EX-99 2 rprl908.txt PRESS RELEASE DATED SEPTEMBER 26, 2008 Press Release dated September 26, 2008 For Immediate Release September 26, 2008 BOWL AMERICA REPORTS FISCAL YEAR EARNINGS Bowl America Incorporated today reported earnings per share for its fiscal year ended June 29, 2008, declined to $.69 from $.82 in the prior year. Fourth quarter earnings per share were $.11, down from $.14 in the comparable quarter last year. The Company's Falls Church location, temporarily closed in February 2007, reopened in the fiscal 2008 fourth quarter and is adding to cash flow. However, management believes that the persistent unstable economic climate will put pressure on customers' discretionary spending while operating expenses for the Company continue to rise. The Company first noted the decline in traffic in June 2007 and has been working to offset the effects. A more detailed explanation of results is available in the Company's S.E.C. Form 10-K filing available through the website www.bowlamericainc.com. Irvin Clark, Senior Vice President, General Manager and a director of the Company died September 7, 2008. His bowling experience began in the 1930's in his father's bowling center. He had been a vital part of Bowl America's management for over 30 years and became General Manager in 1998. Fiscal 2008 was the 36th year of increased per share dividends and included a $.10 per share special dividend on the fiftieth anniversary of the opening of the first Bowl America location. The Board of Directors declared a quarterly $.15 dividend on September 25, 2008. Bowl America operates 19 bowling centers and its stock trades on the American Stock Exchange with the symbol BWLA. *** Bowl America Incorporated Results of Operations (Unaudited) Thirteen Thirteen Fifty-two Fifty-two weeks ended weeks ended weeks ended weeks ended 06/29/08 07/01/07 06/29/08 07/01/07 Operating Revenues Bowling and other $4,832,388 $4,943,891 $21,430,757 $22,876,620 Food, beverage and merchandise sales 2,069,983 1,995,755 8,673,089 9,097,716 _________ _________ __________ __________ TOTAL REVENUES $6,902,371 $6,939,646 $30,103,846 $31,974,336 Operating expenses excluding depreciation and amortization 5,937,479 5,679,453 24,026,527 24,562,793 Depreciation and amortization 388,590 489,407 1,764,226 1,918,595 Investment loss - - 267,237 (3,613) Net gain on sale of Assets 45,368 15,557 45,368 15,557 Interest and dividend income 188,223 221,742 811,205 863,983 Earnings before taxes 809,893 1,008,085 5,436,903 6,368,875 Net Earnings $ 579,530 $ 718,153 $ 3,534,540 $ 4,188,943 Weighted average shares outstanding 5,135,690 5,135,716 5,135,693 5,136,499 EARNINGS PER SHARE .11 .14 .69 .82 Summary of Financial Position Dollars in Thousands 06/29/08 07/01/07 ASSETS Total current assets including cash and short-term investments of $8,404 & $9,013 $11,558 $10,728 Property and investments 32,499 35,107 ______ ______ TOTAL ASSETS $44,057 $45,835 LIABILITIES AND STOCKHOLDERS' EQUITY Total current liabilities $ 3,170 $ 3,062 Other liabilities 2,672 3,436 Stockholders' equity 38,215 39,337 ______ ______ TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $44,057 $45,835