<SEC-DOCUMENT>0000930413-12-001605.txt : 20120615
<SEC-HEADER>0000930413-12-001605.hdr.sgml : 20120615
<ACCEPTANCE-DATETIME>20120316163443
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0000930413-12-001605
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		1
FILED AS OF DATE:		20120316

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			ARK RESTAURANTS CORP
		CENTRAL INDEX KEY:			0000779544
		STANDARD INDUSTRIAL CLASSIFICATION:	RETAIL-EATING PLACES [5812]
		IRS NUMBER:				133156768
		STATE OF INCORPORATION:			NY
		FISCAL YEAR END:			0930

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		85 FIFTH AVENUE
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10003-3019
		BUSINESS PHONE:		2122068800

	MAIL ADDRESS:	
		STREET 1:		85 FIFTH AVENUE
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10003-3019
</SEC-HEADER>
<DOCUMENT>
<TYPE>CORRESP
<SEQUENCE>1
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<P STYLE="margin: 0">&nbsp;</P>

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<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">March 16, 2012</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: justify">Mr.&nbsp;David R. Humphrey</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Accounting Branch Chief</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">United States Securities and Exchange
Commission</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Division of Corporation Finance</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">100 F Street N.E. Mail Stop 3561</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Washington, D.C. 20549</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; font: 12pt Times New Roman, Times, Serif; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 5%; line-height: 115%; font-weight: bold; text-align: justify">&nbsp;</TD>
    <TD STYLE="width: 5%; line-height: 115%; font-weight: bold; text-align: justify">Re:</TD>
    <TD STYLE="width: 90%; line-height: 115%; font-weight: bold; text-align: justify">Ark Restaurants Corp.</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="line-height: 115%; font-weight: bold; text-align: justify">Form 10-K for the fiscal year ended October 1, 2011</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="line-height: 115%; font-weight: bold; text-align: justify">Filed December 30, 2011</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="line-height: 115%; font-weight: bold; text-align: justify">File No.&nbsp;001-09453</TD></TR>
</TABLE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: justify">Dear Mr.&nbsp;Humphrey:</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: justify">We are responding to your letter
dated March 2, 2012 (the &ldquo;Comment Letter&rdquo;), in which you provided comments on the Ark Restaurants Corp. (the &ldquo;Company&rdquo;,
&ldquo;we&rdquo; or &ldquo;our&rdquo;) Annual Report on Form 10-K for the fiscal year ended October 1, 2011 filed on December 30,
2011. We appreciate the Staff&rsquo;s comments. For ease of reference, the Staff&rsquo;s comments are repeated <I>in italics</I>
below, immediately followed by the Company&rsquo;s response.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: justify">In connection with responding
to the Staff&rsquo;s comments, the Company acknowledges that:</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 12pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR>
    <TD STYLE="width: 5%; line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="width: 2%; vertical-align: top; line-height: 115%; text-align: justify">&bull;</TD>
    <TD STYLE="width: 1%; vertical-align: top; line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="vertical-align: top; line-height: 115%; text-align: justify">The Company is responsible for the adequacy and accuracy of the disclosure in the filing;</TD></TR>
</TABLE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 12pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR>
    <TD STYLE="width: 5%; line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="width: 2%; vertical-align: top; line-height: 115%; text-align: justify">&bull;</TD>
    <TD STYLE="width: 1%; vertical-align: top; line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="vertical-align: top; line-height: 115%; text-align: justify">Staff comments or changes to disclosure in response to Staff comments do not foreclose the Commission from taking any action with respect to the filing; and</TD></TR>
</TABLE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 12pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR>
    <TD STYLE="width: 5%; line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="width: 2%; vertical-align: top; line-height: 115%; text-align: justify">&bull;</TD>
    <TD STYLE="width: 1%; vertical-align: top; line-height: 115%; text-align: justify">&nbsp;</TD>
    <TD STYLE="vertical-align: top; line-height: 115%; text-align: justify">The Company may not assert Staff comments as a defense in any proceeding initiated by the Commission or any person under the federal securities laws of the United States.</TD></TR>
</TABLE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 9pt 0 0">We trust that this letter is fully responsive to your
comments. Please do not hesitate to contact the undersigned at 212-206-8804 if you have any further questions.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 9pt 0 0">Respectfully,</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 12pt Times New Roman, Times, Serif; width: 35%; border-collapse: collapse">
<TR>
    <TD STYLE="width: 5%">&nbsp;</TD>
    <TD STYLE="width: 95%">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD COLSPAN="2" STYLE="line-height: 115%">ARK RESTAURANTS CORP.</TD></TR>
<TR>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
<TR>
    <TD nowrap STYLE="vertical-align: top; line-height: 115%">By:&nbsp;&nbsp;</TD>
    <TD STYLE="vertical-align: top">
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0.75pt; border-bottom: black 0.75pt solid">/s/ Robert J.
        Stewart</P></TD></TR>
<TR STYLE="vertical-align: top">
    <TD COLSPAN="2" STYLE="line-height: 115%">Robert J. Stewart</TD></TR>
<TR STYLE="vertical-align: top">
    <TD COLSPAN="2" STYLE="line-height: 115%">Chief Financial Officer</TD></TR>
</TABLE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: justify">&nbsp;</P>

