Noble Roman’s Moves to Bar BT Brands Highly Qualified Board Nominee

BT Brands, Inc. (Nasdaq: BTBD and BTBDW). Faced with a potentially crushing defeat in the upcoming shareholder vote, Noble Roman’s (OTC: NROM) has resorted to attempting to use a technical interpretation of its by-laws to exclude BT Brands’ nominee from the ballot for the July 6, shareholder election. In an eleventh-hour move, Noble Roman’s has taken the position that shares held in a brokerage account do not qualify as ownership for nominating a director candidate and soliciting a proxy. BT Brands and its CEO, Gary Copperud, own approximately 9% of the outstanding shares of Noble Roman’s. In this latest move, Noble Roman’s is disenfranchising its shareholders by preventing shareholders from having the opportunity to vote on a nominee in the upcoming board election. BT Brands notes it is reviewing its legal options under Indiana law and likely will challenge the latest move by Noble Roman’s. We also expect to further address the fiduciary responsibility of the current Board of Directors to all shareholders.

BT Brands Chairman Gary Copperud notes, “This move to deny shareholders the ability to vote for a director candidate in a fair and supervised election is another in a series of abusive attacks on the rights of Noble Roman’s shareholders.” Copperud further stated, “We have made our case to the Noble Roman shareholders. We believe we are hearing a consensus that the time for change at Noble Roman’s is now.” As a shareholder of Noble Roman’s, the case we have laid out to our fellow shareholders is straightforward. Our concerns center around declining shareholder value and the Company's deteriorating financial condition, driven by increased borrowing and Mobley Family compensation of approximately $800,000 per year in cash, excluding other undetermined benefits and the value of option awards. We have noted to shareholders, who we believe are painfully aware of recent events at the Company, that the losses and the erosion of the Company’s financial position coincide with the CEO term of management’s nominee, Scott Mobley, son of Chairman and Chief Financial Officer Paul Mobley and include:

• Share price declining from $2.14 to 20 cents;
• Shareholders’ equity falling from $14.9 million to under $1.9 million;
• Debt increasing from $2.7 million to $8.9 million;
• Eight years of compensation paid to the Mobleys totaling approximately $5.9 million – representing nearly 40 percent of the decline in shareholders’ equity;
• Employment Agreements committing over $5.9 million in future cash compensation to the Mobleys;
• Stock option awards to Paul and Scott Mobley of approximately 21% of the outstanding shares have been made in the face of abysmal performance and without shareholder approval.

Finally, Copperud noted, “Noble Roman’s is facing many challenges related to its business and capital structure. Our goal as a shareholder is to assist the Company in addressing these challenges and to start moving Noble Roman’s in a positive direction.”