PART I. FINANCIAL INFORMATION

ITEM 1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

FLANIGAN'S ENTERPRISES, INC. AND SUBSIDIARIES

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(In Thousands Except Per Share Amounts)

	Thirteen Weeks Ended		Twenty Six Weeks Ended
	April 3, 2010	March 28, 2009	April 3, 2010	March 28, 2009

REVENUES:
Restaurant food sales	$11,950	$11,198	$22,554	$21,367
Restaurant bar sales	3,061	2,668	5,670	5,072
Package store sales	3,595	3,515	7,188	6,863
Franchise related revenues	255	282	536	544
Ownerís fee	30	45	83	89
Other operating income	47	49	71	75
	18,938	17,757	36,102	34,010

COSTS AND EXPENSES:
Cost of merchandise sold:
Restaurant and lounges	5,092	4,656	9,674	8,888
Package goods	2,392	2,406	4,845	4,772
Payroll and related costs	5,553	5,060	10,472	9,815
Occupancy costs	1,021	973	2,082	1,974
Selling, general and administrative expenses	3,365	3,448	6,923	7,058
	17,423	16,543	33,996	32,507
Income from Operations	1,515	1,214	2,106	1,503

OTHER INCOME (EXPENSE):
Interest expense	(130)	(108)	(235)	(227)
Interest and other income	30	18	47	185
	(100)	(90)	(188)	(42)

Income before Provision for Income Taxes	1,415	1,124	1,918	1,461

Provision for Income Taxes	(285)	(122)	(396)	(195)

Net Income before income attributable to noncontrolling interests	1,130	1,002	1,522	1,266

Less: Net income attributable to noncontrolling interests	(460)	(318)	(564)	(410)

Net Income attributable to stockholders	$ 670	$ 684	$ 958	$ 856

FLANIGAN'S ENTERPRISES, INC. AND SUBSIDIARIES

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(In Thousands Except Per Share Amounts)

(Continued)

	Thirteen Weeks Ended			Twenty Six Weeks Ended
	April 3, 2010	March 28, 2009		April 3, 2010	March 28, 2009

Net Income Per Common Share:
Basic	$0.36		$0.37	$0.51		$0.46
Diluted	$0.36		$0.37	$0.51		$0.46

Weighted Average Shares and Equivalent Shares Outstanding
Basic	1,861,743		1,870,690	1,862,139		1,873,686
Diluted	1,861,743	1,870,690		1,862,139	1,873,686

See accompanying notes to unaudited condensed consolidated financial statements.

FLANIGAN'S ENTERPRISES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

APRIL 3, 2010 (UNAUDITED) AND OCTOBER 3, 2009

(In Thousands)

ASSETS

	April 3, 2010	October 3, 2009

CURRENT ASSETS:

Cash and cash equivalents	$6,997	$4,580
Prepaid income taxes	--	332
Due from franchisees	5	270
Other receivables	135	94
Inventories	2,228	1,933
Prepaid expenses	1,139	980
Deferred tax asset	324	338

Total Current Assets	10,828	8,527

Property and Equipment, Net	22,202	21,240

Investment in Limited Partnership	144	140

OTHER ASSETS:

Liquor licenses, net	470	345
Deferred tax asset	847	830
Leasehold purchases, net	1,554	1,644
Other	630	753

Total Other Assets	3,501	3,572

Total Assets	$ 36,675	$ 33,479

FLANIGAN'S ENTERPRISES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

APRIL 3, 2010 (UNAUDITED) AND OCTOBER 3, 2009

(In Thousands)

(Continued)

LIABILITIES AND STOCKHOLDERSí EQUITY

	April 3, 2010	October 3, 2009

CURRENT LIABILITIES:

Accounts payable and accrued expenses	$4,649	$3,756
Income taxes payable	65	--
Due to franchisees	942	372
Current portion of long term debt	712	681
Line of credit	1,586	1,586
Deferred revenues	14	21
Deferred rent	25	24

