THE COLONY, Texas, Nov. 15 /PRNewswire-FirstCall/ -- On November 9, 2006, Pizza Inn, Inc. (the "Company") received a staff delinquency notice from the Nasdaq Stock Exchange, LLP ("Nasdaq") stating that, based upon information disclosed in the Company's Form 10-Q for the period ended September 24, 2006, the Company fails to comply with the minimum shareholders' equity, minimum market value of listed securities, and minimum net income requirements for continued listing on The Nasdaq Capital Market, as set forth in Marketplace Rule 4310(c)(2)(B).
If the Company does not provide Nasdaq, on or before November 24, 2006, with a specific plan to achieve and maintain compliance with at least one of the three listing requirements, or if Nasdaq determines that a plan submitted by the Company does not adequately address the deficiencies noted, the Company's securities will thereafter be delisted. There can be no assurance that the Company will be able to cure its noncompliance by achieving or sustaining these requirements, and as a result the Company may not be able to maintain its Nasdaq listing.
Certain statements in this press release, other than historical information, may be considered forward-looking statements, within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, and are subject to various risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may differ from those anticipated, estimated or expected. Among the key factors that may have a direct bearing on Pizza Inn's operating results, performance or financial condition are its ability to implement its growth strategies, national, regional and local economic conditions affecting the restaurant/entertainment industry, competition within each of the restaurant and entertainment industries, store sales cannibalization, success of its franchise operations, negative publicity, fluctuations in quarterly results of operations, including seasonality, government regulations, weather, commodity, insurance and labor costs.
Pizza Inn, Inc. (http://www.pizzainn.com/ ) is headquartered in The Colony, Texas, along with its distribution division, Norco Restaurant Services Company. Pizza Inn franchises approximately 362 restaurants and owns three restaurants with annual domestic and international chain-wide sales of approximately $150 million.
For more information contact:
Clinton J. Coleman
Interim Chief Financial Officer
(469) 384-5201
