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Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Jun. 28, 2015	Sep. 23, 2015	Dec. 28, 2014
Document and Entity Information:
Entity Registrant Name	RAVE RESTAURANT GROUP, INC.
Entity Trading Symbol	RAVE
Document Type	10-K
Document Period End Date	Jun. 28, 2015
Amendment Flag	false
Entity Central Index Key	0000718332
Current Fiscal Year End Date	--06-28
Entity Common Stock, Shares Outstanding		10,313,635
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	FY
Entity Public Float			$ 44,700,000

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Jun. 28, 2015	Jun. 29, 2014
REVENUES
REVENUES {1}	$ 48,199	$ 42,224
COSTS AND EXPENSES:
Cost of sales	41,307	36,325
Franchise expenses	3,154	2,931
General and administrative expenses	4,792	4,373
Pre-opening expenses	721	161
Impairment of long-lived assets and other lease charges	300	253
Bad debt	153	253
Interest expense	113	142
Total Expenses	50,540	44,438
LOSS FROM CONTINUING OPERATIONS BEFORE TAXES	(2,341)	(2,214)
Income tax benefit	(670)	(760)
LOSS FROM CONTINUING OPERATIONS	(1,671)	(1,454)
Loss from discontinued operations, net of taxes	(168)	(113)
NET LOSS	$ (1,839)	$ (1,567)
LOSS PER SHARE OF COMMON STOCK - BASIC:
Loss from continuing operations	$ (0.17)	$ (0.17)
Loss from discontinued operations	(0.02)	(0.01)
Net loss	(0.19)	(0.18)
LOSS PER SHARE OF COMMON STOCK - DILUTED:
Loss from continuing operations {1}	(0.16)	(0.16)
Loss from discontinued operations {1}	(0.02)	(0.01)
Net loss {1}	$ (0.18)	$ (0.17)
Weighted average common shares outstanding - basic	9,744	8,635
Weighted average common shares outstanding - diluted	10,306	9,173

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 28, 2015	Jun. 29, 2014
CURRENT ASSETS
Cash and cash equivalents	$ 5,958	$ 2,796
Accounts receivable, less allowance for doubtful accounts of $193 and $276, respectively	3,437	3,276
Notes receivable	24	81
Inventories	180	1,703
Income tax receivable	492	386
Deferred income tax assets	729	951
Prepaid expenses and other	872	173
Total current assets	11,692	9,366
LONG-TERM ASSETS
Property, plant and equipment, net	10,020	5,133
Long-term notes receivable	119	134
Long-term deferred tax asset	1,864	939
Deposits and other	276	396
Total assets	23,971	15,968
CURRENT LIABILITIES
Accounts payable - trade	2,875	2,023
Accrued expenses	1,267	926
Deferred rent	155	163
Deferred revenues	374	177
Bank debt	0	500
Total current liabilities	4,671	3,789
LONG-TERM LIABILITIES
Bank debt, net of current portion	0	267
Deferred rent, net of current portion	893	822
Deferred revenues, net of current portion	1,166	791
Deferred gain on sale of property	9	34
Other long-term liabilities	22	23
Total liabilities	6,761	5,726
COMMITMENTS AND CONTINGENCIES (See Notes F and J)
SHAREHOLDERS' EQUITY
Common stock, $.01 par value; authorized 26,000,000 shares; issued 17,374,735 and 16,240,412 shares, respectively;outstanding 10,255,335 and 9,121,012 shares, respectively	174	162
Additional paid-in capital	24,700	15,905
Retained earnings	16,972	18,811
Treasury stock at cost 7,119,400 shares	(24,636)	(24,636)
Total shareholders' equity	17,210	10,242
Total liabilities and shareholders' equity	$ 23,971	$ 15,968

CONSOLIDATED BALANCE SHEETS PARENTHETICALS - USD ($) $ in Thousands	Jun. 28, 2015	Jun. 29, 2014
BALANCE SHEETS PARENTHETICALS
Allowance for doubtful accounts	$ 193	$ 276
Common Stock, Par Value	$ 0.01	$ 0.01
Common Stock, Shares Authorized	26,000,000	26,000,000
Common Stock, shares issued	17,374,735	16,240,412
Common Stock, shares outstanding	10,255,335	9,121,012
Treasury stock, Shares	7,119,400	7,119,400

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Jun. 28, 2015	Jun. 29, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss {2}	$ (1,839)	$ (1,567)
Adjustments to reconcile net loss to cash provided by (used in) operating activities:
Impairment of fixed assets and other assets	300	253
Depreciation and amortization	1,617	1,454
(Gain) loss on the sale of assets	49	(97)
Provision for bad debt	153	48
Stock compensation expense	128	68
Deferred income taxes	(703)	(840)
Changes in operating assets and liabilities:
Notes and accounts receivable	(240)	(70)
Income tax receivable {1}	(107)	(41)
Inventories {1}	1,523	(88)
Prepaid expenses and other {1}	(705)	(213)
Deferred revenue	545	404
Accounts payable - trade {1}	852	451
Accrued expenses {1}	404	163
Cash provided by (used for) operating activities	1,977	(75)
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from sale of assets	0	106
Capital expenditures	(6,727)	(2,068)
Cash used for investing activities	(6,727)	(1,962)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of bank debt	0	0
Repayments of bank debt	(767)	(1,758)
Proceeds from sale of stock	8,253	5,590
Proceeds from exercise of stock options	426	82
Cash provided by financing activities	7,912	3,914
Net increase in cash and cash equivalents	3,162	1,877
Cash and cash equivalents, beginning of year	5,958	2,796
Cash and cash equivalents, beginning of year	5,958	2,796
CASH PAID FOR:
Interest	113	142
Income taxes	$ 19	$ 17

ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Jun. 28, 2015

ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES {1}

NOTE A - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:

Description of Business:

Rave Restaurant Group, Inc. and its subsidiaries (collectively referred to as the “Company”, or in the first person notations of “we”, “us” and “our”) operate and franchise pizza buffet, delivery/carry-out and express restaurants domestically and internationally under the trademark “Pizza Inn” and operate and franchise domestic fast casual restaurants under the trademarks “Pie Five Pizza Company” or “Pie Five”. We provide or facilitate the procurement and distribution of food, equipment and supplies to our domestic and international system of restaurants through our Norco Restaurant Services Company (“Norco”) division and through agreements with third party distributors.

As of June 28, 2015, we owned and operated 26 restaurants comprised of 24 Pie Five restaurants (“Pie Five Units”) and two Pizza Inn buffet restaurants (“Buffet Units”). As of that date, we also had 30 franchised Pie Five Units and 248 franchised Pizza Inn restaurants. The 177 domestic franchised Pizza Inn restaurants were comprised of 99 Buffet Units, 21 delivery/carry-out restaurants (“Delco Units”) and 57 express restaurants (“Express Units”). The 71 international franchised Pizza Inn restaurants were comprised of 18 Buffet Units, 45 Delco Units and eight Express Units. Domestic restaurants were located predominantly in the southern half of the United States, with Texas, North Carolina, Arkansas and Tennessee accounting for approximately 29%, 12%, 11% and 8%, respectively, of the total number of domestic restaurants.

Principles of Consolidation:

The consolidated financial statements include the accounts of Rave Restaurant Group, Inc. and its subsidiaries, all of which are wholly owned. All appropriate inter-company balances and transactions have been eliminated.

Reclassifications:

Certain reclassifications have been made to prior period amounts to conform to the current period presentation.

Cash and Cash Equivalents:

The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.

Concentration of Credit Risk:

Financial instruments, which potentially subject the Company to concentrations of credit risk, consist primarily of cash and cash equivalents. At June 28, 2015 and June 29, 2014 and at various times during the fiscal years then ended, cash and cash equivalents were in excess of Federal Depository Insurance Corporation insured limits. We do not believe we are exposed to any significant credit risk on cash and cash equivalents.

Inventories:

Inventory consists primarily of food, paper products and supplies stored in and used by Company restaurants and was stated at lower of first-in, first-out (“FIFO”) or market. The valuation of such restaurant inventory requires us to estimate the amount of obsolete and excess inventory based on estimates of future retail sales by Company-owned restaurants. Overestimating retail sales by Company-owned restaurants could result in the write-down of inventory which would have a negative impact on the gross margin of such Company-owned restaurants.

Closed Restaurants and Discontinued Operations:

In April, 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity, which modifies the definition of discontinued operations to include only disposals of an entity that represent strategic shifts that have or will have a major effect on an entity’s operation and requires entities to disclose information about disposals of individually significant components that do not meet the definition of discontinued operations. The standard is effective prospectively for annual and interim periods beginning after December 15, 2014, with early adoption permitted. This pronouncement did not have a material impact on our condensed consolidated financial statements

The authoritative guidance on “Accounting for the Impairment or Disposal of Long-Lived Assets,” requires that discontinued operations that meet certain criteria be reflected in the statement of operations after results of continuing operations as a net amount. This guidance also requires that the operations of closed restaurants, including any impairment charges, be reclassified to discontinued operations for all periods presented.

