JanOne Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Variable Interest Entity

Variable Interest Entity

6 Months Ended

Jun. 29, 2013

The financial position and results of operations of AAP are consolidated in our financial statements based on our conclusion that AAP is a variable interest entity and because we have the ability to significantly influence the economic performance of the entity through our contractual agreement with GE.

The following table summarizes the assets and liabilities of AAP as of June 29, 2013, and December 29, 2012:



	June 29, 2013		December 29, 2012
Assets
Current assets	$	858	$	787
Property and equipment, net	8,792		9,109
Other assets	143		149
Total Assets	$	9,793	$	10,045
Liabilities
Accounts payable	$	981	$	826
Accrued expenses	248		204
Current maturities of long-term debt obligations	874		635
Long-term debt obligations, net of current maturities	4,140		4,437
Other liabilities (a)	549		749
Total Liabilities	$	6,792	$	6,851

(a) Other liabilities represent loans between ARCA and AAP that are eliminated in consolidation.

The following table summarizes the operating results of AAP for the three and six months ended June 29, 2013, and June 30, 2012:



	Three Months Ended					Six Months Ended
	June 29, 2013			June 30, 2012		June 29, 2013			June 30, 2012
Revenues	$	2,667		$	2,926	$	5,244		$	5,646
Gross profit	434			727		750			1,249
Operating income (loss)	(6		)	290		(59		)	355
Net income (loss)	(83		)	179		(193		)	157