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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549





Form 10-Q





(Mark one)



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

For the quarterly period ended March 29, 2011

or



| ̈ | 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 333-138338





NPC
INTERNATIONAL, INC.

(Exact name of registrant as specified in its charter)







|                                                               |  |                                        
|-------------------------------------------------------------- |  | ---------------------------------------
|KANSAS                                                         |  | 48-0817298                             
|(State or other jurisdiction of
incorporation or organization) |  | (I.R.S. employer identification number)
|                                                               | 
|7300 W. 129thStreet Overland Park, KS                          |  | 66213                                  
|(Address of principal executive offices)                       |  | (Zip Code)                             

Telephone: (913) 327-5555

(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  ̈    No x

(Note: As a voluntary filer, not subject to the filing requirements, the registrant filed all
reports required under Section 13 or 15(d) of the Exchange Act during the preceding 12 months.)

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 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. See the definitions of large accelerated filer, accelerated filer and smaller reporting company in Rule 12b-2 of the Exchange Act. (Check one):

Large Accelerated filer  ̈    Accelerated filer  ̈    Non-accelerated filer x    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

There is no market for the Registrants equity. As of April 28, 2011, there were 1,000 shares of common stock outstanding.







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INDEX



|              |  |                                                                                       |  |      |    | 
|------------- |  | ------------------------------------------------------------------------------------- |  | ---- | -- | 
|              |  |                                                                                       |  | Page |   
|Part I        |  | FINANCIAL INFORMATION                                                                 |  |      |    | 
|              |  |                                                                                      
|Item 1.       |  | Condensed Consolidated Financial Statements (unaudited)                               |  |      | 3  | 
|Item 2.       |  | Managements Discussion and Analysis of Financial Condition and Results of
Operations |  |      | 11 | 
|Item 3.       |  | Quantitative and Qualitative Disclosures About Market Risk                            |  |      | 19 | 
|Item 4.       |  | Controls and Procedures                                                               |  |      | 19 | 
|              |  |                                                                                      
|Part II       |  | OTHER INFORMATION                                                                     |  |      |    | 
|              |  |                                                                                      
|Item 1.       |  | Legal Proceedings                                                                     |  |      | 20 | 
|Item 1A.      |  | Risk Factors                                                                          |  |      | 20 | 
|Item 2.       |  | Unregistered Sales of Equity Securities and Use of Proceeds                           |  |      | 20 | 
|Item 3.       |  | Defaults Upon Senior Securities                                                       |  |      | 20 | 
|Item 4.       |  | Removed and Reserved                                                                  |  |      | 20 | 
|Item 5.       |  | Other Information                                                                     |  |      | 20 | 
|Item 6.       |  | Exhibits                                                                              |  |      | 21 | 
|Signatures    |  |                                                                                       |  |      | 22 | 
|Exhibit Index |  |                                                                                       |  |      | 23 | 



2



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PART I



|PART 1. | FINANCIAL INFORMATION
|------- | ---------------------



|Item 1. | Condensed Consolidated Financial Statements
|------- | -------------------------------------------

NPC INTERNATIONAL, INC.

CONSOLIDATED BALANCE SHEETS

(Unaudited)

(in thousands, except share and per share data)



|                                                                                                                                           |  |               |         |   |                  |   |         |  
|------------------------------------------------------------------------------------------------------------------------------------------ |  | ------------- | ------- | - | ---------------- | - | ------- | -
|                                                                                                                                           |  | March 29,2011 |         |   | December 28,2010 |  
|Assets                                                                                                                                     |  |               |         |   |                  |   |         |  
|Current assets:                                                                                                                            |  |               |         |   |                  |   |         |  
|Cash and cash equivalents                                                                                                                  |  | $             | 39,809  |   |                  | $ | 44,159  |  
|Accounts receivable                                                                                                                        |  |               | 3,835   |   |                  |   | 4,464   |  
|Inventories                                                                                                                                |  |               | 6,966   |   |                  |   | 7,163   |  
|Prepaid expenses and other current assets                                                                                                  |  |               | 5,944   |   |                  |   | 3,867   |  
|Assets held for sale                                                                                                                       |  |               | 548     |   |                  |   | 799     |  
|Deferred income taxes                                                                                                                      |  |               | 5,003   |   |                  |   | 5,434   |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  
|Total current assets                                                                                                                       |  |               | 62,105  |   |                  |   | 65,886  |  
|Facilities and equipment, less accumulated depreciation of $137,251 and $129,566, respectively                                             |  |               | 137,590 |   |                  |   | 143,713 |  
|Franchise rights, less accumulated amortization of $43,391 and $41,014, respectively                                                       |  |               | 396,886 |   |                  |   | 399,248 |  
|Goodwill                                                                                                                                   |  |               | 191,701 |   |                  |   | 191,701 |  
|Other assets, net                                                                                                                          |  |               | 25,232  |   |                  |   | 24,680  |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  
|Total assets                                                                                                                               |  | $             | 813,514 |   |                  | $ | 825,228 |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  
|                                                                                                                                           |  |              
|Liabilities and stockholders equity                                                                                                       |  |               |         |   |                  |   |         |  
|Current liabilities:                                                                                                                       |  |               |         |   |                  |   |         |  
|Accounts payable                                                                                                                           |  | $             | 24,224  |   |                  | $ | 22,722  |  
|Accrued liabilities                                                                                                                        |  |               | 37,379  |   |                  |   | 39,384  |  
|Accrued interest                                                                                                                           |  |               | 7,896   |   |                  |   | 4,386   |  
|Income taxes payable                                                                                                                       |  |               | 277     |   |                  |   | 389     |  
|Current portion of insurance reserves                                                                                                      |  |               | 9,777   |   |                  |   | 9,523   |  
|Current portion of debt                                                                                                                    |  |               |        |   |                  |   | 29,670  |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  
|Total current liabilities                                                                                                                  |  |               | 79,553  |   |                  |   | 106,074 |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  
|Long-term debt                                                                                                                             |  |               | 372,700 |   |                  |   | 372,700 |  
|Other deferred items                                                                                                                       |  |               | 32,404  |   |                  |   | 30,831  |  
|Insurance reserves                                                                                                                         |  |               | 12,840  |   |                  |   | 12,840  |  
|Deferred income taxes                                                                                                                      |  |               | 123,478 |   |                  |   | 120,451 |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  
|Total long-term liabilities                                                                                                                |  |               | 541,422 |   |                  |   | 536,822 |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  
|Commitments and contingencies                                                                                                              |  |               |         |   |                  |   |         |  
|Stockholders equity:                                                                                                                      |  |               |         |   |                  |   |         |  
|Common stock ($0.01 par value, 2,000 shares authorized and 1,000 shares issued and outstanding as of March 29, 2011 and
December 28, 2010) |  |               |        |   |                  |   |        |  
|Paid-in-capital                                                                                                                            |  |               | 163,473 |   |                  |   | 163,443 |  
|Accumulated other comprehensive loss                                                                                                       |  |               | (526    | ) |                  |   | (1,197  | )
|Retained earnings                                                                                                                          |  |               | 29,592  |   |                  |   | 20,086  |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  
|Total stockholders equity                                                                                                                 |  |               | 192,539 |   |                  |   | 182,332 |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  
|Total liabilities and stockholders equity                                                                                                 |  | $             | 813,514 |   |                  | $ | 825,228 |  
|                                                                                                                                           |  |               |         |   |                  |   |         |  

See accompanying notes to the condensed consolidated financial statements.



3



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NPC INTERNATIONAL, INC.