The authoritative guidance on “Accounting for Costs Associated with Exit or Disposal Activities,” requires that a liability for a cost associated with an exit or disposal activity be recognized when the liability is incurred. This authoritative guidance also establishes that fair value is the objective for initial measurement of the liability.

Discontinued operations include losses from two Pizza Inn locations in Texas. One is a leased building associated with a Company-owned restaurant closed during fiscal 2008. The other is results of operations for a Company-owned restaurant that was closed in the fourth quarter of fiscal 2014 due to declining sales.

Property, Plant and Equipment:

Property, plant and equipment are stated at cost less accumulated depreciation and amortization. Repairs and maintenance are charged to operations as incurred while major renewals and betterments are capitalized. Upon the sale or disposition of a fixed asset, the asset and the related accumulated depreciation or amortization are removed from the accounts and the gain or loss is included in operations. The Company capitalizes interest on borrowings during the active construction period of major capital projects. Capitalized interest is added to the cost of the underlying asset and amortized over the estimated useful life of the asset.

Depreciation and amortization are computed on the straight-line method over the estimated useful lives of the assets or, in the case of leasehold improvements, over the term of the lease including any reasonably assured renewal periods, if shorter. The useful lives of the assets range from three to ten years.

Impairment of Long-Lived Asset and other Lease Charges:

The Company reviews long-lived assets for impairment when events or circumstances indicate that the carrying value of such assets may not be fully recoverable. Impairment is evaluated based on the sum of undiscounted estimated future cash flows expected to result from use of an asset compared to its carrying value. If impairment is recognized, the carrying value of the impaired asset is reduced to its fair value, based on discounted estimated future cash flows. During fiscal year 2015 and 2014, the Company tested its long-lived assets for impairment and recognized pre-tax, non-cash impairment charges of $0.3 million each year related to the carrying value of one Company-owned Buffet Unit in Texas and two Company-owned Pie Five Units in Texas.

Accounts Receivable:

Accounts receivable consist primarily of receivables from food and supply sales and franchise royalties. The Company records a provision for doubtful receivables to allow for any amounts that may be unrecoverable based upon an analysis of the Company's prior collection experience, customer creditworthiness and current economic trends. After all attempts to collect a receivable have failed, the receivable is written off against the allowance. Finance charges may be accrued at a rate of 18% per year, or up to the maximum amount allowed by law, on past due receivables. The interest income recorded from finance charges is immaterial.

Notes Receivable:

Notes receivable primarily consist of accounts receivable from franchisees converted into notes. The majority of amounts and terms are contained under formal promissory and personal guarantee agreements. All notes allow for early payment without penalty. Fixed principle and interest payments are due weekly or monthly. Interest income is recognized monthly. Notes receivable mature at various dates through 2024 and bear interest at rates that range from 5% to 7% (6% average rate at June 28, 2015).

Management evaluates the creditworthiness of franchisees by considering credit history and sales to evaluate credit risk. Management determines interest rates based on credit risk of the underlining franchisee. The Company monitors payment history to determine whether or not a loan should be placed on a nonaccrual status or impaired.

The Company charges off notes receivable based on an account-by-account analysis of the borrower’s current economic conditions, monthly payments history and historical loss experience. The allowance for doubtful notes receivable is included with the allowance for doubtful accounts. Notes receivable as of June 28, 2015 totaled $143,000, of which $24,000 was included in current assets and $119,000 was included in long-term assets in the accompanying balance sheet.

The principal balance outstanding on the notes receivable and expected principal collections for the next five years and thereafter were as follows as of June 28, 2015 (in thousands):

	Notes
	Receivable
2016		21
2017		9
2018		12
2019		15
2020 and thereafter		86
	$	143

Two notes totaling $48,813 were charged off for the fiscal year ended June 28, 2015.

Income Taxes:

Income taxes are accounted for using the asset and liability method pursuant to the authoritative guidance on Accounting for Income Taxes. Deferred taxes are recognized for the tax consequences of "temporary differences" by applying enacted statutory tax rates applicable to future years to differences between the financial statement and carrying amounts and the tax bases of existing assets and liabilities. The effect on deferred taxes for a change in tax rates is recognized in income in the period that includes the enactment date. The Company recognizes future tax benefits to the extent that realization of such benefits is more likely than not.

Management evaluates the deferred tax asset at the end of each fiscal quarter to determine if an allowance against the deferred tax asset is required, and at the end of fiscal years 2015 and 2014 determined that it was more likely than not that the deferred tax asset would be fully realized based on the expectation of future taxable income and the future reversal of temporary differences. Therefore, no allowance was recorded. This determination and future estimates could be impacted by changes in future taxable income, the results of tax strategies or changes in tax laws.

The Company follows authoritative guidance that prescribes a comprehensive model for how a company should recognize, measure, present, and disclose in its financial statements uncertain tax positions that it has taken or expects to take on a tax return. This authoritative guidance requires that a company recognize in its financial statements the impact of tax positions that meet a “more likely than not” threshold, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. As of June 28, 2015 and June 29, 2014, the Company had no uncertain tax positions. Federal returns for tax years 2011 through 2014 remained open for examination as of June 28, 2015.

Pre-Opening Expense:

The Company's pre-opening costs are expensed as incurred and generally include payroll and other direct costs associated with training new managers and employees prior to opening a new restaurant, rent and other unit operating expenses incurred prior to opening, and promotional costs associated with the opening.

Related Party Transactions:

On February 20, 2014, the Company entered into an Advisory Services Agreement (the “Agreement”) with NCM Services, Inc. (“NCMS”) pursuant to which NCMS provides certain advisory and consulting services to the Company. NCMS is indirectly owned and controlled by Mark E. Schwarz, the Chairman of the Company. The term of the Agreement commenced December 30, 2013, and continues quarterly thereafter until terminated by either party. Pursuant to the Agreement, NCMS was paid an initial fee of $150,000 and earns quarterly fees of $50,000 and an additional fee of up to $50,000 per quarter (not to exceed an aggregate of $100,000 in additional fees). The quarterly and additional fees are waived if the Company is not in compliance with all financial covenants under its primary credit facility or to the extent that payment of those fees would result in non-compliance with such financial covenants. As of June 28, 2015, the accrued liability relating to services performed by NCMS was $133,336.

Revenue Recognition:

The Company recognizes food and supply revenue when products are delivered and the customer takes ownership and assumes risk of loss, collection of the relevant receivable is probable, persuasive evidence of an arrangement exists and the sales price is fixed or determinable. The Company's Norco division sells food and supplies to franchisees on trade accounts under terms common in the industry. Shipping and handling costs billed to customers are recognized as revenue and the associated costs are included in cost of sales.

Franchise revenue consists of income from license fees, royalties, and area development and foreign master license sales. License fees are recognized as income when there has been substantial performance of the agreement by both the franchisee and the Company, generally at the time the restaurant is opened. Royalties are recognized as income when earned. For the fiscal years ended June 28, 2015 and June 29, 2014, 82% and 91%, respectively, of franchise revenue was comprised of recurring royalties.

We recognize restaurant sales when food and beverage products are sold. The Company reports revenue net of sales and use taxes collected from customers and remitted to governmental taxing authorities.

Stock Options:

We account for stock options using the fair value recognition provisions of the authoritative guidance on Share-Based Payments. The Company uses the Black-Scholes formula to estimate the value of stock-based compensation for options granted to employees and directors and expects to continue to use this acceptable option valuation model in the future. The authoritative guidance also requires the benefits of tax deductions in excess of recognized compensation cost to be reported as a financing cash flow.

The Company’s stock-based compensation plans are described more fully in Note H. Stock options under these plans are granted at exercise prices equal to the fair market value of the Company’s stock at the dates of grant. Generally those options vest ratably over various vesting periods.

Fair Value of Financial Instruments:

The carrying amounts of accounts receivable and accounts payable approximate fair value because of the short maturity of these instruments. The Company had no bank debt at June 28, 2015.

Advertising and Marketing Costs:

Advertising and marketing costs are expensed as incurred and totaled $0.7 million for both fiscal years ended June 28, 2015, and June 29, 2014. Advertising and marketing costs are included in cost of sales and general and administrative expenses in the consolidated statements of operations.

Contingencies:

Provisions for legal settlements are accrued when payment is considered probable and the amount of loss is reasonably estimable in accordance with the authoritative guidance on Accounting for Contingencies. If the best estimate of cost can only be identified within a range and no specific amount within that range can be determined more likely than any other amount within the range, and the loss is considered probable, the minimum of the range is accrued. Legal and related professional services costs to defend litigation are expensed as incurred.

