
See notes to condensed consolidated financial statements.
BOWL AMERICA INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THIRTY-NINE WEEKS ENDED MARCH 27, 2005 AND MARCH 28, 2004
March 27, March 28,
2005 2004
(unaudited)
Cash Flows From Operating Activities:
Net earnings $2,941,990 $4,190,237
Adjustments to reconcile net
earnings to net cash provided
by operating activities
Depreciation and amortization 1,204,632 1,178,224
Gain on sale of available-for-sale
securities (151,817) -
Changes in assets and liabilities
Decrease in inventories 72,717 97,103
Decrease in prepaid expenses & other 175,596 28,999
Increase in income taxes payable 462,166 1,161,899
Decrease in other long-term assets 46,306 56,535
Increase (decrease) in accounts payable 22,934 (97,066)
Decrease in accrued expenses (95,434) (144,010)
Increase in other current liabilities 2,294,790 2,312,099
Decrease in long-term deferred comp - (59,190)
_________ _________
Net cash provided by operating activities $6,973,880 $8,724,830
_________ _________
Cash flows from investing activities
Expenditures for land,buildings,equip (1,685,376) (2,913,372)
Net purchases of short-term investments (1,625,351) (3,025,071)
Proceeds from AMF cash merger - 1,125
Proceeds from sale of marketable
securities 252,525 -
_________ _________
Net cash used in investing activities (3,058,202) (5,937,318)
_________ _________
Cash flows from financing activities
Payment of cash dividends (2,080,800) (1,978,353)
_________ _________
Net cash used in financing activities (2,080,800) (1,978,353)
_________ _________
Net Increase in Cash and Equivalents 1,834,878 809,159
Cash and Equivalents, Beginning of Period 1,320,643 1,503,313
_________ _________
Cash and Equivalents, End of Period $3,155,521 $2,312,472
========= =========
Supplemental Disclosures of Cash Flow Information
Cash paid during the period for
Income taxes $1,069,477 $1,249,700
<FN>
See notes to condensed consolidated financial statements.
BOWL AMERICA INCORPORATED AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
For the Thirty-nine Weeks Ended
March 27, 2005
(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 June 27, 2004
has been derived from the Company's June 27, 2004 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 for the periods presented. It is suggested that these
condensed consolidated financial statements be read in conjunction with the
consolidated financial statements and notes thereto included in the
Company's latest annual report to the Securities and Exchange Commission
on Form 10-K for the year ended June 27, 2004.
2. Marketable Equity Securities
Marketable equity securities are carried at fair value in accordance
with the provisions of SFAS No. 115. At March 27, 2005, the fair value of
these securities was $4,057,837, with an original cost of $757,074, resulting
in an unrealized gain of $3,300,763. The telecommunications stocks included
in the portfolio as of March 27, 2005 were:
2,209 shares of Agere 3,946 shares of Alltel
669 shares of Avaya 27,572 shares of Bell South
8,028 shares of Lucent Technologies 9,969 shares of Qwest Communications
45,580 shares of SBC 40,000 shares of SprintFon
18,784 shares of Verizon 13,560 shares of Vodafone/AirTouch
3. Commitments and Contingencies
During the quarter ended March 27, 2005, the Company signed a contract for
approximately $1,526,000 for construction of a shell building for a bowling
center in Henrico County, Virginia.
In late Septemeber 2004, the Company signed a contract for approximately
$770,000 for site preparation relating to that building, to be paid out as work
is completed. During the quarter ended March 27, 2005, revisions to the site
preparation contract were made increasing the contract amount to approximately
$980,000 of which approximately $254,000 has been paid for work completed.
In February 2005, the Company signed a contract for the purchase of bowling
equipment for the new location totaling approximatley $379,000. Delivery is
not expected prior to the end of fiscal 2005.
4. Reclassifications
Certain previous period amounts have been reclassified to conform with current
period presentation.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATION
LIQUIDITY AND CAPITAL RESOURCES
Short-term investments consisting mainly of U.S. Treasury Bills and Notes, and
cash totaled $16,475,000 at the end of the third quarter of fiscal 2005, or
$2,612,000 higher than at the beginning of the quarter and $3,473,000 higher
than the beginning of the fiscal year. The increased funds resulted primarily
from operations and league prize fund deposits, explained below under current
liabilities, and reflect the seasonal nature of the business which is strongest
from September through May.
During the nine-month month period ended March 27, 2005, the Company expended
approximately $1,197,000 for the purchase of bowling and restaurant equipment
and some amusement games as existing locations were upgraded. Through March 27,
2005, approximately $488,000 of the estimated $5 million cost had been paid
toward the construction of our new location in Henrico County, Virginia. The
table below summarizes all purchase obligations as of March 27, 2005, and
includes approximately $726,000 for site preparation and improvements,
$1,526,000 for the building shell and $379,000 for a portion of the equipment.