<HR noshade  width="100%" size=4>
<P align="left" style="page-break-before:always"></P><PAGE>



<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">Mr. David R. Humphrey</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">United States Securities and Exchange Commission</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">March 12, 2012</P>

<P STYLE="font: 12pt Calibri, Helvetica, Sans-Serif; margin: 0; text-align: right"><FONT STYLE="font-family: Times New Roman, Times, Serif">Page
2 of 6</FONT></P>



<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0"><B></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0"><B><U>Ark Restaurant Corp. Responses</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><U>Form 10-K for the fiscal year
ended October 1, 2011</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><U>Item 7. Management&rsquo;s Discussion
and Analysis of Financial Condition and Results of Operations,</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><U>page 24</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><U>Overview, page 24</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt">
<FONT STYLE="font-size: 12pt"><I>1.</I></FONT><I><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">With respect to your discussion and analysis of operating results, we encourage you to consider
the following revisions, as set forth in section III.A of FR-72:</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 58.5pt; text-align: justify; text-indent: -0.25in">
<FONT STYLE="font: 12pt Symbol">&#183;</FONT>
<FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt"><I>use tables to list, quantify, and sum all of the material individual factors to which changes
in accounts are attributable; and</I></FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 58.5pt; text-align: justify; text-indent: -0.25in">
<FONT STYLE="font: 12pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT>
<FONT STYLE="font-size: 12pt"><I>refocus the narrative text portion of the disclosure on analysis of the underlying business
reasons for the individual factors in the tables above.</I></FONT></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0"><I>&nbsp;</I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><I>For example, in the first
paragraph of your overview, you quantify the impairment charge associated with leasehold improvements and equipment. However, your
overview does not quantify all the items you identified. Since such items appear to be material, please revise to quantify such
items, preferably in a tabular format.</I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> In
future filings, including our upcoming Form 10-Q for the quarter ended March 31, 2012, we will include additional disclosures in
our MD&amp;A as deemed necessary, in tabular format or otherwise, as requested by the Staff.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify">&nbsp;</P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt">
<FONT STYLE="font-size: 12pt"><I>2.</I></FONT><I><FONT STYLE="font-size: 7pt">
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT STYLE="font-size: 12pt">Your current disclosure of revenues, excluding revenues from VIE&rsquo;s, appears to represent
a non-GAAP measure. In this regard, please consider revising to include that a table that presents food and beverage sales, other
revenues and VIE related revenues, along with a corresponding subtotal for consolidated revenues as presented on the face of your
audited financial statements. This comment also applies to your discussion of costs and expenses as well as income taxes.</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> With
respect to our disclosures in MD&amp;A of revenues, costs and expenses and taxes excluding amounts from VIEs, the Company believes
that the current presentation is more meaningful with respect to comparability and clarity to the reader of the financial statements.
This combined with the other disclosures related to VIEs on the face of the balance sheet, income statement and footnotes serve
to provide additional information with respect to the VIEs. Such MD&amp;A presentation is no longer applicable effective with the
beginning of our 2012 fiscal year as the VIEs are now included in both periods as evidenced by our filing on Form 10-Q for the
quarter ended December 31, 2011.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify"><B>&nbsp;</B></P>

<HR noshade  width="100%" size=4>
<P align="left" style="page-break-before:always"></P><PAGE>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">Mr. David R. Humphrey</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">United States Securities and Exchange Commission</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">March 12, 2012</P>