Use of Management Estimates:

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires the Company’s management to make estimates and assumptions that affect its reported amounts of assets, liabilities, revenues, expenses and related disclosure of contingent liabilities. The Company bases its estimates on historical experience and other various assumptions that it believes are reasonable under the circumstances. Estimates and assumptions are reviewed periodically. Actual results could differ materially from estimates.

Fiscal Year:

The Company's fiscal year ends on the last Sunday in June. The fiscal year ended June 28, 2015 and the fiscal year ended June 29, 2014 both contained 52 weeks.

PROPERTY, PLANT AND EQUIPMENT

12 Months Ended

Jun. 28, 2015

PROPERTY, PLANT AND EQUIPMENT

PROPERTY, PLANT AND EQUIPMENT {1}

NOTE B – PROPERTY, PLANT AND EQUIPMENT:

Property, and plant and equipment consist of the following (in thousands):

	Estimated Useful	June 28,			June 29,
	Lives	2015			2014

Equipment, furniture and fixtures	3 - 7 yrs	$	6,927		$	4,864
Software	5 yrs		637			424
Vehicle	2 - 3 yrs		19			19
Leasehold improvements	10 yrs or lease term, if shorter		9,134			4,820
			16,717			10,127
Less: accumulated depreciation/amortization			(6,697	)		(4,994	)
		$	10,020		$	5,133

Depreciation and amortization expense was approximately $1.6 million and $1.5 million for the fiscal years ended June 28, 2015 and June 29, 2014, respectively.

ACCRUED EXPENSES

12 Months Ended

Jun. 28, 2015

ACCRUED EXPENSES

ACCRUED EXPENSES {1}

NOTE C - ACCRUED EXPENSES:

Accrued expenses consist of the following (in thousands):

	June 28,		June 29,
	2015		2014
Compensation	$	587	$	455
Other		506		244
Professional fees		79		132
Insurance loss reserves		95		95

	$	1,267	$	926

LONG-TERM DEBT

12 Months Ended

Jun. 28, 2015

LONG-TERM DEBT

LONG-TERM DEBT {1}

NOTE D - LONG-TERM DEBT:

On August 28, 2012, the Company entered into a Loan and Security Agreement (the “F&M Loan Agreement”) with The F&M Bank & Trust Company (“F&M”) providing for a $2.0 million revolving credit facility (with a $500 thousand letter of credit subfacility), a $2.0 million fully funded term loan facility and a $6.0 million advancing term loan facility. An origination fee of 0.5% of the total credit facilities was paid at closing. At closing, F&M funded a $2.0 million term loan payable in 48 equal monthly installments of principal plus accrued interest at a fixed rate of 4.574% per annum. Amounts repaid under this fully funded term loan could not be reborrowed. Initial proceeds from the F&M Loan Agreement were used to repay amounts borrowed under a previous credit facility that subsequently was canceled.

On June 13, 2013 the Company entered into a First Amendment to the F&M Loan Agreement that revised certain financial covenants to address proceeds from the Company’s at-the-market offerings of common stock. On September 10, 2013 the Company entered into a Second Amendment to the F&M Loan Agreement that specified the application of prepayments to the loan amortization schedule and revised certain definitions.

The Company could borrow, repay and reborrow under the revolving credit facility through August 28, 2014, at which time all amounts outstanding under the revolving credit facility would mature. The Company did not draw borrowings on the revolving credit facility during fiscal 2015 and allowed it to expire. An unused commitment fee of 0.50% per annum was payable quarterly on the average unused portion of the revolving credit facility.

Through August 28, 2014, F&M had agreed to make up to $6.0 million in additional term loans to the Company. However, no amounts were outstanding on the advancing term loan facility at the expiration of the advance period. As of September 26, 2014, the balance on the initial term loan facility was also paid in full. As a result, the F&M Loan Agreement expired by its terms.

Management believes the cash on hand combined with cash from operations and proceeds from the 2014 ATM Offering will be sufficient to fund operations for the next 12 months.

INCOME TAXES

12 Months Ended

Jun. 28, 2015

INCOME TAXES

INCOME TAXES {1}

NOTE E - INCOME TAXES:

Provision for income taxes from continuing operations consists of the following (in thousands):

	Fiscal Year Ended
	June 28,			June 29,
	2015			2014
Current - Federal	$	-		$	-
Current - Foreign		24			-
Current - State		29			18
Deferred - Federal		(674	)		(722	)
Deferred - State		(49	)		(56	)
Provision for income taxes	$	(670	)	$	(760	)

Included in loss from discontinued operations is $86,000 and $59,000 of tax benefit for the fiscal years ended June 28, 2015 and June 29, 2014, respectively.

The effective income tax rate varied from the statutory rate for the fiscal years ended June 28, 2015 and June 29, 2014 as reflected below (in thousands):

	June 28,			June 29,
	2015			2014
Federal income taxes based on 34%
of pre-tax income	$	(796	)	$	(763	)
State income tax, net of federal effect		(13	)		(52	)
Permanent adjustments		44			8
Foreign tax credits		24			-
Other		71			47
	$	(670	)	$	(760	)

The tax effects of temporary differences that give rise to the net deferred tax assets consisted of the following (in thousands):

	June 28,		June 29,
	2015		2014


Current
Reserve for bad debt	$	69	$	98
Deferred fees		124		54
Other reserves and accruals		536		798
		729		950
Non Current
Credit carryforwards		180		181
Net operating loss carryforwards		1,633		734
Depreciable assets		51		24

Total gross deferred tax asset		2,593		1,889

Valuation allowance		-		-

Net deferred tax asset	$	2,593	$	1,889

At the end of fiscal 2015, the Company had federal and state net operating loss carryforwards of $5.1 million and $1.8 million that are available to reduce future taxable income and will begin to expire in 2033. Of these amounts, approximately $0.6 million is related to excess stock compensation that will be recorded as additional paid-in capital when realized as a reduction in taxes payable. These net operating loss carryforwards result in a deferred tax asset of $1.6 million and $0.7 million at June 28, 2015, and June 29, 2014, respectively. Management believes that future operations will generate sufficient taxable income, along with the reversal of temporary differences, to fully realize the net deferred tax asset.

LEASES

12 Months Ended

Jun. 28, 2015

LEASES

LEASES {1}

NOTE F - LEASES:

Premises occupied by Company-owned restaurants are leased for initial terms of five to ten years, and each has multiple renewal terms. Certain lease agreements contain either a provision requiring additional rent if sales exceed specified amounts or an escalation clause based upon a predetermined multiple.

In fiscal 2007, the Company sold its corporate office building and distribution facility located at 3551 Plano Parkway, The Colony, Texas, and entered into a ten-year lease agreement for the corporate office building.

Future minimum rental payments under non-cancelable leases, net of subleases, with initial or remaining terms of one year or more at June 28, 2015 were as follows (in thousands):

	Operating
	Leases

2016	$	2,414
2017		2,077
2018		1,757
2019		1,709
2020		1,660
Thereafter		5,946
	$	15,563

Rental expense consisted of the following (in thousands):

	Fiscal Year Ended
	June 28,			June 29,
	2015			2014

Minimum rentals	$	1,666		$	1,448
Sublease rentals		(221	)		(182	)
	$	1,445		$	1,266

EMPLOYEE BENEFITS

12 Months Ended

Jun. 28, 2015

EMPLOYEE BENEFITS

EMPLOYEE BENEFITS {1}

NOTE G - EMPLOYEE BENEFITS:

The Company has a tax advantaged savings plan that is designed to meet the requirements of Section 401(k) of the Internal Revenue Code (the “Code”). The current plan is a modified continuation of a similar savings plan established by the Company in 1985. Employees who have completed six months of service and are at least 21 years of age are eligible to participate in the plan. The plan provides that participating employees may elect to have between 1% and 15% of their compensation deferred and contributed to the plan subject to certain IRS limitations. Effective June 27, 2005, the Company contributes on behalf of each participating employee an amount equal to 50% of the employee’s contributions up to 4% of compensation. Separate accounts are maintained with respect to contributions made on behalf of each participating employee. Employer matching contributions and earnings thereon are invested in the same investments as each participant’s employee deferral. The plan is subject to the provisions of the Employee Retirement Income Security Act, as amended, and is a profit sharing plan as defined in Section 401(k) of the Code.

For the fiscal years ended June 28, 2015 and June 29, 2014, total matching contributions to the tax advantaged savings plan by the Company on behalf of participating employees were approximately $39,000 and $12,000, respectively.

