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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 (Date of earliest event reported): JULY 3, 1997
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UNO RESTAURANT CORPORATION
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(Exact Name of Registrant as Specified in its Charter)
DELAWARE
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(State or Other Jurisdiction of Incorporation)
1-9573 04-2953702
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(Commission File Number) (I.R.S. Employer Identification No.)
100 CHARLES PARK ROAD, WEST ROXBURY, MASSACHUSETTS 02132
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(Address of Principal Executive Offices) (Zip Code)
Registrant's Telephone Number, Including Area Code: (617) 323-9200
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(Former Name or Former Address, if Changed Since Last Report)
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ITEM 5. OTHER EVENTS.
Uno Restaurant Corporation (the "Company") announced on July 3, 1997 plans to
take a $4 million pre-tax charge in the third quarter ended June 29, 1997 in
accordance with Financial Accounting Standard No. 121, "Accounting for the
Impairment of Long-Lived Assets and For Long-Lived Assets to be Disposed Of"
(FAS 121). The charge relates principally to the non-cash write-off to fair
market value of assets associated with two Pizzeria Uno restaurants, which have
accounted for operating losses of approximately $350,000 during the past twelve
months.
Excluding the FAS 121 charge, earnings for the third quarter are expected to be
$.13 per share. For the same quarter last year, the Company reported earnings of
$.12 per share. As a result of the FAS 121 charge, which is $2,640,000 on an
after-tax basis, or $.22 per share, the Company expects to report a net loss of
approximately $.09 per share for the third quarter, when its final earnings
report is issued on Tuesday, July 15, 1997.
The Company also announced that it expects to report earnings of approximately
$.17 to $.19 per share for the fourth fiscal quarter ending September 28, 1997,
compared to earnings of $.19 per share for the fourth quarter last year.
Consequently, the Company expects that earnings for fiscal year 1997 will be
$.45 to $.47 per share, excluding the FAS 121 charge of $.22 per share noted
previously.
Regarding third quarter performance, comparable store sales for the quarter were
(-2.8%) below last year's level. Comparable store sales for the month of June
were (-6.9%) below the corresponding period last year. The Company anticipated
weaker sales from June through August this year based on its decision to forego
television and radio advertising. Last year during June and July, the Company
advertised on radio and television. Management expects that the impact of lower
advertising expenses will offset the effect of anticipated lower sales.
Forward-looking statements in this Current Report on Form 8-K are made pursuant
to the safe harbor provisions of the Private Securities Litigation Reform Act of
1995. Investors are cautioned that all forward-looking statements involve risks
and uncertainties, including without limitation, the Company's ability to open
new restaurants and operate new and existing restaurants profitably, changes in
local, regional and national economic conditions, especially economic conditions
in the areas in which the Company's restaurants are concentrated, changes in the
timing and extent of advertising, adverse weather conditions, increasingly
intense competition in the casual-dining segment of the restaurant industry,
increases in food, labor, employee benefits and similar costs, and other risks
detailed from time to time in the Company's periodic earnings releases and
reports filed with the Securities and Exchange Commission.
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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.
UNO RESTAURANT CORPORATION
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(Registrant)
Dated: July 7, 1997 /s/ Robert M. Brown
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Robert M. Brown,
Senior Vice President