-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, EQK618gTEYHb2/tGwOuZomYSreA7OM7D+7j1ZhYI3/ERrzuEb1RhR+jSf3yjfgkV 0AtyHD4JI/6UzBmfo/H5UQ== 0000949353-97-000021.txt : 19970520 0000949353-97-000021.hdr.sgml : 19970520 ACCESSION NUMBER: 0000949353-97-000021 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19970331 FILED AS OF DATE: 19970515 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: CLASSIC RESTAURANTS INTERNATIONAL INC /CO/ CENTRAL INDEX KEY: 0000861058 STANDARD INDUSTRIAL CLASSIFICATION: BLANK CHECKS [6770] IRS NUMBER: 841122431 STATE OF INCORPORATION: CO FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 10QSB SEC ACT: 1934 Act SEC FILE NUMBER: 000-28704 FILM NUMBER: 97609732 BUSINESS ADDRESS: STREET 1: 3091 GOVERNORS LAKE DR BLDG 100 STE 500 STREET 2: SUITE 14 CITY: NORCROSS STATE: GA ZIP: 30071 BUSINESS PHONE: 7707299010 FORMER COMPANY: FORMER CONFORMED NAME: CLASSIC RESTAURANTS INC/CO DATE OF NAME CHANGE: 19960604 FORMER COMPANY: FORMER CONFORMED NAME: CASINOS INTERNATIONAL INC/CO DATE OF NAME CHANGE: 19960604 FORMER COMPANY: FORMER CONFORMED NAME: REGIONAL EQUITIES CORP DATE OF NAME CHANGE: 19930328 10QSB 1 MARCH 31, 1997 FORM 10-QSB U.S. SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-QSB (Mark One) [x] QUARTERLY REPORT PURSUANT SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: March 31, 1997 [ ] TRANSITION REPORT PURSUANT SECTION 13 OF 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________________ to _______________ Commission file number 0-28704 CLASSIC RESTAURANTS INTERNATIONAL, INC. (Exact name of small business issuer as specified in its charter) COLORADO 84-1122431 (State or other jurisdiction of (IRS Employer incorporation or organization) Identification No.) 3500 PARKWAY LANE, SUITE 435, NORCROSS, GEORGIA 30092 (Address of principal executive offices) (770)729-9010 (Issuer's telephone number) NOT APPLICABLE (Former name, former address and former fiscal year, if changed since last report) Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ___X___ No ______ State the number of shares outstanding of each of the issuer's classes of common equity, as of the last practicable date: 3,594,089 SHARES OF CLASS A COMMON STOCK, NO PAR VALUE 200,000 SHARES OF CLASS B COMMON STOCK, NO PAR VALUE AS OF MARCH 31, 1997 Transitional Small Business Disclosure Format (check one): Yes_____ No ___X__ Exhibit index on page 10 Page 1 of 18 pages CLASSIC RESTAURANTS INTERNATIONAL, INC. TABLE OF CONTENTS PAGE PART I. FINANCIAL INFORMATION Item 1. Financial Statements Consolidated Balance Sheet dated March 31, 1997 3 Consolidated Statement of Operations 4 Consolidated Statements of Cash Flows for the Nine Months Ended March 31, 1996 and 1997 5 Notes to Financial Statements 6 Item 2. Management's Discussion and Analysis of Financial 6 Condition and Results of Operations PART II. OTHER INFORMATION 9 2 CLASSIC RESTAURANTS INTERNATIONAL, INC CONSOLIDATED BALANCE SHEET MARCH 31, 1997 (UNAUDITED)
ASSETS CURRENT ASSETS: Cash and cash equivalents $ 32,866 Accounts receivable 22,654 Inventory 15,811 Due from affiliates 84,452 Prepaid and other current assets 155,295 -------- Total current assets 311,078 PROPERTY AND EQUIPMENT: Furniture and equipment 288,198 Leasehold improvements 520,321 Vehicles 6,228 ------ Total property and equipment 814,747 Accumulated depreciation (431,758) 382,989 OTHER ASSETS: Deposits 39,119 Organization costs, net of accumulated amortization of $8,998 21,002 ------- 60,121 TOTAL ASSETS $ 754,188 ======= LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Accounts payable $ 263,447 Accrued expenses 21,087 Taxes payable 32,572 Other current liabilities 130,783 -------- Total current liabilities 447,889 NOTES AND LOANS PAYABLE 294,949 STOCKHOLDERS' EQUITY: Preferred stock, Series A, 18 shares at $25,000 stated value authorized, issued and outstanding 450,000 Common stock, Class A, no par value, 1,800,000,000 shares authorized, 3,594,089 shares issued and outstanding 3,472,545 Common stock, Class B, no par value, 200,000,000 shares authorized, 200,000 shares issued and outstanding 200 Accumulated deficit (3,911,395) ---------- Total stockholders' equity 11,350 ------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 754,188 ========