STOCK OPTIONS

12 Months Ended

Jun. 28, 2015

STOCK OPTIONS

STOCK OPTIONS {1}

NOTE H - STOCK OPTIONS:

In June 2005, the 2005 Employee Incentive Stock Option Award Plan (the “2005 Employee Plan”) was approved by the Company’s shareholders with a plan effective date of June 23, 2005. Under the 2005 Employee Plan, officers and employees of the Company were eligible to receive options to purchase shares of the Company’s common stock. Options were granted at market value of the stock on the date of grant, were subject to various vesting and exercise periods as determined by the Compensation Committee of the board of directors, and could be designated as non-qualified or incentive stock options. A total of 1,000,000 shares of common stock were authorized for issuance under the 2005 Employee Plan. During the 2015 fiscal year, options to purchase 92,000 shares were granted under the 2005 Employee Plan. Also during the 2015 fiscal year, 3,000 shares of common stock were issued upon the exercise of options granted under the 2005 Employee Plan. The 2005 Employee Plan expired by its terms on June 23, 2015.

The shareholders also approved the 2005 Non-Employee Directors Stock Award Plan (the “2005 Directors Plan”) in June 2005, to be effective as of June 23, 2005. Directors not employed by the Company were eligible to receive stock options under the 2005 Directors Plan. Options for common stock equal to twice the number of shares of common stock acquired during the previous fiscal year, up to 40,000 shares per year, were automatically granted to each non-employee director on the first day of each fiscal year. Options were granted at market value of the stock on the first day of each fiscal year, with vesting periods beginning at a minimum of six months and with exercise periods up to ten years. A total of 650,000 shares of Company common stock were authorized for issuance pursuant to the 2005 Directors Plan. During the 2015 fiscal year, 28,800 options were granted under the 2005 Directors Plan. Also during the 2015 fiscal year, 167,200 shares of common stock were issued upon the exercise of options granted under the 2005 Directors Plan. The 2005 Directors Plan expired by its terms on June 23, 2015.

The 2015 Long Term Incentive Plan (the “2015 LTIP”) was approved by the Company’s shareholders on November 18, 2014, and became effective June 1, 2015. Officers, employees and non-employee directors of the Company are eligible to receive awards under the 2015 LTIP. A total of 1,200,000 shares of common stock are authorized for issuance under the 2015 LTIP. Awards authorized under the 2015 LTIP include incentive stock options, non-qualified stock options, restricted shares, restricted stock units and rights (either with or without accompanying options). The 2015 LTIP provides for options to be granted at market value of the stock on the date of grant and have exercise periods determined by the Compensation Committee of the board of directors. The Compensation Committee may also determine the vesting periods, performance criteria and other terms and conditions of all awards under the 2015 LTIP. As of June 28, 2015, no awards had been granted under the 2015 LTIP.

A summary of stock option transactions under all of the Company’s stock option plans and information about fixed-price stock options is as follows:

	Fiscal Year Ended
	June 28, 2015					June 29, 2014
				Weighted-					Weighted-
				Average					Average
				Exercise					Exercise
	Shares			Price		Shares			Price

Outstanding at beginning
of year		921,198		$	2.92		851,306		$	2.54

Granted		120,800		$	6.57		147,892		$	4.92
Exercised		(170,200	)	$	2.50		(39,144	)	$	2.12
Forfeited/Canceled/Expired		-		$	-		(38,856	)	$	3.15

Outstanding at end of year		871,798		$	3.51		921,198		$	2.92

Exercisable at end of year		406,378		$	2.63		473,659		$	2.43

Weighted-average fair value of
options granted during the year				$	3.16				$	3.64

Total intrinsic value of
options exercised				$	425,944				$	82,845

At June 28, 2015, the total intrinsic value of options outstanding was $8.6 million and of options exercisable was $4.3 million.

The following table provides information on options outstanding and options exercisable as of June 28, 2015:

		Options Outstanding						Options Exercisable
				Weighted-
				Average
		Options		Remaining		Weighted-		Options		Weighted-
Range of		Outstanding		Contractual		Average		Exercisable		Average
Exercise Prices		at June 28, 2015		Life (Years)		Exercise Price		at June 28, 2015		Exercise Price

$	1.55 - 1.95		81,306		4.1	$	1.90		81,306	$	1.90
$	1.96 - 2.35		90,000		3.0	$	2.32		90,000	$	2.32
$	2.36 - 2.75		397,000		7.2	$	2.57		145,000	$	2.60
$	2.76 - 3.30		55,000		7.0	$	3.11		55,000	$	3.11
$	3.31 - 3.81		41,528		7.5	$	3.81		12,458	$	1.52
$	5.51 - 5.74		8,664		8.0	$	5.74		8,664	$	5.74
$	5.95 - 6.25		153,300		8.9	$	6.06		12,450	$	6.02
$	6.26 - 8.16		45,000		8.9	$	8.09		1,500	$	8.16
			871,798		6.9	$	3.51		406,378	$	2.63

We determine fair value following the authoritative guidance as follows:

Valuation and Amortization Method. We estimate the fair value of share-based awards granted using the Black-Scholes option valuation model. We amortize the fair value of all awards on a straight-line basis over the requisite service periods, which are generally the vesting periods.

Expected Life. The expected life of awards granted represents the period of time that they are expected to be outstanding. Unless a life is specifically stated, we determine the expected life using the “simplified method” in accordance with Staff Accounting Bulletin No. 110 since we do not have sufficient historical share option exercise experience.

Expected Volatility. Using the Black-Scholes option valuation model, we estimate the volatility of our common stock at the date of grant based on the historical volatility of our common stock.

Risk-Free Interest Rate. We base the risk-free interest rate used in the Black-Scholes option valuation model on the implied yield currently available on U.S. Treasury zero-coupon issues with an equivalent remaining term equal to the expected life of the award.

Expected Dividend Yield. We have not paid any cash dividends on our common stock in the last ten years and we do not anticipate paying any cash dividends in the foreseeable future. Consequently, we use an expected dividend yield of zero in the Black-Scholes option valuation model.

Expected Forfeitures. We use historical data to estimate pre-vesting option forfeitures. We record stock-based compensation only for those awards that are expected to vest.

The following weighted average assumptions were used for options granted in the last two fiscal years:

	June 28,			June 29,
Fiscal Year Ended	2015			2014

Expected life (in years)		5.9			6.0
Expected volatility		39.1	%		42.8	%
Risk-free interest rate		1.9	%		1.5	%
Expected forfeiture rate		47.1	%		58.2	%

The share based compensation expense is included in general and administrative expense in the statement of operations.

At June 28, 2015, the Company had unvested options to purchase 465,420 shares with a weighted average grant date fair value of $2.66. The total remaining unrecognized compensation cost related to unvested awards amounted to approximately $0.4 million at June 28, 2015. The weighted average remaining requisite service period of the unvested awards was 15.1 months. Stock compensation expense of $0.1 million was recognized in each of fiscal years 2015 and 2014.

- Definition

The entire disclosure for freestanding option contracts issued by an entity that are indexed to, and potentially settled in, an entity's own stock. Includes disclosure on the strike price and the number of shares to which the contract is indexed, the settlement date or dates of the contract, and the issuer's accounting for the contract. If the terms of the contract provide settlement alternatives, those settlement alternatives are disclosed, including who controls the settlement alternatives, and the maximum number of shares that could be required to be issued, to net share settle the contract, if applicable. If a contract does not have a fixed or determinable maximum number of shares that could be required to be issued, the fact that a potentially infinite number of shares that may be required to be issued to settle the contract is disclosed. Disclosure also includes the contract's current fair value for each settlement alternative and how changes in the price of the issuer's equity instruments affect those settlement amounts.

+ References + Details

SHAREHOLDERS' EQUITY

12 Months Ended

Jun. 28, 2015

SHAREHOLDERS' EQUITY {1}

SHAREHOLDERS' EQUITY {2}

NOTE I - SHAREHOLDERS’ EQUITY:

On April 22, 2009, the board of directors of the Company amended the stock repurchase plan first authorized on May 23, 2007, and previously amended on June 2, 2008, by increasing the aggregate number of shares of common stock the Company may repurchase under the plan to a total of 3,016,000 shares. No shares were repurchased during fiscal 2015 and, as of June 28, 2015, there were 848,425 shares available to repurchase under the plan.

On May 20, 2013, the Company entered into an At-the-Market Issuance Sales Agreement with MLV & Co. LLC (“MLV”) pursuant to which the Company could offer and sell shares of its common stock having an aggregate offering price of up to $3,000,000 from time to time through MLV, acting as agent (the “2013 ATM Offering”). The 2013 ATM Offering was undertaken pursuant to Rule 415 and a shelf Registration Statement on Form S-3 which was declared effective by the SEC on May 13, 2013. On November 20, 2013, the Company and MLV amended the At-the-Market Issuance Sales Agreement and the SEC declared effective a new shelf Registration Statement on Form S-3 to increase the 2013 ATM Offering by $5,000,000. The Company ultimately sold an aggregate of 1,257,609 shares in the 2013 ATM Offering, realizing aggregate net proceeds of $7.8 million.

