-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, h2pe29ynbKgKmEMtdIoEUCJqO4IQXoppyl4kkHsEZQfPA1LFvtgU+qdC9nbGnexa XLXnUvSaD0yB7wozGP0LeQ== 0000842913-95-000008.txt : 19950511 0000842913-95-000008.hdr.sgml : 19950511 ACCESSION NUMBER: 0000842913-95-000008 CONFORMED SUBMISSION TYPE: 10-Q/A PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19950129 FILED AS OF DATE: 19950509 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: KASH N KARRY FOOD STORES INC CENTRAL INDEX KEY: 0000842913 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-GROCERY STORES [5411] IRS NUMBER: 954161591 STATE OF INCORPORATION: DE FISCAL YEAR END: 0730 FILING VALUES: FORM TYPE: 10-Q/A SEC ACT: 1934 Act SEC FILE NUMBER: 000-25260 FILM NUMBER: 95535739 BUSINESS ADDRESS: STREET 1: 6422 HARNEY RD CITY: TAMPA STATE: FL ZIP: 33610 BUSINESS PHONE: 8136210276 10-Q/A 1 FORM 10-Q/A FILED 5/9/95 FORM 10-Q/A SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 AMENDMENT TO QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For quarter ended January 29, 1995 Commission File No. 33-25621 34-0-25260 KASH N' KARRY FOOD STORES, INC. (Exact name of registrant as specified in charter) Delaware 95-4161591 (State of incorporation) (IRS employer identification number) 6422 Harney Road, Tampa, Florida 33610 (Address of registrant's principal executive offices) (813) 621-0200 (Registrant's telephone number, including area code) The registrant has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months and has been subject to such filing requirements for the past 90 days. The registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. As of May 9, 1995, there were 3,100,000 shares outstanding of the registrant's common stock, $0.01 par value. Page one of 15 pages. Item 1. Financial Statements. The undersigned registrant hereby amends its Quarterly Report on Form 10-Q for the quarter ended January 29, 1995 by deleting Item 1 in its entirety, and substituting the following in lieu thereof. As amended, the unaudited condensed statements of operations reflect that the "net income per common share" for the four-week period ended January 29, 1995 was $0.26. "Item 1. Financial Statements. (Financial Statements begin on page 3) 2 KASH N' KARRY FOOD STORES, INC. BALANCE SHEETS (Dollar Amounts in Thousands, Except Per Share Amounts) ASSETS Reorganized Predecessor Company Company ------------ ----------- January 29, July 31, 1995 1994 ------------ ----------- (Unaudited) (Note 1) Current assets: Cash and cash equivalents $ 10,517 $ 6,852 Accounts receivable 6,701 8,084 Inventories 78,756 76,094 Prepaid expenses and other current assets 3,246 12,805 --------- --------- Total current assets 99,220 103,835 Property and equipment, at cost, less accumulated depreciation 143,813 160,491 Favorable lease interests, less accumulated amortization of $192 and $13,543 29,762 12,312 Deferred financing costs, less accumulated amortization of $182 and $22,572 4,043 12,630 Reorganization value in excess of amount allocable to identifiable assets, less accumulated amortization of $460 at January 29, 1995 102,059 -- Excess of cost over net assets acquired, less accumulated amortization of $16,288 at July 31, 1994 -- 96,758 Other assets 2,854 3,867 --------- --------- Total assets $381,751 $389,893 ========= ========= See accompanying notes to condensed financial statements. 3 KASH N' KARRY FOOD STORES, INC. BALANCE SHEETS (Dollar Amounts in Thousands, Except Per Share Amounts) LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) Reorganized Predecessor Company Company ------------ ----------- January 29, July 31, 1995 1994 ------------ ----------- (Unaudited) (Note 1) Current liabilities: Current portion of long-term debt $ 12,764 $ 42,740 Accounts payable 39,883 34,908 Accrued payroll and benefits 9,023 5,579 Accrued interest 4,618 15,849 Taxes, other than income 4,052 6,056 Other accrued expenses 21,673 11,450 --------- --------- Total current liabilities 92,013 116,582 Long-term debt, less current obligations 227,522 317,381 Other long-term liabilities 14,914 12,334 Old Series B Cumulative Preferred Stock of $.01 par value and a stated value of $100 a share. Authorized 50,000 shares; 38,750 shares outstanding at July 31, 1994. -- 3,875 Old Series C Convertible Preferred Stock of $.01 par value. Authorized 100,000 shares; 77,500 shares outstanding at July 31, 1994. -- 775 Stockholders' equity (deficit): New Common Stock of $.01 par value. Authorized 5,500,000 shares; 3,100,000 shares outstanding at January 29, 1995. 