Famous Dave’s Announces Payoff of Debt and Lease Terminations, and Updates Restaurant Opening Guidance

MINNEAPOLIS--(BUSINESS WIRE)--Famous Dave's of America, Inc. (NASDAQ: DAVE) today announced that it recently completed the early retirement of approximately $4.2 million of long-term debt at interest rates ranging from 8.83 percent to 10.53 percent, originally due between February 2020 and June 2022. The company incurred an early termination fee of $350,000 or $0.03 per diluted share as a result of this debt repayment. The company expects to pay down an additional $2.6 million of long-term fixed rate debt, with no early termination fee, with interest rates ranging from 8.10 percent to 8.75 percent, by fiscal year end. The total pay down of long-term debt in fiscal 2009 should result in approximately $600,000 of interest savings for fiscal 2010. As of the end of the second quarter, the company’s line of credit balance was $14.5 million.

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