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

(in thousands)



|                                                       |  |                            |         |   |                            |   |         |  
|------------------------------------------------------ |  | -------------------------- | ------- | - | -------------------------- | - | ------- | -
|                                                       |  | 13
WeeksEndedMarch 29,2011 |         |   | 13
WeeksEndedMarch 30,2010 |  
|Sales:                                                 |  |                            |         |   |                            |   |         |  
|Net product sales                                      |  | $                          | 239,623 |   |                            | $ | 252,629 |  
|Fees and other income                                  |  |                            | 11,505  |   |                            |   | 11,827  |  
|                                                       |  |                            |         |   |                            |   |         |  
|Total sales                                            |  |                            | 251,128 |   |                            |   | 264,456 |  
|Costs and expenses:                                    |  |                            |         |   |                            |   |         |  
|Cost of sales                                          |  |                            | 69,787  |   |                            |   | 75,971  |  
|Direct labor                                           |  |                            | 70,238  |   |                            |   | 74,887  |  
|Other restaurant operating expenses                    |  |                            | 74,787  |   |                            |   | 77,991  |  
|General and administrative expenses                    |  |                            | 12,807  |   |                            |   | 12,146  |  
|Corporate depreciation and amortization of intangibles |  |                            | 2,960   |   |                            |   | 2,839   |  
|Other                                                  |  |                            | 39      |   |                            |   | 360     |  
|                                                       |  |                            |         |   |                            |   |         |  
|Total costs and expenses                               |  |                            | 230,618 |   |                            |   | 244,194 |  
|                                                       |  |                            |         |   |                            |   |         |  
|Operating income                                       |  |                            | 20,510  |   |                            |   | 20,262  |  
|Interest expense                                       |  |                            | (6,749  | ) |                            |   | (7,525  | )
|                                                       |  |                            |         |   |                            |   |         |  
|Income before income taxes                             |  |                            | 13,761  |   |                            |   | 12,737  |  
|Income tax expense                                     |  |                            | 4,255   |   |                            |   | 3,277   |  
|                                                       |  |                            |         |   |                            |   |         |  
|Net income                                             |  | $                          | 9,506   |   |                            | $ | 9,460   |  
|                                                       |  |                            |         |   |                            |   |         |  

See accompanying notes to the condensed consolidated financial statements.



4



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NPC INTERNATIONAL, INC.

CONSOLIDATED STATEMENT OF STOCKHOLDERS EQUITY

(Unaudited)

(in thousands, except share data)



|                                                                                 |  |                      |       |  |             |   |   |                |  |   |                  |  |  |                                   |        |  |                          |   |        |   |  |   |         | 
|-------------------------------------------------------------------------------- |  | -------------------- | ----- |  | ----------- | - | - | -------------- |  | - | ---------------- |  |  | --------------------------------- | ------ |  | ------------------------ | - | ------ | - |  | - | ------- | 
|                                                                                 |  | Sharesof commonstock |       |  | Commonstock |   |   | Paid-incapital |  |   | Retainedearnings |  |  | Accumulatedothercomprehensiveloss |        |  | Totalstockholders'equity |  
|Balance at December 28, 2010                                                     |  |                      | 1,000 |  |             | $ |  |                |  | $ | 163,443          |  |  | $                                 | 20,086 |  |                          | $ | (1,197 | ) |  | $ | 182,332 | 
|Restricted common units                                                          |  |                      |       |  |             |   |   |                |  |   | 30               |  |  |                                   |        |  |                          |   |        |   |  |   | 30      | 
|Comprehensive income:                                                            |  |                      |       |  |             |   |   |                |  |   |                  |  |  |                                   |        |  |                          |   |        |   |  |   |         | 
|Net income                                                                       |  |                      |      |  |             |   |  |                |  |   |                 |  |  |                                   | 9,506  |  |                          |   |       |   |  |   | 9,506   | 
|Net unrealized change in cash flow hedging derivatives                           |  |                      |      |  |             |   |  |                |  |   |                 |  |  |                                   |       |  |                          |   | 29     |   |  |   | 29      | 
|Reclassification adjustment into income for derivatives used in cash flow hedges |  |                      |      |  |             |   |  |                |  |   |                 |  |  |                                   |       |  |                          |   | 642    |   |  |   | 642     | 
|                                                                                 |  |                      |       |  |             |   |   |                |  |   |                  |  |  |                                   |        |  |                          |   |        |   |  |   |         | 
|Total comprehensive income                                                       |  |                      |       |  |             |   |   |                |  |   |                  |  |  |                                   |        |  |                          |   |        |   |  |   | 10,177  | 
|                                                                                 |  |                      |       |  |             |   |   |                |  |   |                  |  |  |                                   |        |  |                          |   |        |   |  |   |         | 
|Balance at March 29, 2011                                                        |  |                      | 1,000 |  |             | $ |  |                |  | $ | 163,473          |  |  | $                                 | 29,592 |  |                          | $ | (526   | ) |  | $ | 192,539 | 
|                                                                                 |  |                      |       |  |             |   |   |                |  |   |                  |  |  |                                   |        |  |                          |   |        |   |  |   |         | 

See accompanying notes to the condensed consolidated financial statements.



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NPC INTERNATIONAL, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

(in thousands)



|                                                                              |  |                            |         |   |                            |   |         |  
|----------------------------------------------------------------------------- |  | -------------------------- | ------- | - | -------------------------- | - | ------- | -
|                                                                              |  | 13 WeeksEndedMarch 29,2011 |         |   | 13 WeeksEndedMarch 30,2010 |  
|Operating activities                                                          |  |                            |         |   |                            |   |         |  
|Net income                                                                    |  | $                          | 9,506   |   |                            | $ | 9,460   |  
|Adjustments to reconcile net income to cash provided by operating activities: |  |                            |         |   |                            |   |         |  
|Depreciation and amortization                                                 |  |                            | 11,771  |   |                            |   | 11,423  |  
|Amortization of debt issuance costs                                           |  |                            | 635     |   |                            |   | 640     |  
|Net facility impairment charges                                               |  |                            | 79      |   |                            |   | 407     |  
|Deferred income taxes                                                         |  |                            | 3,027   |   |                            |   | (57     | )
|Other                                                                         |  |                            | (10     | ) |                            |   | (79     | )
|Changes in assets and liabilities, excluding acquisitions:                    |  |                            |         |   |                            |   |         |  
|Accounts receivable                                                           |  |                            | 621     |   |                            |   | 1,114   |  
|Inventories                                                                   |  |                            | 197     |   |                            |   | 220     |  
|Prepaid expenses and other current assets                                     |  |                            | (2,243  | ) |                            |   | (2,327  | )
|Accounts payable                                                              |  |                            | 1,502   |   |                            |   | (1,114  | )
|Income taxes                                                                  |  |                            | (112    | ) |                            |   | 4,674   |  
|Accrued interest                                                              |  |                            | 3,510   |   |                            |   | 3,754   |  
|Accrued liabilities                                                           |  |                            | (993    | ) |                            |   | 3,263   |  
|Insurance reserves                                                            |  |                            | 254     |   |                            |   | 471     |  
|Other deferred items                                                          |  |                            | 113     |   |                            |   | 41      |  
|Other assets                                                                  |  |                            | 77      |   |                            |   | (609    | )
|                                                                              |  |                            |         |   |                            |   |         |  
|Net cash provided by operating activities                                     |  |                            | 27,934  |   |                            |   | 31,281  |  
|                                                                              |  |                            |         |   |                            |   |         |  
|Investing activities                                                          |  |                            |         |   |                            |   |         |  
|Capital expenditures                                                          |  |                            | (3,360  | ) |                            |   | (3,925  | )
|Proceeds from sale or disposition of assets                                   |  |                            | 260     |   |                            |   | 2,068   |  
|                                                                              |  |                            |         |   |                            |   |         |  
|Net cash used in investing activities                                         |  |                            | (3,100  | ) |                            |   | (1,857  | )
|                                                                              |  |                            |         |   |                            |   |         |  
|Financing activities                                                          |  |                            |         |   |                            |   |         |  
|Borrowings under revolving credit facility                                    |  |                            |        |   |                            |   | 7,165   |  
|Payments under revolving credit facility                                      |  |                            |        |   |                            |   | (7,165  | )
|Payments on term bank facilities                                              |  |                            | (29,670 | ) |                            |   | (31,340 | )
|Debt issue costs                                                              |  |                            |        |   |                            |   | (73     | )
|Proceeds from sale-leaseback transactions                                     |  |                            | 486     |   |                            |   |        |  
|                                                                              |  |                            |         |   |                            |   |         |  
|Net cash used in financing activities                                         |  |                            | (29,184 | ) |                            |   | (31,413 | )
|                                                                              |  |                            |         |   |                            |   |         |  
|Net change in cash and cash equivalents                                       |  |                            | (4,350  | ) |                            |   | (1,989  | )
|Beginning cash and cash equivalents                                           |  |                            | 44,159  |   |                            |   | 14,669  |  
|                                                                              |  |                            |         |   |                            |   |         |  
|Ending cash and cash equivalents                                              |  | $                          | 39,809  |   |                            | $ | 12,680  |  
|                                                                              |  |                            |         |   |                            |   |         |  
|Supplemental disclosures of cash flow information:                            |  |                            |         |   |                            |   |         |  
|Net cash paid for interest                                                    |  | $                          | 2,605   |   |                            | $ | 3,131   |  
|Net cash paid (received) for income taxes                                     |  | $                          | 1,090   |   |                            | $ | (1,480  | )

