I had a hard time buying or selling anything today!
It is crazy!
But I'm very happy with the craziness!
RTIN news below:
<<<Monday November 30, 8:46 am Eastern Time
Company Press Release
SOURCE: Restaurant Teams International, Inc.
Restaurant Teams International, Inc. Eyes American Stock Exchange Listing Pending Old San Francisco Steak House Acquisition
LONGVIEW, Texas, Nov. 30 /PRNewswire/ -- Restaurant Teams International, Inc. (OTC Bulletin Board: RTIN - news; RTIN) announced today that it is seeking approval for an American Stock Exchange listing to be effective following its acquisition of the Old San Francisco Steak House chain.
The $10-11 million acquisition has received approval by the board of directors of Restaurant Teams International, Inc. with closing anticipated to occur by mid-December 1998.
The combined companies are expected to have company owned annual sales in excess of $17,300,000 with operating cash flow of $3,700,000, after tax net income of $1,500,000 and assets in excess of $20,000,000.
After the acquisition, the company expects to end 1998 with a total of four Street Talk Cafe restaurants, one Fresh'n Lite Cafe & Grill restaurant, four company owned Old San Francisco Steak House restaurants, and one licensed Old San Francisco Steak House restaurant. System wide combined units (10) ten represent 233% unit growth and an increase in annual revenue of 433%.
Restaurant Team International, Inc. expansion plans provide for a system- wide total of 19 restaurants at the end of 1999 for unit growth of 90% and system-wide revenues in excess of $28,000,000.
The company also announced that it expects pre-tax earning per share in 1998 of $.14 up 466% from $.03 in 1997.
Henry Leonard, President and Chief Operating Officer of the company stated, ''Seeking the American Stock Exchange listing is the proper and judicious course for our shareholders at this time. In addition to giving our shareholders greater liquidity and market access, the American Exchange will also provide better protection against short selling than our current Nasdaq OTC-BB status. We remain very excited about the growth of the Street Talk Cafe concept and the position we are taking with respect to acquisitions. An American Exchange listing following the Old San Francisco closing is the best possible way for us to reward our shareholders and restore the true value of our stock.''
Old San Francisco is positioned in the steak house segment as a mid-priced restaurant serving steaks, seafood, pasta, and chicken. In addition, Old San Francisco offers a boisterous, 1890's Barbary Coast themed environment with dueling grand pianos and live entertainment. The ''Girl in the Red Velvet Swing'' boards a bar swing attached to a 30-foot ceiling every 45 minutes eventually reaching two cowbells attached to the ceiling and kicking them.
In addition to the current licensed unit in Las Vegas, Nevada, Old San Francisco will open licensed locations in Atlanta, GA and Oklahoma City, OK in 1999. The company is also reviewing sites in existing markets for the 1999 company owned expansion of the Old San Francisco Steak House brand.
The company announced last week that it had closed on the previously announced acquisition of Zeke's Grill in Addison, Texas and is in the process of converting this location to another Street Talk Cafe with an anticipated opening in December, 1998. The Addison location at Montfort and Beltline Rd. sits in the dense office and housing corridor along the North Dallas Tollway.
Closing on the previously announced site in Plano, Texas located at 15th & N. Central Expressway adjacent to Plano's Collin Creek Mall, is expected in early December, 1998 with a conversion to the Street Talk Cafe concept expected in January, 1999. The Addison and Plano, Texas sites are located in two of the busiest and most affluent markets in the Dallas/Ft Worth metroplex.
Mr. Leonard further stated, ''We are very excited about our new unit growth for 1998 and 1999. Our expansion strategy of adding company owned units in existing well established markets, should help us achieve cost effective broadcast advertising in at least one Old San Francisco market in 1999. We also expect to begin broadcast advertising for the Street Talk Cafe concept in the Dallas/Ft Worth market in 1999.''
Curtis A. Swanson, Chief Financial Officer for the company commented, ''Our American Exchange listing is an alternative we have considered for some time. This move is an appropriate course for Restaurant Teams as we continue our strategy of becoming a multi-concept holding company dedicated to increasing shareholder value. As I stated earlier this year, the regional fit, experienced management team, and 30 year operating history of the company makes Old San Francisco an appropriate addition to our restaurant mix. We expect to realize significant benefits in operating margins from the acquisition in the areas of food and labor cost. In addition, the seasonal differences in the Street Talk Cafe and Old San Francisco concepts will result in a more even sales trend throughout the year.''
For additional information visit the company's web sites at www.freshnlite.com and www.osfsteakhouse.com.
This press release contains forward-looking statements, which are generally preceded by words such as ''believes'', ''expects'', ''anticipates'', or ''intends''. Such statements are subject to risks and uncertainties, including but not limited to competitive conditions, real estate zoning and permitting complications, government regulations, and general conditions in the restaurant market.>>>>
Happy investing!
KZAP |
