All American Food Group to Buy Private Bagel Chain -- Revenues to Double.SOUTH PLAINFIELD South Plainfield, borough (1990 pop. 20,489), Middlesex co., NE N.J.; inc. 1926. It is the seat of several research and consulting firms and has plants that make chemicals, plastics, spices and flavorings, cosmetics, rubber products, pigments, electrical machinery, , N.J.--(BUSINESS WIRE)--May 14, 1998--All American Food Group (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : AAFG), parent company of Goldberg's New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Bagels and Deli, Sammy's New York Bagels, and SoupChef International Gourmet Soups, announced today that they have signed a letter of intent to purchase a multi-unit, privately-owned bagel chain located in western United States Noun 1. western United States - the region of the United States lying to the west of the Mississippi River West Santa Fe Trail - a trail that extends from Missouri to New Mexico; an important route for settlers moving west in the 19th century . The name of the chain is being withheld until management has informed all the franchisees. The purchase will be completed within the next 60 days through a combination of cash and stock, which will value the transaction at approximately $3 million. The effect on AAFG will be to increase the number of stores by 65% and essentially double AAFG's revenue base. "This is a perfect strategic fit for All American," says Andrew Thorburn, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of All American Food Group. "These additional stores will not only add considerably to our cash flow, but they will also help launch our expansion program in the western states, an area we feel holds potential for tremendous growth. These new stores will also provide the opportunity for us to expand SoupChef, our recently introduced line of international gourmet soups. "As much as we would like to release the name of the chain we are about to purchase," continues Thorburn, "we would prefer all franchisees to be informed first. At the same time, however, we want to be sure our stockholders, franchisees, and corporate employees are made aware of this imminent purchase, which has a tremendous positive effect on our growth." Goldberg's has been in continuous operation since 1938, featuring a traditional old-world, boiled-and-baked bagel recipe. Goldberg's also occupies a unique retail niche in that it is the only national bagel chain that offers franchisees their choice of either a traditional deli or a fully kosher kosher [Heb.,=proper, i.e., fit for use], in Judaism, term used in rabbinic literature to mean what is ritually correct, but most widely applied to food that is in accordance with dietary laws based on Old Testament passages (primarily Lev. 11 and Deut. 14). store. Since its initial public offering in December 1996, AAFG has grown from 11 to 38 stores. Current expansion plans call for a total of well over 100 stores to be in operation in eleven states by year-end 1998. This press release contains forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. . The Company's actual performance might differ materially from that projected in such forward-looking statements for numerous reasons, including those contained in the Company's Annual Report on Form 10-KSB and other periodic reports filed with the Securities and Exchange Commission. CONTACT: TOM LISKER (LGS LGS Laser Guide Star LGS Lennox-Gastaut Syndrome LGS Leaky Gut Syndrome LGS Langer-Giedion Syndrome LGS Light Gauge Steel (steel frame construction system) LGS Looking Glass Studios (game development company) )-- 914-376-6767 ANDREW THORBURN (ALL AMERICAN) 800-776-5940 |
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