<P STYLE="font: 12pt Calibri, Helvetica, Sans-Serif; margin: 0; text-align: right"><FONT STYLE="font-family: Times New Roman, Times, Serif">Page
3 of 6</FONT></P>
<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 0 10pt"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><U>Item 15. Exhibits and Financial
Statement Schedules</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><U>Note 1. Business and summary of
significant accounting policies, page F-6</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt">
<FONT STYLE="font-size: 12pt"><I>3.</I></FONT><I><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT>
<FONT STYLE="font-size: 12pt">Please tell us and revise your notes to include your accounting policy with regard to reportable
segments. For guidance, refer to ASC Topic 280-10-50-21.</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> Management
has concluded that the Company is comprised of one operating segment as discussed in our response to comment 4. below. In future
filings, we will add clarifying language to our disclosures indicating we operate in one reportable segment.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify">&nbsp;</P>



<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt">
<FONT STYLE="font-size: 12pt"><I>4.</I></FONT><I><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">With regard to Ark Hollywood/Tampa Investment and Ark Connecticut Investment, please tell
us whether managed restaurants represent an operating segment under ASC Topic 280-10-50-1. In addition, since it appears your managed
restaurants generated operating income, while your company-owned restaurants generated operating losses during your current fiscal
year, it appears the economics of your management operations are significantly different from the economics of company-owned restaurants.
In addition, the nature of your operations also appears to differ. In particular, your company owned restaurants are in the business
of selling food and beverage products your customers. While your management operations also sell food and beverage to customers,
your end customer appears to be the owners of the managed restaurants, instead of the customers purchasing tangible products. In
other words, it appears the nature of your management operations is to provide a service to the owners of these restaurants. As
such, please tell us what consideration you gave as to whether managed restaurants represent a reportable segment under ASC Topic
280-10-50-10.</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> The
Company, through wholly-owned subsidiaries, owns 50% of the limited partnerships that operate the properties held by Ark Hollywood/Tampa
Investment and Ark Connecticut Investment. As such, the Company&rsquo;s management process with respect to these properties is
no different than its other properties. Although the profitability of the VIEs in fiscal 2011 was better than our other properties,
the economics are substantially similar to our other operations as well as the end customer being the purchaser of the food and
beverage products as opposed to the limited partners in these entities. Based on these factors and the new accounting guidance
with respect to &ldquo;kick-out&rdquo; rights as discussed in comment 5. below, the Company now consolidates these entities. Upon
consolidation we reviewed the segment guidance in ASC Topic 280-10-50-10. In addition, ASC 280-10-50-11 further states that operating
segments often exhibit similar long-term financial performance if they have similar economic characteristics. For example, similar
long-term average gross margins for two operating segments would be expected if their economic characteristics were similar. Two
or more operating segments may be aggregated into a single operating segment if aggregation is consistent with the objective and
basic principles of this Subtopic, if the segments have similar economic characteristics, and if the segments are similar in all
of the following areas:</P>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify">&nbsp;</P>
<HR noshade  width="100%" size=4>
<P align="left" style="page-break-before:always"></P><PAGE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">Mr. David R. Humphrey</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">United States Securities and Exchange Commission</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">March 12, 2012</P>