Total Current Liabilities	7,993	6,440

Long Term Debt, Net of Current Maturities	5,264	4,533

Deferred Rent, Net of Current Portion	193	206

Commitments and Contingencies

Equity:
Flaniganís Enterprises, Inc. Stockholdersí Equity
Common stock, $.10 par value, 5,000,000 shares authorized; 4,197,642 shares issued	420	420
Capital in excess of par value	6,240	6,240
Retained earnings	14,735	13,777
Treasury stock, at cost, 2,335,709 shares at April 3, 2010 and 2,334,709 shares at October 3, 2009	(6,049)	(6,043)
Total Flaniganís Enterprises, Inc. Stockholdersí equity	15,346	14,394
Noncontrolling interest	7,879	7,906
Total equity	23,225	22,300

Total liabilities and equity	$ 36,675	$ 33,479

See accompanying notes to unaudited condensed consolidated financial statements.

FLANIGAN'S ENTERPRISES, INC. AND SUBSIDIARIES

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE TWENTY SIX WEEKS ENDED APRIL 3, 2010 AND MARCH 28, 2009

(In Thousands)

	April 3, 2010	March 28, 2009

CASH FLOWS FROM OPERATING ACTIVITIES:

Net income	$1,522	$1,266
Adjustments to reconcile net income to net cash and cash equivalents provided by operating activities:
Depreciation and amortization	1,117	1,156
Amortization of leasehold interests	108	108
Loss on abandonment of property and equipment	8	24
Deferred income tax	(3)	(52)
Deferred rent	(12)	(3)
Income from unconsolidated limited Partnership	(10)	(3)
Recognition of deferred revenues	(7)	(6)
Changes in operating assets and liabilities: (increase) decrease in
Due from franchisees	3	113
Other receivables	(41)	(7)
Prepaid income taxes	332	50
Inventories	(276)	39
Prepaid expenses	250	404
Other assets	58	(7)
Increase (decrease) in:
Accounts payable and accrued expenses	893	(125)
Income taxes payable	65	--
Due to franchisees	570	241
Net cash and cash equivalents provided by operating activities	4,577	3,198

CASH FLOWS FROM INVESTING ACTIVITIES:

Collection on notes and mortgages receivable	9	8
Purchase of property and equipment	(1,089)	(801)
Deposit on property and equipment	--	(63)
Proceeds from sale of fixed assets	8	39
Distributions from unconsolidated limited Partnership	6	6
Purchase of limited partnership interests	(10)	--
Net cash and cash equivalents used in investing Activities	(1,076)	(811)

See accompanying notes to unaudited condensed consolidated financial statements.

FLANIGAN'S ENTERPRISES, INC. AND SUBSIDIARIES

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE TWENTY SIX WEEKS ENDED APRIL 3, 2010 AND MARCH 28, 2009

(In Thousands)

(Continued)

	April 3, 2010	March 28, 2009

CASH FLOWS FROM FINANCING ACTIVITIES:

Payment of long term debt	(497)	(92)
Proceeds from line of credit	--	24
Purchase of treasury stock	(6)	(86)
Distributions to limited partnershipís noncontrolling interests	(581)	(580)

Net cash and cash equivalents used in financing activities	(1,084)	(734)


Net Increase in Cash and Cash Equivalents	2,417	1,653

Beginning of Period	4,580	3,244

End of Period	$ 6,997	$ 4,897

Supplemental Disclosure for Cash Flow Information: Cash paid during period for:
Interest	$235	$227
Income taxes	$ --	$239


Supplemental Disclosure of Non-Cash Investing and Financing Activities:
Financing of insurance contracts	$409	$1,094
Purchase deposits transferred to property and equipment	$20	$292
Purchase of property in exchange for debt	$850	$ --
Purchase of assets of franchised restaurant	$262	$ --

See accompanying notes to unaudited condensed consolidated financial statements

FLANIGANíS ENTERPRISES, INC. AND SUBSIDIARIES

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

APRIL 3, 2010

(1) BASIS OF PRESENTATION:

The accompanying financial information for the periods ended April 3, 2010 and March 28, 2009 are unaudited. Financial information as of October 3, 2009 has been derived from the audited financial statements of the Company, but does not include all disclosures required by generally accepted accounting principles. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the financial information for the periods indicated have been included. For further information regarding the Company's accounting policies, refer to the Condensed Consolidated Financial Statements and related notes included in the Company's Annual Report on Form 10-K for the year ended October 3, 2009. Operating results for interim periods are not necessarily indicative of results to be expected for a full year.