See accompanying notes
to the condensed consolidated financial statements.



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NPC INTERNATIONAL, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Note 1  Basis of Presentation

NPC International, Inc. is referred to herein as NPC and the Company. NPC Acquisition Holdings, LLC, its parent
company, is referred to herein as Holdings.

The accompanying unaudited interim condensed consolidated financial
statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (SEC) for reporting on Form 10-Q. Accordingly, certain information and disclosures required by accounting principles generally
accepted in the United States for complete consolidated financial statements are not included herein.

The interim statements
should be read in conjunction with the financial statements and notes thereto included in the Companys latest Annual Report on Form 10-K.

The results of operations of any interim period are not necessarily indicative of the results of operations for the full year. The Company believes the accompanying unaudited interim condensed
consolidated financial statements include all adjustments (consisting of normal recurring adjustments and accruals) necessary to fairly present the Companys condensed consolidated results of operations, financial position and cash flows as of
the dates and for the periods presented.

Note 2  Goodwill and Other Intangible Assets

There were no changes in goodwill during the first quarter of 2011.

Amortizable other intangible assets consist of franchise rights, leasehold interests, internally developed software and a non-compete
agreement. These intangible assets are amortized on a straight-line basis over the lesser of their economic lives or the remaining life of the applicable agreement. Intangible assets subject to amortization are summarized below (in
thousands):



|                                |  |                      |         |   |                         |   |         |               |  |   |         |  
|------------------------------- |  | -------------------- | ------- | - | ----------------------- | - | ------- | ------------- |  | - | ------- | -
|                                |  | March 29, 2011       |        
|                                |  | Gross CarryingAmount |         |   | AccumulatedAmortization |   |         | Net BookValue | 
|Amortizable intangible assets:  |  |                      |         |   |                         |   |         |               |  |   |         |  
|Franchise rights                |  | $                    | 440,277 |   |                         | $ | (43,391 | )             |  | $ | 396,886 |  
|Favorable leasehold interests   |  |                      | 10,029  |   |                         |   | (3,183  | )             |  |   | 6,846   |  
|Unfavorable leasehold interests |  |                      | (4,016  | ) |                         |   | 1,621   |               |  |   | (2,395  | )
|Internally developed software   |  |                      | 1,069   |   |                         |   | (1,051  | )             |  |   | 18      |  
|Non-compete                     |  |                      | 1,925   |   |                         |   | (1,893  | )             |  |   | 32      |  
|                                |  |                      |         |   |                         |   |         |               |  |   |         |  
|                                |  | $                    | 449,284 |   |                         | $ | (47,897 | )             |  | $ | 401,387 |  
|                                |  |                      |         |   |                         |   |         |               |  |   |         |  
|                                | 
|                                |  | December 28, 2010    |        
|                                |  | Gross CarryingAmount |         |   | AccumulatedAmortization |   |         | Net BookValue | 
|Amortizable intangible assets:  |  |                      |         |   |                         |   |         |               |  |   |         |  
|Franchise rights                |  | $                    | 440,262 |   |                         | $ | (41,014 | )             |  | $ | 399,248 |  
|Favorable leasehold interests   |  |                      | 10,071  |   |                         |   | (3,022  | )             |  |   | 7,049   |  
|Unfavorable leasehold interests |  |                      | (4,327  | ) |                         |   | 1,797   |               |  |   | (2,530  | )
|Internally developed software   |  |                      | 1,069   |   |                         |   | (998    | )             |  |   | 71      |  
|Non-compete                     |  |                      | 1,925   |   |                         |   | (1,797  | )             |  |   | 128     |  
|                                |  |                      |         |   |                         |   |         |               |  |   |         |  
|                                |  | $                    | 449,000 |   |                         | $ | (45,034 | )             |  | $ | 403,966 |  
|                                |  |                      |         |   |                         |   |         |               |  |   |         |  

Amortization expense on intangible assets was $2.6 million for the 13 weeks ended March 29, 2011
and March 30, 2010.



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Note 3  Debt

The Companys debt consisted of the following (in thousands):



|                                         |  |               |         |  |                  |   |         | 
|---------------------------------------- |  | ------------- | ------- |  | ---------------- | - | ------- | 
|                                         |  | March 29,2011 |         |  | December 28,2010 |  
|Senior Secured Term Loan Note            |  | $             | 197,700 |  |                  | $ | 227,370 | 
|Senior Subordinated Notes                |  |               | 175,000 |  |                  |   | 175,000 | 
|Senior Secured Revolving Credit Facility |  |               |        |  |                  |   |        | 
|                                         |  |               |         |  |                  |   |         | 
|                                         |  |               | 372,700 |  |                  |   | 402,370 | 
|Less current portion                     |  |               |        |  |                  |   | 29,670  | 
|                                         |  |               |         |  |                  |   |         | 
|                                         |  | $             | 372,700 |  |                  | $ | 372,700 | 
|                                         |  |               |         |  |                  |   |         | 

The Companys debt facilities contain restrictions on additional borrowing, certain asset sales,
capital expenditures, dividend payments, certain investments and related-party transactions, as well as requirements to maintain various financial ratios. At March 29, 2011, the Company was in compliance with all of its debt covenants.

Based upon the amount of excess cash flow generated during fiscal 2010 and the Companys leverage at fiscal 2010 year
end, each of which is defined in the credit agreement for the senior secured credit facility, the Company was required to make an excess cash flow mandatory prepayment of $29.7 million. This amount was included in the current portion of long-term
debt at December 28, 2010 and was paid utilizing cash reserves on February 24, 2011. The Company anticipates that it will be required to make a similar payment in 2012, but such amount cannot be reasonably estimated at this time.

