Edgar Filing: GOLDEN ENTERPRISES INC

a50233674.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(X)	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly (thirteen and thirty-nine weeks) period ended March 2, 2012

( )	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from		to

Commission file number		0-4339

GOLDEN ENTERPRISES, INC.

(Exact name of registrant as specified in its charter)

DELAWARE		63-0250005
(State or other jurisdiction of		(I.R.S. Employer
incorporation or organization)		Identification No.)

One Golden Flake Drive
Birmingham, Alabama		35205
(Address of Principle Executive Offices)		(Zip Code)

(205) 458-7316

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes (X) No ( )

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).Yes ( ) No ( )

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company (as defined in Rule 12b-2 of the Act). (Check one):

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ( ) No (X)

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of March 30, 2012.

		Outstanding at
Class		March 30, 2012
Common Stock, Par Value $0.66 2/3		11,734,632

EXCHANGE ACT REPORTS AVAILABLE ON COMPANY WEBSITE

Under “SEC Filings” on the “Financial” page of the Company’s website located at www.goldenflake.com, links to the following filings are made available as soon as reasonably practicable after they are electronically filed with or furnished to the Securities and Exchange Commission (the “SEC”)” the Company’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, Proxy Statement on Schedule 14A related to the Company’s Annual Shareholders Meeting, and any amendments to those reports or statements filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Act of 1934. You may also read and copy any materials we file with the SEC at the SEC’s Public Reference Room at 100 F Street, NE, Washington, DC 20549. You may obtain information on the operation of the Public Reference Room by calling the SEC at 1-800-SEC-0330. The SEC also maintains an Internet website located at http://www.sec.gov that contains the information we file or furnish electronically with the SEC.

	GOLDEN ENTERPRISES, INC.
	INDEX
Part I.	FINANCIAL INFORMATION	Page No.

Item 1	Financial Statements (unaudited)

	Condensed Consolidated Balance Sheets March 2, 2012 (unaudited) and June 3, 2011	4

	Condensed Consolidated Statements of Income (unaudited) Thirteen Weeks and Thirty-Nine Weeks Ended March 2, 2012 and Fourteen Weeks and Forty Weeks Ended March 4, 2011	5

	Condensed Consolidated Statements of Cash Flows (unaudited) Thirty-Nine Weeks Ended March 2, 2012 and Forty Weeks Ended March 4, 2011	6

	Notes to Condensed Consolidated Financial Statements (unaudited)	8

	Report of Independent Registered Public Accounting Firm	10

Item 2	Management’s Discussion and Analysis of Financial Condition and Results of Operations	11

Item 3	Quantitative and Qualitative Disclosure About Market Risk	14

Item 4	Controls and Procedures	14

Part II.	OTHER INFORMATION	15

Item 1	Legal Proceedings	15

Item 1-A	Risk Factors	15

Item 2	Unregistered Sales of Equity Securities and Use of Proceeds	15

Item 3	Defaults Upon Senior Securities	15

Item 4	Submission of Matters to a Vote of Security Holders	15

Item 5	Other Information	15

Item 6	Exhibits	16

PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
GOLDEN ENTERPRISES, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS

	(Unaudited)			(Audited)
	March 2,			June 3,
	2012			2011
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	1,475,817		$	2,721,638
Receivables, net		10,846,695			10,220,220
Inventories:
Raw materials and supplies		1,809,816			1,596,731
Finished goods		3,515,944			3,398,898
		5,325,760			4,995,629

Prepaid expenses		2,148,714			1,803,827
Accrued income taxes		112,708			865,467
Deferred income taxes		633,370			633,370
Total current assets		20,543,064			21,240,151

Property, plant and equipment, net		25,512,637			24,646,418
Other assets		2,141,737			2,234,337

Total	$	48,197,438		$	48,120,906

LIABILITIES AND STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
Checks outstanding in excess of bank balances	$	1,461,516		$	998,386
Accounts payable		5,615,632			6,323,448
Current portion of long-term debt		354,717			344,791
Other accrued expenses		4,438,018			4,604,603
Salary continuation plan		177,994			167,662
Line of credit outstanding		1,955,004			1,777,567