The Company is actively seeking property for the development of additional
bowling centers. Cash and cash flow are sufficient to finance all contemplated
purchases and construction. The Company's holdings of marketable equity
securities, primarily consisting of telecommunications stocks, are another
potential source of expansion capital.
These marketable securities are carried at their fair value on the last day of
the quarter. For the three-month period ended March 27, 2005, the market value
decreased by $432,000 to approximately $4,058,000.
Contractual Total Less Than 1-3 3-5 More Than
obligations 1 Year Years Years 5 Years
Operating lease
obligations $1,624,627 $ 276,760 $553,520 $427,680 $366,667
Purchase
obligations $2,631,000 $2,631,000
Total $4,255,627 $2,907,760 $553,520 $427,680 $366,667
Current liabilities increase during the first three quarters of the fiscal year
as 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 March 27, 2005, approximately
$2,300,000 in league deposits were included in the current liabilities
category.
While no factors calling for a change in the dividend rate are apparent, the
Board of Directors decides the amount and timing of any dividend at its
quarterly meeting based on its appraisal of the state of the business and its
estimate of future opportunities.
On March 22, 2005, the Board of Directors declared a cash dividend of $.135 per
share on its Class A and Class B stock to holders of record on April 20, 2005,
payable May 11, 2005.
RESULTS OF OPERATIONS
Net earnings were $.33 per share for the thirteen-week period ended March 27,
2005, and for the thirteen weeks ended March 28, 2004. For the current
thirty-nine week period net earnings per share were $.57 compared to $.81 for
the comparable period a year ago. Without the sale of assets, AT&T Wireless
stock in the current nine-month period and the Silver Spring building in the
prior year comparable period, net earnings after taxes would have been $.55
and $.56 per share for the current and prior nine-month periods, respectively.
Operating revenues decreased 2% for the three-month period ended March 27, 2005,
versus a 1% decrease in the comparable period a year ago. For the current
nine-month period operating revenues were down 3% versus a 1% decrease in the
prior year nine-month period.
Bowling and other revenue decreased 1% during the current quarter although
corporate events and a higher average price per game helped to offset the
lower number of games bowled. For the current nine-month period bowling and
other revenue was down 2%. Last year the comparable quarter showed a 1%
decrease and the nine-month period was flat. Food, beverage and merchandise
sales were down 4% for both the current and prior year quarters and declined
5% and 4%, respectively, in the year-to-date periods. Cost of sales was down
9% and 10% for the current quarter and nine-month periods, respectively.
Operating expenses excluding depreciation and amortization were down 2% in the
current three-month period and decreased 3% in the nine-month period ended
March 27, 2005. In the prior year the three-month comparable period showed a
decrease of 3%, and the nine-month period expenses were down 1%. Employee
compensation and benefits costs declined 2% in the current quarter and 4% in
the prior year quarter. The current year-to-date decline was 4% versus a 2%
decrease in the prior year comparable period.
Cost of bowling and other services was up less than 1% in both the current
quarter and nine-month periods. Maintenance and repair costs were down 16%
in the current thirty-nine week period due in part to the elimination of
refinishing costs and lower building and equipment repair costs. For the
nine-month period ended March 28, 2004, maintenance and repair costs were down
1%. Advertising costs for the nine-month period were up 41% over the prior
year period, attributable in part to increased use of television and cable for
new campaigns to promote the Company's services. In the comparable period
last year advertising expense was up 7%. Utility costs were up 7% in the
current quarter and 4% for the nine-month period. Last year utility costs
were up 1% in the quarter and down 1% in the nine-month period. Bowling
supplies and services costs were down 3% for the current nine-month period
and up 5% in the comparable period last year, partially the result of timing
of bulk purchases of maintenance supplies.
Rent expense was up 2% in the current nine-month period and up 1% in the prior
year comparable period. For the current nine-month period insurance expense,
excluding health and life insurance, declined 9% as the market softened, versus
an increase of 6% for the nine-month period ended March 28, 2004.
Depreciation and amortization expense increased 2% in the current nine-month
period. The comparable period last year showed a 6% decrease primarily as a
result of the operation of one fewer center in operation in 2004 than 2003.
CRITICAL ACCOUNTING POLICIES
We have identified accounting for marketable investment securities under SFAS
115 ("Accounting for Certain Investments in Debt and Equity Securities") as a
critical accounting policy due to the significance of the amounts included in
our balance sheet under the captions of Short-term investments and Marketable
equity securities. The Company exercises judgment in determining the classifi-
cation 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
income, a component of stockholders' equity, net of deferred taxes.