31 -- Old Common Stock of $.01 par value. Authorized 4,000,000 shares; 2,819,589 shares outstanding at July 31, 1994. -- 28 Capital in excess of par value 46,464 77,695 Retained earnings (deficit) 807 (138,740) Less cost of treasury stock - 2,437 shares at July 31, 1994 -- (37) --------- --------- Total stockholders' equity (deficit) 47,302 (61,054) --------- --------- Total liabilities & stockholders' equity $381,751 $389,893 ========= ========= See accompanying notes to condensed financial statements. 4 KASH N' KARRY FOOD STORES, INC. CONDENSED STATEMENTS OF OPERATIONS (In Thousands) (Unaudited) Reorganized Predecessor Company Company ----------- -------------------------- Four Nine Thirteen Weeks Ended Weeks Ended Weeks Ended January 29, January 1, January 30, 1995 1995 1994 ----------- ----------- ----------- Sales $ 86,354 $186,535 $278,166 Cost of sales 68,940 149,070 221,706 --------- ----------- ---------- Gross profit 17,414 37,465 56,460 Selling, general and administrative expenses 12,226 28,319 45,300 Depreciation and amortization 1,979 4,161 6,220 --------- --------- ---------- Operating income 3,209 4,985 4,940 Interest expense 2,402 3,159 11,372 --------- --------- ---------- Income (loss) before reorganization items, income taxes, extra- ordinary item and change in accounting principle 807 1,826 (6,432) Reorganization items -- (219) -- --------- --------- ---------- Income (loss) before income taxes, extraordinary item and change in accounting principle 807 1,607 (6,432) Provision for income taxes -- -- -- --------- --------- ---------- Income (loss) before extra- ordinary item and change in accounting principle 807 1,607 (6,432) Extraordinary item - gain on debt discharge -- 70,166 -- Cumulative effect of change in accounting principle - postretirement medical benefits -- (2,000) -- --------- --------- ---------- Net income (loss) $ 807 $69,773 $ (6,432) ========= ========= ========== Net income per common share (A)(B) $ 0.26 ========= (A) Based on a weighted average number of shares of common stock of 3,100,000 outstanding. (B) Net income per common share is not meaningful prior to January 1, 1995 due to the significant change in the capital structure in connection with the Restructuring. See accompanying notes to condensed financial statements. 5 KASH N' KARRY FOOD STORES, INC. CONDENSED STATEMENTS OF OPERATIONS (In Thousands) (Unaudited) Reorganized Predecessor Company Company ----------- -------------------------- Four Twenty-Two Twenty-Six Weeks Ended Weeks Ended Weeks Ended January 29, January 1, January 30, 1995 1995 1994 ----------- ----------- ----------- Sales $ 86,354 $426,681 $534,801 Cost of sales 68,940 340,802 425,915 --------- ----------- ---------- Gross profit 17,414 85,879 108,886 Selling, general and administrative expenses 12,226 68,819 90,128 Depreciation and amortization 1,979 10,234 12,111 Store closing and other costs -- -- 11,016 --------- --------- ---------- Operating income (loss) 3,209 6,826 (4,369) Interest expense 2,402 13,719 22,513 --------- --------- ---------- Income (loss) before reorganization items, income taxes, extra- ordinary item and change in accounting principle 807 (6,893) (26,882) Reorganization items -- (219) -- --------- --------- ---------- Income (loss) before income taxes, extraordinary item and change in accounting principle 807 (7,112) (26,882) Provision for income taxes -- -- -- --------- --------- ---------- Income (loss) before extra- ordinary item and change in accounting principle 807 (7,112) (26,882) Extraordinary item - gain on debt discharge -- 70,166 -- Cumulative effect of change in accounting principle - postretirement medical benefits -- (2,000) -- --------- --------- ---------- Net income (loss) $ 807 $ 61,054 $ (26,882) ========= ========= ========== Net income per common share (A)(B) $ 0.26 ========= (A) Based on a weighted average number of shares of common stock of 3,100,000 outstanding. (B) Net income per common share is not meaningful prior to January 1, 1995 due to the significant change in the capital structure in connection with the Restructuring. See accompanying notes to condensed financial statements. 