The accompanying notes are an integral part of this balance sheet. 3 CLASSIC RESTAURANTS INTERNATIONAL, INC CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
For the three months For the nine months ended March 31, ended March 31, 1996 1997 1996 1997 ------ ------ ------ ----- Net Sales $ 875,500 $ 715,948 $ 1,153,150 $1,831,781 Operating Expenses: Operating and maintenance 568,353 498,284 882,716 1,419,888 General and administrative 253,126 483,589 351,273 1,178,530 Depreciation and amortization 35,573 35,899 100,812 107,688 ------- ------- -------- -------- Total Operating Expenses 857,052 1,017,772 1,334,801 2,706,106 -------- --------- ---------- ---------- Income (Loss) From Operations 18,448 (301,824) (181,651) (874,325) ======= ======== ========= ========= Other Income (expense): Other income - - - 7,000 Interest income - - - 410 Interest Expense (1,890) (13,260) (124,439) (42,162) ------- -------- --------- -------- (1,890) (13,260) (124,439) (34,752) ------- -------- --------- -------- Net Income (Loss) $ 16,558 $ (315,084) $ (306,090) $ (909,077) ======= ========= ========= ========= Per share information: Weighted average shares outstanding Primary 3,259,632 3,698,851 3,259,632 3,456,763 ========= ========= ========= ========= Net income (loss) per share: Primary $ 0.01 $ (0.09) $ (0.09) $ (0.26) ===== ====== ====== ======
The accompanying notes are an integral part of these statements. 4
CLASSIC RESTAURANTS INTERNATIONAL, INC CONSOLIDATED STATEMENTS OF CASH FLOWS FOR THE NINE MONTHS ENDED MARCH 31, 1996 AND 1997 (UNAUDITED) 1996 1997 ---------- ---------- CASH FLOWS FROM OPERATING ACTIVITIES: Net loss $ (306,090) $ (909,077) --------- --------- Adjustments to reconcile net loss to net cash provided by (used in) operating activities - Depreciation and amortization 100,812 107,688 Net changes in assets and liabilities - Decrease (increase) in accounts receivable 1,709 (18,969) Decrease in inventory 1,388 269 Increase in prepaid expenses (42,175) (141,350) Decrease in bank overdrafts (35,035) - (Decrease) increase in trade accounts payable (125,228) 76,353 Decrease in accrued expenses (253,193) (129,932) Increase in taxes payable 165,724 32,572 Increase in other current liabilities 37,650 43,281 --------- ---------- Total adjustments (148,348) (30,088) --------- ---------- Net cash used in operating activities (454,438) (939,165) --------- ---------- CASH FLOWS FROM INVESTING ACTIVITIES: Advance to stockholder (402,158) - Capital expenditures (273,794) (11,911) Organization costs (656) - --------- ---------- Net cash used in investing activities (676,608) (11,911) --------- ----------- CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from related party 1,018,514 - Receipt of stock subscription 230,000 - Payment of deposits (31,591) (1,701) Advances to affiliates (195,772) (32,364) Payment of advances from stockholders - (320,641) Payment of long-term debt (111,398) (43,499) Proceeds from stock issuance 276,500 1,359,388 --------- --------- Net cash provided by financing activities 1,186,253 961,183 --------- --------- NET INCREASE IN CASH AND CASH EQUIVALENTS 55,207 10,107 CASH AND CASH EQUIVALENTS, beginning of period 3,160 22,759 --------- --------- CASH AND CASH EQUIVALENTS, end of period $ 58,367 $ 32,866 ========= =========
The accompanying notes are an integral part of these statements. 5 CLASSIC RESTAURANTS INTERNATIONAL, INC. NOTES TO FINANCIAL STATEMENTS MARCH 31, 1997 (UNAUDITED) 1. BASIS OF PRESENTATION The accompanying unaudited financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and Item 310(b) of Regulation SB. They do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation have been included. The results of operations for the periods presented are not necessarily indicative of the results to be expected for the full year. For further information, refer to the financial statements of the Company as of June 30, 1996, and the notes thereto, included in the Company's Form 10-KSB. 2. COMMON STOCK For the period July 1, 1996 to March 31, 1997, 575,497 additional shares of Class A common stock were issued. