Uno Restaurant Holdings Corporation Announces Emergence from Chapter 11

BOSTON, July 26 /PRNewswire/ -- Uno Restaurant Holdings Corporation ("Uno" or the "Company") today announced that it has emerged from chapter 11 pursuant to its plan of reorganization ( the "Plan"), confirmed by the United States Bankruptcy Court for the Southern District of New York on July 6, 2010.

"Today's successful emergence from Chapter 11 completes the restructuring process in just six months and allows us to turn our full attention to the growth and development of the Uno brands, which consist of our flagship casual dining restaurant, Uno Chicago Grill®, our fast casual concept, Uno Due Go®, our quick service format, Uno Express®, and our packaged foods business, Uno Foods. We have emerged from this process with a strong balance sheet and enhanced liquidity, which will enable us to invest in our business. Today marks a new beginning for Uno," said Frank Guidara, President and Chief Executive Officer of the Company.

Guidara added, "During the past six months, while we have been busy implementing our financial restructuring, we have also worked hard to prepare for an exciting future. In addition to a new and innovative menu launched earlier this month in Uno Chicago Grill, we have introduced two new product lines in our packaged foods business consisting of a line of frozen entrees and our line of Tastefuls®, a hand-held, microwavable mini-calzone.

In the next few weeks, we will be completing the renovation and re-opening of our Warwick, Rhode Island restaurant which will showcase the new Uno prototype of the future. In August and September, we will be opening new Uno Due Go units on the campuses of two major colleges and universities. This is in addition to the two highly successful Uno Due Go units already in operation at the Dallas Forth Worth airport. In addition, over the next few months, we will be opening several new Uno Express locations in high-traffic, high-profile venues."

Mr. Guidara continued, "We could not have accomplished so much without the steadfast support of our amazing employees, franchisees, vendors, lenders and other stakeholders. I appreciate everything they have done and continue to do on our behalf. Their commitment to our success is what fuels everything we do."

Rob Webster, senior managing director and co-founder of Twin Haven Capital Partners, the new majority shareholder of the Company said, "We have been associated with Uno for several years and believe that Uno is a great company that was hampered by an over-leveraged balance sheet. We are excited about the potential of its great brands now that we have an appropriate capital structure for the Company. I am looking forward to working with Frank and the rest of the management team, along with our shareholder partners, which include Coliseum Capital and Newport Global Advisors, to help Uno achieve its goals."

Pursuant to the Plan, 100 percent of the Company's $142 million, 10 percent Senior Secured Notes, due in February 2011, has been converted into substantially all of the equity of the Company, thereby eliminating $14.2 million in annual interest payments and reducing total debt from $176.3 million to approximately $40 million.

In connection with the emergence from Chapter 11, the Company arranged for $55 million of permanent, long-term exit financing (the "Exit Facility") comprised of a $30 million revolving credit facility, due in July 2015, provided by long-standing-lender Wells Fargo Capital Finance, part of Wells Fargo & Company (NYSE: WFC), and $25 million of new notes, due February 2016, provided by a majority of the new equity holders. The Exit Facility allowed the Company to repay all outstanding amounts under its former Debtor in Possession Credit Facility, implement the provisions of the Plan, pay transaction costs and provide significant liquidity going forward to fund working capital needs and the Company's growth and investment plans.

About Uno

Based in Boston, Massachusetts, Uno Restaurant Holdings Corporation includes 166 company-owned and franchised restaurants located in 24 states, the District of Columbia, Puerto Rico, South Korea, the United Arab Emirates, Honduras, Kuwait and Saudi Arabia. The Company also operates a fast casual concept called Uno Due Go, a quick service concept called Uno Express and a consumer packaged foods business which supplies airlines, movie theatres, hotels, airports, travel plazas, schools and supermarkets with both frozen and refrigerated private-label foods and Uno branded products. For more information visit www.unos.com.

SOURCE Uno Restaurant Holdings Corporation

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