6 KASH N' KARRY FOOD STORES, INC. STATEMENTS OF CASH FLOWS (In Thousands) (Unaudited) Reorganized Predecessor Company Company ------------ ----------------------- Four Weeks Twenty-Two Twenty-Six Ended Weeks Ended Weeks Ended January 29, January 1, January 30, 1995 1995 1994 ----------- ----------- ----------- Net cash flow from operating activities: Net income (loss) $ 807 $61,054 $(26,882) Adjustments to reconcile net income (loss) to net cash provided (used) by operating activities: Depreciation and amortization, excluding deferred financing costs 1,979 11,234 12,111 Store closing and other costs -- -- 11,016 Amortization of deferred financing costs 182 1,152 1,549 Reorganization expense -- 4,329 -- Adjustment of accounts to fair value -- (4,110) -- Change in accounting principle -- 2,000 -- Write-off of transaction costs -- 12,989 -- Gain on discharge of debt -- (70,166) -- (Increase) decrease in assets: Accounts receivable (939) 2,322 660 Inventories 8,358 (5,917) 9,433 Prepaid expenses and other assets (149) (270) (454) Increase (decrease) in liabilities: Accounts payable 3,175 1,800 1,652 Accrued expenses and other liabilities (1,072) (4,012) 2,697 --------- -------- --------- Net cash provided (used) by operating activities 12,341 12,405 11,782 ---------- -------- --------- Cash used by investing activities: Additions to property and equipment (162) (665) (6,194) Leased/financed asset additions -- -- (4,412) Proceeds from sale of property and equipment -- -- 359 ---------- -------- --------- Net cash used by investing activities (162) (665) (10,247) ---------- -------- --------- See accompanying notes to condensed financial statements. 7 KASH N' KARRY FOOD STORES, INC. STATEMENTS OF CASH FLOWS (Continued) (In Thousands) (Unaudited) Reorganized Predecessor Company Company ------------ ----------------------- Four Weeks Twenty-Two Twenty-Six Ended Weeks Ended Weeks Ended January 29, January 1, January 30, 1995 1995 1994 ----------- ----------- ----------- Cash provided (used) by financing activities: Borrowings under revolving loan facility $ 4,200 $ 800 $ 15,700 Additions to obligations under capital leases and notes payable -- -- 799 Repayments on revolving loan facility (6,700) (18,000) (9,100) Repayments on term loan facility -- (3,098) (2,925) Repayments of other long-term liabilities (151) (2,235) (2,642) Sale of Common Stock -- 10,000 -- Other financing activities -- (5,070) (512) --------- --------- ---------- Net cash provided (used) by financing activities (2,651) (17,603) 1,320 --------- --------- ---------- Net increase (decrease) in cash and cash equivalents 9,528 (5,863) 2,855 Cash and cash equivalents at beginning of period 989 6,852 2,145 --------- --------- ---------- Cash and cash equivalents at end of period $ 10,517 $ 989 $ 5,000 ========= ========= ========== See accompanying notes to condensed financial statements. 8 KASH N' KARRY FOOD STORES, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS (In Thousands) (Unaudited) 1. On September 3, 1994, the Company began to solicit acceptances of all impaired parties of a restructuring of the Company which would be implemented through the consummation of a "prepackaged" plan of reorganization under Chapter 11 of the United States Bankruptcy Code (the "Restructuring"). As a result of this solicitation, the voting requirements prescribed by Section 1126 of the Bankruptcy Code were satisfied, and on November 9, 1994 (the "Petition Date") the Company filed with the Bankruptcy Court a voluntary petition for reorganization under Chapter 11 of the Bankruptcy Code. On December 12, 1994, the Bankruptcy Court confirmed the plan of reorganization, and the Company emerged from bankruptcy on December 29, 1994 (the "Effective Date"). During the pendency of the bankruptcy case, the Company, with the Bankruptcy Court's approval, operated its business in the ordinary course, and paid all pre-petition and post-petition claims of the Company's general unsecured creditors, trade creditors and employees in full. In connection with the Restructuring: (i) Each $1,000 principal amount of the Company's Old Senior Floating Rate Notes was exchanged for (a) new Senior Floating Rate Notes due February 1, 2003 (the "New Senior Floating Rate Notes") in an original principal