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION LIQUIDITY AND CAPITAL RESOURCES At March 31, 1997 the Company had a working capital deficit of $136,811, compared to a working capital deficit of $297,316 on March 31, 1996. On March 31, 1997, and March 31, 1996, the Company had cash and cash equivalents of $32,866, and $58,367, respectively. The increase in working capital can be attributed to a number of items. The Company has entered into a consulting agreement with Continental Capital and Equity Corporation ("Continental Capital") to assist the Company with its public relations and promotional activities. The Company prepaid this agreement, with cash and stock, which contributed to the increase in current assets, and working capital. The stock issued under this agreement was valued at $258,750, which will be amortized over the life of the agreement. Of the $50,000 in cash which was paid under the agreement, and the $258,750 of stock issued, $165,875 has been included in general and administrative expenses for the nine months ended March 31, 1997. Also, an increase in the amount payable from affiliates resulted in an increase to current assets and working capital. Current liabilities were $447,889 and $464,015 on March 31, 1997 and March 31, 1996, respectively. On March 31, 1997, and March 31, 1996, total liabilities were $742,838 and $929,202, respectively. 6 The difference in total liabilities between March 31, 1997 and March 31, 1996, is primarily attributable to the conversion of the note due to a stockholder into Class A Common Stock. On March 31, 1997, the Company had total stockholders' equity of $11,350, contrasted with a stockholders' deficit of $183,999 on March 31, 1996. A private placement for $500,000, in October, 1996, along with the conversion into equity of a note due to a shareholder and the stock issued under the consulting agreements, contributed to the increase in stockholders' equity. The Company has received subscriptions for 2,918 shares of Series B Convertible Preferred Stock which, until the Company is authorized to issue this stock, has been accounted for as equity investments in Class A Common Shares. Currently, the Company is dependent upon advances from shareholders and the sale of stock to meet its financing needs. There is no guaranty that the Company will be able to obtain additional financing from these sources. RESULTS OF OPERATIONS The financial statements of the Company for the nine months ended March 31, 1997, are not comparable to the Company's financial statements for the nine months ended March 31, 1996. Due to the Share Exchange which took place in January of 1996, the financial statements for the nine months ended March 31, 1996 were those of the Company (formerly known as Casinos International, Inc. and its wholly-owned subsidiary, Great American Casinos, Inc.), which are not comparable to the financial statements of the Company and its wholly-owned operating subsidiaries, Classic Restaurants International, Inc., a Florida corporation, and Musicana Clearwater, Inc., a Florida corporation, dated March 31, 1997. For the three and nine months ended March 31, 1997, the Company had net sales of $715,948 and $1,831,781, respectively. In contrast, net sales for the nine months ended March 31, 1996 were $1,153,150. For the nine months ended March 31, 1997, operating expenses were $2,706,106, as compared to $1,334,801 for the nine months ended March 31, 1996. The Company experienced a loss from operations of $874,325 and a net loss of $909,077, for the nine months ended March 31, 1997. In contrast, for the nine months ended March 31, 1996, the Company had a loss from operations of $181,651 and a net loss of $306,090. Operating and maintenance expenses for the nine months ended March 31, 1997, were $1,419,888, in contrast to $882,716 for the nine months ended March 31, 1996. The Company's general and administrative expenses were $1,178,530 and $351,273 for the nine months ended March 31, 1997 and March 31, 1996, respectively. General and Administrative expenses for the nine months ending March 31, 1997 include, among other things, Accounting Fees ($56,422), Advertising ($49,608), Consulting Fees ($192,085), Legal Fees ($64,689), Loan Fee Expense ($39,375), Promotion Expense ($173,382), Rent ($203,064), Travel ($31,054) and Abandoned Projects ($60,000). 