Total current liabilities		14,002,881			14,216,457

LONG-TERM LIABILITIES
Notes payable - bank, non-current		5,797,330			6,064,983
Salary continuation plan		1,125,166			1,211,895
Deferred income taxes		2,969,917			2,969,917

Total long-term liabilities		9,892,413			10,246,795

STOCKHOLDER'S EQUITY
Common stock - $.66-2/3 par value:
35,000,000 shares authorized
Issued 13,828,793 shares		9,219,195			9,219,195
Additional paid-in capital		6,497,954			6,497,954
Retained earnings		19,510,754			18,866,264
		35,227,903			34,583,413
Less: Cost of common shares in treasury (2,094,161 shares at March 2, 2012
and June 3, 2011 respectively)		(10,925,759	)		(10,925,759	)

Total stockholder's equity		24,302,144			23,657,654

Total	$	48,197,438		$	48,120,906

See Accompanying Notes to Condensed Consolidated Financial Statements

GOLDEN ENTERPRISES, INC. AND SUDSIDIARY

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)


	Thirteen			Fourteen			Thirty-Nine			Forty
	Weeks			Weeks			Weeks			Weeks
	Ended			Ended			Ended			Ended
	March 2, 2012			March 4, 2011			March 2, 2012			March 4, 2011

Net sales	$	34,429,717		$	34,085,864		$	100,905,570		$	96,952,341
Cost of sales		17,902,409			18,093,815			52,622,503			50,186,487
Gross margin		16,527,308			15,992,049			48,283,067			46,765,854

Selling, general and administrative expenses		15,564,283			15,276,576			45,482,908			43,424,267
Operating income		963,025			715,473			2,800,159			3,341,587

Other (expenses) income:
Gain on sale of assets		44,450			8,157			136,835			59,942
Interest expense		(70,313	)		(84,530	)		(218,876	)		(280,127	)
Other income		22,522			30,868			88,365			154,525
Total other (expenses) income		(3,341	)		(45,505	)		6,324			(65,660	)

Income before income taxes		959,684			669,968			2,806,483			3,275,927
Income taxes		366,724			254,993			1,061,867			1,239,152
Net income	$	592,960		$	414,975		$	1,744,616		$	2,036,775

PER SHARE OF COMMON STOCK
Basic earnings	$	0.05		$	0.03		$	0.15		$	0.17
Diluted earnings	$	0.05		$	0.03		$	0.15		$	0.17

Weighted average number of common
stock share outstanding:
Basic		11,734,632			11,734,632			11,734,632			11,736,303
Diluted		11,734,632			11,734,632			11,734,632			11,736,303

Cash dividends paid per share of
common stock	$	0.0313		$	0.0313		$	0.0938		$	0.0938

See Accompanying Notes to Condensed Consolidated Financial Statements

GOLDEN ENTERPRISES, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)



	Thirty-Nine			Forty
	Weeks Ended			Weeks Ended
	March 2, 2012			March 4, 2011



CASH FLOWS FROM OPERATING ACTIVITIES

Cash received from customers	$	100,279,095		$	96,722,788
Miscellaneous income		88,365			154,525
Cash paid to suppliers and employees		(51,790,737	)		(46,703,613	)
Cash paid for operating expenses		(45,384,829	)		(43,830,642	)
Income taxes paid		(309,108	)		(1,462,631	)
Interest expenses paid		(218,876	)		(280,127	)
Net cash provided by operating activities		2,663,910			4,600,300


CASH FLOWS FROM INVESTING ACTIVITIES

Purchase of property, plant and equipment		(3,423,624	)		(4,363,502	)
Proceeds from sale of property, plant and equipment		231,177			77,535
Net cash used in investing activities		(3,192,447	)		(4,285,967	)


CASH FLOWS FROM FINANCING ACTIVITIES

Debt proceeds		27,204,764			26,765,492
Debt repayments		(27,285,054	)		(26,542,676	)
Change in checks outstanding in excess of bank
balances		463,130			(384,922	)
Cash dividends paid		(1,100,124	)		(1,100,799	)
Purchases of treasury shares		-			(36,960	)
Net cash used in financing activities		(717,284	)		(1,299,865	)