The estimated fair value of the Companys debt facilities was as follows (in thousands):



|                                         |  |               |         |  |                  |   |         | 
|---------------------------------------- |  | ------------- | ------- |  | ---------------- | - | ------- | 
|                                         |  | March 29,2011 |         |  | December 28,2010 |  
|Senior Secured Term Loan Note            |  | $             | 226,802 |  |                  | $ | 225,096 | 
|Senior Subordinated Notes                |  |               | 178,938 |  |                  |   | 178,728 | 
|Senior Secured Revolving Credit Facility |  |               |        |  |                  |   |        | 
|                                         |  |               |         |  |                  |   |         | 
|                                         |  | $             | 405,740 |  |                  | $ | 403,824 | 
|                                         |  |               |         |  |                  |   |         | 
|Carrying value                           |  | $             | 372,700 |  |                  | $ | 402,370 | 

The Company
determined the estimated fair value using available market information. However, the fair value estimates presented herein are not necessarily indicative of the amount that the Companys debt holders could realize in an actual market
transaction.

Note 4  Income Taxes

For the 13 weeks ended March 29, 2011, the Company recorded income tax expense of $4.3 million which resulted in an effective income tax rate of 30.9% compared to income tax expense of $3.3 million
or an effective tax rate of 25.7% during the same quarter of the prior year. The lower than statutory rate for both years was primarily attributable to tax credits.

Note 5  Commitments and Contingencies

As previously disclosed, the
Company is a defendant in a lawsuit entitled Jeffrey Wass and Mark Smith, et al. v. NPC International, Inc., Case No. 2:09-CV-2254-JWL-KGS, in the United States District Court for the District of Kansas. The lawsuit alleges a collective action
under the Fair Labor Standards Act (FLSA) on behalf of plaintiffs and similarly situated workers employed by NPC in 28 states, and a class action under Rule 23 of the Federal Rules of Civil Procedure on behalf of Plaintiff Smith and
similarly situated workers employed in states in which the state minimum wage is higher than the federal minimum wage. The lawsuit alleges among other things that NPC deprived plaintiffs and other NPC delivery drivers of minimum wages by providing
insufficient reimbursements for automobile and other job-related expenses incurred for the purposes of delivering NPC's pizza and other food items.

On March 28, 2011, the court granted conditional collective action certification under the FLSA. NPC has provided the names and addresses of potential opt-in class members to Plaintiffs, and a
third-party administrator is to mail a notice to each potential opt-in. From the date the notices are mailed, the potential opt-ins have 90 days to elect to become members of the class. The Court has set April 27, 2011, for a hearing
to set a schedule for merits based discovery, decertification, pretrial and



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##### Table of Contents

trial settings. On March 23, 2011, in response to NPCs summary-judgment motion, Plaintiffs filed an expert declaration in relation to NPCs reimbursement model. On
April 14, 2011, the Court ruled that it would hold the Wass summary-judgment motion in abeyance until the merits process is completed. As a result, at this time the Company is not able to predict the outcome of the lawsuit, any possible loss or
possible range of loss associated with the lawsuit or any potential effect on the Companys business, results of operations or financial condition. However, the Company believes the lawsuit is wholly without merit and will defend itself from
these claims vigorously.

Note 6  Derivative Financial Instruments

The Company participates in interest rate related derivative instruments to manage its exposure on its debt instruments, which the
Company designated as cash flow hedges. Gains and losses on derivative instruments designated as cash flow hedges are reported in other comprehensive income and reclassified into earnings in the periods in which earnings are impacted by the hedged
item. The following interest rate swap contracts were entered into as a hedge to fix a portion of the term loan notes under the Senior Secured Credit Facility and provide for fixed rates as compared to the three-month LIBOR rate on the following
notional amounts of floating rate debt at March 29, 2011:



|                  |  |                              |        |  |               |  |       |               |  |                  
|----------------- |  | ---------------------------- | ------ |  | ------------- |  | ----- | ------------- |  | -----------------
|Effective Date    |  | NotionalAmount(in thousands) |        |  | FixedRatePaid |  |       | Maturity Date
|April 7, 2008     |  | $                            | 50,000 |  |               |  | 2.79% |               |  | April 7, 2011    
|November 18, 2008 |  |                              | 30,000 |  |               |  | 2.81% |               |  | November 18, 2011
|                  |  |                              |        |  |               |  |       |               |  |                  
|                  |  | $                            | 80,000 |  |               |  |       |               |  |                  
|                  |  |                              |        |  |               |  |       |               |  |                  

The following table presents the fair value of the Companys hedging portfolio as of
March 29, 2011 and December 28, 2010 (in thousands):



|                       |  |               |     |  |                  |   |       | 
|---------------------- |  | ------------- | --- |  | ---------------- | - | ----- | 
|Liability
Derivatives  | 
|Balance Sheet Location |  | Fair Value    |    
|                       |  | March 29,2011 |     |  | December 28,2010 |  
|Accrued liabilities    |  | $             | 864 |  |                  | $ | 1,966 | 

The effect of the
derivative instruments on the unaudited Condensed Consolidated Financial Statements was as follows (in thousands):



|                        |  |                                                                 |    |  |                   |                        |      |                                                                       |                   |  |                  |                   |  |   |      |   |  |   |        |  
|----------------------- |  | --------------------------------------------------------------- | -- |  | ----------------- | ---------------------- | ---- | --------------------------------------------------------------------- | ----------------- |  | ---------------- | ----------------- |  | - | ---- | - |  | - | ------ | -
|                        |  | Income/(Loss)Recognized in OCI
onDerivative (Effective Portion) |    |  | Location          |                        |      | (Loss)Reclassified fromAccumulated OCI intoIncome (Effective Portion) |                  
|                        |  | For the 13 Weeks Ended                                          |    |  |                   | For the 13 Weeks Ended |     
|                        |  | March 29,    2011                                               |    |  | March 30,    2010 |                        |      |                                                                       | March 29,    2011 |  |                  | March 30,    2010 | 
|Interest rate contracts |  | $                                                               | 29 |  |                   | $                      | (650 | )                                                                     |                   |  | Interest expense |                   |  | $ | (642 | ) |  | $ | (1,144 | )

The Company currently
expects that approximately $0.9 million of the change in the fair value of the swap contract included in Accumulated other comprehensive loss as of March 29, 2011 will be realized in earnings as additional interest expense within
the next twelve months, contemporaneously with the net settlement of the underlying interest payments, which may vary based on actual changes within the LIBOR market rates.

The Company estimates the fair value of its interest rate swap contracts using independent market data considered to be a Level 2
observable input. The Company uses a mark-to-market valuation based on observable interest rate yield curves which are adjusted for credit risk. During the first quarter of fiscal 2011 and 2010, there was virtually no ineffectiveness related to cash
flow hedges.



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##### Table of Contents

Note 7  Comprehensive Income

Comprehensive income is comprised of the following:



|                                                                 |  |                |        |  |               |   |       | 
|---------------------------------------------------------------- |  | -------------- | ------ |  | ------------- | - | ----- | 
|                                                                 |  | 13 Weeks Ended |       
|                                                                 |  | March 29,2011  |        |  | March 30,2010 |  
|Net income                                                       |  | $              | 9,506  |  |               | $ | 9,460 | 
|Change in valuation of interest rate swap agreements, net of tax |  |                | 671    |  |               |   | 494   | 
|                                                                 |  |                |        |  |               |   |       | 
|Comprehensive income                                             |  | $              | 10,177 |  |               | $ | 9,954 | 
|                                                                 |  |                |        |  |               |   |       | 

Note 8  Related-Party Transactions

Merrill Lynch Global Private Equity (MLGPE) Advisory Agreement.On May 3, 2006, the Company entered into an advisory agreement with an affiliate of MLGPE pursuant to which such
entity or its affiliates will provide advisory services to the Company. Under the agreement MLGPE or its affiliates will continue to provide financial, investment banking, management advisory and other services on the Companys behalf for an
annual fee of $1.0 million. The Company has paid $1.0 million to MLGPE for this fee for fiscal 2011 and fiscal 2010, which is being amortized ratably to expense.