Additionally, from time to time the Company must assess whether write-downs
are necessary for other than temporary declines in value.
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
Interest Rate Risk. Our short-term investments and certain cash equivalents
are subject to interest rate risk. We manage this risk by maintaining an
investment portfolio of available-for-sale instruments with high credit quality
and relatively short average maturities. The fair value of marketable debt
securities held at March 27, 2005, was $13,320,000. The fair value of certain
fixed rate debt securities will change depending on movements in interest rates.
Declines in interest rates will affect our interest income. Based on our
portfolio of debt securities at March 27, 2005, a 10% decline in the average
yield would have no material impact on annual interest income.
ITEM 4. CONTROLS AND PROCEDURES
The Company's Chief Executive Officer and Chief Financial Officer have concluded
that the Company's disclosure controls and procedures are effective based on
their evaluation of such controls and procedures as of March 27, 2005. 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 March 27, 2005, 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
March 27, 2005
PART II - OTHER INFORMATION
Item 6 - Exhibits and Reports on Form 8-K
(a) Exhibits
20 Press release issued May 10, 2005 (furnished herein)
31.1 Certification of Chief Executive Officer
31.2 Certification of Chief Financial Officer
32 Written Statement of the Chief Executive Officer and Chief
Financial Officer Pursuant to 18 U.S.C. 1350
Pursuant to the requirement of the Securities Exchange 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
May 10, 2005 Leslie H. Goldberg
Date President
May 10, 2005 Cheryl A. Dragoo
Date Controller
Exhibit 20 to Form 10-Q
For Immediate Release May 10, 2005
BOWL AMERICA REPORTS THIRD QUARTER EARNINGS
Bowl America Incorporated today reported earnings per share for its third
quarter ended March 27, 2005, were $.33, unchanged from the prior year
quarter. Nine-month earnings per share of $.57 in the current year and $.81
last year included gains on sales of assets. Excluding the gains on the sale
of AT&T Wireless stock in the current year and a building in the prior year,
the comparable year-to-date earnings per share were $.55 this year and $.56
last year.
Some independent tournaments and special events that took place in the third
quarter last year were not scheduled until this year's fourth quarter. The
fourth quarter will also benefit from an additional week of league play due to
the late Labor Day in the first quarter and an extra week of business as fiscal
2005, which ends July 3, 2005, is a 53-week year for accounting purposes.
The $.135 quarterly dividend being paid tomorrow will make this the 33rd
consecutive year of increased per share dividends.
Bowl America operates 18 bowling centers and construction of a 40-lane center
in Richmond, Virginia is continuing.
Bowl America Class A Common Stock trades on the American Stock Exchange with
the symbol BWLA. The Company's S.E.C. Form 10-Q is available at the Company's
web site www.bowlamericainc.com.
***
BOWL AMERICA INCORPORATED
Results of Operations
(Unaudited)
Thirteen Thirteen Thirty-nine Thirty-nine
Weeks Ended Weeks Ended Weeks Ended Weeks Ended
03/27/05 03/28/04 03/27/05 03/28/04
Operating Revenues
Bowling and other $6,188,020 $6,262,066 $15,444,194 $15,751,126
Food,beverage and
merchandise sales 2,407,933 2,521,203 6,163,439 6,484,835
_________ _________ __________ __________
8,595,953 8,783,269 21,607,633 22,235,961
Operating Expenses
excluding deprec-
iation and amorti-
zation 5,674,396 5,808,232 16,358,225 16,929,306
Depreciation and
amortization 401,514 391,647 1,204,632 1,178,224
Net gain on sale of
building - - - 2,168,117
Investing earnings - - 151,817 -
Interest & dividend
income 159,075 105,947 423,397 305,289
Earnings before taxes 2,679,118 2,689,337 4,619,990 6,601,837
Net Earnings $1,701,118 $1,704,437 $ 2,941,990 $ 4,190,237
Weighted average
shares outstanding 5,137,773 5,138,574 5,137,773 5,138,574
EARNINGS PER SHARE .33 .33 .57 .81
***
SUMMARY OF FINANCIAL POSITION
(Unaudited)
Dollars in Thousands
03/27/05 03/28/04
ASSETS
Total current assets including cash and
short-term investments of $16,476 and $14,826 $ 17,406 $ 16,057
Property and investments 26,850 26,665
______ ______
TOTAL ASSETS $ 44,256 $ 42,722
LIABILITIES AND STOCKHOLDERS' EQUITY
Total current liabilities $ 5,738 $ 4,833
Other liabilities 2,678 2,674
Stockholders' equity 35,840 35,215
______ ______
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 44,256 $ 42,722
Exhibit 31.1 to Form 10-Q
Certification of Chief Executive Officer
Pursuant to Section 302 of the Sarbanes-Oxley Act and
Rule 13a-14(a) Or 15d-14(a) under the Securities Exchange Act of 1934
I, Leslie H. Goldberg, certify that:
1. I have reviewed this Quarterly Report on Form 10-Q of Bowl America
Incorporated;
2. Based on my knowledge, this quarterly report does not contain any
untrue statement of a material fact or omit to state a material fact
necessary to make the statements made, in light of the circumstances under
which such statements were made, not misleading with respect to the period
covered by this report;
3. Based on my knowledge, the financial statements, and other financial
