SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.  20549

 

FORM 10-Q

(Mark One)

 

Commission file number 0-20792

 

FRESH CHOICE, INC.
(Exact name of registrant as specified in its charter)

 

Registrant’s telephone number, including area code:                                                           (408) 776-0799

 

 

Former name, former address and former fiscal year, if changed since last report.

 

 

Indicate by check whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

ý    Yes             o     No

 

APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Section 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court.

o    Yes             o    No

 

APPLICABLE ONLY TO CORPORATE ISSUERS:

The number of shares of Common Stock, $.001 par value, outstanding as of October 1, 2002 was 5,939,146.

 

1

 

 

FRESH CHOICE, INC.

 

INDEX

 

 

 

PART I - FINANCIAL INFORMATION

 

Item 1 - Financial Statements
		Condensed Consolidated Balance Sheets at September 8, 2002 and December 30, 2001
		Condensed Consolidated Statements of Income for the Twelve and Thirty-Six Weeks ended September 8, 2002 and September 9, 2001
		Condensed Consolidated Statements of Cash Flows for the Thirty-Six Weeks ended September 8, 2002 and September 9, 2001
		Notes to Condensed Consolidated Financial Statements
Item 2 - Management’s Discussion and Analysis of Financial Condition and Results of Operations
Item 3 - Quantitative and Qualitative Disclosures About Market Risk
Item 4- Controls and Procedures
PART II - OTHER INFORMATION
Item 1 - Legal Proceedings
Item 2 - Changes in Securities
Item 3 - Defaults Upon Senior Securities
Item 4 - Submission of Matters to a Vote of Security Holders
Item 5 - Other Information
Item 6 - Exhibits and Reports on Form 8-K
SIGNATURES
CERTIFICATION OF PERIODIC REPORT
INDEX TO FORM 10-Q EXHIBITS

 

 

2

 

PART I.  FINANCIAL INFORMATION

 

Item 1 - Financial Statements

 

FRESH CHOICE, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except share and per share amounts)

(Unaudited)

 

		September 8,			December 30,
		2002			2001
ASSETS
CURRENT ASSETS:
Cash and cash equivalents		$	4,313		$	4,368
Receivables		596			224
Inventories		478			404
Prepaid expenses and other current assets		626			1,202
Total current assets		6,013			6,198
PROPERTY AND EQUIPMENT, net		30,526			27,717
LEASE ACQUISITION COSTS, net		243			286
DEPOSITS AND OTHER ASSETS		672			639
TOTAL ASSETS		$	37,454		$	34,840
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable		$	2,889		$	2,434
Accrued salaries and wages		1,792			1,523
Sales tax payable		823			582
Other accrued expenses		1,954			1,808
Current portion of long-term obligations		594			567
Total current liabilities		8,052			6,914
CAPITAL LEASE OBLIGATIONS		1,047			484
LONG-TERM DEBT		2,081			2,173
OTHER LONG-TERM LIABILITIES		1,721			2,010
Total liabilities		12,901			11,581
STOCKHOLDERS’ EQUITY:
Convertible preferred stock, $.001 par value; 3.5 million shares authorized; shares outstanding:  2002 and 2001 — 1,187,906; liquidation preference of $6.70 per share		5,175			5,175
Common stock — $.001 par value; 15 million shares authorized; shares outstanding: 2002 — 5,939,146;  2001 — 5,906,965		42,599			42,538
Accumulated deficit		(23,221		)	(24,454		)
Total stockholders’ equity		24,553			23,259
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY		$	37,454		$	34,840

 

The December 30, 2001 amounts are derived from the Company’s audited financial statements.

See accompanying notes to condensed consolidated financial statements.

 

 

3

 

FRESH CHOICE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except per share amounts)

(Unaudited)

 

		Twelve Weeks Ended						Thirty-Six Weeks Ended
		September 8, 2002			September 9, 2001			September 8, 2002			September 9, 2001
NET SALES		$	18,738		$	18,343		$	53,693		$	54,143
COSTS AND EXPENSES:
Cost of sales