On October 1, 2014, the Company entered into a new At Market Issuance Sales Agreement with MLV pursuant to which the Company could initially offer and sell shares of its common stock having an aggregate offering price of up to $5,000,000 from time to time through MLV, acting as agent (the “2014 ATM Offering”). On February 13, 2015, the aggregate offering amount of the 2014 ATM Offering was increased to $10,000,000. The 2014 ATM Offering is being undertaken pursuant to Rule 415 and a shelf Registration Statement on Form S-3 which was declared effective by the SEC on August 8, 2014. Through June 28, 2015, the Company had sold an aggregate of 767,463 shares in the 2014 ATM Offering, realizing aggregate net proceeds of $7.1 million.

The Company pays to MLV a fee equal to 3% of the gross sales price in addition to reimbursing certain costs. Expenses associated with the 2013 ATM Offering and 2014 ATM Offering were $42,000 and $43,000 in fiscal 2015 and fiscal 2014, respectively, which includes fees and expense reimbursement to MLV and legal and other offering expenses incurred by the Company.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
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-Publisher SEC
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-Number Topic 4
-Section E

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
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+ Details

COMMITMENTS AND CONTINGENCIES

12 Months Ended

Jun. 28, 2015

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES {1}

NOTE J - COMMITMENTS AND CONTINGENCIES:

The Company is subject to various claims and contingencies related to employment agreements, franchise disputes, lawsuits, taxes, food product purchase contracts and other matters arising out of the normal course of business. Management believes that any such claims and actions currently pending are either covered by insurance or would not have a material adverse effect on the Company's annual results of operations or financial condition if decided in a manner that is unfavorable to us.

EARNINGS PER SHARE

12 Months Ended

Jun. 28, 2015

EARNINGS PER SHARE

EARNINGS PER SHARE {1}

NOTE K - EARNINGS PER SHARE:

The Company computes and presents earnings per share (“EPS”) in accordance with the authoritative guidance on Earnings Per Share. Basic EPS excludes the effect of potentially dilutive securities while diluted EPS reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised, converted or resulted in the issuance of common stock that then shared in the earnings of the entity.

The following table shows the reconciliation of the numerator and denominator of the basic EPS calculation to the numerator and denominator of the diluted EPS calculation (in thousands, except per share amounts).

	Fiscal Year Ended
	June 28,			June 29,
	2015			2014
Loss from continuing operations	$	(1,671	)	$	(1,454	)
Discontinued operations		(168	)		(113	)
Net loss available to common stockholders	$	(1,839	)	$	(1,567	)

BASIC:
Weighted average common shares		9,744			8,635

Loss from continuing operations per common share	$	(0.17	)	$	(0.17	)
Discontinued operations per common share		(0.02	)		(0.01	)
Net loss per common share	$	(0.19	)	$	(0.18	)

DILUTED:
Weighted average common shares		9,744			8,635
Stock options		562			538
Weighted average common shares outstanding		10,306			9,173


Loss from continuing operations per common share	$	(0.16	)	$	(0.16	)
Discontinued operations per common share		(0.02	)		(0.01	)
Net loss per common share	$	(0.18	)	$	(0.17	)

SEGMENT REPORTING

12 Months Ended

Jun. 28, 2015

SEGMENT REPORTING

SEGMENT REPORTING {1}

NOTE L– SEGMENT REPORTING:

The Company has two reportable operating segments as determined by management using the “management approach” as defined by the authoritative guidance on Disclosures about Segments of an Enterprise and Related Information: (1) Franchising and Food and Supply Distribution, and (2) Company-owned Restaurants. These segments are a result of differences in the nature of the products and services sold. Corporate administration costs, which include, but are not limited to, general accounting, human resources, legal and credit and collections, are partially allocated to the two operating segments. Other revenue consists of nonrecurring items.

The Franchising and Food and Supply Distribution segment establishes franchisees and franchise territorial rights and sells and distributes proprietary and non-proprietary food and other items to franchisees. Revenue for this segment is derived from the sale of distributed products and franchise royalties, franchise fees and sale of area development and foreign master license rights. Assets for this segment include equipment, furniture and fixtures.

The Company-owned Restaurant segment includes sales and operating results for all Company-owned restaurants. Assets for this segment include equipment, furniture and fixtures for the Company-owned restaurants.

Corporate administration and other assets primarily include the deferred tax asset, cash and short-term investments, as well as furniture and fixtures located at the corporate office and trademarks and other intangible assets. All assets are located within the United States.

Summarized in the following tables are net sales and operating revenues, depreciation and amortization expense, income from continuing operations before taxes, capital expenditures and assets for the Company's reportable segments as of and for the fiscal years ended June 28, 2015 and June 29, 2014 (in thousands):

	Fiscal Year Ended
	June 28,			June 29,
	2015			2014
Net sales and operating revenues:
Franchising and food and supply distribution	$	35,330		$	32,253
Company-owned restaurants (1)		12,869			9,971
Consolidated revenues	$	48,199		$	42,224

Depreciation and amortization:
Franchising and food and supply distribution	$	24		$	19
Company-owned restaurants (1)		1,374			1,244
Combined		1,398			1,263
Corporate administration and other		219			191
Depreciation and amortization	$	1,617		$	1,454

Loss from continuing operations before taxes
Franchising and food and supply distribution (2)	$	1,492		$	762
Company-owned restaurants (1) (2)		(1,429	)		(1,212	)
Combined		63			(450	)
Impairment of long-lived assets and other lease charges		(300	)		(253	)
Corporate administration and other (2)		(2,104	)		(1,511	)
Loss from continuing operations before taxes	$	(2,341	)	$	(2,214	)

Capital Expenditures:
Franchising and food and supply distribution	$	-		$	-
Company-owned restaurants		6,443			1,918
Corporate administration		284			150
Combined capital expenditures	$	6,727		$	2,068

Assets:
Franchising and food and supply distribution	$	4,314		$	5,231
Company-owned restaurants		11,088			4,631
Corporate administration		8,569			6,106
Combined assets	$	23,971		$	15,968

(1) Company stores that were closed are included in discontinued operations in the accompanying Condensed Consolidated Statement of Operations.


(2) Portions of corporate administration and other have been allocated to segments.

The following table provides information on our foreign and domestic revenues:


Geographic information (revenues):
United States	$	47,509	$	41,342
Foreign countries		690		882
Consolidated total	$	48,199	$	42,224

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

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-Publisher FASB
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+ Details

ACCOUNTING POLICIES (POLICIES)

12 Months Ended

Jun. 28, 2015

Accounting Policies:

Description of Business

Description of Business:

Principles of Consolidation

Principles of Consolidation:

Reclassification

Reclassifications:

Certain reclassifications have been made to prior period amounts to conform to the current period presentation.

Cash and Cash Equivalents

Cash and Cash Equivalents:

The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents

Concentration of Credit Risk

Concentration of Credit Risk:

Inventories {2}

Inventories:

Closed Restaurants and Discontinued Operations

Closed Restaurants and Discontinued Operations:

Property, Plant and Equipment

Property, Plant and Equipment:

Impairment of Long-Lived Asset and other Lease Charges

Impairment of Long-Lived Asset and other Lease Charges:

Accounts Receivable

Accounts Receivable:

Notes Receivable

Notes Receivable:

The principal balance outstanding on the notes receivable and expected principal collections for the next five years and thereafter were as follows as of June 28, 2015 (in thousands):

	Notes
	Receivable
2016		21
2017		9
2018		12
2019		15
2020 and thereafter		86
	$	143

Two notes totaling $48,813 were charged off for the fiscal year ended June 28, 2015.

Income Taxes

Income Taxes:

Pre-Opening Expense

Pre-Opening Expense:

Related Party Transactions

Related Party Transactions:

Revenue Recognition

Revenue Recognition:

We recognize restaurant sales when food and beverage products are sold. The Company reports revenue net of sales and use taxes collected from customers and remitted to governmental taxing authorities

Stock Options

Stock Options:

Fair Value of Financial Instruments, Policy

Fair Value of Financial Instruments:

The carrying amounts of accounts receivable and accounts payable approximate fair value because of the short maturity of these instruments. The Company had no bank debt at June 28, 2015.

Advertising and Marketing Costs

Advertising and Marketing Costs:

Contingencies

Contingencies:

Use of Management Estimates

Use of Management Estimates:

Fiscal Year

Fiscal Year:

The Company's fiscal year ends on the last Sunday in June. The fiscal year ended June 28, 2015 and the fiscal year ended June 29, 2014 both contained 52 weeks.

