SOURCE: Prime Restaurants, Inc.

September 11, 2007 13:03 ET

Prime Restaurants, Inc. Announces Share Dividend Distribution Is Underway

FT. MYERS, FL--(Marketwire - September 11, 2007) - Prime Restaurants, Inc. (PINKSHEETS: PRSU) today announced that its 3 for 1 share dividend distribution is underway and all shareholders of the previously announced record date will be receiving their dividend shares completely by the end of next week per the company's Transfer Agent.

The company apologizes for any inconvenience this may have caused; the company's distribution of dividend shares was delayed due to the fact that the company did not have enough authorized shares for the distribution.

The company also ran into some legal issues regarding the dividend payment as per the company's legal counsel all shareholders including Mr. Galo by law had to receive the dividend. Though the company announced that Mr. Galo would not be receiving any dividend, he has to per the company's counsel and will receive 69,902,364 restricted for 2 years of common stock.

With the completion of the share dividend the company's capitalization will be as follows: 121,000,000 Common Shares Authorized with Mr. Galo holding 93,203,152 in Restricted Common Shares (2 year restriction) and 27,796,848 in the public float. The company does not intend to change the current share structure.

About Prime Restaurants, Inc.:

Prime Restaurants is a start-up restaurant holding company with an eye towards rapid expansion and revenue growth within the next 12 to 24 months. The company will focus only on major well-populated areas such as New York, Connecticut, New Jersey, Florida, Pennsylvania and North and South Carolina with locations that will generate a minimum of $2,000,000 per year at each location.

This press release does not constitute an offer of any securities for sale. This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ, including, without limitation, the company's limited operating history and history of losses, the inability to successfully obtain further funding, the inability to raise capital on terms acceptable to the company, the inability to compete effectively in the marketplace, the inability to complete the proposed acquisition and such other risks that could cause the actual results to differ materially from those contained in the company's projections or forward-looking statements. All forward-looking statements in this press release are based on information available to the company as of the date hereof, and the company undertakes no obligation to update forward-looking statements to reflect events or circumstances occurring after the date of this press release.

Contact Information

  • Contact:
    Prime Restaurants, Inc.
    Investor Relations
    Tel: 1-866-532-5908
    Fax: 1-239-437-5777