CONSUL <CNSL> SEES IMPROVED LIQUIDITY
Consul Restaurant Corp chief financial
officer Robert Lamp told analysts a previously announced
conversion offer will reduce its debt-to-equity ratio to 55 pct
from 380 pct, assuming full acceptance of the offer.
    As of November 30, the company had about 26 mln dlrs of
total debt outstanding.
    Earlier, Consul said it would exchange 174,912 shares of
convertible preferred stock for 17.5 mln dlrs of outstanding 13
pct debentures.
    Lamp said that excess debt due to its withdrawal from the
Texas marketplace has been the key factor to blocking further
progress.
    The Mexican restaurant franchisee reported a net loss of
415,493 dlrs for the six months ended November 30, 1986.
    Acceptance of exchange offer by 90 pct of the debenture
holders will enable Consul to decrease its outstanding
indebtedness and report profitably beginning in the first
quarter of 1988, Lamp told analysts.
   
 Reuter