<P STYLE="font: 12pt Calibri, Helvetica, Sans-Serif; margin: 0; text-align: right"><FONT STYLE="font-family: Times New Roman, Times, Serif">Page
4 of 6</FONT></P>
<P STYLE="font: 12pt Calibri, Helvetica, Sans-Serif; margin: 0; text-align: right">&nbsp;</P>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify">&nbsp;</P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 0.75in; text-align: justify; text-indent: -0.25in"><FONT STYLE="font-size: 12pt">a.</FONT><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">The nature of the products and services</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 0.75in; text-align: justify; text-indent: -0.25in"><FONT STYLE="font-size: 12pt">b.</FONT><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">The nature of the production processes</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 0.75in; text-align: justify; text-indent: -0.25in"><FONT STYLE="font-size: 12pt">c.</FONT><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">The type or class of customer for their products and services</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 0.75in; text-align: justify; text-indent: -0.25in">
<FONT STYLE="font-size: 12pt">d.</FONT><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;
</FONT>
<FONT STYLE="font-size: 12pt">The methods used to distribute their products or provide their services</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 0.75in; text-align: justify; text-indent: -0.25in">
<FONT STYLE="font-size: 12pt">e.</FONT><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">If applicable, the nature of the regulatory environment, for example, banking, insurance,
or public utilities.</FONT></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 0.75in; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify">Based on the above, management
has concluded that, although discrete financial information is available for the Company&rsquo;s many restaurants that management
regularly reviews, the above aggregation criteria are met with respect to all of the Company&rsquo;s operations and therefore the
Company is comprised of one reporting segment. In future filings, we will add clarifying language to our disclosures indicating
we operate in one reportable segment.</P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font:  11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><U>Notes to Consolidated Financial
Statements</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><U>Note 2. Consolidated of Variable
Interest Entity, page F-11</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt">
<FONT STYLE="font-size: 12pt"><I>5.</I></FONT><I><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">It appears that your basis for consolidating of Ark Hollywood/Tampa Investment and Ark Connecticut
Investment is premised on the requirement that a single party (including its related parties and de facto agents) be able to exercise
their rights to remove the decision maker in order for the &ldquo;kick-out&rdquo; rights to be considered substantive. In this
regard, it appears that you rely on ASC Topic 810-10-15-14(b)(1) and ASC Topic 810-10-25-38C to support your conclusion. As such,
it appears that you also concluded that you have the power to direct the activities that most significantly impact the economic
performance of these entities. Please tell us the nature of the activities that most significantly impact economic performance
of these entities and how you determined that you have the power to direct such activities.</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> The
Company, through wholly-owned subsidiaries, owns 50% of the limited partnerships that operate the properties held by Ark Hollywood/Tampa
Investment and Ark Connecticut Investment as has been designated the &ldquo;Manager&rdquo; of both properties. The operating agreements
of both limited partnerships state that the Manager shall have the exclusive right to manage the partnership&rsquo;s business.
The agreements further state:</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify">&nbsp;</P>

<P STYLE="font:  11pt Times New Roman, Times, Serif; margin: 0 0 0 61.5pt; text-align: justify; text-indent: -0.25in"><FONT STYLE="font: 12pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">The Manager shall: (i) manage the affairs and business of the partnerships; (ii) exercise
the authority and powers granted to the partnerships; and (iii) otherwise act in all other matters on behalf of the partnerships.
</FONT></P>

<P STYLE="font:  11pt Times New Roman, Times, Serif; margin: 0 0 0 61.5pt; text-align: justify; text-indent: -0.25in"><FONT STYLE="font: 12pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">No contract, obligation or liability of any kind or type can be entered into on behalf of
the partnerships by any member other than the Manager.</FONT></P>

<P STYLE="font:  11pt Times New Roman, Times, Serif; margin: 0 0 0 61.5pt; text-align: justify; text-indent: -0.25in"><FONT STYLE="font: 12pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">The Manager has all specific rights and powers required for the management of the restaurants
including, without limitation, the right to:</FONT></P>
<HR noshade  width="100%" size=4>
<P align="left" style="page-break-before:always"></P><PAGE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">Mr. David R. Humphrey</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">United States Securities and Exchange Commission</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">March 12, 2012</P>

<P STYLE="font: 12pt Calibri, Helvetica, Sans-Serif; margin: 0; text-align: right"><FONT STYLE="font-family: Times New Roman, Times, Serif">Page
5 of 6</FONT></P>
<P STYLE="font: 12pt Calibri, Helvetica, Sans-Serif; margin: 0; text-align: right">&nbsp;</P>
<P STYLE="font:  11pt Times New Roman, Times, Serif; margin: 0 0 0 97.5pt; text-align: justify; text-indent: -0.2in"><FONT STYLE="font: 12pt Courier New, Courier, Monospace">o</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">Design, develop and construct the restaurants as the Manager deems necessary.</FONT></P>