Net change in cash and cash equivalents		(1,245,821	)		(985,532	)
Cash and cash equivalents at beginning of period		2,721,638			1,443,801
Cash and cash equivalents at end of period	$	1,475,817		$	458,269

See Accompanying Notes to Condensed Consolidated Financial Statements

GOLDEN ENTERPRISES, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - CONTINUED

RECONCILIATION OF NET INCOME TO NET CASH FROM OPERATING ACTIVITIES
FOR THE THIRTY-NINE WEEKS ENDED MARCH 2, 2012 AND FORTY WEEKS ENDED MARCH 4, 2011




	Thirty-Nine			Forty
	Weeks Ended			Weeks Ended
	March 2, 2012			March 4, 2011

Net Income	$	1,744,616		$	2,036,775
Adjustments to reconcile net income to net cash provided by
operating activities:
Depreciation and amortization		2,463,063			2,353,905
Gain on sale of property and equipment		(136,835	)		(59,942	)

Changes in operating assets and liabilities:
Change in receivables - net		(626,475	)		(229,553	)
Change in inventories		(330,131	)		129,651
Change in prepaid expenses		(344,887	)		(614,308	)
Change in other assets		92,600			132,152
Change in accounts payable		(707,816	)		1,423,859
Change in accrued expenses		(166,587	)		(277,891	)
Change in salary continuation		(76,397	)		(70,869	)
Change in accrued income taxes		752,759			(223,479	)

Net cash provided by operating activities	$	2,663,910		$	4,600,300

See Accompanying Notes to Condensed Consolidated Financial Statements

GOLDEN ENTERPRISES, INC. AND SUBSIDIARY

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

The accompanying unaudited condensed consolidated financial statements of Golden Enterprises, Inc. (the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 to Regulation S-X. Accordingly, they do not include all information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting only of normal, recurring accruals) necessary for a fair presentation have been included. For further information, refer to the consolidated financial statements and footnotes included in the Company’s Annual Report on Form 10-K for year ended June 3, 2011.

2.	The consolidated results of operations for the thirty-nine weeks ended March 2, 2012 are not necessarily indicative of the results to be expected for the fifty-two week fiscal year ending June 1, 2012.

3.	The following tables summarize the prepaid assets accounts at March 2, 2012 and June 3, 2011.



	March 2, 2012		June 3, 2011

Truck shop supplies	$	582,342	$	657,788
Insurance deposit		138,959		138,959
Prepaid marketplace spending		162,692		239,157
Deferred advertising fees		346,750		-
Prepaid insurance		306,817		168,712
Prepaid taxes/licenses		221,694		152,115
Prepaid dues/supplies		356,335		413,805
Other		33,125		33,291

	$	2,148,714	$	1,803,827

The principal raw materials used in the manufacture of the Company’s snack food products are potatoes, corn, pork skin pellets, vegetable oils and seasoning. The principal supplies used are flexible film, cartons, trays, boxes and bags. These raw materials and supplies are generally available in adequate quantities in the open market from sources in the United States and are generally contracted up to a year in advance.

5.	Inventories are stated at the lower of cost or market. Cost is computed on the first-in, first-out method.

6.	As of October 15, 2011 all stock options expired and there are no instruments related to diluted earnings that are left outstanding.

7.	The Company has a letter of credit in the amount of $2,000,000 outstanding at March 2, 2012 and June 3, 2011. The letter of credit supports the Company’s commercial self-insurance program.

The Company has a line-of-credit agreement with a bank that permits borrowing up to $3,000,000. The line-of-credit is subject to the Company’s continued credit worthiness and compliance with the terms and conditions of the loan agreement. The Company’s line-of-credit debt as of March 2, 2012 was $1,955,004 with an interest rate of 3.50%, leaving the Company with $1,044,996 of credit availability. The Company’s line-of-credit debt as of June 3, 2011 was $1,777,567 with an interest rate of 4.00%, leaving the Company with $1,222,433 of credit availability.