The Condensed Consolidated Financial Statements include the accounts of the Company, its wholly-owned subsidiaries and the accounts of the nine limited partnerships in which we act as general partner and have controlling interests.. All intercompany balances and transactions have been eliminated. Non-controlling interest represents the limited partnersí proportionate share of the net assets and results of operations of the nine limited partnerships.

These financial statements include estimates relating to performance based officersí bonuses. The estimates are reviewed periodically and the effects of any revisions are reflected in the financial statements in the period they are determined to be necessary. Although these estimates are based on managementís knowledge of current events and actions it may take in the future, they may ultimately differ from actual results.

(2) EARNINGS PER SHARE:

We follow Financial Accounting Standards Board Accounting Standards Codification Section 260 - ìEarnings per Shareî (FASB ASC 260). This section provides for the calculation of basic and diluted earnings per share. The data on Page 3 shows the amounts used in computing earnings per share and the effects on income and the weighted average number of shares of potentially dilutive common stock equivalents. As of April 3, 2010, no stock options were outstanding.

(3) RECLASSIFICATION:

Certain amounts in the fiscal year 2009 financial statements have been reclassified to conform to the fiscal year 2010 presentation. The reclassifications had no effect on consolidated net income.

(4) RECENT ADOPTED AND RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS:

Adopted

In December 2007, the FASB issued changes regarding business combinations. These changes establish principles and requirements for how an acquirer recognizes and measures in its financial statements the identifiable assets acquired, the liabilities assumed, any noncontrolling interest in the acquiree and the goodwill acquired. These changes also establish disclosure requirements to enable the evaluation of the nature and financial effects of the business combination. These changes were adopted by us in the first quarter of our fiscal year 2010 and will have an impact on our accounting for any future business acquisitions.

In December 2007, the FASB issued changes regarding consolidation and non-controlling interests in consolidated financial statements. These changes impacted the accounting and reporting for minority interests, which are now recharacterized as noncontrolling interests (NCI) and classified as a component of equity. This new consolidation method significantly changed the accounting for transactions with minority interest holders. These changes were adopted by us in the first quarter of our fiscal year 2010 and did not have a material impact on our condensed consolidated financial statements.

In March 2008, the FASB issued changes regarding derivatives and hedging to enhance disclosures about an entityís derivative and hedging activities. These changes were adopted by us in the first quarter of our fiscal year 2010. As we do not currently engage in derivative transactions or hedging activities, these changes do not have a material impact on our condensed consolidated financial statements.

Issued

In February 2010, the FASB amended its authoritative guidance related to subsequent events to alleviate potential conflicts with current United States Securities Exchange Commission (ìSECî) guidance. Effective immediately, these amendments remove the requirement that an SEC filer disclose the date through which it has evaluated subsequent events. The adoption of this guidance did not have an impact on the Companyís condensed consolidated financial statements.

The FASB has issued Accounting Standard Update (ASU) No. 2010-02, Consolidation (Topic 810) – Accounting and Reporting for Decreases in Ownership of a Subsidiary – A Scope Clarification. This ASU clarifies that the scope of the decrease in ownership provisions of Subtopic 810-10 and related guidance and also clarifies that the decrease in ownership guidance in Subtopic 810-10 does not apply to: (a) sales of in substance real estate; and (b) conveyances of oil and gas mineral rights, even if these transfers involve businesses. The amendments in this ASU also expand the disclosure requirements about deconsolidation of a subsidiary or derecognition of a group of assets. ASU 2010-02 is effective beginning in the first interim or annual reporting period ending on or after December 15, 2009. The adoption of this accounting standard will have an effect on the presentation and disclosure of the noncontrolling interests of any non wholly-owned businesses acquired in the future.

In June 2009, the FASB issued changes to the accounting for determining whether an entity is a variable interest entity and modifies the methods allowed for determining the primary beneficiary of a variable interest entity. In addition, these changes require ongoing reassessments of whether an enterprise is the primary beneficiary of a variable interest entity and enhanced disclosures related to an enterpriseís involvement in a variable interest entity. These changes become effective for annual periods beginning after November 15, 2009 and will be adopted by us in our fiscal year 2011. We are currently evaluating the potential impact, if any, of the adoption of these changes on consolidated results of operations and financial condition.