amount equal to $1,000 plus 100% of the accrued interest under the Old Senior Floating Rate Notes from and including February 3, 1994, through but not including the Petition Date, or, at such holder's election, (b) new 11.5% Senior Fixed Rate Notes due February 1, 2003 (the "New Senior Fixed Rate Notes") in the same original principal amount, or, at such holder's election, (c) an amount of New Senior Floating Rate Notes and an amount of New Senior Fixed Rate Notes equal, in the aggregate, to 100% of such claim; (ii) Each $1,000 principal amount of the Company's Old Senior Fixed Rate Notes was exchanged for (a) New Senior Floating Rate Notes in an original principal amount equal to $1,000 plus 100% of the accrued interest under the Old Senior Fixed Rate Notes from and including February 2, 1994, through but not including the Petition Date, or, at such holder's election, (b) New Senior Fixed Rate Notes in the same original principal amount, or, at such holder's election, (c) an amount of New Senior Floating Rate Notes and an amount of New Senior Fixed Rate Notes equal, in the aggregate, to 100% of such claim; (iii) the Old Subordinated Debentures were exchanged for newly-issued common stock of the Company representing 85 percent of the common stock outstanding on the Effective Date; (iv) Green Equity Investors, L.P. invested $10,000 cash in exchange for newly-issued common stock of the Company representing 15 percent of the common stock outstanding on the Effective Date; (v) the Company entered into a new credit agreement with The CIT Group/Business Credit, Inc. as Administrative Agent, and the lenders under its old bank credit agreement; and 9 KASH N' KARRY FOOD STORES, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS (In Thousands) (Unaudited) (vi) all of the existing preferred stock, common stock, and options and warrants to purchase common stock of the Company was extinguished. 2. The condensed financial statements presented herein have been prepared in accordance with the instructions to Form 10-Q and do not include all of the information and note disclosures required by generally accepted accounting principles. These statements should be read in conjunction with the fiscal 1994 Form 10-K filed by the Company. The accompanying condensed financial statements have not been audited by independent accountants in accordance with generally accepted auditing standards, but in the opinion of management the condensed financial statements for the period ended January 30, 1994 includes all adjustments, consisting only of normal recurring adjustments, necessary to summarize fairly the Company's financial position and results of operations. The condensed financial statements as of and for the period ended January 29, 1995 reflect the Company's emergence from Chapter 11 and were prepared according to the principles of fresh start reporting contained in American Institute of Certified Public Accountants' Statement of Position 90-7 "Financial Reporting by Entities in Reorganization Under the Bankruptcy Code" ("SOP 90-7"). Operations during the period from the Effective Date through January 1, 1995 had no significant impact on the emergence transactions and as a result have not been separately identified. As a result of the implementation of fresh start accounting, the Company's condensed financial statements are not comparable to the Company's condensed financial statements of prior periods. Results for the periods ended January 29, 1995 or January 1, 1995 are not necessarily indicative of the results for the full year. The total reorganization value assigned to the Company's assets was estimated by calculating projected cash flows before debt service requirements discounted back to present value using a discount rate of 13.3% (representing the estimated weighted cost of capital), as well as by analyzing market cash flow multiples applied to the Company's adjusted 12-month trailing cash flows. After extensive negotiations between independent investment banking firms representing the Company and an ad hoc committee of bondholders, the reorganization value was agreed to by the parties and confirmed by the Bankruptcy Court. The excess of the reorganization value over the value of the identifiable assets is reported as "Reorganization Value in Excess of Amounts Allocable