The Company has a note payable with a balance of $6,200,000 as of March 2, 2012. The loan was established as a construction loan in March 2009 to help fund the construction of a process water treatment facility. In September 2009, the note converted to a 10-year fixed-rate note at 4.25% for $4,000,000. In March 2011, the loan was modified by taking the remaining balance of $3,532,700 and adding another $2,900,000 to finance the purchase and implementation of a new Enterprise Resource Planning computer software system. At that time, the interest rate on the loan was adjusted to 3.52% and the terms were re-established at 15 years for the repayment of the loan. The Company has been making monthly payments on the note and intends to repay it at the earliest practicable date, as there are no prepayment penalties.

10.	The Company’s financial instruments that are exposed to concentrations of credit risk consist primarily of cash equivalents and trade receivables.

The Company maintains deposit relationships with high credit quality financial institutions. The Company’s trade receivables result primarily from its snack food operations and reflect a broad customer base, primarily large grocery store chains located in the Southeastern United States. The Company routinely assesses the financial strength of its customers. As a consequence, concentrations of credit risk are limited.

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

We have reviewed the accompanying condensed consolidated balance sheet of Golden Enterprises, Inc. and subsidiary as of March 2, 2012, and the related condensed consolidated statements of income for the thirteen week and thirty-nine week periods and fourteen and forty week periods ended March 2, 2012 and March 4, 2011, and the related condensed statements of cash flows for the thirty-nine and forty week periods ended March 2, 2012 and March 4, 2011. These financial statements are the responsibility of the Company’s management.

We conducted our review in accordance with standards established by the Public Company Accounting Oversight Board (United States). A review of interim financial statements consists principally of applying analytical procedures to financial data and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with the standards of the Public Company Accounting Oversight Board, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.

Based on our review, we are not aware of any material modifications that should be made to the accompanying financial statements for them to be in conformity with accounting principles generally accepted in the United States of America.

We previously audited in accordance with the standards of the Public Company Accounting Oversight Board, the consolidated balance sheet as of June 3, 2011 and the related consolidated statements of income, changes in stockholders’ equity and cash flows for the fiscal year then ended (not presented herein), and in our report dated August 4, 2011 we expressed an unqualified opinion on those consolidated financial statements. In our opinion, the information set forth in the accompanying condensed consolidated balance sheet as of June 3, 2011, is fairly stated in all material respects in relation to the consolidated balance sheet from which it has been derived.

DUDLEY, HOPTON-JONES, SIMS & FREEMAN PLLP

Birmingham, Alabama

April 5, 2012

ITEM 2

MANAGEMENT’S DISCUSSION AND ANALYSIS OF

FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Management’s discussion and analysis of our financial condition and results of operations are based upon the condensed consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States. This discussion should be read in conjunction with our recent SEC filings, including Form 10-K for the year ended June 3, 2011 and filed on August 23, 2011. The preparation of these financial statements requires us to make estimates and judgments about future events that affect the reported amounts of assets, liabilities, revenues and expenses, and the related disclosures. Future events and their effects cannot be determined with absolute certainty. Therefore, management’s determination of estimates and judgments about the carrying values of assets and liabilities requires the exercise of judgment in the selection and application of assumptions based on various factors, including historical experience, current and expected economic conditions and other factors believed to be reasonable under the circumstances. We routinely evaluate our estimates including those considered significant and discussed in detail in Form 10-K for the year ended June 3, 2011. Actual results may differ from these estimates under different assumptions or conditions and such differences may be material.

Overview

The Company manufactures and distributes a full line of high quality salted snack items, such as potato chips, tortilla chips, corn chips, fried pork skins, baked and fried cheese curls, onion rings, and puff corn. The products are all packaged in flexible bags or other suitable wrapping material. The Company also sells canned dips, pretzels, peanut butter crackers, cheese crackers, dried meat products, and nuts packaged by other manufacturers using the Golden Flake label.

