Ark Restaurants Corp.

Greetings and welcome to the Arc Restaurant's third quarter 2024 results call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Mr. Christopher Love, Secretary for Arc Restaurants. Thank you. You may begin.

Thank you, operator. Good morning, and thank you for joining us on our conference call for the third quarter ended June 29th, 2024. My name is Christopher Love, and I am the Secretary of Arc Restaurants. With me on the call today is Michael Weinstein, our Chairman and CEO, Anthony Sirica, our CFO, and Sam Weinstein and Jennifer Jordan, our joint co-COOs. For those of you who have not yet obtained a copy of our press release, It was issued over the NewsWise yesterday and is available on our website. To review the full text of that press release, along with the associated financial tables, please go to our homepage at www.arcrestaurants.com. Before we begin, however, I'd like to read the Safe Harbor Statement. I need to remind everyone that part of our discussion this morning will include forward-looking statements and that these statements are not guarantees of future performance and therefore, undue reliance should not be put on them. We refer everyone to our filings with the Securities and Exchange Commission for more detailed discussion of the risks that may have a direct bearing on our operating results, performance, and financial condition. I'll now turn the call over to Anthony, our CFO. Good morning, everyone.

A couple of things I wanted to touch on before Michael provides his commentary. We ended the quarter with $11.5 million of cash. and $5.7 million of debt. All of our debt is current now. We have three more quarterly payments of $435,000 due in September, December and February. And then on June 1st, we have balloon payments of $4.4 million. We'll be meeting with the bank to discuss a new credit agreement over the next month or two. The other item of note is the impairment charge that we took on the sequoia restaurant we continued to look at the performance of the restaurant and it was lower than expected so with that was considered a triggering event we then engaged an independent third party to do a market rent study and based on that and a discounted cash flow analysis we had an impairment chart of 2.5 million which was broken up between Long-lived assets, I think, was $939,000 and the right-of-use asset of $1.5 million. We will continue to monitor that as we go forward based on revised projections. We hope things get better. And I think other than that, the rest of the balance sheet was relatively stable compared to the prior quarter and year-end. So, Michael?