Correcting...Sportscene Restaurants Inc. - Appointment of Jean Bedard as Chairman of the Board and Launch of an Issuer bid in the Normal Course of Business.

BOUCHERVILLE, QUEBEC--(BUSINESS WIRE)--May 22, 1997-- Sportscene Restauran(ME SPS.A. SPS.PR.A. ) SPORTSCENE RESTAURANTS INC., franchisor and operator of LA CAGE AUX SPORTS restaurant chain, announces the appointment as Chairman of the Board of Jean Bedard, who is also the President and Chief Executive Officer, replacing Georges A. Durst, the Company's founder.

In addition, the Company announces that the Montreal Exchange has approved its issuer bid in the normal course of business. Under this bid, the Company is entitled to purchase, during the 12-month period starting May 26, 1997 and ending May 26, 1998, up to a maximum of 65,040 Class A voting shares, representing 5 percent of such shares outstanding, and up to maximum of 54,988 preferred shares, or 10 percent of such publicly-owned shares. During the previous 12 months, the Company did not purchase any Class A shares or preferred shares apart from the redemption as at March 1, 1997, of 88,344 preferred shares under the terms of the redemption right. To the Company's knowledge, none of its directors, officers or insiders intend to sell the shares they own.

Chairman and Chief Executive Officer Jean Bedard indicated that he considers the redemption of Class A shares to be advantageous for the Company considering the present share price. The redemption of preferred shares will also have a favourable impact on the Company's profitability, since it will help reduce its financial expenses.

Strong increase in profitability following Company reorganization Mr. Bedard pointed out that Sportscene has practically completed the turnaround initiated two years ago to reinforce its positionning and increase its profitability. As a result, Sportscene doubled its net earnings during the first half of the current fiscal year, from $140,000 or $0.10 per share to $283,000 or $0.21 per share. For the full 12-month period ended February 23, 1997, the Company posted net earnings of $451,000 or $0.34 per share and cash flow of $1.6 million or $1.19 per share.

The President stated that this growth resulted mainly from an improvement in the Company's profit margins due to greater efficiency throughout the organization. "Our operations have undergone an in-depth streamlining, and we have set up solid teams of managers at head office and entrepreneurs in our franchise network. Since the beginning of the year, we have also rejuvenated our concept and renovated the outlets, leading to an increase of over 5 percent in the network's sales. Aside from some asset disposals that have yet to be finalized, we have completed our corporate restructuring and are now ready to set forth on a new development phase."

Profile

Founded in 1983, Sportscene Restaurants Inc. has established its leadership in Quebec in the operating and franchising of entertainment-oriented theme restaurants. Today, the Company has 40 franchise and corporate outlets operating under the "La Cage aux Sports" banner throughout Quebec. Employing 1,300 people, this network recorded sales of $61 million during its most recent fiscal year.

CONTACT: Sportscene Restaurants Inc.

Jean Bedard, Chairman of the Board, 514/641-3011