No single product or product line accounts for more than 50% of the Company’s sales, which affords some protection against loss of volume due to a crop failure of major agricultural raw materials or failure to procure an adequate supply of pork skin pellets. Raw materials used in manufacturing and processing the Company’s snack food products are purchased on the open market and under contract through brokers and directly from growers. A large part of the raw materials used by the Company consists of farm commodities which are subject to precipitous changes in supply and price. Weather varies from season to season and directly affects both the quality and supply of farm commodities available. The Company has no control of the price of agricultural commodities and its profits are affected accordingly.

The Company sells its products through its own sales organization to commercial establishments that sell food products primarily in the Southeastern United States and to independent distributors. The products are distributed through the independent distributors and route representatives who are supplied with selling inventory by the Company’s trucking fleet. All of the route representatives are employees of the Company and use the Company’s direct-store delivery system.

Liquidity and Capital Resources

At March 2, 2012 and June 3, 2011, working capital was $6,540,183 and $7,023,694, respectively.

The Company did not purchase shares of treasury stock this quarter. The Company’s current ratio was 1.47 to 1.00 at March 2, 2012 compared to 1.49 to 1.00 at June 3, 2011.

Accounts Receivable and Allowance for Doubtful Accounts

At March 2, 2012 and June 3, 2011 the Company had accounts receivables in the amount of $10,846,695 and $10,220,220, net of an allowance for doubtful accounts of $70,000 in both periods.

Other Commitments

Available cash, cash from operations and available credit under the line-of-credit are expected to be sufficient to meet anticipated cash expenditures and normal operating requirements for the foreseeable future.

Operating Results

For the thirteen weeks ended March 2, 2012, net sales increased 1.0% from the fourteen weeks ended March 4, 2011. For the thirty-nine weeks ended March 2, 2012, net sales increased 4.1% from the forty weeks ended March 4, 2011. This year’s thirteen weeks cost of sales was 52.0% of net sales compared to 53.1% for the fourteen weeks ended March 4, 2011. This year’s thirty-nine weeks cost of sales was 52.2% of net sales compared to 51.8% for last year’s forty weeks. This year’s thirteen weeks of selling, general and administrative expenses were 45.2% of net sales compared to 44.8% for last year’s fourteen weeks. This year’s selling, general and administrative expenses for thirty-nine weeks were 45.1% of net sales compared to 44.8% for last year’s forty weeks.

The following tables compare manufactured products to resale products:

Manufactured Products-Resale Products

	Thirteen Weeks Ended					Fourteen Weeks Ended
	March 2, 2012					March 4, 2011
Sales			%					%
Manufactured Products	$	26,887,219		78.1	%	$	26,030,081		76.4	%
Resale Products		7,542,498		21.9	%		8,055,783		23.6	%
Total	$	34,429,717		100.0	%	$	34,085,864		100.0	%


Gross Margin			%					%
Manufactured Products	$	13,960,128		51.9	%	$	13,198,994		50.7	%
Resale Products		2,567,180		34.0	%		2,793,055		34.7	%
Total	$	16,527,308		48.0	%	$	15,992,049		46.9	%



	Thirty-Nine Weeks Ended					Forty Weeks Ended
	March 2, 2012					March 4, 2011
Sales			%					%
Manufactured Products	$	77,701,386		77.0	%	$	74,764,974		77.1	%
Resale Products		23,204,184		23.0	%		22,187,367		22.9	%
Total	$	100,905,570		100.0	%	$	96,952,341		100.0	%


Gross Margin			%					%
Manufactured Products	$	40,355,172		51.9	%	$	38,946,545		52.1	%
Resale Products		7,927,895		34.2	%		7,819,309		35.2	%
Total	$	48,283,067		47.8	%	$	46,765,854		48.2	%

The Company’s gain on sale of assets for the thirteen weeks ended March 2, 2012 in the amount of $44,450 was from the sale of used transportation equipment.

For last year’s fourteen weeks, the gain on sale of assets was $8,157 from the sale of used transportation equipment.