Accounting standards that have been issued or proposed by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on our unaudited condensed consolidated financial statements upon adoption.

(5) LINE OF CREDIT:

Under a secured line of credit with a third party financial institution we are able to borrow up to $2,500,000. The outstanding balance on our line of credit bears interest at BBA LIBOR 1 month rate, plus 2.25%, (2.498% as of April 3, 2010), with monthly payments of interest only and the unpaid principal balance and all accrued interest was due in full on April 7, 2010. We granted our lender a security interest in substantially all of our assets and a second mortgage on our corporate offices as collateral to secure our repayment obligations under our credit line. Subsequent to the end of the second quarter of our fiscal year 2010, the maturity date of our line of credit, (April 7, 2010), was extended until June 5, 2010 while we negotiate a modification of our line of credit arrangement with our lender. During the second quarter of our fiscal year 2010, we paid monthly installments of interest payments, with no borrowings or principal payments. As of April 3, 2010, the amount outstanding under the line of credit was $1,586,000, with a remaining availability of $914,000.

Financed Insurance Premiums

(i) For the policy year beginning December 30, 2008, our property insurance is a two (2) year policy with our insurance carrier. The two (2) year property insurance premium is in the amount of $631,000 and is financed in full through an unaffiliated third party lender. The finance agreement earns interest at the rate of 5.15% per annum and is amortized over 20 months, with monthly payments of principal and interest, each in the amount of $30,000. The finance agreement is secured by a security interest in all insurance policies, all unearned premium, return premium, dividend payments and loss payments thereof.

(ii) For the policy year beginning December 30, 2009, our general liability insurance, excluding limited partnerships, is a one (1) year policy with our insurance carriers, including automobile and excess liability coverage. The one (1) year general liability insurance premiums, including automobile and excess liability coverage, total in the aggregate $243,000, of which $199,000 is financed through the same unaffiliated third party lender. The finance agreement earns interest at the rate of 2.99% per annum and is amortized over 10 months, with monthly payments of principal and interest, each in the amount of $20,000. The finance agreement is secured by a security interest in all insurance policies, all unearned premium, return premium, dividend payments and loss payments thereof.

(iii) For the policy year beginning December 30, 2009, our general liability insurance for our limited partnerships is a one (1) year policy with our insurance carriers, including excess liability coverage. The one (1) year general liability insurance premiums, including excess liability coverage, total, in the aggregate $205,000, of which $146,000 is financed through the same unaffiliated third party lender. The finance agreement earns interest at the rate of 2.99% per annum and is amortized over 11 months, with monthly payments of principal and interest, each in the amount of $13,000. The finance agreement is secured by a security interest in all insurance policies, all unearned premium, return premium, dividend payments and loss payments thereof.

As of April 3, 2010, we owe, in the aggregate, a principal balance of $466,000 to the third party lender that financed our property and general liability insurance policies.

(6) PURCHASE OF FRANCHISED RESTAURANT:

Boca Raton, Florida

During the first quarter of our fiscal year 2010, we purchased from our franchisee, the operating assets of the franchised restaurant located at 45 S. Federal Highway, Boca Raton, Palm Beach County, Florida for an aggregate purchase price of $262,000 and on October 18, 2009 this restaurant began operating as a Company-owned restaurant. The lease at this location expires on April 30, 2011. Our franchisee was unsuccessful in obtaining an extension of the lease term. There can be no assurance that the lease term will be extended or that we will find a suitable replacement location at reasonable rates, if at all. Such uncertainty was factored into the purchase price.

(7) INVESTMENT IN REAL PROPERTY:

Hollywood, Florida

During the first quarter of our fiscal year 2010, we purchased the real property and building where our combination restaurant and package liquor store located at 2505 N. University Drive, Hollywood, Florida, (Store #19), operates. We paid $1,350,000 for this property, $850,000 of which we borrowed from an unaffiliated third party, pursuant to a first mortgage. The mortgage note bears interest at the rate of eight and one-half (8‡%) percent per annum, is amortized over fifteen (15) years with equal monthly payments of principal and interest, each in the amount of $8,370, with the entire principal balance and all accrued interest due in eight (8) years.

