SECURITIES & EXCHANGE COMMISSION
WASHINGTON, D.C. 20449
FORM 8-K
CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported) April 19, 2006
Ryan's Restaurant Group, Inc.
(Exact Name of Registrant as Specified in Its Charter)
Commission File Number 0-10943
South Carolina 57-0657895
(State or Other Jurisdiction (IRS Employer Identification No.)
of Incorporation)
405 Lancaster Avenue (29650)
Post Office Box 100
Greer, SC 29652
(Address of principal executive offices) (Zip Code)
Registrant's telephone number (including area code):(864)879-1000
Not Applicable
(Former Name or Former Address,
if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is
intended to simultaneously satisfy the filing obligation of the
registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the
Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the
Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b)
under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c)
under the Exchange Act (17 CFR 240.13e-4(c))
Item 1.01. Entry into a Material Definitive Agreement
In November 2002, a lawsuit was filed in the United States
District Court, Middle District of Tennessee, Nashville Division
(the "Court"), on behalf of three plaintiffs alleging various
wage and hour violations by Ryan's Restaurant Group, Inc.
("Ryan's"). Ryan's charged $6 million to general and
administrative expenses in 2005 as the estimated minimum
settlement amount for this litigation.
On April 19, 2006, the Court issued an order approving the
terms of a settlement of this litigation pursuant to a Joint
Stipulation of Settlement (the "Settlement Agreement") between
Ryan's and Erric Walker, Steve Ricketts, and Vickie Atchley, on
behalf of themselves and all other present and former hourly-paid
restaurant employees who were employed by Ryan's for any period
of time between November 12, 1999 and August 2, 2005 (the
"Eligible Class Members").
Pursuant to the Settlement Agreement, all claims relating to
this litigation are dismissed on the merits with prejudice
contingent upon the settlement administration process, and all
rights to appeal the order are waived. Ryan's is required to
create a settlement fund of no less than $2 million and no more
than $9 million - within this range, the amount of the settlement
fund will depend on the actual participation level by Eligible
Class Members.
Eligible Class Members who timely file claim forms pursuant
to the Settlement Agreement will receive a portion of the
settlement fund in an amount equivalent to $18.25 for each
workweek of active employment with Ryan's during the period
between November 12, 1999 and August 2, 2005, as adjusted to
ensure that the total settlement fund is not less than $2 million
or more than $9 million.
In addition, Ryan's will pay for the following:
the cost of mailing a notice to approximately 264,000
Eligible Class Members;
settlement administration costs, including without
limitation the cost of hiring and compensating a settlement
administrator;
between $3.5 million and $4.5 million in attorneys' fees,
costs and expenses to counsel for the Eligible Class; and
$100,000 in enhancement payments, which will be divided
among certain Eligible Class Members who opted into the class
early on.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act
of 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned hereunto duly authorized.
RYAN'S RESTAURANT GROUP, INC.
Date: April 25, 2006 By: /s/Fred T. Grant, Jr.
Name: Fred T. Grant, Jr.
Title: Senior Vice President -
Finance