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MAIN ST. & MAIN INC. ANNOUNCES NEGOTIATIONS TO ACQUIRE 20 T.G.I. FRIDAY'S RESTAURANTS IN CALIFORNIA

 SCOTTSDALE, Ariz., Oct. 18 /PRNewswire/ -- Main St. & Main Inc. (NASDAQ-NMS: MAIN) announced today that it is engaged in active discussions regarding a proposal to acquire from TGI Friday's Inc. of Dallas, all 20 company-owned T.G.I. Friday's restaurants in the state of California as well as the remaining franchise and development rights from T.G.I. Friday's restaurants in the states of California, Utah, Idaho, Wyoming and Montana. The purchase is subject to a number of conditions including the execution of a definitive purchase agreement and the availability of financing.
 The acquisition would increase the number of T.G.I. Friday's restaurants operated by the company from 13 to 33. The acquisition would also add the nation's most populous state to the company's franchise area with the potential for the additional development of approximately 40 T.G.I. Friday's restaurants. Along with the acquisition, the company will receive preferential rights to develop new Friday's concepts for the same area.
 Steven Sherman, chairman, chief executive officer and president of Main St. & Main Inc., stated: "This significant opportunity will provide tremendous growth for the company in its casual dining segment of the restaurant market for many years to come. The acquisition would effectively make Main St. the largest operator and developer of T.G.I. Friday's restaurants in the world. We believe our operating history has given TGI Friday's Inc. confidence in our management capabilities and are gratified to have this opportunity to acquire the existing California Restaurants and additional development areas." Sherman added, "Our existing T.G.I. Friday's restaurants are performing well and the opening of new restaurants in our current franchise areas is on schedule. Our food operations, however, have been adversely affected by rapid growth, causing reduced margins which will result in our reporting an overall loss for the quarter ended Sept. 30, 1993, of up to approximately $250,000. We are confident that appropriate steps have now been taken which will result in improved earnings performance of our food operations."
 Main St. & Main Inc. is involved primarily in the areas of restaurant ownership and management and food processing and distribution.
 -0- 10/18/93
 /CONTACT: Robert McGeorge, VP-corporate development, 602-951-3200/
 (MAIN)


CO: Main St. & Main Inc.; TGI Friday's Inc. ST: Arizona IN: LEI SU: TNM

JB-EH -- SD007 -- 3464 10/18/93 14:29 EDT
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Publication:PR Newswire
Date:Oct 18, 1993
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