(8) INCOME TAXES:

We account for our income taxes using FASB ASC 740, ìIncome Taxesî, which requires among other things, recognition of future tax benefits measured at enacted rates attributable to deductible temporary differences between financial statement and income tax basis of assets and liabilities and to tax net operating loss carryforwards and tax credits to the extent that realization of said tax benefits is more likely than not.

(9) STOCK OPTION PLANS:

We have one stock option plan under which qualified stock options may be granted to our officers and other employees. Under this plan, the exercise price for the qualified stock options must be no less than 100% of the fair market value of the Companyís Common Stock on the date the options are granted. In general, options granted under our stock option plan expire after a five (5) year period and generally vest no later than one (1) year from the date of grant. As of April 3, 2010, no options to acquire shares were outstanding. Under this plan, options to acquire an aggregate of 45,000 shares are available for grant.

No stock options were granted during the twenty six weeks ended April 3, 2010, nor were stock options granted during the twenty six weeks ended March 28, 2009.

No stock options were exercised during the twenty six weeks ended April 3, 2010, nor were stock options exercised during the twenty six weeks ended March 28, 2009.

There was no stock option activity during the twenty six weeks ended April 3, 2010. During the twenty six weeks ended March 28, 2009, 9,350 options expired unexercised.

(10) ACQUISITIONS:

Purchase of Company Common Stock

Pursuant to a discretionary plan approved by the Board of Directors at its meeting on May 17, 2007,

during the thirteen weeks ended April 3, 2010, we did not purchase any shares of our common stock.

During the twenty six weeks ended April 3, 2010, we purchased 1,000 shares of our common stock from the Joseph G. Flanigan Charitable Trust for an aggregate purchase price of $6,000.

(11) COMMITMENTS AND CONTINGENCIES:

Guarantees

We guarantee various leases for franchisees and locations sold in prior years. Remaining rental commitments required under these leases are approximately $1,208,000. In the event of a default under any of these agreements, we will have the right to repossess the premises and operate the business to recover amounts paid under the guarantee either by liquidating assets or operating the business.

We account for such lease guarantees in accordance with ASC Topic 460 (formerly FASB Interpretation No. 45, ìGuarantorís Accounting and Disclosure Requirements for Guarantees, including Indirect Guarantees of Indebtedness of Others,î or FIN 45). Under ASC Topic 460, we would be required to recognize the fair value of guarantees issued or modified after December 31, 2002, for non-contingent guarantee obligations, and also a liability for contingent guarantee obligations based on the probability that the guaranteed party will not perform under the contractual terms of the guaranty agreement.

We do not believe it is probable that we will be required to perform under the remaining lease guarantees and therefore, no liability has been accrued in our condensed consolidated financial statements.

Litigation

From time to time, we are a defendant in litigation arising in the ordinary course of our business, including claims resulting from ìslip and fallî accidents, claims under federal and state laws governing access to public accommodations, employment-related claims and claims from guests alleging illness, injury or other food quality, health or operational concerns. To date, none of this litigation, some of which is covered by insurance, has had a material effect on us.

We own the building where our corporate offices are located. On April 16, 2001, we filed suit against the owner of the adjacent shopping center to determine our right to non-exclusive parking in the shopping center. During fiscal year 2007, the appellate court affirmed and upon re-hearing, again affirmed the granting of a summary judgment in favor of the shopping center. The seller from whom we purchased the building was named as a defendant in the lawsuit by the owner of the adjacent shopping center and we filed and served a cross-complaint against the seller. During the fourth quarter of our fiscal year 2009, the seller was awarded reimbursement of its attorneysí fees and costs in the amount of $109,000 and during the second quarter of our fiscal year 2010, the trial court denied our motion for re-consideration of a portion of the award. Subsequent to the end of the second quarter of our fiscal year 2010, we paid the award of attorneysí fees and costs. During the second quarter of our fiscal year 2009, the seller filed suit against us for malicious prosecution. During the second quarter of our fiscal year 2010, the court denied the sellerís motion for punitive damages. We deny the allegations and are vigorously defending against the allegations.