7 Consulting fees include, among other items, the previously mentioned expenses for the Company's agreements with Continental Capital and Bridgewater, along with an expense of $84,375 related to an expired consulting agreement the Company entered into with Cambria Investment Group, Ltd. In October, 1996, the Company entered into a six (6) month Financial Services Agreement with Bridgewater Capital Corporation ("Bridgewater"), pursuant to which Bridgewater will perform investment banking activities for the Company. Under this agreement, $50,000 has been included in general and administrative expenses for the nine months ended March 31, 1997, of which $10,000 was paid in cash and the balance of the agreement was paid in April 1997 with 65,000 shares of stock registered with the Securities and Exchange Commission on Form S-8. Interest expense for the nine months ended March 31, 1997, was $42,162, compared to $124,439 for the nine months ended March 31, 1996. On October 18, 1996, the Company entered into a Stock Purchase Agreement with Joseph Rollins to purchase a 67.5% interest in Jocks & Jills Prado, Inc. ("Prado") and a 60.75% interest in Divine Events, Inc. ("Divine"). Prado does business under the name Frankie's Food - Sports - Spirits, a sports bar located in Atlanta, Georgia. The Company made an earnest money deposit of $50,000 and made an additional $10,000 deposit for an extension of the Closing Date. The Stock Purchase Agreement was terminated on February 7, 1997, and the deposits of $60,000 have been included in the Company's General and Administrative expenses for the three and nine months ended March 31, 1997. The Company has entered into a non-binding letter of intent with Main Event, Inc., a Delaware corporation ("Main Event"), pursuant to which the Company and Main Event were to negotiate the terms of a merger and share exchange by April 30, 1997. Pursuant to a letter dated May 15, 1997, the letter of intent has been extended to May 23, 1997. Main Event is a privately held restaurant and entertainment management company based in Dallas, Texas. Main Event, through partnerships in which it is a general and limited partner, creates, develops, and operates multi-venue restaurant and attraction complexes. Any such merger is contingent upon the Company having sufficient capital resources to provide for its operations until such time that an offering of securities can be made. The terms of the transaction with Main Event have not been finalized, and management does not know if or when such a transaction will take place. 8 PART II - OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS. On May 2, 1997, Mark Shoom filed a lawsuit against the Company and James R. Shaw, individually, in the State Court of Gwinnett County, Georgia. The complaint alleges that the Company has failed to repay Mr. Shoom the principal and interest due to him pursuant to a note between Mr. Shoom and the Company dated October 9, 1996, in the principal amount of $80,000 and personally guaranteed by Mr. Shaw. Mr. Shoom is seeking damages of $93,144 for principal and interest on the note, plus attorney's fees, costs and additional interest accruing thereafter. As of May 15, 1997, the Company has not filed an answer in response to the complaint. ITEM 2. CHANGES IN SECURITIES. On January 13, 1997, Voyager Select IPO Fund, Ltd. ("Voyager Select"), converted 2 shares of Series A Convertible Preferred Stock into 95,238 shares of the Company's Class A Common Stock at a conversion price equal to $ 0.525 per share. The Company received no additional funds for this transaction. ITEM 3. DEFAULTS UPON SENIOR SECURITIES. Not Applicable. ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS. Not Applicable. ITEM 5. OTHER INFORMATION. Not Applicable. 9 ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K A) EXHIBITS