to Identifiable Assets" and is being amortized over twenty years. Under the principles of fresh start accounting, the Company's total assets were recorded at this assumed reorganization value, with the reorganization value allocated to identifiable tangible and intangible assets on the basis of their estimated fair value. In addition, the Company's accumulated deficit was eliminated. The effect of the Restructuring and the implementation of fresh start accounting on the Company's condensed balance sheet as of January 1, 1995 was as follows: 10 KASH N' KARRY FOOD STORES, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS (In Thousands) (Unaudited) Fresh Start Pre-Fresh Balance Start Balance Adjustments Sheet Sheet January of Fair Value January 1, 1995 Restructuring Adjustment 1, 1995 (A) (B) ------------- ------------- ---------- -------- Cash and cash equivalents $ 9,166 $ (8,177) $ -- $ 989 Accounts receivable 5,762 -- -- 5,762 Inventories 82,011 -- 5,104 87,115 Prepaid expenses and other current assets 3,088 -- -- 3,088 --------- --------- --------- -------- Total current assets 100,027 (8,177) 5,104 96,954 Property and equipment, net 162,754 -- (17,775) 144,979 Favorable lease interests, net 11,673 -- 18,280 29,953 Deferred financing costs 17,769 (7,456) (6,088) 4,225 Reorganization value in excess of amount alloc- able to identifiable assets -- -- 102,519 102,519 Excess of cost over net assets acquired 95,560 -- (95,560) -- Other assets 3,790 -- (928) 2,862 --------- --------- --------- -------- Total assets $391,573 $(15,633) $ 5,552 $381,492 ========= ========== ========= ======== Current liabilities, excluding current portion of long- term debt $ 82,983 $(12,617) $ 6,779 $ 77,145 Long-term debt, including current obligations 366,231 (119,486) (3,959) 242,786 Other long-term liabilities 6,226 -- 8,840 15,066 Redeemable Preferred Stock 4,650 (4,650) -- -- Stockholders' equity (deficit) (68,517) 121,120 (6,108) 46,495 --------- --------- --------- -------- Total liabilities and stockholders' equity $391,573 $(15,633) $ 5,552 $381,492 ========= ========== ========= ======== (A) To record the transactions applicable to the Restructuring as outlined in footnote 1 and eliminate the deficit in accumulated deficit. (B) To record the adjustments to state assets and liabilities at fair value, and to record the cumulative effect of adopting SFAS No. 106 as of the Effective Date. 3. Inventories consist of merchandise held for resale and are stated at the lower of cost or market; cost is determined using average cost, which approximates the first-in, first-out (FIFO) method. 11 KASH N' KARRY FOOD STORES, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS (In Thousands) (Unaudited) 4. The Company had a policy of classifying capital expenditures to be refinanced within one year as prepaid expenses and other current assets. These amounts have been classified as property and equipment at January 29, 1995. At July 31, 1994, prepaid expenses and other current assets included $9,987 of expenditures for construction in progress expected to be financed within one year. 5. Long-term debt consists of the following: January 29, July 31, 1995 1994 ----------- -------- New term loan and revolving credit facilities (A) $ 47,000 $ -- Old bank term and revolving credit facilities (A) -- 59,629 New Senior Floating Rate Notes (B) 22,953 -- New Senior Fixed Rate Notes (C) 121,162 -- Old Senior Floating Rate Notes (B) -- 85,000 Old Senior Fixed Rate Notes (C) -- 50,000 Subordinated Debentures -- 105,000 Mortgages payable 33,555 34,368 Capital lease obligations 8,410 13,877 Other 7,206 12,247 --------- --------- Long-term debt including current portion 240,286 360,121 Less current portion (12,764) (42,740) --------- --------- Long-term debt $227,522 $317,381 ========= ========= (A) In connection with the Restructuring, the Company entered into a new term loan and revolving credit agreement (the "New Credit Agreement") on December 29, 1994. At January 29, 1995, the Company's New Credit Agreement provides for borrowings of up to $35,000 under a term loan facility (with quarterly principal repayments of $1,750 and a $14,000 repayment due when the facility terminates on December 29, 1997) and a $50,000 revolving credit facility with a $25,000 sublimit for letters of credit. At January 29, 1995, the Company had $12,000 in borrowings under the working capital line, and had $17,300 of letters of credit issued against the revolving credit facility. Amounts outstanding under the term facility bear interest (11.0% at January 29, 1995) equal to the prime rate (as defined) plus 250 basis points. Amounts outstanding under the revolving credit facility bear interest (9.50% at January 29, 1995) equal to the prime rate plus 100 basis points. 