Bank of America Merchant Services.In January 2009, Bank of America Corporation (BOA) acquired the parent company of MLGPE, Merrill Lynch & Co., Inc. During both the 13 weeks
ended March 29, 2011 and March 30, 2010, the Company paid Bank of America Merchant Services, an affiliate of BOA, $0.1 million for credit card processing services.

Bank of America, N.A.In December 2009, the Company opened a money market account with Bank of America, N.A., an affiliate of BOA, to invest any excess cash balances on hand. As of March 29,
2011, the Company had $36.1 million invested in this account. These investments are trading securities, which are included in cash and cash equivalents, and the fair value of the investment was determined using independent market data considered to
be a Level 2 observable input.

Participation in Senior Secured Credit Facility. Bank of America, N.A., an affiliate of
BOA, and Merrill Lynch Capital Corporation (MLCC), an affiliate of MLGPE, were active participants in the Companys Senior Secured Credit Facility. As of March 29, 2011, Bank of America, N.A., held $1.7 million, or 1.0%, of the
term loan notes outstanding and $12.5 million, or 16.7%, of the revolving credit facility, and MLCC held $7.5 million, or 10.0%, of the revolving credit facility. The Company had no amounts outstanding on the revolving credit facility as of
March 29, 2011.



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##### Table of Contents

|Item 2. | Managements Discussion and Analysis of Financial Condition and Results of Operations
|------- | -------------------------------------------------------------------------------------

Cautionary Statement Regarding Forward Looking Information

This report includes forward-looking statements regarding, among other things, our plans, strategies, and prospects, both business and financial. All statements contained in this document other than
historical information are forward-looking statements. Forward-looking statements include, but are not limited to, statements that represent our beliefs concerning future operations, strategies, financial results or other developments, and may
contain words and phrases such as may, expect, should, anticipate, intend, or similar expressions. Because these forward-looking statements are based on estimates and assumptions that are
subject to significant business, economic and competitive uncertainties, many of which are beyond our control or are subject to change, actual results could be materially different. Although we believe that our plans, intentions and expectations
reflected in or suggested by these forward-looking statements are reasonable, there can be no assurance we will achieve or realize these plans, intentions or expectations. Forward-looking statements are inherently subject to risks, uncertainties and
assumptions. Important factors that could cause actual results to differ materially from our forward-looking statements, expectations and historical trends include, but are not limited to, the following:



| |  |  | competitive conditions;
| | - |  | -----------------------



| |  |  | general economic and market conditions;
| | - |  | ---------------------------------------



| |  |  | effectiveness of franchisor advertising programs and the overall success of the franchisor;
| | - |  | -------------------------------------------------------------------------------------------



| |  |  | increases in food, commodity, labor, fuel and other costs;
| | - |  | ----------------------------------------------------------



| |  |  | effectiveness of the hedging program for cheese prices directed by the Unified Foodservice Purchasing Co-op (UFPC);
| | - |  | ---------------------------------------------------------------------------------------------------------------------



| |  |  | significant disruptions in service or supply by any of our suppliers or distributors;
| | - |  | -------------------------------------------------------------------------------------



| |  |  | changes in consumer tastes, geographic concentration and demographic patterns;
| | - |  | ------------------------------------------------------------------------------



| |  |  | consumer concerns about health and nutrition;
| | - |  | ---------------------------------------------



| |  |  | our ability to manage our growth and successfully implement our business strategy;
| | - |  | ----------------------------------------------------------------------------------



| |  |  | the effect of disruptions to our computer and information systems;
| | - |  | ------------------------------------------------------------------



| |  |  | the effect of local conditions, events and natural disasters;
| | - |  | -------------------------------------------------------------



| |  |  | general risks associated with the restaurant industry;
| | - |  | ------------------------------------------------------



| |  |  | the outcome of pending or yet-to-be instituted legal proceedings;
| | - |  | -----------------------------------------------------------------



| |  |  | regulatory factors, including changing laws related to healthcare coverage and menu labeling, which may adversely affect our business operations;
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | the loss of our executive officers and certain key personnel;
| | - |  | -------------------------------------------------------------



| |  |  | our ability to service our substantial indebtedness;
| | - |  | ----------------------------------------------------



| |  |  | restrictions contained in our debt agreements;
| | - |  | ----------------------------------------------



| |  |  | availability, terms and deployment of capital;
| | - |  | ----------------------------------------------



| |  |  | our ability to obtain debt or equity financing on reasonable terms or at costs similar to that of our current credit facility;
| | - |  | ------------------------------------------------------------------------------------------------------------------------------



| |  |  | and, various other factors beyond our control.
| | - |  | ----------------------------------------------

Consequently, such forward-looking statements should be regarded solely as our current plans, estimates and beliefs. We do not intend, and do not undertake, any obligation to update any forward looking
statements to reflect future events or circumstances after the date of such statements. For a more detailed discussion of the principal factors that could cause actual results to be materially different, you should read our risk factors in
Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 28, 2010 (2010 Form 10-K) as well as our unaudited condensed consolidated financial statements, related notes, and other financial information
appearing elsewhere in this report and our other filings with the Securities and Exchange Commission.



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##### Table of Contents

Overview

Who We Are.We are the largest Pizza Hut franchisee and the largest franchisee of any restaurant concept in the United States (U.S.) according to the 2010 Top 200 Restaurant Franchisees
by Franchise Times. We are also the eighth largest restaurant unit operator in the U.S. according to the 2011 Chain Restaurant Industry Review by GE Capital Franchise Finance. We were founded in 1962 and, as of
March 29, 2011 we operated 1,136 Pizza Hut units in 28 states with significant presence in the Midwest, South and Southeast. As of the first quarter of 2011, our operations represented approximately 19% of the domestic Pizza Hut restaurant
system and 21% of the domestic Pizza Hut franchised restaurant system as measured by number of units, excluding licensed units which operate with a limited menu and no delivery in certain of our markets.

Our Fiscal Year.We operate on a 52- or 53-week fiscal year ending on the last Tuesday in December. Fiscal year 2011 and 2010 each
contains 52 weeks.

Our Sales

Net Product Sales.Net product sales are comprised of sales of food and beverages from our restaurants, net of discounts. Year-to-date for fiscal 2011, pizza sales accounted for approximately 78%
of net product sales. Various factors influence sales at a given unit, including customer recognition of the Pizza Hut brand, our level of service and operational effectiveness, pricing, marketing and promotional efforts and local competition.
Several factors affect our sales in any period, including the number of units in operation, comparable store sales and seasonality. Comparable store sales refer to period-over-period net product sales comparisons for units under our
operation for at least 12 months.

Fees and Other Income.Fees and other income are comprised primarily of delivery
fees charged to customers, vending receipts and other fee income and are not included in our comparable store sales metric.

Seasonality.Our business is seasonal in nature with net product sales typically being higher in the first half of the fiscal
year. Sales are largely driven by product innovation, advertising and promotional activities and can be adversely impacted by holidays and economic times that generally negatively impact consumer discretionary spending, such as the back to school
season. As a result of these seasonal fluctuations, our operating results may vary substantially between fiscal quarters. Further, results for any quarter are not necessarily indicative of the results that may be achieved for the full fiscal year.

Restaurant formats. We operate our Pizza Hut restaurants through three different formats to cater to the needs of our
customers in each respective market. Delivery units, or Delcos, are typically located in strip centers and provide delivery and carry-out, with a greater proportion being located in more densely populated areas. Red Roof units, or
RRs, are traditional free-standing, dine-in restaurants which offer on-location dining room service as well as carry-out service. Restaurant-Based Delivery units, or RBDs, conduct delivery, dine-in, and carry-out operations
from the same free-standing location. Approximately 45% of our units include the WingStreet product line at March 29, 2011. The WingStreet menu includes bone-in and bone-out fried chicken wings which are tossed in one of eight
sauces and appetizers which are available for dine-in, carry-out and delivery.