NOTES RECEIVABLE (TABLES)

12 Months Ended

Jun. 28, 2015

NOTES RECEIVABLE (TABLES):

NOTES RECEIVABLE (TABLES)

The principal balance outstanding on the notes receivable and expected principal collections for the next five years and thereafter were as follows as of June 28, 2015 (in thousands):

	Notes
	Receivable
2016		21
2017		9
2018		12
2019		15
2020 and thereafter		86
	$	143

PROPERTY,PLANT AND EQUIPMENT (TABLES)

12 Months Ended

Jun. 28, 2015

PROPERTY,PLANT AND EQUIPMENT (TABLES):

PROPERTY,PLANT AND EQUIPMENT (TABLES)

Property, and plant and equipment consist of the following (in thousands):

	Estimated Useful	June 28,			June 29,
	Lives	2015			2014

Equipment, furniture and fixtures	3 - 7 yrs	$	6,927		$	4,864
Software	5 yrs		637			424
Vehicle	2 - 3 yrs		19			19
Leasehold improvements	10 yrs or lease term, if shorter		9,134			4,820
			16,717			10,127
Less: accumulated depreciation/amortization			(6,697	)		(4,994	)
		$	10,020		$	5,133

ACCRUED EXPENSES (TABLES)

12 Months Ended

Jun. 28, 2015

ACCRUED EXPENSES (TABLES):

ACCRUED EXPENSES (TABLES)

Accrued expenses consist of the following (in thousands):

	June 28,		June 29,
	2015		2014
Compensation	$	587	$	455
Other		506		244
Professional fees		79		132
Insurance loss reserves		95		95

	$	1,267	$	926

INCOME TAXES (TABLES)

12 Months Ended

Jun. 28, 2015

INCOME TAXES (TABLES):

Schedule of Income before Income Tax, Domestic and Foreign

Provision for income taxes from continuing operations consists of the following (in thousands):

	Fiscal Year Ended
	June 28,			June 29,
	2015			2014
Current - Federal	$	-		$	-
Current - Foreign		24			-
Current - State		29			18
Deferred - Federal		(674	)		(722	)
Deferred - State		(49	)		(56	)
Provision for income taxes	$	(670	)	$	(760	)

Schedule of Components of Income Tax Expense (Benefit)

The effective income tax rate varied from the statutory rate for the fiscal years ended June 28, 2015 and June 29, 2014 as reflected below (in thousands):

	June 28,			June 29,
	2015			2014
Federal income taxes based on 34%
of pre-tax income	$	(796	)	$	(763	)
State income tax, net of federal effect		(13	)		(52	)
Permanent adjustments		44			8
Foreign tax credits		24			-
Other		71			47
	$	(670	)	$	(760	)

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to the net deferred tax assets consisted of the following (in thousands):

	June 28,		June 29,
	2015		2014


Current
Reserve for bad debt	$	69	$	98
Deferred fees		124		54
Other reserves and accruals		536		798
		729		950
Non Current
Credit carryforwards		180		181
Net operating loss carryforwards		1,633		734
Depreciable assets		51		24

Total gross deferred tax asset		2,593		1,889

Valuation allowance		-		-

Net deferred tax asset	$	2,593	$	1,889

LEASES (TABLES)

12 Months Ended

Jun. 28, 2015

LEASES (TABLES):

RENTAL PAYMENTS (TABLES)

Future minimum rental payments under non-cancelable leases, net of subleases, with initial or remaining terms of one year or more at June 28, 2015 were as follows (in thousands):

	Operating
	Leases

2016	$	2,414
2017		2,077
2018		1,757
2019		1,709
2020		1,660
Thereafter		5,946
	$	15,563

RENTAL EXPENSES (TABLES)

Rental expense consisted of the following (in thousands):

	Fiscal Year Ended
	June 28,			June 29,
	2015			2014

Minimum rentals	$	1,666		$	1,448
Sublease rentals		(221	)		(182	)
	$	1,445		$	1,266

STOCK OPTIONS (TABLES)

12 Months Ended

Jun. 28, 2015

STOCK OPTIONS (TABLES)

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions

A summary of stock option transactions under all of the Company’s stock option plans and information about fixed-price stock options is as follows:

	Fiscal Year Ended
	June 28, 2015					June 29, 2014
				Weighted-					Weighted-
				Average					Average
				Exercise					Exercise
	Shares			Price		Shares			Price

Outstanding at beginning
of year		921,198		$	2.92		851,306		$	2.54

Granted		120,800		$	6.57		147,892		$	4.92
Exercised		(170,200	)	$	2.50		(39,144	)	$	2.12
Forfeited/Canceled/Expired		-		$	-		(38,856	)	$	3.15

Outstanding at end of year		871,798		$	3.51		921,198		$	2.92

Exercisable at end of year		406,378		$	2.63		473,659		$	2.43

Weighted-average fair value of
options granted during the year				$	3.16				$	3.64

Total intrinsic value of
options exercised				$	425,944				$	82,845

Schedule of Stockholders Equity

The following table provides information on options outstanding and options exercisable as of June 28, 2015:

		Options Outstanding						Options Exercisable
				Weighted-
				Average
		Options		Remaining		Weighted-		Options		Weighted-
Range of		Outstanding		Contractual		Average		Exercisable		Average
Exercise Prices		at June 28, 2015		Life (Years)		Exercise Price		at June 28, 2015		Exercise Price

$	1.55 - 1.95		81,306		4.1	$	1.90		81,306	$	1.90
$	1.96 - 2.35		90,000		3.0	$	2.32		90,000	$	2.32
$	2.36 - 2.75		397,000		7.2	$	2.57		145,000	$	2.60
$	2.76 - 3.30		55,000		7.0	$	3.11		55,000	$	3.11
$	3.31 - 3.81		41,528		7.5	$	3.81		12,458	$	1.52
$	5.51 - 5.74		8,664		8.0	$	5.74		8,664	$	5.74
$	5.95 - 6.25		153,300		8.9	$	6.06		12,450	$	6.02
$	6.26 - 8.16		45,000		8.9	$	8.09		1,500	$	8.16
			871,798		6.9	$	3.51		406,378	$	2.63

Schedule of Stock Options Roll Forward

The following weighted average assumptions were used for options granted in the last two fiscal years:

	June 28,			June 29,
Fiscal Year Ended	2015			2014

Expected life (in years)		5.9			6.0
Expected volatility		39.1	%		42.8	%
Risk-free interest rate		1.9	%		1.5	%
Expected forfeiture rate		47.1	%		58.2	%

EARNINGS PER SHARE (TABLES)

12 Months Ended

Jun. 28, 2015

EARNINGS PER SHARE (TABLES)

Schedule of Earnings Per Share, Basic and Diluted

	Fiscal Year Ended
	June 28,			June 29,
	2015			2014
Loss from continuing operations	$	(1,671	)	$	(1,454	)
Discontinued operations		(168	)		(113	)
Net loss available to common stockholders	$	(1,839	)	$	(1,567	)

BASIC:
Weighted average common shares		9,744			8,635

Loss from continuing operations per common share	$	(0.17	)	$	(0.17	)
Discontinued operations per common share		(0.02	)		(0.01	)
Net loss per common share	$	(0.19	)	$	(0.18	)

DILUTED:
Weighted average common shares		9,744			8,635
Stock options		562			538
Weighted average common shares outstanding		10,306			9,173


Loss from continuing operations per common share	$	(0.16	)	$	(0.16	)
Discontinued operations per common share		(0.02	)		(0.01	)
Net loss per common share	$	(0.18	)	$	(0.17	)

SEGMENT REPORTING (TABLES)

12 Months Ended

Jun. 28, 2015

SEGMENT REPORTING (TABLES)

Schedule of Segment Reporting Information, by Segment

	Fiscal Year Ended
	June 28,			June 29,
	2015			2014
Net sales and operating revenues:
Franchising and food and supply distribution	$	35,330		$	32,253
Company-owned restaurants (1)		12,869			9,971
Consolidated revenues	$	48,199		$	42,224

Depreciation and amortization:
Franchising and food and supply distribution	$	24		$	19
Company-owned restaurants (1)		1,374			1,244
Combined		1,398			1,263
Corporate administration and other		219			191
Depreciation and amortization	$	1,617		$	1,454

Loss from continuing operations before taxes
Franchising and food and supply distribution (2)	$	1,492		$	762
Company-owned restaurants (1) (2)		(1,429	)		(1,212	)
Combined		63			(450	)
Impairment of long-lived assets and other lease charges		(300	)		(253	)
Corporate administration and other (2)		(2,104	)		(1,511	)
Loss from continuing operations before taxes	$	(2,341	)	$	(2,214	)

Capital Expenditures:
Franchising and food and supply distribution	$	-		$	-
Company-owned restaurants		6,443			1,918
Corporate administration		284			150
Combined capital expenditures	$	6,727		$	2,068

Assets:
Franchising and food and supply distribution	$	4,314		$	5,231
Company-owned restaurants		11,088			4,631
Corporate administration		8,569			6,106
Combined assets	$	23,971		$	15,968

(1) Company stores that were closed are included in discontinued operations in the accompanying Condensed Consolidated Statement of Operations.