During fiscal year 2007, we and the limited partnership which owns the restaurant in Pinecrest, Florida filed suit against the limited partnershipís landlord. We are the sole general partner and a 40% limited partner in this limited partnership. We were seeking to recover the cost of structural repairs to the business premises we paid, as we believed that these structural repairs were the landlordís responsibility under the lease. The lawsuit, in addition to attempting to recover the amounts expended by us for structural repairs also attempted to recover the rent paid by the limited partnership while the repairs were occurring. The claim also included a request by the limited partnership for the court to determine if the limited partnership had the exclusive right to the use of the pylon sign in front of the business premises. The landlord denied liability for structural repairs to the business premises, denied any obligation to reimburse the limited partnership for any rent paid while structural repairs occurred and denied the limited partnershipís right to use the pylon sign. During the second quarter of our fiscal year 2010, we settled the lawsuit without recovering the cost of any structural repairs to the business premises, nor any rent paid while the structural repairs were occurring. The limited partnership was granted the right, for a monthly fee, to occupy the top space on each side of the two pylon signs constructed by the landlord for the shopping center throughout the term of the lease, including renewal options if exercised by the limited partnership. Each party is responsible for its own attorneysí fees and costs incurred in the lawsuit. Subsequent to the end of the second quarter of our fiscal year 2010, the settlement was reduced to writing and approved by the court.

(12) SUBSEQUENT EVENTS:

Subsequent events have been evaluated through the date these condensed consolidated financial statements were issued. No events, other than the events disclosed above, required disclosure.

(13) BUSINESS SEGMENTS:

We operate principally in two reportable segments – package stores and restaurants. The operation of package stores consists of retail liquor sales and related items. Information concerning the revenues and operating income for the thirteen weeks and twenty six weeks ended April 3, 2010 and March 28, 2009, and identifiable assets for the two reportable segments in which we operate, are shown in the following table. Operating income is total revenue less cost of merchandise sold and operating expenses relative to each segment. In computing operating income, none of the following items have been included: interest expense, other non-operating income and expenses and income taxes. Identifiable assets by segment are those assets that are used in our operations in each segment. Corporate assets are principally cash and real property, improvements, furniture, equipment and vehicles used at our corporate headquarters. We do not have any operations outside of the United States and transactions between restaurants and package liquor stores are not material.

(in thousands)

	Thirteen Weeks Ending April 3, 2010	Thirteen Weeks Ending March 28, 2009
Operating Revenues:
Restaurants	$15,011	$13,866
Package stores	3,595	3,515
Other revenues	332	376
Total operating revenues	$18,938	$17,757

Operating Income Reconciled to Income Before Income Taxes and Net Income Attributable to Noncontrolling Interests
Restaurants	$1,914	$1,346
Package stores	399	257
	2,313	1,603
Corporate expenses, net of other Revenues	(798)	(389)
Operating income	1,515	1,214
Other income (expense)	(100)	(90)
Income Before Income Taxes and Net Income Attributable to Noncontrolling Interests	$1,415	$1,124

Depreciation and Amortization:
Restaurants	$476	$473
Package stores	55	67
	531	540
Corporate	84	86
Total Depreciation and Amortization	$615	$626

Capital Expenditures:
Restaurants	$233	$350
Package stores	125	56
	358	406
Corporate	25	101
Total Capital Expenditures	$383	$507
	Twenty Six Weeks Ending April 3, 2010	Twenty Six Weeks Ending March 28, 2009
Operating Revenues:
Restaurants	$28,224	$26,439
Package stores	7,188	6,863
Other revenues	690	708
Total operating revenues	$36,102	$34,010

Operating Income Reconciled to Income Before Income Taxes and Net Income Attributable to Noncontrolling Interests
Restaurants	$2,678	$1,932
Package stores	656	364
	3,334	2,296
Corporate expenses, net of other Revenues	(1,228)	(793)
Operating income	2,106	1,503
Other income (expense)	(188)	(42)
Income Before Income Taxes and Net Income Attributable to Noncontrolling Interests	$1,918	$1,461

Depreciation and Amortization:
Restaurants	$952	$956
Package stores	107	138
	1,059	1,094
Corporate	166	170
Total Depreciation and Amortization	$1,225	$1,264


›		QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


o		TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934