information included in this report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this report;
4. The registrant's other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined
in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the registrant and have:
a) Designed such disclosure controls and procedures, or caused such disclosure
controls and procedures to be designed under our supervision, to ensure that
material information relating to the registrant, including its consolidated
subsidiaries, is made known to us by others within those entities, particularly
during the period in which this report is being prepared;
b) Evaluated the effectivness of the registrant's disclosure controls and
procedures and presented in this report our conclusions about the effectiveness
of the disclosure controls and procedures, as of the end of the period covered
by this report based on such evaluation; and
c) Disclosed in this report any change in the registrant's internal control
over financial reporting that occurred during the registrant's most recent
fiscal quarter that has materially affected, or is reasonably likely to
materially affect, the registrant's internal control over financial reporting;
and
5. The registrant's other certifying officer and I have disclosed, based on
our most recent evaluation of the internal control over financial reporting,
to the registrant's auditors and the audit committee of the registrant's board
of directors (or persons performing the equivalent functions):
a) All significant deficiencies and material weaknesses in the design or
operation of internal control over financial reporting which are reasonably
likely to adversely affect the registrant's ability to record, process,
summarize and report financial information; and
b) Any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal control
over financial reporting.
Date: May 10, 2005 Leslie H. Goldberg
Chief Executive Officer
Exhibit 31.2 to Form 10-Q
Certification of Chief Financial Officer
Pursuant to Section 302 of the Sarbanes-Oxley Act and
Rule 13a-14(a) Or 15d-14(a) under the Securities Exchange Act of 1934
I, Cheryl A. Dragoo, certify that:
1. I have reviewed this Quarterly Report on Form 10-Q of Bowl America
Incorporated;
2. Based on my knowledge, this quarterly report does not contain any
untrue statement of a material fact or omit to state a material fact
necessary to make the statements made, in light of the circumstances under
which such statements were made, not misleading with respect to the period
covered by this report;
3. Based on my knowledge, the financial statements, and other financial
information included in this report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this report;
4. The registrant's other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined
in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the registrant and have:
a) Designed such disclosure controls and procedures, or caused such disclosure
controls and procedures to be designed under our supervision, to ensure that
material information relating to the registrant, including its consolidated
subsidiaries, is made known to us by others within those entities, particularly
during the period in which this report is being prepared;
b) Evaluated the effectivness of the registrant's disclosure controls and
procedures and presented in this report our conclusions about the effectiveness
of the disclosure controls and procedures, as of the end of the period covered
by this report based on such evaluation; and
c) Disclosed in this report any change in the registrant's internal control
over financial reporting that occurred during the registrant's most recent
fiscal quarter that has materially affected, or is reasonably likely to
materially affect, the registrant's internal control over financial reporting;
and
5. The registrant's other certifying officer and I have disclosed, based on
our most recent evaluation of the internal control over financial reporting,
to the registrant's auditors and the audit committee of the registrant's board
of directors (or persons performing the equivalent functions):
a) All significant deficiencies and material weaknesses in the design or
operation of internal control over financial reporting which are reasonably
likely to adversely affect the registrant's ability to record, process,
summarize and report financial information; and
b) Any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal control
over financial reporting.
Date: May 10, 2005 Cheryl A. Dragoo
Chief Financial Officer
Exhibit 32
Written Statement of the Chief Executive Officer and Chief Financial Officer
Pursuant to 18 U.S.C. 1350
Solely for the purposes of complying with 18 U.S.C. 1350, as adopted
pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, we, the
undersigned Chief Executive Officer and Chief Financial Officer of Bowl America
Incorporated (the "Company"), hereby certify, based on our knowledge, that the
Quarterly Report on Form 10-Q of the Company for the quarter ended March 27,
2005 (the "Report") fully complies with the requirements of Section 13(a) of
the Securities Act of 1934 and that information contained in the Report fairly
presents, in all material respects, the financial condition and results of
operations of the Company.
Leslie H. Goldberg
Chief Executive Officer
Cheryl A. Dragoo
Chief Financial Officer
Date: May 10, 2005