(2) Portions of corporate administration and other have been allocated to segments.

The following table provides information on our foreign and domestic revenues:


Geographic information (revenues):
United States	$	47,509	$	41,342
Foreign countries		690		882
Consolidated total	$	48,199	$	42,224

Notes Receivables (Details)	Jun. 28, 2015 USD ($)
Accounts Receivalble details
Finance charges may be accrued at a rate per year	18.00%
Notes Receivables details
Notes receivable bear interest rate minimum	5.00%
Notes receivable bear interest rate maximum	7.00%
Total notes receivables	$ 143,000
Current notes receivables	24,000
Long term notes receivables	$ 119,000

Expected Principal Collections For The Next Five Years And Thereafter (Details) $ in Thousands	Jun. 28, 2015 USD ($)
Expected principal collections for the next five years and thereafter
Notes Recevables 2016	$ 21
Notes Recevables 2017	9
Notes Recevables 2018	12
Notes Recevables 2019	15
Notes Recevables 2020 and there after	86
Total Notes Receivables	143
Two notes totaling	$ 48,813

Significant Accounting Policies (Details) - USD ($)	Jun. 28, 2015	Jun. 29, 2014	Feb. 20, 2014
Impairment of Long-Lived Asset
Long-lived assets for impairment and recognized pre-tax, non-cash impairment charges	$ 300,000
Related Party
NCMS was paid an initial fee			$ 150,000
Earns quarterly fees			50,000
Additional fee per quarter			50,000
Aggregate additional fees			$ 100,000
Accrued liability relating to services performed by NCMS	$ 133,336
Royalties in percentge	82.00%	91.00%
Advertising and Marketing Costs {1}
Advertising and marketing costs are expensed and totaled	$ 700,000

Property, and plant and equipment consist of the following (Details) - USD ($) $ in Thousands	Jun. 28, 2015	Jun. 29, 2014
Property, and plant and equipment consist of the following
Equipment, furniture and fixtures with estimated life of 3 to 7 years	$ 6,927	$ 4,864
Software with estimated life of 5 years	637	424
Vehicle with estimated life of 2 to 3 years	19	19
Leasehold improvements with estimated life of 10 yrs or lease term, if shorter	9,134	4,820
Gross Total of Property, and plant and equipment	16,717	10,127
Less: accumulated depreciation/amortization	(6,697)	(4,994)
Net Total of Property, and plant and equipment	$ 10,020	$ 5,133

Depreciation And Amortization Expense (Details) - USD ($)	12 Months Ended
	Jun. 28, 2015	Jun. 29, 2014
Depreciation and amortization expense Details
Depreciation and amortization expense	$ 1,600,000	$ 1,500,000

Accrued Expenses Consist Of The Following (Details) - USD ($) $ in Thousands	Jun. 28, 2015	Jun. 29, 2014
Accrued expenses consist of the following
Compensation accrued	$ 587	$ 455
Other	506	244
Professional fees accrued	79	132
Insurance loss reserves	95	95
Total accrued expense	$ 1,267	$ 926

Loan and Security Agreement with F & M Bank & Trust Company (Details) - USD ($)	Aug. 28, 2014	Aug. 28, 2012
Loan and Security Agreement with F & M Bank & Trust Company:
Revolving credit facility provided		$ 2,000,000
Fully Funded Term loan facility		2,000,000
Advancing term loan facility		$ 6,000,000
Origination fee of total credit facilities		0.50%
F & M funded term loan payable		$ 2,000,000
Term loan payable in equal monthly installments		48
Accrued interest at a fixed rate		4.57%
Unused commitment fee per annum is payable quarterly	0.50%
F&M had agreed to make up in additional term loans	$ 6,000,000

Provision For Income Taxes From Continuing Operations Consists Of The Following (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 28, 2015	Jun. 29, 2014
Provision for income taxes from continuing operations consists of the following
Current - Federal	$ 0
Current - Foreign	24
Current - State	29	$ 18
Deferred - Federal	(674)	(722)
Deferred - State	(49)	(56)
Provision for income taxes	(670)	(760)
Tax benefit Included in loss from discontinued operations	$ 86,000	$ 59,000

Effective Income Tax Rate Varied From The Statutory Rate (Details) - USD ($) $ in Thousands	Jun. 28, 2015	Jun. 29, 2014
Effective income tax rate varied from the statutory rate
Federal income taxes based on 34% of pre-tax income	$ (796)	$ (763)
State income tax, net of federal effect	(13)	(52)
Permanent adjustments	44	8
Foreign tax credits	24
Other adjustments	71	47
Total tax net	$ (670)	$ (760)

Tax Effects Of Temporary Differences That Give Rise To The Net Deferred tax Assets Consisted Of The Following (Details) - USD ($) $ in Thousands	Jun. 28, 2015	Jun. 29, 2014
Current
Reserve for bad debt	$ 69	$ 98
Deferred fees	124	54
Other reserves and accruals	536	798
Total gross current deferred tax asset	729	950
Non Current
Credit carryforwards,	180	181
Net operating loss carryforwards,	1,633	734
Depreciable assets	51	24
Total gross deferred tax asset	2,593	1,889
Valuation allowance	0
Net deferred tax asset	$ 2,593	$ 1,889

Income Tax (Details) - USD ($)	Jun. 28, 2015	Jun. 29, 2014
Income Tax
Company had federal and state net operating loss carryforwards	$ 5,100,000
Reduce future taxable income	1,800,000
Excess stock compensation	600,000
Net operating loss carryforwards result in a deferred tax asset	$ 1,600,000	$ 700,000

Future minimum rental payments under non-cancelable leases (Operating Leases) (Details) $ in Thousands	Jun. 28, 2015 USD ($)
Future minimum rental payments under non-cancelable leases
Future minimum rental payments under non-cancelable leases in 2016	$ 2,414
Future minimum rental payments under non-cancelable leases in 2017	2,077
Future minimum rental payments under non-cancelable leases in 2018	1,757
Future minimum rental payments under non-cancelable leases in 2019	1,709
Future minimum rental payments under non-cancelable leases in 2020	1,660
Future minimum rental payments under non-cancelable leases Thereafter	5,946
Future minimum rental payments under non-cancelable leases,	$ 15,563

Rental Expense Consisted Of The Following (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 28, 2015	Jun. 29, 2014
Rental expense consisted of the following
Minimum rentals	$ 1,666	$ 1,448
Sublease rentals	(221)	(182)
Total rental expense	$ 1,445	$ 1,266

Employee Benefits (Details) - USD ($)	12 Months Ended
Employee Benefits (Details) - USD ($)	Jun. 28, 2015	Jun. 29, 2014
EMPLOYEE BENEFITS Details
Contributions to the tax advantaged savings plan	$ 39,000	$ 12,000
Company contributes on behalf of each participating employee an amount equal to the percentage contributed by employees	50.00%
Maximum percentage of contribution by the employer as compensation	4.00%
Compensation deferred minimum	1.00%
Compensation deferred maximum	15.00%

Stock Options (Details)	Jun. 28, 2015 shares
Stock Options Details
Total shares of common stock are authorized for issuance under the 2005 Employee Plan	1,000,000
Options to purchase Shares granted under the Employee plan.	92,000
Shares of common stock were issued upon the exercise of options granted under Employee Plan	3,000
Shares of common stock acquired per year	40,000
Total shares of common stock are authorized for issuance under the 2005 Directors Plan	650,000
Options to purchase Shares granted under the Directors plan.	28,800
Shares of common stock were issued upon the exercise of options granted under Directors plan	167,200
Total shares of common stock are authorized for issuance under the 2015 LTIP	1,200,000
Company had unvested options to purchase shares	465,420
Weighted average grant date fair value per share	2,660,000
Total remaining unrecognized compensation cost related to unvested awards	400,000
Weighted average remaining requisite service period of the unvested awards in months	15.1

Stock-Based Compensation (details) - shares	12 Months Ended
Stock-Based Compensation (details) - shares	Jun. 28, 2015	Jun. 29, 2014
Stock-Based Compensation During The Period:
Recognized stock-based compensation expense	100,000	100,000

Common Stock To Outstanding Stock Options of 2013-2014 (Details) {Stockholder Equity} - shares	12 Months Ended
	Jun. 28, 2015	Jun. 28, 2014
Shares
Outstanding at beginning of year		851,306
Granted	147,892
Exercised	(39,144)
Forfeited/Canceled/Expired	(38,856)
Outstanding at end of year	921,198
Exercisable at end of year	473,659
Weighted- Average Exercise Price
Outstanding at beginning of year		2.54
Granted	4.92
Exercised	2.12
Forfeited/Canceled/Expired	3.15
Weighted-average fair value of options granted during the year	3.64
Total intrinsic value of options exercised	82,845
Outstanding at end of year	2.92
Exercisable at end of year	2.43

