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JB'S RESTAURANTS INC. ANNOUNCES AN AGREEMENT TO SELL AEG SHARES TO FUND HOMETOWN BUFFET RESTAURANT EXPANSION

 SALT LAKE CITY, June 25 /PRNewswire/ -- JB's Restaurants Inc. (NASDAQ: JBBB) today announced its plans to sell up to 250,000 shares of Class A Preferred Stock of Americana Entertainment Group Inc. ("AEG"), the parent company of HomeTown Buffet Inc., or 19 percent of the company's investment in AEG to existing shareholders of AEG, for $10 per share or $2.5 million. The company has entered into an agreement to sell 190,896 shares at a price of $10.00 per share and has received indications of interest for the remaining 59,104 shares from other AEG shareholders at the same price. The company's agreement to sell the 190,896 shares is subject to certain conditions, and the sale is expected to close within 30 days. If the company sells the 250,000 shares, it will still retain 1,056,667 shares representing an approximately 21 percent interest in AEG on a fully diluted basis and will realize a one-time gain of $1.7 million which the company expects to offset against reserves for other asset dispositions.
 Clark D. Jones, chairman and chief executive officer, commented, "The sale of these shares will give the company available capital for the further development of HomeTown Buffet restaurants while still retaining a significant ownership interest in AEG. The company is pleased with the performance of its five HomeTown Buffet restaurants, and a sixth restaurant is scheduled to open in August. The company is optimistic regarding the long-term value of its remaining AEG interest and plans no further sales at this time."
 JB's Restaurants Inc. has restaurant operations in 11 western states in which it currently operates 103 and franchises 12 JB's family-style restaurants, operates 12 franchised Sbarro restaurants and operates five franchised HomeTown Buffet restaurants.
 -0- 6/25/93
 /CONTACT: David E. Pertl, VP and CFO of JB's Restaurants, 801-974-4300/
 (JBBB)


CO: JB's Restaurants Inc.; Americana Entertainment Group Inc.;
 HomeTown Buffet Inc. ST: Utah IN: LEI SU: OFR


LS-JL -- LA004 -- 5605 06/25/93 08:45 EDT
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Publication:PR Newswire
Date:Jun 25, 1993
Words:334
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