<P STYLE="font:  11pt Times New Roman, Times, Serif; margin: 0 0 0 97.5pt; text-align: justify; text-indent: -0.2in"><FONT STYLE="font: 12pt Courier New, Courier, Monospace">o</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">Operate and manage the restaurants in such a manner as the Manager may deem necessary, including,
but not limited to selection of vendors, purchase of food, beverages and supplies, maintenance of the restaurants and retention
of any services provided by third parties.</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 97.5pt; text-align: justify; text-indent: -0.2in"><FONT STYLE="font: 12pt Courier New, Courier, Monospace">o</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">Employ, engage, retain or dismiss an employee.</FONT></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 97.5pt; text-align: justify; text-indent: -0.2in"><FONT STYLE="font: 12pt Courier New, Courier, Monospace">o</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">Enter into contracts as deemed necessary to operate the restaurants.</FONT></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 97.5pt; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify">Based on the above, the Company
has concluded that it has the power to direct the activities of the Ark Hollywood/Tampa Investment and Ark Connecticut Investment
limited partnerships that most significantly impact the economic performance of these entities.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt"><FONT STYLE="font-size: 12pt"><I>6.</I></FONT><I><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">ASC Topic 810-10-15-14(b)(1) indicates that a decision maker shall not prevent equity holders
from having the power, through voting rights or similar rights, to direct the activities of a legal entity that most significantly
impacts the entity&rsquo;s economic performance unless the fees paid to the decision maker represent a variable interest as set
forth in ASC Topic 810-10-55-37 through 55-38. In this regard, please tell us whether the fees paid to you represent a variable
interest as set forth in ASC Topic 810-10-55-37(a) through (f) and provide us with your analysis.</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> Please
see our response to comment 5. above. Based on the clarifications provided above, the Company does not believe the requirements
of ASC Topic 810-10-55-37 through 55-38 are applicable in these circumstances as the Company is the decision maker with respect
to the Ark Hollywood/Tampa Investment and Ark Connecticut Investment limited partnerships and not a hired service provider as contemplated
in the above guidance.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 0 0 0.5in"><I>&nbsp;</I></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt"><FONT STYLE="font-size: 12pt"><I>7.</I></FONT><I><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">Based on the disclosures in your Form 10-K for the fiscal year ended October 1, 2010 and your
current Form 10-K, it is not clear whether you have any equity at risk with regard to Ark Hollywood/Tampa Investment and Ark Connecticut
Investment. In addition, it is not clear whether you have an obligation to absorb losses incurred, have the rights to receive benefits,
in the form of expected residual return, or have participation rights with regard to these entities. Please advise.</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> Please
see our response to comment 5. above. Further to this response, the Company is obligated to absorb 50% of any losses through the
allocation of profits and losses as set out in the partnership agreements. In addition, the Company is obligated to fund any operating
losses incurred and other working capital needs of the operations through working capital loans.</P>

<HR noshade  width="100%" size=4>
<P align="left" style="page-break-before:always"></P><PAGE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">Mr. David R. Humphrey</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">United States Securities and Exchange Commission</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: right">March 12, 2012</P>

<P STYLE="font: 12pt Calibri, Helvetica, Sans-Serif; margin: 0; text-align: right"><FONT STYLE="font-family: Times New Roman, Times, Serif">Page
6 of 6</FONT></P>
<P STYLE="font: 12pt Calibri, Helvetica, Sans-Serif; margin: 0; text-align: right">&nbsp;</P>
<P STYLE="font: 12pt Calibri, Helvetica, Sans-Serif; margin: 0; text-align: right">&nbsp;</P>
<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt"><FONT STYLE="font-size: 12pt"><I>8.</I></FONT><I><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">In addition, please tell us what consideration was given to ASC Topic 810-10-25-38E, as it
appears that your obligation to absorb losses or rights to receive benefits is significantly less than your stated power to direct
the activities that most significantly impact these entities economic performance.</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> Please
see our response to comments 5. and 7. above which show that multiple parties do not have the authority to impact the activities
of the VIEs.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 0 10pt"><I>&nbsp;</I></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt"><FONT STYLE="font-size: 12pt"><I>9.</I></FONT><I><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">Please tell us how your current disclosures comply with the disclosure requirements set forth
in ASC Topic 810-10-50-2AA through ASC Topic 810-10-50-3.</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> The
Company has reviewed the disclosure requirements with respect to ASC Topic 810-10-50-2AA through ASC Topic 810-10-50-3 and believes
it has met them as disclosed in footnote 2 of the consolidated financial statements and on the face of the balance sheet and income
statement.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><U>Signatures</U></B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify; text-indent: -22.5pt"><FONT STYLE="font-size: 12pt"><I>10.</I></FONT><I><FONT STYLE="font-size: 7pt">&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font-size: 12pt">Please refer to our prior comment 1 in our letter dated February 16, 2010 with respect to
your annual report on Form 10-K for the period ended on October 3, 2009. Please amend your annual report in your 2011 Form 10-K
to include the signature of your principal accounting officer or controller in the second signature block.</FONT></I></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-align: justify"><B><U>Response:</U></B> Please
note that the our Chief Financial Officer is our Principal Accounting Officer and in future filings the Company will include this
designation in the second signature block.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><I>&nbsp;</I></B></P>



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