The following table sets forth certain
information with respect to each year-to-date fiscal period:



|                                                     |  |                              |  |                              |     |  |  |  |       |    
|---------------------------------------------------- |  | ---------------------------- |  | ---------------------------- | --- |  |  |  | ----- | ---
|                                                     |  | 13 weeks endedMarch 29, 2011 |  | 13 weeks endedMarch 30, 2010
|Sales by occasion:                                   |  |                              |  |                              |     |  |  |  |       |    
|Delivery                                             |  |                              |  | 40%                          |     |  |  |  | 38%   |    
|Carryout                                             |  |                              |  | 43%                          |     |  |  |  | 46%   |    
|Dine-in                                              |  |                              |  | 17%                          |     |  |  |  | 16%   |    
|Number of restaurants open at the end of the period: |  |                              |  |                              |     |  |  |  |       |    
|Delco                                                |  |                              |  | 426                          |     |  |  |  | 435   |    
|RR                                                   |  |                              |  | 180                          |     |  |  |  | 183   |    
|RBD                                                  |  |                              |  | 530                          |     |  |  |  | 529   |    
|                                                     |  |                              |  |                              |     |  |  |  |       |    
|                                                     |  |                              |  | 1,136                        | (1) |  |  |  | 1,147 | (1)



| | (1) | Includes 513 units offering the WingStreet product line, at March 29, 2011 and March 30, 2010, respectively.
| | --- | -------------------------------------------------------------------------------------------------------------



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##### Table of Contents

Our Costs

Our operating costs and expenses are comprised of cost of sales, direct labor, other restaurant expenses and general and administrative expenses. Our cost structure is highly variable with approximately
70% of operating costs variable to sales and volume of transactions.

Cost of sales.Cost of sales includes the cost of
food and beverage products sold, less rebates from suppliers, as well as paper and packaging, and is primarily influenced by fluctuations in commodity prices. Historically, our cost of sales has primarily been comprised of the following: cheese:
30-35%; dough: 16-19%; meat: 16-20%; and packaging: 8-10%. These costs can fluctuate from year-to-year given the commodity nature of the cost category, but are constant across regions. We are a member of the UFPC, a cooperative set up to act as a
central procurement service for the operators of Yum! Brands, Inc. restaurants, and participate in various cheese hedging and procurement programs that are directed by the UFPC for cheese, meat and certain other commodities to help reduce the price
volatility of those commodities from period-to-period. Based on information provided by the UFPC, the UFPC expects to hedge approximately 30% to 50% of the Pizza Hut system's anticipated cheese purchases through a combination of derivatives taken
under the direction of the UFPC.

Direct Labor.Direct labor includes the salary, payroll taxes, fringe benefit costs
and workers compensation expense associated with restaurant based personnel. Direct labor is highly dependent on federal and state minimum wage rate legislation given that the vast majority of our workers are hourly employees. To control labor
costs, we are focused on proper scheduling and adequate training of our store employees, as well as retention of existing employees.

Other restaurant operating expenses.Other restaurant operating expenses include all other costs directly associated with operating a restaurant facility, which primarily represents royalties,
advertising, rent and depreciation (facilities and equipment), utilities, delivery expenses, supplies, repairs, insurance, and other restaurant related costs.

Included within other restaurant operating expenses are royalties paid to Pizza Hut, Inc. (PHI). Our blended average royalty rate for the year-to-date period of 2011 was 4.7% of total sales
compared to 4.8% for 2010.

General and administrative expenses.General and administrative expenses include field
supervision and personnel costs and the corporate and administrative functions that support our restaurants, including employee wages and benefits, travel, information systems, recruiting and training costs, credit card transaction fees,
professional fees, supplies and insurance.

Trends and Uncertainties Affecting Our Business

We believe that as a franchisee of such a large number of Pizza Hut restaurants, our financial success is driven less by variable factors
that affect regional restaurants and their markets, and more by trends affecting the food purchase industry  specifically the Quick Service Restaurants or QSR industry. The following discussion describes certain key factors that
may affect our future performance.

General Economic Conditions and Consumer Spending

Higher gas prices, continued high unemployment rates, lower home values and sales, the negative impact of changes in the credit markets,
and low consumer confidence as a result of the changes within the economic environment have caused the consumer to experience a real and perceived reduction in disposable income which has negatively impacted consumer spending in most segments of the
restaurant industry, including the segment in which we compete. While general economic conditions appear to be stabilizing, we believe pressures on low and lower-middle income customers continue to be significant, and we believe that these customers
are particularly interested in receiving value at a reasonable price in the current environment.

Competition

The restaurant business is highly competitive. The QSR industry is a fragmented market, with competition from national and regional
chains, as well as independent operators, which affects pricing strategies and margins. Additionally, the frozen pizza and take-and-bake alternatives are becoming an increasingly intrusive competitive threat in the pizza segment. Limited product
variability within our segment can make differentiation among competitors difficult. Thus, companies in the industry continuously promote and market new product introductions, price discounts and bundled deals, and rely heavily on effective
marketing and advertising to drive sales.

Commodity Prices

Commodity prices of packaging products (liner board) and ingredients such as cheese, dough (wheat), and meat, can vary. The prices of
these commodities can fluctuate throughout the year due to changes in supply and demand. Our costs can



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also fluctuate as a result of changes in ingredients or packaging instituted by PHI. The block cheese price for the first quarter of fiscal 2011 averaged $1.75 per pound, an increase of $0.35 or
25% versus the average price for the first quarter of fiscal year 2010.

During the first quarter of 2011 we experienced
ingredient inflation, primarily for meat and dough, which were higher than the first quarter of 2010 by 11% and 5%, respectively.

Labor
Cost

The restaurant industry is labor intensive and known for having a high level of employee turnover given low
hourly wages and the part-time composition of the workforce. To the extent that our delivery sales mix increases due to acquisition of units or customer preference, our labor costs would be expected to increase due to the more labor intensive nature
of the delivery transaction. Direct labor is highly dependent on federal and state minimum wage rate legislation given the vast majority of workers are hourly employees whose compensation is either determined or influenced by the minimum wage rate.

The federal government and several state governments have proposed or enacted legislation regarding health care, including
legislation that in some cases requires employers to either provide health care coverage to their full-time employees, pay a penalty or pay into a fund that would provide coverage for them. We are currently evaluating the effects on our business of
the Patient Protection and Affordable Care Act, which was signed into law on March 23, 2010, and the related Health Care and Education Reconciliation Act of 2010, which was signed into law on March 30, 2010 (collectively, the Federal
Health Care Acts). The provisions of the Federal Health Care Acts having the greatest potential financial impact on us are scheduled to become effective in 2014. Based upon our current evaluation, without taking mitigating steps we expect
that the Federal Health Care Acts will likely increase our future costs and could have a material adverse effect on our business, results of operations and financial condition, but we are currently unable to quantify the amount of the impact with
any degree of certainty pending resolution of the litigation and proposed new legislation relating to the Federal Health Care Acts and future rulemaking under the Federal Health Care Acts.

Additionally, potential changes in federal labor laws and regulations relating to union organizing rights and activities could result in
portions of our workforce being subjected to greater organized labor influence, thereby potentially increasing our labor costs, and could have a material adverse effect on our business, results of operations and financial condition.

Inflation and Deflation

Inflationary factors, such as increases in food and labor costs, directly affect our operations. Because most of our employees are paid on an hourly basis, changes in rates related to federal and state
minimum wage and tip credit laws will affect our labor costs.

Significant increases in average gasoline prices in the regions
in which we operate could increase our delivery driver reimbursement costs. We estimate that every $0.25 per gallon change in average gas prices in our markets impacts our annual operating results by approximately $0.9 million. However, as gas
prices increase, the impact upon our operations is somewhat mitigated by a transfer of sales from the delivery occasion to the carry-out access mode, which is perceived as a higher value by consumers and benefits us with lower labor costs for the
point-of-sale transaction.