The Company’s effective tax rate for the thirteen weeks ended March 2, 2012 was 38.2% compared to 38.1% for the last year’s fourteen weeks ended March 4, 2011. The Company’s effective tax rate for the thirty-nine weeks ended March 2, 2012 was 37.8% and 37.8% for the forty weeks ended March 4, 2011.

Market Risk

The principal market risks (i.e., the risk of loss arising from adverse changes in market rates and prices), to which the Company is exposed, are commodity prices affecting the cost of its raw materials.

The Company is subject to market risk with respect to commodities because its ability to recover increased costs through higher pricing may be limited by the competitive environment in which it operates. The Company purchases its raw materials on the open market and under contract through brokers or directly from growers. Future contracts have been used occasionally to hedge immaterial amounts of commodity purchases, but none are presently being used.

Inflation

Certain costs and expenses of the Company are affected by inflation. The Company’s prices for its products over the past several years have remained relatively flat. The Company will contend with the effect of further inflation through efficient purchasing, improved manufacturing methods, pricing and by monitoring and controlling expenses.

Environmental Matters

There have been no material effects of compliance with governmental provisions regulating discharge of materials into the environment.

Subsequent Events

Not applicable.

Forward-Looking Statements

This discussion contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those forward-looking statements. Factors that may cause actual results to differ materially include, but are not limited to, price competition, industry consolidation, raw material costs and effectiveness of sales and marketing activities, as described in the Company’s filings with the Securities and Exchange Commission.

ITEM 3

QUANTITATIVE AND QUALITATIVE

DISCLOSURE ABOUT MARKET RISK

Pursuant to Item 305(e) of Regulation S-K (Section 229.305(e)) the Company is not required to provide the Information under this item, as it is a “Smaller Reporting Company” as defined by Rule 229.10(f)(1).

ITEM 4

CONTROLS AND PROCEDURES

The Company’s management, with the participation of the Company’s Chief Executive Officer and Chief Financial Officer, has evaluated the effectiveness of the Company’s disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)), as of the end of the period covered by this report. Any controls and procedures, no matter how well designed and operated can provide only reasonable assurance of achieving the desired control objectives. Based on such evaluation, the Company’s Chief Executive Officer and Chief Financial Officer have concluded that, as of the end of such period, the Company’s disclosure controls and procedures provided reasonable assurance that the disclosure controls and procedures were effective in recording, processing, summarizing and reporting, on a timely basis, information required to be disclosed by the Company in the reports that it files or submits under the Exchange Act and in accumulating and communicating such information to management, including the Company’s Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

The Company’s management, with the participation of the Company’s Chief Executive Officer and Chief Financial Officer, conducted an evaluation of the Company’s internal control over financial reporting to determine whether any changes occurred during the Company’s third fiscal quarter ended March 2, 2012 that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting. Based on that evaluation, there has been no such change during the period covered by this report.

PART II OTHER INFORMATION

ITEM 1

LEGAL PROCEEDINGS

There are no material pending legal proceedings against the Company or its subsidiary other than routine litigation incidental to the business of the Company and its subsidiary.

ITEM 1-A

RISK FACTORS

There are no material changes in our risk factors from those disclosed in our 2011 Annual Report on Form 10-K.

ITEM 2

UNREGISTERED SALES OF EQUITY SECURITIES

AND USE OF PROCEEDS

The Company did not sell any equity securities during the period covered by this report.

Registrant Purchases of Equity Securities.

The Company did not purchase any shares of treasury stock for the quarterly period ended March 2, 2012

ITEM 3

DEFAULTS UPON SENIOR SECURITIES

Not applicable.

ITEM 4

SUBMISSION OF MATTERS TO

A VOTE OF SECURITY HOLDERS

Not applicable.

ITEM 5

OTHER INFORMATION

Not applicable.

ITEM 6

EXHIBITS

(3)

Articles of Incorporation and By-laws of Golden Enterprises, Inc.

3.1

Certificate of Incorporation of Golden Enterprises, Inc. (originally known as “Golden Flake, Inc.”) dated December 11, 1967 (incorporated by reference to Exhibit 3.1 to Golden Enterprises, Inc. May 31, 2004 Form 10-K filed with the Commission).

