Financial Results
Liquidation Basis of Accounting
As a result of Luby's shareholder approval of its plan of liquidation on
There is inherent uncertainty with these projections, and accordingly, these projections could change materially based on a number of factors both within and outside of Luby's control. There can be no assurance that these estimated values will be realized. Such amounts should not be taken as an indication of the timing or the amount of future distributions or our actual dissolution.
The current estimate of net assets in liquidation at
Asset Sales
During fiscal year 2021, the Company closed on the sale of the Fuddruckers franchise brand. Subsequent to fiscal year end, the Company closed on the sale of the Luby's Cafeteria brand and 35 restaurants.
During fiscal year 2021, the Company closed on the sale of 11 real estate assets for total gross proceeds of approximately
The Company currently owns 24 real estate assets, of which 12 are operating locations and 12 are vacant.
The Company currently has 14 Luby's Cafeterias and six Fuddruckers (including 2 combo units) which are managed by third parties as the Company pursues disposition options for owned properties and leases. In addition, the Company currently operates Culinary Services at 25 locations, while pursuing a sale of this business as part of its liquidation plan.
Distributions
On
About Luby's
Forward Looking Statements
This press release contains statements that are 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this press release, other than statements of historical fact, are 'forward-looking statements' for purposes of these provisions, including the statements regarding sales of assets, effects of the Company's Liquidation and Dissolution Plan (the 'Plan'), expected value or proceeds attributable to the sale of assets, and expected proceeds to be distributed to stockholders or the timing thereof. Luby's cautions readers that various factors could cause its actual financial and operational results to differ materially from those indicated by forward-looking statements made from time-to-time in news releases, reports, proxy statements, registration statements, and other written communications, as well as oral statements made from time to time by representatives of Luby's.
The following factors, as well as any other cautionary language included in this press release, provide examples of risks, uncertainties and events that may cause Luby's actual results to differ materially from the expectations Luby's describes in such forward-looking statements: general business and economic conditions; the effects of the COVID19 pandemic; the impact of competition; our operating initiatives; fluctuations in the costs of commodities, including beef, poultry, seafood, dairy, cheese and produce; increases in utility costs, including the costs of natural gas and other energy supplies; changes in the availability and cost of labor; the seasonality of Luby's business; changes in governmental regulations, including changes in minimum wages; the effects of inflation; the availability of credit; unfavorable publicity relating to operations, including publicity concerning food quality, illness or other health concerns or labor relations; the continued service of key management personnel; and other risks and uncertainties disclosed in Luby's annual reports on Form 10- K and quarterly reports on Form 10-Q, including information regarding the risks, uncertainties and other factors relating to the Plan, the expected net proceeds from the sale of assets, and expected proceeds to be distributed to stockholders.
For additional information contact:
LInvestors@lubys.com
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