Common Stock To Outstanding Stock Options of 2014-2015 (Details) {Stockholder Equity} - shares	12 Months Ended
	Jun. 28, 2015	Jun. 28, 2014
Shares {1}
Outstanding at beginning of year {1}		921,198
Granted {1}	120,800
Exercised {1}	(170,200)
Forfeited/Canceled/Expired {1}	0
Outstanding at end of year {1}	871,798
Exercisable at end of year {1}	406,378
Weighted- Average Exercise Price {1}
Outstanding at beginning of year {1}		2.92
Granted {1}	6.57
Exercised {1}	2.5
Weighted-average fair value of options granted during the year {1}	3.16
Total intrinsic value of options exercised {1}	425,944
Outstanding at end of year {1}	3.51
Exercisable at end of year {1}	2.63

Total intrinsic value of options (Details)	Jun. 28, 2015 shares
Total intrinsic value of options
Total intrinsic value of options outstanding	8,600,000
Total intrinsic value of options exercisable	4,300,000

Options outstanding and options exercisable (Details){Stockholder Equity}	12 Months Ended
	Jun. 28, 2015 shares
Options Outstanding at June 28, 2015
Total Options outstanding and options exercisable	0
Total Options outstanding and options exercisable {1}	871,798
Total Options outstanding and options exercisable	0
Range of Exercise Prices 1.55 - 1.95	81,306
Range of Exercise Prices 1.96 - 2.35	90,000
Range of Exercise Prices 2.36 - 2.75	397,000
Range of Exercise Prices 2.76 - 3.30	55,000
Range of Exercise Prices 3.31 - 3.81	41,528
Range of Exercise Prices 5.51 - 5.74	8,664
Range of Exercise Prices 5.95 - 6.25	153,300
Range of Exercise Prices 6.26 - 8.16	45,000
Total Options outstanding and options exercisable {1}	871,798
Options Outstanding Weighted-Average Remaining Contractual Life (Years)
Total Options outstanding and options exercisable {1}	6.9
Range of Exercise Prices 1.55 - 1.95	4.1
Range of Exercise Prices 1.96 - 2.35	3
Range of Exercise Prices 2.36 - 2.75	7.2
Range of Exercise Prices 2.76 - 3.30	7
Range of Exercise Prices 3.31 - 3.81	7.5
Range of Exercise Prices 5.51 - 5.74	8
Range of Exercise Prices 5.95 - 6.25	8.9
Range of Exercise Prices 6.26 - 8.16	8.9
Total Options outstanding and options exercisable {1}	6.9
Options Outstanding Weighted-Average Exercise Price
Total Options outstanding and options exercisable {1}	3.51
Range of Exercise Prices 1.55 - 1.95	1.9
Range of Exercise Prices 1.96 - 2.35	2.32
Range of Exercise Prices 2.36 - 2.75	2.57
Range of Exercise Prices 2.76 - 3.30	3.11
Range of Exercise Prices 3.31 - 3.81	3.81
Range of Exercise Prices 5.51 - 5.74	5.74
Range of Exercise Prices 5.95 - 6.25	6.06
Range of Exercise Prices 6.26 - 8.16	8.09
Total Options outstanding and options exercisable {1}	3.51
Options Exercisable at June 28, 2015
Total Options outstanding and options exercisable {1}	406,378
Range of Exercise Prices 1.55 - 1.95	81,306
Range of Exercise Prices 1.96 - 2.35	90,000
Range of Exercise Prices 2.36 - 2.75	145,000
Range of Exercise Prices 2.76 - 3.30	55,000
Range of Exercise Prices 3.31 - 3.81	12,458
Range of Exercise Prices 5.51 - 5.74	8,664
Range of Exercise Prices 5.95 - 6.25	12,450
Range of Exercise Prices 6.26 - 8.16	1,500
Total Options outstanding and options exercisable {1}	406,378
Options Exercisable Weighted-Average Exercise Price
Total Options outstanding and options exercisable {1}	2.63
Range of Exercise Prices 1.55 - 1.95	1.9
Range of Exercise Prices 1.96 - 2.35	2.32
Range of Exercise Prices 2.36 - 2.75	2.6
Range of Exercise Prices 2.76 - 3.30	3.11
Range of Exercise Prices 3.31 - 3.81	1.52
Range of Exercise Prices 5.51 - 5.74	5.74
Range of Exercise Prices 5.95 - 6.25	6.02
Range of Exercise Prices 6.26 - 8.16	8.16
Total Options outstanding and options exercisable {1}	2.63

Weighted Average Assumptions (Details)	Jun. 28, 2015	Jun. 29, 2014
Weighted average assumptions
Expected life (in years)	5.9	6.0
Expected volatility	39.10%	42.80%
Risk-free interest rate	1.90%	1.50%
Expected forfeiture rate	47.10%	58.20%

Stock repurchase plan (Details) - shares	Jun. 28, 2015	Apr. 22, 2009
Stock repurchase plan
Aggregate number of shares of common stock the Company may repurchase under the plan		3,016,000
Shares available to repurchase under the plan.	848,425

Sales Agreement with MLV & Co. LLC (Details) - USD ($)	Jun. 28, 2015	Feb. 13, 2015	Oct. 01, 2014	Nov. 20, 2013	May 20, 2013
Sales Agreement with MLV & Co. LLC
Company may offer and sell shares of its common stock having an aggregate offering price			5,000,000		3,000,000
The Company pays to MLV a fee equal to the gross sales price					3.00%
Increase the 2014 ATM Offering by		$ 5,000,000		$ 5,000,000
Company had sold an aggregate of shares of common stock in the ATM offering	767,463				1,257,609
Realizing net proceeds in the ATM offering	$ 7,100,000				$ 7,800,000

ATM offering Expenses (Details) - USD ($)	12 Months Ended
ATM offering Expenses (Details) - USD ($)	Jun. 28, 2015	Jun. 29, 2014
ATM offering Expenses Details
Expenses associated with the ATM offering were	$ 42,000	$ 43,000

Earnings per Share (EPS) Consists of the Following (Details) - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Jun. 28, 2015	Jun. 29, 2014
Earnings per Share (EPS) Consists of the Following
Loss from continuing operations {2}	(1,671)	(1,454)
Discontinued operations	$ (168)	$ (113)
Net loss available to common stockholders	$ (1,839)	$ (1,567)
BASIC:
Weighted average common shares	9,744	8,635
Loss from continuing operations per common share	$ (0.17)	$ (0.17)
Discontinued operations per common share	(0.02)	(0.01)
Net loss per common share	$ (0.19)	$ (0.18)
DILUTED:
Weighted average common shares {1}	9,744	8,635
Stock options	562	538
Weighted average common shares outstanding	10,306	9,173
Loss from continuing operations per common share {1}	$ (0.16)	$ (0.16)
Discontinued operations per common share {1}	(0.02)	(0.01)
Net loss per common share {1}	$ (0.18)	$ (0.17)

Segment Reporting Operating Income And Geographic Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Jun. 28, 2015	Jun. 29, 2014
Net sales and operating revenues:
Franchising and food and supply distribution	$ 35,330	$ 32,253
Company-owned restaurants (1)	12,869	9,971
Consolidated revenues	48,199	42,224
Depreciation and amortization:
Franchising and food and supply distribution {1}	24	19
Company-owned restaurants (1) {1}	1,374	1,244
Combined	1,398	1,263
Corporate administration and other	219	191
Depreciation and amortization {1}	1,617	1,454
Loss from continuing operations before taxes
Franchising and food and supply distribution (2)	1,492	762
Company-owned restaurants (1) (2)	(1,429)	(1,212)
Combined {1}	63	(450)
Impairment of long-lived assets and other lease charges {1}	(300)	(253)
Corporate administration and other (2)	(2,104)	(1,511)
Loss from continuing operations before taxes {1}	(2,341)	(2,214)
Capital Expenditures:
Franchising and food and supply distribution {2}	0
Company-owned restaurants	6,443	1,918
Corporate administration	284	150
Combined capital expenditures	6,727	2,068
Assets:
Franchising and food and supply distribution {3}	4,314	5,231
Company-owned restaurants {1}	11,088	4,631
Corporate administration {1}	8,569	6,106
Combined assets	23,971	15,968
Geographic information (revenues):
United States	47,509	41,342
Foreign countries	690	882
Consolidated total	$ 48,199	$ 42,224

Label	Element	Value
Cash and cash equivalents, beginning of year	us-gaap_CashAndCashEquivalentsAtCarryingValue	$ 919,000