3.2

Certificate of Amendment of Certificate of Incorporation of Golden Enterprises, Inc. dated December 22, 1976 (incorporated by reference to Exhibit 3.2 to Golden Enterprises, Inc. May 31, 2004 Form 10-K filed with the Commission).

3.3

Certificate of Amendment of Certificate of Incorporation of Golden Enterprises, Inc. dated October 2, 1978 (incorporated by reference to Exhibit 3 to Golden Enterprises, Inc. May 31, 1979 Form 10-K filed with the Commission).

3.4

Certificate of Amendment of Certificate of Incorporation of Golden Enterprises, Inc. dated October 4, 1979 (incorporated by reference to Exhibit 3 to Golden Enterprises, Inc. May 31, 1980 Form 10-K filed with the Commission).

3.5

Certificate of Amendment of Certificate of Incorporation of Golden Enterprises, Inc. dated September 24, 1982 (incorporated by reference to Exhibit 3.1 to Golden Enterprises, Inc. May 31, 1983 Form 10-K filed with the Commission).

3.6

Certificate of Amendment of Certificate of Incorporation of Golden Enterprises, Inc. dated September 22, 1983 (incorporated by reference to Exhibit 19.1 to Golden Enterprises, Inc. Form 10-Q Report for the quarter ended November 30, 1983 filed with the Commission).

3.7

Certificate of Amendment of Certificate of Incorporation of Golden Enterprises. Inc. dated October 3, 1985 (incorporated by reference to Exhibit 19.1 to Golden Enterprises, inc. Form l0-Q Report for the quarter ended November 30, 1985 filed with the Commission).

3.8

Certificate of Amendment of Certificate of Incorporation of Golden Enterprises, Inc. dated September 23, 1987 (incorporated by reference to Exhibit 3.1 to Golden Enterprises, Inc. May 31, 1988 Form 10-K filed with the Commission).

3.9

By-Laws of Golden Enterprises, Inc. (incorporated by reference to Exhibit 3.4 to Golden Enterprises, Inc. May 31, 1988 Form 10-K filed with the Commission).

(10)

Material Contracts.

10.1

A Form of Indemnity Agreement executed by and between Golden Enterprises, Inc. and Each of its Directors (incorporated by reference as Exhibit 19.1 to Golden Enterprises, Inc. Form 10-Q Report for the quarter ended November 30, 1987 filed with the Commission).

10.2

Amended and Restated Salary Continuation Plans for John S. Stein (incorporated by reference to Exhibit 19.1 to Golden Enterprises, Inc. May 31, 1990 Form 10-K filed with the Commission).

10.3

Indemnity Agreement executed by and between the Company and S. Wallace Nall, Jr. (incorporated by reference as Exhibit 19.4 to Golden Enterprises, Inc. May 31, 1991 Form 10-K filed with the Commission).

10.4

Salary Continuation Plans - Retirement Disability and Death Benefits for F. Wayne Pate (incorporated by reference to Exhibit 19.1 to Golden Enterprises, Inc. May 31, 1992 Form 10-K filed with the Commission).

10.5

Indemnity Agreement executed by and between the Registrant and F. Wayne Pate (incorporated by reference as Exhibit 19.3 to Golden Enterprises, Inc. May 31, 1992 Form 10-K filed with the Commission).

10.9

Amendment to Salary Continuation Plans, Retirement and Disability for F. Wayne Pate dated April 9. 2002 (incorporated by reference to Exhibit 10.2 to Golden Enterprises, Inc. May 31, 2002 Form 10-K filed with the Commission).

10.10

Amendment to Salary Continuation Plans, Retirement and Disability for John S. Stein dated April 9, 2002 (incorporated by reference to Exhibit 10.3 to Golden Enterprises, Inc. May 31, 2002 Form 10-K filed with the Commission).

10.11

Amendment to Salary Continuation Plan, Death Benefits for John S. Stein dated April 9, 2002 (incorporated by reference to Exhibit 10.4 to Golden Enterprises, Inc. May 31, 2002 Form 10-K filed with the Commission).

