07/02/10 Lubys COO and CEO each reported 27,998 shares purchased @ 3.84

LUB (Lubys) moved up 3.83% today in this dismal market reporting more negative private sector job data.


Total debt reduction from 2005 compared to the TTM

28% owned by insiders

Only 53% of float held by institutions

Recent successful bidder for 61 million in the bankruptcy auction for Fuddruckers

Added 201 locations with Fuddruckers raising the store count to 297 from 96

138 new franchised owned Fuddruckers potential generating enough to amortize the additional debt to purchase Fuddruckers

Recent strong quarterly results posting profits of 3 cents on sales of 57.20 million all this before the block buster bankruptcy auction win for Fuddruckers

Large real estate holdings before Fuddruckers recorded on the book at a large discount to market value. 96 owned locations

Incorporated in 1959 and many of the properties were recorded on the books over 15 years ago.

Price to book of .70 improved from the 2006 value of 1.7
Price to sales of .40 versus .90 for 2006


Economy continues to worsen

Food costs rise

Unable to turnaround existing Lubys restaurants and Fuddruckers

The turnaround is far from certain and the price has been held  back until positive results are visible

I have a position in LUB

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