EX-20 2 ex20.htm PRESS RELEASE ex20.htm
Exhibit 20 Press release issued February 9, 2010
 
For Immediate Release
February 9, 2010
 
BOWL AMERICA REPORTS SECOND QUARTER EARNINGS
 
Bowl America Incorporated today reported fiscal year second quarter earnings declined to $.08 and first-half earnings to $.09 per share, from $.15 and $.17 per share, respectively, for the comparable prior year quarter and six-month periods. Although league play has remained stable, open play games continue to be depressed as a result of ongoing concern about the economy and resulting reduction in discretionary spending by consumers. Also, centers in Virginia and Maryland were hard hit by the December 2009 blizzard, which fell on a weekend. In addition to the loss of business, costs associated with the storm caused maintenance expenses to rise. Winter storms in January and February, some on weekends, may significantly impact third quarter results. League cancellations are expected to be made up in the third and fourth quarters, however resulting losses in open play cannot be recovered.
 
Bowl America has no debt and has built cash reserves during more profitable years as a strategy to offset less profitable times. Tomorrow the Company will pay a per share regular quarterly dividend of $.155.
 
Bowl America operates 19 bowling centers and its Class A Common Stock trades on the NYSE Amex Exchange with the symbol BWLA. A more detailed explanation of results is available in the Company’s S.E.C. Form 10-Q filing, available at the Company’s web site www.bowlamericainc.com.
 
BOWL AMERICA INCORPORATED
Results of Operations
(unaudited)
 
   
Thirteen weeks ended
    
Twenty-six weeks ended
  
   
December 27,
    
December 28,
    
December 27,
    
December 28,
  
   
2009
    
2008
    
2009
    
2008
  
Revenues
                        
Bowling and other
  
$
4,849,900
    
$
5,322,923
    
$
9,176,233
    
$
10,059,907
  
Food & merchandise sales
    
2,040,680
      
2,223,251
      
3,789,557
      
4,120,207
  
     
6,890,580
      
7,546,174
      
12,965,790
      
14,180,114
  
                                 
Operating expenses
                                
excluding depreciation and amortization
    
5,916,410
      
6,110,477
      
11,647,060
      
12,273,183
  
                                 
Depreciation and amortization
    
459,253
      
459,922
      
917,503
      
924,563
  
                                 
Interest & dividend income
    
138,766
      
165,877
      
274,895
      
348,254
  
                                 
Earnings before taxes
    
653,683
      
1,141,652
      
676,122
      
1,330,622
  
                                 
Net Earnings
  
$
424,483
    
$
743,852
    
$
439,122
    
$
866,822
(1)
                                 
Weighted average shares outstanding
    
5,141,030
      
5,134,182
      
5,141,053
      
5,134,936
  
                                 
EARNINGS PER SHARE
    
.08
      
.15
      
.09
      
.17
  
 
(1)
Includes expected insurance recovery of $60,000, received in June 2009, for the twenty-six week period ended December 28, 2008.
 
 
SUMMARY OF FINANCIAL POSITION
(unaudited)
Dollars in Thousands
 
   
12/27/09
    
12/28/08
  
ASSETS
            
             
Total current assets including cash and
            
short-term investments of $10,411 & $9,641
  
$
12,172
    
$
12,248
  
Property and investments
    
30,797
      
31,117
  
TOTAL ASSETS
  
$
42,969
    
$
43,365
  
                 
                 
LIABILITIES AND STOCKHOLDERS' EQUITY
                
                 
Total current liabilities
  
$
3,982
    
$
4,028
  
Other liabilities
    
2,351
      
2,365
  
Stockholders' equity
    
36,636
      
36,972
  
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
  
$
42,969
    
$
43,365