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Non-Tech : BJ's Restaurants Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Robert T. Quasius who wrote (68)	12/15/1997 8:42:00 PM
From: Wowzer	Respond to of 865

I talked to the CEO Paul Montenko last week for an update on business. Basically he said everything is going to plan, with the conversions being completed as scheduled. Next one is opening this week or next and will be a counter service concept, called BJ's Pizzeria. Also, this is their slowest quarter and the first two or three weeks in December are the slowest time of the year, which was compounded by the recent bad weather in southern CA. The Northwest converted stores are doing well, showing continued strong sales. Same store sales this quarter should show positive increases for the BJ's stores opened more than a year. Net Earnings will be hurt by the $110,000 lease settlement that will be paid this quarter and will completely settle the suit. Refer to the 10Q for more info on the lease settlement . He also added the week after Christmas is typically one of the strongest. Sales in the fourth quarter will probably be sequentially lower than third quarter in the range of 10%. They have an application to install video poker machines in some of the Northwest stores, which should generate some additional cash when installed. The major shareholder Louis Habash who's company is ASSI Inc. Previously owns 651,000 shares. The 351,000 block that was noted about month ago was his sale. He reportedly doesn't agree with the video machines or gambling and will probably be continuing to sell his shares, which may be the reason for the down draft lately. Montenko said there are no adverse feelings between them, just a difference in business philosophy. Habash no longer needs to report his sales since he now owns less than 5%. On a positive note, a local brokerage house (Ziegler)? is positive on the company and has been getting its clients to buy, which must be absorbing the Habash sells. In other words be patient, we should start seeing positive earnings in the second half of the year and hopefully a much higher stock price. Regards, Rory