REGULATION SEQUENTIAL S-B NUMBER EXHIBIT PAGE NUMBER 2 PLAN OF PURCHASE, SALE, REORGANIZATION, ARRANGEMENT, N/A LIQUIDATION, SUCCESSION 3.1 ARTICLES OF INCORPORATION, AS AMENDED (1) N/A 3.2 BYLAWS, AS AMENDED (2) N/A 4.1 ARTICLES OF INCORPORATION (3) N/A 10.1 STOCK PURCHASE AGREEMENT WITH JOCKS & JILLS PRADO, INC. N/A AND DIVINE EVENTS, INC. (1) 10.2 Client Service Agreement with Continental Capital & Equity N/A Corporation dated October 11, 1996 (4) 10.3 Consulting Agreement with Cambria Investment Group, Ltd. N/A (4) 10.4 Letter of Intent with Main Event, Inc., as amended 12 11 STATEMENT RE COMPUTATION OF PER SHARE EARNINGS (5) N/A 15 LETTER ON UNAUDITED FINANCIAL INFORMATION (5) N/A 18 LETTER ON CHANGE IN ACCOUNTING PRINCIPLES N/A 19 REPORT FURNISHED TO SECURITY HOLDERS N/A 22 PUBLISHED REPORT REGARDING MATTERS SUBMITTED TO VOTE OF N/A SECURITY HOLDERS 23 CONSENTS OF EXPERTS AND COUNSEL N/A 24 POWER OF ATTORNEY N/A 27 FINANCIAL DATA SCHEDULE 17 - ------------ (1) INCORPORATED BY REFERENCE TO THE EXHIBITS FILED WITH THE COMPANY'S FORM 10-QSB FOR THE PERIOD ENDING DECEMBER 31, 1996. (2) INCORPORATED BY REFERENCE TO THE EXHIBITS FILED WITH THE COMPANY'S ANNUAL REPORTS ON FORM 10-KSB FOR THE FISCAL YEARS ENDED JUNE 30, 1995 AND JUNE 30, 1994 AND THE COMPANY'S CURRENT REPORT ON FORM 8-K DATED JANUARY 31, 1996, COMMISSION FILE NUMBER 033-33556-D. (3) THE APPLICABLE PROVISIONS OF THE ARTICLES OF INCORPORATION WHICH HAVE BEEN CHANGED MAY BE FOUND IN EXHIBIT 3.1. 10 (4) INCORPORATED BY REFERENCE TO THE EXHIBITS FILED WITH THE FORM S-8 FILED ON NOVEMBER 11, 1996, WITH THE SECURITIES AND EXCHANGE COMMISSION, FILE NUMBER 333-1609. (5) SEE PART I - FINANCIAL STATEMENTS.
B) REPORTS ON FORM 8-K: None. SIGNATURES In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. CLASSIC RESTAURANTS INTERNATIONAL, INC. (Registrant) Date: May 15, 1997 By:/s/Caroline P. Anderson Caroline P. Anderson Executive Vice President and Chief Financial Officer 10:33197.10Q 11 EX-10 2 LETTER OF INTENT WITH MAIN EVENT, INC., AS AMENDED Exhibit 10.4 Letter of Intent with Main Event, Inc., as amended 12 [Letterhead of Classic Restaurants International, Inc.] March 13, 1997 Main Event, Inc. 12225 Greenville Avenue, Suite 532 Dallas, Texas 75243 Dear Sirs: This letter will confirm the various discussions that have been held between Classic Restaurants, Inc., a Colorado corporation (Classic"), and Main Event, Inc., a Delaware corporation ("Main Event"), relative to a proposed merger of Main Event with and into Classic (the "Merger"). The objective of our discussions has been the execution, as soon as [initials in margin]feasible but no later than [text marked out] April 30, 1997 (unless mutually extended by both parties), of a definitive merger agreement (the "Agreement"). The Agreement shall provide, among other things, for the various matters set forth below: 1. Main Event shall be merged with and into Classic and the Main Event shareholders shall receive shares of Classic Class A Common Stock for their shares of Main Event Common Stock on terms to be set forth in the Agreement in a transaction which is intended to qualify as a tax free reorganization within the meaning of Section 368 of the Internal Revenue Code of 1986, as amended. 2. The parties agree that directors and officers of Classic following the merger shall be the same as the officers and directors of Main Event as of the date of this letter, except that James Robert Shaw shall be appointed to the board of directors of Main Event for at least ____ years following the merger. 3. At Closing or as soon as possible after Closing, Classic shall change its name to Main Event, Inc. 4. The obligations of the parties under the Agreement shall be expressly subject to, among other things, the following: a. Compliance by the parties in all material respects with all applicable laws, orders, and regulations of federal, state, municipal, and/or other governments and/or any instrumentality thereof, domestic or foreign, applicable to their assets, to the business conducted by them, and to the proposed transaction; 13 [Letterhead of Classic Restaurants International, Inc.] b. The approval of the transaction by the shareholders of Classic and Main Event, which approval shall be obtained as soon as possible. c. The satisfactory completion by each company of its due diligence review of all books, records, and business financial affairs of the other company; and d. Current financial statements of both companies in a form meeting the requirements for filing with the Securities and Exchange Commission. 