If the economy experiences deflation, which is a persistent decline in the general
price level of goods and services, we may suffer a decline in revenues as a result of the falling prices. In that event, given our fixed costs and minimum wage requirements, it is unlikely that we would be able to reduce our costs at the same pace
as any declines in revenues. Consequently, a period of prolonged or significant deflation would likely have a material adverse effect on our business, results of operations and financial condition. Similarly, if we reduce the prices we charge for
our products as a result of declines in comparable store sales or competitive pressures, we may suffer decreased revenues, margins, income and cash flow from operations.

Critical Accounting Policies and Estimates

Our discussion and analysis of
our financial condition and results of operations are based upon our unaudited Condensed Consolidated Financial Statements. The preparation of these financial statements requires estimation and judgment that affect the reported amounts of revenues,
expenses, assets, and liabilities. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the
carrying values of assets and liabilities that are not readily apparent from other sources. If these estimates differ materially from actual results, the impact on the unaudited Condensed Consolidated Financial Statements may be material. Our
critical accounting policies are available in Item 7 of our 2010 Form 10-K. There have been no significant changes with respect to these policies during the first 13 weeks of fiscal 2011.



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Recently Issued Accounting Statements and Pronouncements

There are no recently issued accounting standards with pending adoptions that the Companys management currently anticipates will
have any material impact upon its financial statements.

Results of Operations

The table below presents (i) comparable store sales indices and (ii) selected restaurant operating results as a percentage of
net product sales for the 13-week periods ended March 29, 2011 and March 30, 2010, respectively:



|                                      |  |                             |  |                             |    |  |  |  |      |  
|------------------------------------- |  | --------------------------- |  | --------------------------- | -- |  |  |  | ---- | -
|                                      |  | 13
WeeksEndedMarch 29, 2011 |  | 13
WeeksEndedMarch 30, 2010
|Comparable store sales                |  |                             |  | (4.7                        | )% |  |  |  | 10.2 | %
|Net product sales                     |  |                             |  | 100                         | %  |  |  |  | 100  | %
|Direct restaurant costs and expenses: |  |                             |  |                             |    |  |  |  |      |  
|Cost of sales                         |  |                             |  | 29.1                        | %  |  |  |  | 30.1 | %
|Direct labor                          |  |                             |  | 29.3                        | %  |  |  |  | 29.6 | %
|Other restaurant operating expenses   |  |                             |  | 31.2                        | %  |  |  |  | 30.9 | %

Activity with respect to unit
count is set forth in the table below:



|                                           |  |                             |  |                             |   |  |  |  |       |  
|------------------------------------------ |  | --------------------------- |  | --------------------------- | - |  |  |  | ----- | -
|                                           |  | 13 WeeksEndedMarch 29, 2011 |  | 13 WeeksEndedMarch 30, 2010
|Beginning of period                        |  |                             |  | 1,136                       |   |  |  |  | 1,149 |  
|Developed                                  |  |                             |  | 1                           |   |  |  |  |      |  
|Closed                                     |  |                             |  | (1                          | ) |  |  |  | (2    | )
|                                           |  |                             |  |                             |   |  |  |  |       |  
|End of period                              |  |                             |  | 1,136                       |   |  |  |  | 1,147 |  
|                                           |  |                             |  |                             |   |  |  |  |       |  
|Equivalent units, continuing operations(1) |  |                             |  | 1,134                       |   |  |  |  | 1,146 |  



| | (1) | Equivalent units represent the number of units open at the beginning of a
given period, adjusted for units opened, closed, temporarily closed, acquired or sold during the period on a weighted average basis. | 
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | 

We added the WingStreet product line to one unit during the first
quarter of fiscal 2011, for a total of 513 units offering the WingStreet product line at March 29, 2011.

Thirteen Weeks
Ended March 29, 2011 Compared to March 30, 2010

Net Product Sales.Net product sales for the first
quarter of 2011 compared to 2010, were $239.6 million and $252.6 million, respectively, a decrease of $13.0 million, or 5.1%, resulting largely from a comparable store sales decrease of 4.7% for the first quarter of 2011, rolling over last
years first quarter comparable store sales increase of 10.2% and a 1.0% decrease in equivalent units. The decline in comparable store sales results is largely due to rolling over the significant growth derived from our $10 Any Pizza promotion
offered for the first quarter of 2010.

Fees and Other Income.Fees and other income were $11.5 million for the first
quarter of 2011, compared to $11.8 million for the prior year, for a decrease of $0.3 million or 2.7%. The decrease was due to lower customer delivery charge income from decreased delivery transactions.

Cost of Sales.Cost of sales was $69.8 million for the first quarter of 2011, compared to $76.0 million for the prior year for a
decrease of $6.2 million or 8.1%. Cost of sales decreased 1.0%, as a percentage of net product sales, to 29.1%, compared to 30.1% in the prior year. This decrease was largely due to higher net pricing for 2011 and product mix changes as a result of
simplified pricing compared to the $10 Any Pizza promotion offered in the prior year. Partially offsetting this decrease was higher ingredient costs, primarily meat and dough, which were partially offset by lower packaging costs.

With the simplified pricing strategy, during the first quarter of 2011 we realized a shift in both pizza size (medium instead of large)
and fewer toppings (3 toppings or less), as compared to the $10 Any Pizza offered in the prior year which resulted in increased sales of large and specialty (3+ topping) pizzas.



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Direct Labor.Direct labor costs for the first quarter of 2011 and 2010 were $70.2
million and $74.9 million, respectively, a decrease of $4.7 million, or 6.2%. Direct labor costs were 29.3% of net product sales for the first quarter 2011, a 0.3% decrease compared to the prior year, primarily due to higher net pricing, lower
average wage rates and improved labor efficiencies. These decreases more than offset the de-leveraging affect on fixed labor costs resulting from lower comparable store sales.

Other Restaurant Operating Expenses.Other restaurant operating expenses for the first quarter of 2011 and 2010 were $74.8 million and $78.0 million, respectively, a decrease of $3.2 million, or
4.1%. Other restaurant operating expenses were 31.2% of net product sales for the first quarter 2011 compared to 30.9% of net product sales for the prior year, an increase of 0.3%.

The changes in the other restaurant operating expenses as a percentage of net product sales are explained as follows:



|                                                                                                               |  |  |      |  
|-------------------------------------------------------------------------------------------------------------- |  |  | ---- | -
|Other restaurant operating expenses as a percentage of net product sales for the 13 weeks ended March 30,
2010 |  |  | 30.9 | %
|Rent and occupancy costs                                                                                       |  |  | 0.2  |  
|Delivery driver reimbursement due to higher fuel costs                                                         |  |  | 0.2  |  
|Restaurant manager bonuses                                                                                     |  |  | (0.2 | )
|Other, net                                                                                                     |  |  | 0.1  |  
|                                                                                                               |  |  |      |  
|Other restaurant operating expenses as a percentage of net product sales for the 13 weeks ended March 29,
2011 |  |  | 31.2 | %
|                                                                                                               |  |  |      |  

Depreciation expense for store operations was $7.9 million or 3.3% of net product sales for the first
quarter of 2011 compared to $8.2 million or 3.3% of net product sales for the prior year.

General and Administrative
Expenses.General and administrative expenses for the first quarter of 2011 were $12.8 million compared to $12.1 million for the first quarter of 2010, an increase of $0.7 million or 5.4%. This increase was largely due to the reinstatement of
certain employee related incentive compensation programs and higher field training costs.