12 KASH N' KARRY FOOD STORES, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS (In Thousands) (Unaudited) (B) The New Senior Floating Rate Notes mature on February 1, 2003, and bear interest (7.31% at January 29, 1995) payable semiegral multiple thereof, at 100% of the principal amount and unpaid interest, if any, to the redemption date. Through August 1, 1995, all interest on the New Notes are redeemable in whole or in part, at the option of the Company, on not less than 30 nor more than 60 days' prior notice in amounts of $1,000 or an integral multiple thereof, at 100% of the principal amount and unpaid interest, if any, to the redemption date. Through August 1, 1995, all interest on the New Senior Floating Rate Notes may, at the option of the Company, be paid by issuing in lieu of cash additional New Senior Floating Rate Notes in an aggregate principal amount equal to the amount of interest due. The Old Senior Floating Rate Notes bore interest (5.88% at July 31, 1994) payable semiannually, at a rate equal to six-month LIBOR plus 250 basis points. (C) The New Senior Fixed Rate Notes mature on February 1, 2003, and bear interest at 11.5% per annum, payable semiannually. The New Senior Fixed Rate Notes are redeemable in whole or in part, at the option of the Company, on not less than 30 nor more than 60 days' prior notice in amounts of $1,000 or an integral multiple thereof, at 100% of the principal amount and unpaid interest, if any, to the redemption date. Through February 1, 1996, all interest on the New Senior Fixed Rate Notes may, at the option of the Company, be paid by issuing in lieu of cash additional New Senior Fixed Rate Notes in an aggregate principal amount equal to the amount of interest due. The Old Senior Fixed Rate Notes bore interest, payable semiannually, at an annual rate of 12.375%. 6. Reorganization items included in the condensed statements of operations consist of restructuring costs, adjustments to fair value, professional fees and other expenses. 7. The Company has a retiree medical plan under which medical coverage is available to current retirees and those active employees who, on August 1, 1993, had attained age 65 with at least 15 years of service. In accordance with SOP 90-7, which the Company adopted on the Effective Date of the Restructuring, the provisions of Financial Accounting Standards Board Statement 106 "Employers' Accounting for Postretirement Benefits Other Than Pensions" were also adopted as of that date. The following table sets forth the projected actuarial present value of unfunded postretirement benefit obligations for the plan at January 29, 1995: Accumulated postretirement benefit obligation: Retirees $1,915 Fully eligible active plan participants 85 ------- Accrued postretirement benefit obligation $2,000 ======= 13 KASH N' KARRY FOOD STORES, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS (In Thousands) (Unaudited) The weighted average discount rate used in determining the accumulated postretirement benefit obligation was 8.0%. 8. During the first quarter of fiscal 1994, the Company recorded a non-recurring charge of $11,016 which reflects expenses associated with a program of closing twelve underperforming stores and expensing costs associated with unsuccessful financing activities. 14 Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this amendment to its Quarterly Report on Form 10-Q for the quarter ended January 29, 1995 to be signed on its behalf by the undersigned thereunto duly authorized. KASH N' KARRY FOOD STORES, INC. Date: May 9, 1995 /s/ Raymond P. Springer ------------------------------- Raymond P. Springer Senior Vice President, Administration Date: May 9, 1995 /s/ Richard D. Coleman ------------------------------- Richard D. Coleman Vice President, Controller 20/lwh/knk.sec/10Q2.95/10Q-A.ASC 15 -----END PRIVACY-ENHANCED MESSAGE-----