UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of
1934
Date of Report:June 20, 1996
THE QUIZNO'S CORPORATION
(Exact name of registrant as specified in its charter)
Colorado 000-23174 84-1169286
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
7555 East Hampden Avenue,Suite 601, Denver, CO 80231
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (303) 368-9424
_________________________________________________________________
____________________________
(Former name or former address, if changes since last report)
Item 1. Changes in Control of Registrant. N/A.
Item 2. Acquisition or Disposition of Assets. N/A.
Item 3. Bankruptcy or Receivership. N/A.
Item 4. Changes in Registrant's Certifying Accountant. N/A.
Item 5. Other Events.
The Company has issued a press release, a copy of which
is attached hereto, announcing the signing of three Area Director
Marketing Agreements.
Forward-Looking Statements
Certain of the information discussed in the press
release constitutes forward-looking statements that are subject
to risks and uncertainties that might adversely affect the
Company's operating results in the future in a material way.
Such risks and uncertainties include, without limitation, the
effect of national and regional economic and market conditions,
costs of labor, costs of marketing, costs of food and non-food
items used in the operation of the Restaurants, and the eating
habits of the American public.
The Area Director Marketing Agreements typically set
increasing "Minimum Performance Levels" that require the Area
Director to sell and open a specified number of franchised
Restaurants in each year during the term of the Area Director
Marketing Agreement. There can be no assurance that each Area
Director will fulfill his or her obligation to sell and open the
number of Restaurants constituting the Minimum Performance Level
for a year or any number of years. At any given time, some Area
Directors may be ahead of schedule while others may be behind.
Delays in the sale and opening of Restaurants can occur for many
reasons, including, but not limited to, delays in the selection
or acquisition of an appropriate location for the Restaurant and
delays in the build-out of the Restaurant site. The failure on
the part of an Area Director to sell and open Restaurants as
required by the Area Director Marketing Agreement enables the
Company to terminate the Area Director Marketing Agreement, but
does not grant the Company any other remedies against the Area
Director. Termination of an Area Director Marketing Agreement
for failure to meet Minimum Performance Levels does enable the
Company to engage a new Area Director for the relevant market
area. In its planning, the Company has allowed for a certain
percentage of Area Directors who will not meet their development
schedule.
Item 6. Resignations of Registrant's Directors. N/A.
Item 7. Financial Statements and Exhibits. N/A.
Item 8. Change in Fiscal Year. N/A.
SIGNATURES
Pursuant to the requirements of the Securities Exchange
Act of 1934, the registrant has duly caused this report to be
signed on its behalf by the undersigned hereunto duly authorized.
THE QUIZNO'S CORPORATION
Date:June 20, 1996 ______________________________________
John L. Gallivan, Chief Financial
Officer and Treasurer
QUIZNO'S
FOR RELEASE: 6 a.m. MDT June 20, 1996
QUIZNO'S7 Signs Three New Area Directors
DENVER, Colo., June 20, 1996 -- The QUIZNO'S
Corporation (Nasdaq: QUIZ) announced today it has signed three
new Area Director territory agreements, bringing the total number
of markets under development for QUIZNO'S to 52.
The Area Directors and their agreements are as follows:
! Donald Abbott, of Corvalis, Oregon; 22 QUIZNO'S
over the next five years in the Eugene, Oregon, and the
Medford-Klamath Falls market on the Oregon-California
border.
! Roger Grieco, of Whitestone, New York; 26 QUIZNO'S
over five years in Knoxville, Tennessee.
! Doug Mader, of Coldwater, Ohio; 32 QUIZNO'S over
five years in Richmond, Virginia.
"Our Area Director program is ramping up as we anticipated
it would after redesigning it to accelerate the development of
new markets," said Rick Schaden, President and CEO of The
QUIZNO'S Corporation. "We are pleased that we continue to
generate strong interest in our good food story."
In other company news, The QUIZNO'S Corporation's Annual
Meeting was held June 7 in Denver, and all issues put before the
shareholders were ratified.
Items approved included reelection of all members of the
board of directors; an increase from 220,000 to 320,000 in the
number of shares of Common Stock reserved for the Employee Stock
Option Plan; an increase from 60,000 to 90,000 in the number of
shares of Common Stock reserved for Non-Employee Directors and
Advisors Stock Option Plan; and the ratification of Ehrhardt
Keefe Steiner & Hottman, P.C. as independent auditors for the
1996 fiscal year.
QUIZNO'S, a popular Denver-based chain for 15 years, is a
quick-service, Italian deli-style concept which serves signature
oven baked Classic Subs. The QUIZNO'S Corporation completed an
IPO in February 1994 as part of a strategy to take the concept
national. Currently there are 126 restaurants open in 23 states.
A Form 8-K will be filed with the SEC in connection with the
Area Director sales announced in this release. Reference is made
to the Form 8-K for a discussion of certain risks relating to
forward-looking statements.
Contacts: Sue Hoover, ext. 3321, or Debbie Leider, ext. 3322, in
QUIZNO'S Corporate Communications, 303-369-9424.