INCOME TAXES (Tables)

12 Months Ended

Dec. 29, 2012

INCOME TAXES

Schedule of provision (benefit) for income taxes

	52 Weeks Ended			52 Weeks Ended			52 Weeks Ended
	December 29, 2012			December 31, 2011			January 1, 2011
Current:
Federal	$	(8,000	)	$	44,000		$	16,000
State		87,000			(294,000	)		69,000
		79,000			(250,000	)		85,000
Deferred:
Federal		(843,000	)		454,000			(4,105,000	)
State		(521,000	)		(20,000	)		(619,000	)
		(1,364,000	)		434,000			(4,724,000	)
Provision (benefit) for income taxes	$	(1,285,000	)	$	184,000		$	(4,639,000	)

Schedule of Company's effective tax rate, as a percent of income before income taxes, differs from the statutory federal tax rates

	52 Weeks Ended			52 Weeks Ended			52 Weeks Ended
	December 29, 2012			December 31, 2011			January 1, 2011
Federal statutory tax rate		34.0	%		34.0	%		34.0	%
State and local income taxes, net of federal tax benefit		4.6	%		8.0	%		4.2	%
Valuation allowance		(28.3	)%		(24.8	)%		(20.9	)%
Change in unrecognized tax benefits		0.0	%		(12.0	)%		0.0	%
Other net, primarily permanent differences		(0.7	)%		2.9	%		(0.1	)%
Provision for income taxes		9.6	%		8.1	%		17.2	%

Schedule of major components of the Company's net deferred tax assets (liabilities)

Current	December 29, 2012			December 31, 2011
Group insurance	$	227,000		$	233,000
Sales return reserve		189,000			172,000
Inventory		639,000			585,000
Prepaid expenses		(514,000	)		(415,000	)
		541,000			575,000
Valuation allowance		(189,000	)		(221,000	)
Total Current	$	352,000		$	354,000

Non-Current	December 29, 2012			December 31, 2011
Federal and State tax net operating loss carry-forwards	$	13,556,000		$	6,785,000
Deferred rent		1,380,000			1,383,000
Deferred construction allowances		(7,273,000	)		(6,334,000	)
Other (principally depreciation expense)		10,968,000			11,607,000
		18,631,000			13,441,000
Valuation allowance		(8,774,000	)		(4,951,000	)
Total Non-current	$	9,857,000		$	8,490,000