CINCINNATI, April 14 /PRNewswire-FirstCall/ -- Frisch's Restaurants, Inc. (NYSE Amex: FRS) reported record third quarter earnings for the 12-weeks ended March 10, 2009. Net earnings, driven by greatly improved results in Golden Corral restaurants, increased 65.1% to $3,409,754 compared to $2,065,377 last year. Diluted earnings per share increased to $.66 per share, from $.40 per share last year. Sales for the quarter increased 1.6% to a record $67,684,513 from $66,618,420 for last year's third quarter as new marketing campaigns for both Frisch's Big Boy and Golden Corral restaurants improved customer counts. A previously reported litigation settlement also added to the record earnings. For the first three quarters of fiscal 2009, sales were a record $226,659,205 rising 0.6% from $225,358,248 for the first three quarters of last year. Earnings increased 16.7% to $7,800,601 from $6,683,877. Diluted earnings per share increased to $1.51 from $1.28 last year. Craig F. Maier, President and Chief Executive Officer, said, "Same store sales at our Big Boy Restaurants increased 0.7% in the third quarter. Aided by favorable weather, the revamped marketing program for Frisch's Big Boy began showing significant sales increases in the latter half of the quarter." Maier added, "Our Golden Corral restaurants posted a same store sales increase of 2.3% during the third quarter. Golden Corral Franchising began a new national cable TV advertising program in January, resulting in extremely strong same store sales increases soon after its inception." The increased earnings for the first three quarters of the year can be attributed to the vastly improved sales and earnings of Golden Corral and a moderation in recent months in the cost of food in both operations. Frisch's operates 35 Golden Corral restaurants and 89 company-owned Big Boy restaurants, and there are an additional 26 franchised Big Boy restaurants operated by licensees. Frisch's Restaurants, Inc. is a regional company that operates full service family-style restaurants under the name "Frisch's Big Boy." The Company also operates grill buffet style restaurants under the name "Golden Corral" pursuant to certain licensing agreements. All Big Boy restaurants are currently located in various regions of Ohio, Kentucky and Indiana. Golden Corral restaurants currently operate primarily in the greater metropolitan areas of Cincinnati, Cleveland, Columbus, Dayton and Toledo, Ohio, Louisville, Kentucky and Pittsburgh, Pennsylvania. The Company owns the trademark "Frisch's" and has exclusive, irrevocable ownership of the rights to the "Big Boy" trademark, trade name and service marks in the states of Kentucky and Indiana, and in most of Ohio and Tennessee. All of the Frisch's Big Boy restaurants also offer "drive-thru" service. The Company also licenses Big Boy restaurants to other operators, currently in certain parts of Ohio, Kentucky and Indiana. The Company has reported a profit every year since going public in 1960, and paid cash dividends to shareholders every quarter over the same period. Statements contained in this press release which are not historical facts are forward looking statements as that item is defined in the Private Securities Litigation Act of 1995. Such forward looking statements are subject to risks and uncertainties which could cause actual results to differ materially from estimated results. Such risks and uncertainties are detailed in the Company's filings with the Securities and Exchange Commission. Frisch's Restaurants, Inc. and Subsidiaries CONSOLIDATED STATEMENT OF EARNINGS (unaudited) (In thousands, except per share data) Forty weeks ended Twelve weeks ended March 10, March 4, March 10, March 4, 2009 2008 2009 2008 Sales $226,659 $225,358 $67,685 $66,618 Cost of sales Food and paper 81,477 79,892 23,730 23,940 Payroll and related 74,263 74,267 22,116 21,777 Other operating costs 50,425 49,988 14,556 14,429 206,165 204,147 60,402 60,146 Gross profit 20,494 21,211 7,283 6,472 Administrative and advertising 10,937 11,043 3,190 3,213 Franchise fees and other revenue (969) (968) (277) (288) Gains on sale of assets (1,116) (524) - - Litigation settlement (890) - (890) - Operating profit 12,532 11,660 5,260 3,547 Interest expense 1,545 1,831 458 511 Earnings before income tax 10,987 9,829 4,802 3,036 Income taxes 3,186 3,145 1,392 971 NET EARNINGS $7,801 $6,684 $3,410 $2,065 Earnings per share (EPS) of common stock: Basic net earnings per share $1.53 $1.30 $.67 $.40 Diluted net earnings per share $1.51 $1.28 $.66 $.40 Diluted average shares outstanding 5,160 5,236 5,146 5,199 Depreciation included above $10,475 $10,765 $3,210 $3,273 Opening expense included above $575 $608 $44 $- Frisch's Restaurants, Inc. and Subsidiaries CONSOLIDATED BALANCE SHEET (In thousands of dollars) March 10, June 3, 2009 2008 (unaudited) Assets Current assets Cash and equivalents $3,199 $801 Receivables 1,834 1,448 Inventories 7,538 5,648 Other current assets 2,767 2,797 15,338 10,694 Property and equipment 156,750 153,839 Other assets Goodwill & other intangible assets 1,567 1,633 Property held for sale and land investments 2,743 3,870 Other 1,569 2,024 5,879 7,527 $177,967 $172,060 Liabilities and shareholders' equity Current liabilities Accounts payable $10,383 $10,281 Accrued expenses 10,849 10,675 Other 10,307 9,880 31,539 30,836 Long-term obligations Long-term debt 23,943 24,217 Other long-term obligations 5,698 6,292 29,641 30,509 Shareholders' equity 116,787 110,715 $177,967 $172,060 DATASOURCE: Frisch's Restaurants, Inc. CONTACT: Donald H. Walker, Vice President-Finance and CFO, Frisch's Restaurants, Inc., +1-513-559-5202 Web Site: http://www.frischs.com/

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