10.12

Retirement and Consulting Agreement for John S. Stein dated April 9, 2002 (incorporated by reference to Exhibit 10.5 to Golden Enterprises, Inc. May 31, 2002 Form 10-K filed with the Commission).

10.13

Salary Continuation Plan for Mark W. McCutcheon dated May 15, 2002 (incorporated by reference to Exhibit 10.6 to Golden Enterprises, Inc. May 31, 2002 Form 10-K filed with the Commission).

10.14

Trust Under Salary Continuation Plan for Mark W. McCutcheon dated May 15, 2002 (incorporated by reference to Exhibit 10.7 to Golden Enterprises, Inc. May 31, 2002 Form 10-K filed with the Commission).

10.20

Amendment to Salary Continuation Plan for Mark W. McCutcheon dated December 30, 2008 (incorporated by reference to Exhibit 10.20 Golden Enterprises, Inc. February 27, 2009 Form 10-Q filed with the Commission).

10.24

A Form of Indemnity Agreement to be executed by and between Golden Enterprises, Inc. and the following directors: Mark W. McCutcheon, Joann F. Bashinsky, John S. Stein, III, William B. Morton, Jr., Paul R. Bates and David A. Jones.

10.25

A Purchase and Sales Agreement was executed by and between Golden Flake Snack Foods, Inc. as Seller, and Verizon Wireless Personal Communications LP as Purchaser, with a transfer date of June 17, 2011, for the sale of approximately 1 acre of land located adjacent to the Company’s central warehouse in Pensacola, Florida (incorporated by reference to Exhibit 10.25 to Golden Enterprises, Inc. June 3, 2011 Form 10-K filed with the Commission).

14.1

Golden Enterprises, Inc.’s Code of Conduct and Ethics adopted by the Board of Directors on April 8, 2004 (incorporated by reference to Exhibit 14.1 to Golden Enterprises, Inc. May 31, 004 Form 10-K with the Commission).

(18)

Letter Re: Change in Accounting Principles

18.1

Letter from the Registrant’s Independent Accountant dated August 12, 2005 indicating a change in the method of applying accounting practices followed by the Registrant for the fiscal year ended June 3, 2005 (incorporated by reference to Exhibit 18.1 to Golden Enterprises, Inc. June 3, 2005 Form 10-K filed with the Commission).

Subsidiaries of the Registrant (incorporated by reference to Exhibit 21 to Golden Enterprises, Inc. May 31, 2004 Form 10-K filed with the Commission)

(31)

Certifications

31.1

Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes Oxley Act of 2002.

31.2

Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes Oxley Act of 2002.

32. 1

Certification of Chief Executive Officer pursuant to Section 906 of the Sarbanes Oxley Act of 2002.

32.2

Certification of Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

(99)

Additional Exhibits

99.1

A copy of excerpts of the Last Will and Testament and Codicils thereto of Sloan Y. Bashinsky, Sr. and of the SYB Common Stock Trust created by Sloan Y. Bashinsky, Sr. providing for the creation of a Voting Committee to vote the shares of common stock of Golden Enterprises, Inc. held by SYB, Inc. and the Estate/Testamentary Trust of Sloan Y. Bashinsky, Sr. (Incorporated by reference to Exhibit 99.1 to Golden Enterprises, Inc. May 31, 2005 Form 10-k filed with the Commission).

101.INS

XBRL Instance Document

101.SCH

XBRL Taxonomy Extension Schema Document

101.CAL

XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF

XBRL Taxonomy Extension Definition Linkbase Document

101.LAB

XBRL Taxonomy Extension Label Linkbase Document

101.PRE

XBRL Taxonomy Extension Presentation Linkbase Document

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.

	GOLDEN ENTERPRISES, INC.
	(Registrant)

Dated: April 12, 2012	/s/ Mark W. McCutcheon
		Mark W. McCutcheon
		Chairman of the Board,
		President and
		Chief Executive Officer

Dated: April 12, 2012	/s/ Patty Townsend
		Patty Townsend
		Vice-President and
		Chief Financial Officer
		(Principal Accounting Officer)