Hot Shoppes, Inc. and Subsidiaries
AND EARNED SURPLUS
for the 52 weeks ended July 29, 1962 and July SO, 1961
Cost of Sales and Operating Expenses
Administrative and General Expenses
Payroll and Other Taxes
Depreciation and Amortization ,
Interest and Finance Expenses
NET INCOME BEFORE TAXES ON INCOME
FEDERAL AND STATE INCOME TAXES
(Including $679,009 and $356,086 Deferred Taxes)
Beginning of Period
4% Stock Dividends—amount transferred to Capital Stock
and Capital Surplus
Cash paid in lieu of fractional stock dividends
End of Period
A C C O U N T A NTS'
TO THE STOCKHOLDERS AND
BOARD OF DIRECTORS,
HOT SHOPPES, INC.:
We have examined the statement of consolidated financial condition of Hot Shoppes, Inc.
(a Delaware corporation) and subsidiaries as of
July 29, 1962, and the related statements of
consolidated income and earned surplus for the
fifty-two weeks then ended. Our examination
was made in accordance with generally accepted
auditing standards, and accordingly included
such tests of the accounting records and such
other auditing procedures as we considered
necessary in the circumstances.
In our opinion, the accompanying statement
of consolidated financial condition and statements of consolidated income and earned surplus present fairly the financial position of Hot
Shoppes, Inc. and subsidiaries as of July 29,
1962, and the results of their operations for the
fifty-two weeks then ended, and were prepared
in conformity with generally accepted account-
. ing principles applied on a basis consistent with
that of the preceding period.
Arthur Andersen & Co.
Washington, D. C,
September 6, 1962.