5. At the closing, neither Classic nor main Event shall have experienced any changes in key management positions, any adverse changes in its business operation, or any significant decreases in its assets. 6. The parties agree that upon execution of this letter Main Event shall not discuss or explore any other reverse merger transaction with any other business or individual until the earlier of (a) the mutual determination by all [markings in margin] parties hereto not to proceed with the proposed transaction or (b) [text marked out] April 30, 1997 (unless mutually extended). Upon your execution and return to us of this letter of intent, as of the date hereof, counsel for classic shall prepare and the parties hereto shall execute the Agreement containing provisions in accordance with the foregoing, together with such further items as are appropriate under the circumstances. The Agreement shall specify the date of Closing and shall contain representations and warranties relating to, among other things, the business, financial conditions, certain legal matters and properties of Classic and Main Event, the securities to be issued by Classic, securities issued and outstanding of Main Event and Classic, and other matters deemed appropriate and usual in transactions of this nature. No party hereto shall be obligated to consummate the Merger, unless and until the Agreement, in form and substance acceptable to the parties, has been duly executed by the parties. Main Event and Classic hereby agree to cooperate with each other so that a due diligence review of all books, records, business and financial affairs of the other can be completed prior to the execution of a definitive agreement. Classic and Main Event agree to hold in confidence any information obtained from the other that is confidential in nature and, if no transaction is completed, to return to the other any material containing confidential information. 14 [Letterhead of Classic Restaurants International, Inc.] If the foregoing meets with your approval, kindly so signify by signing and returning the enclosed duplicated copy of this letter, whereupon this letter shall continue a non-binding letter of intent between the parties in accordance with the terms and provisions set forth above. Very truly yours, /s/James Robert Shaw James Robert Shaw, President Classic Restaurants International, Inc. AGREED TO: MAIN EVENT, INC. /S/CHARLIE GREENER 3/27/97 By Dated 15 CLASSIC RESTAURANTS INTERNATIONAL, INC. 3500 Parkway Lane Suite 435 Norcross, Georgia 30092 May 15, 1997 Charles Greener Main Event, Inc. 12225 Greenville Ave., Suite 532 Dallas, Texas 75243 Dear Charles: I am writing to confirm our agreement that the Letter of Intent dated March 13, 1997 between Classic Restaurants International, Inc. and Main Event, Inc. is hereby amended to extend until [text crossed out] May 23, 1997 [initials in margin] the date by which a definitive agreement will be executed. All other terms and conditions of the Letter of Intent shall remain the same, except that the deadline in paragraph 6 thereof shall also be changed to [text crossed out] May 23, 1997. If the foregoing accurately represents our agreement, kindly so signify by signing and returning the enclosed duplicate copy of this letter. Very truly yours, /s/James R. Shaw James Robert Shaw, President of Classic Restaurants International, Inc. AGREED TO: MAIN EVENT, INC. /s/Joyce McReynolds By:___________________ Its: President Dated: 5-15-97 16 Exhibit 27 Financial Data Schedule 17 EX-27 3 FDS --
5 THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONSOLIDATED BALANCE SHEET, CONSOLIDATED STATEMENTS OF OPERATIONS, CONSOLIDATED STATEMENTS OF CASH FLOWS, AND THE NOTES THERETO, FOUND ON PAGES 3 THROUGH 6 OF THE COMPANY'S FORM 10-QSB DATED MARCH 31, 1997. 1 U.S. DOLLARS 9-MOS JUN-30-1997 JUL-01-1996 MAR-31-1997 1 32,866 0 22,654 0 15,811 311,078 814,747 431,758 754,188 447,889 0 0 450,000 3,472,745 (3,911,395) 754,188 0 1,831,781 0 1,419,888 1,178,530 0 42,162 (909,077) 0 (909,077) 0 0 0 (909,077) (.26) (.26)
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