Corporate Depreciation and
Amortization.Corporate depreciation and amortization costs were $3.0 million and $2.8 million for the first quarter of 2011 and 2010, respectively.

Other.We recorded a nominal amount of expense for facility impairment charges during the first quarter of 2011 as compared to $0.4 million for the first quarter of 2010.

Interest Expense.Interest expense was $6.7 million for the first quarter of 2011 compared to $7.5 million for the prior year, a
decrease of $0.8 million due to lower average debt outstanding and lower interest rates as compared to the prior year. Our average outstanding debt balance decreased $42.0 million to $391.4 million for the first quarter of 2011 as compared to the
same period last year and our cash borrowing rate decreased 0.1% to 6.2% for the first quarter of 2011 as compared to the prior year. Interest expense included $0.6 million for amortization of deferred debt issuance costs in both the first quarter
2011 and 2010.

Income Taxes.For the first quarter of 2011, we recorded income tax expense of $4.3 million which
resulted in an effective income tax rate of 30.9% compared to income tax expense of $3.3 million for an effective tax rate of 25.7% for the first quarter of 2010. The lower than statutory rates for both years are due to the impact of tax credits in
relation to income before taxes.

Net Income.Net income for both the first quarter of 2011 and 2010 was $9.5 million,
despite decreased net product sales. Restaurant margins benefitted from higher net pricing from our simplified pricing strategy and lower direct labor costs. These decreases were partially offset by higher ingredient costs, increased
general & administrative expenses and higher delivery expense.



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##### Table of Contents

Liquidity and Sources of Capital

Our short-term and long-term liquidity needs will arise primarily from: (1) interest and principal payments related to our existing
credit facility and the senior subordinated notes; (2) capital expenditures, including those for our re-imaging plan, asset development and maintenance capital expenditures; (3) opportunistic acquisitions of Pizza Hut restaurants or other
acquisition opportunities; and (4) working capital requirements as may be needed to support our business. We intend to fund our operations, interest expense, capital expenditures, acquisitions and working capital requirements principally from
cash from operations, cash reserves and borrowings on our revolving credit facility. Future acquisitions, depending on the size, may require borrowings beyond those available on our existing revolving credit facility and therefore may require
further utilization of the additional remaining term loan borrowing capacity under our credit facility described below as well as other sources of debt or additional equity capital.

Any additional debt incurred, beyond the parameters established in our current credit agreement, or refinancing of any of our existing
indebtedness may result in increased borrowing costs that are in excess of our current borrowing costs based on current credit market conditions. We will continue to evaluate the credit markets as we assess the future potential refinancing of our
existing credit facility and our acquisition and other growth opportunities.

Our working capital was a deficit of $17.4
million at March 29, 2011. Like many other restaurant companies, we are able to operate and generally do operate with a working capital deficit. We are able to operate with a working capital deficit because (i) restaurant revenues are
received primarily in cash or by credit card with a low level of accounts receivable; (ii) rapid turnover results in a limited investment in inventories; and (iii) cash from sales is usually received before related liabilities for food,
supplies and payroll become due. Because we are able to operate with a working capital deficit, we have historically utilized excess cash flow from operations and our revolving line of credit for debt reduction, capital expenditures and
acquisitions, and to provide liquidity for our working capital needs. At March 29, 2011, we had $57.3 million of borrowing capacity available under our revolving line of credit net of $17.7 million of outstanding letters of credit. Although not
required, we currently pay the next day for certain of our supply purchases in order to take advantage of a prompt-payment discount from our distributor. If we were to utilize the 30 day term of trade credit, it would increase our cash position by
approximately $20.0 million but would have no impact on our working capital.

Cash flows from operating activities

Cash from operations is our primary source of funds. Changes in earnings and working capital levels are the two key factors that
generally have the greatest impact on cash from operations. Our operating activities provided net cash inflows of $27.9 million for the first quarter of 2011 compared to $31.3 million for 2010. Cash flows from operations during the first quarter of
2011 were negatively impacted by a $7.3 million decrease from net changes in working capital, largely due to the timing of payroll and the change in income taxes. This decrease was partially offset by the $3.2 million positive impact of after tax
cash flows from operations (after adding back non-cash items to net income) as compared to the prior year.

Cash flows from investing
activities

Cash flows used in investing activities were $3.1 million during the first quarter of 2011 compared to $1.9
million for the prior year. For the first quarter of 2011, we invested $3.4 million in capital expenditures compared to $3.9 million in the prior year. Additionally, in the first quarter of 2010 we received proceeds of $2.1 million for asset sales
as PHI exercised the option to purchase five assets which were part of the fiscal 2008 and 2009 sale transactions.

Cash flows from
financing activities

Net cash outflows for financing activities were $29.2 million for the first quarter of 2011 compared
to $31.4 million for the first quarter of 2010. During the first quarter of 2011, we paid our mandatory excess cash flow prepayment of $29.7 million on our senior secured credit facility utilizing cash reserves compared to $31.3 million during the
first quarter of 2010. During the first quarter of 2011 we completed a sale-leaseback transaction for one property for $0.5 million.

Based upon the amount of excess cash flow generated during fiscal 2010 and the Companys leverage at fiscal 2010 year end, each of which is defined in the credit agreement for our senior secured
credit facility, the Company was required to make an excess cash flow mandatory prepayment of $29.7 million. This amount was included in the current portion of long-term debt at December 28, 2010 and was paid utilizing our cash reserves on
February 24, 2011. The Company anticipates that it will be required to make a similar payment in 2012, but such amount cannot be reasonably estimated at this time.



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##### Table of Contents

As of March 29, 2011, we were in compliance with all of the financial covenants under
our senior secured credit facility. Further, as shown in the following table, our financial leverage ratio has declined from 3.80x at fiscal 2010 year end to 3.51x as of March 29, 2011 as a result of our $29.7 million payment on our senior
secured credit facility and improved operating results. Our ratios under the foregoing financial covenants in our credit agreement as of March 29, 2011 were as follows:



|                                |  |        |       |  |                      |                    
|------------------------------- |  | ------ | ----- |  | -------------------- | -------------------
|                                |  | Actual |       |  | Covenant Requirement
|Maximum leverage ratio          |  |        | 3.51x |  |                      | Not more than 4.25x
|Minimum interest coverage ratio |  |        | 2.05x |  |                      | Not less than 1.75x

The
credit agreement defines Leverage Ratio as the ratio of Consolidated Debt for Borrowed Money to Consolidated EBITDA; Consolidated Interest Coverage Ratio is defined as the ratio of (x) Consolidated EBITDA plus Rent
Expense to (y) Consolidated Interest Expense plus Rent Expense. All of the foregoing capitalized terms are defined in the Credit Agreement, which was filed with the Securities and Exchange Commission on October 31, 2006 as Exhibit 10.2 to
the Companys Registration Statement on Form S-4 (File No 333-138338). The Credit Agreement provides that each of the above defined terms include the pro forma effect of acquisitions and divestitures on a full year basis. This pro forma effect
used in connection with the financial debt covenant ratio calculations is not the same calculation we use to determine Adjusted EBITDA, which we disclose to investors in our earnings releases and which is discussed below.

Based upon current operations, we believe that our cash flows from operations, together with borrowings that are available under the
revolving credit facility portion of our senior secured credit facility, will be adequate to meet our anticipated requirements for working capital, capital expenditures, and scheduled principal and interest payments through the next 12 months. At
March 29, 2011, we had $57.3 million of borrowing capacity available under our revolving line of credit net of $17.7 million of outstanding letters of credit. We will consider additional sources of financing to fund our long-term growth if
necessary, including the remaining $60.0 million of term loan capacity available under our existing credit facility.

Non-GAAP measures

Non-GAAP Adjusted EBITDA (Adjusted EBITDA) is a supplemental measure of our performance
that is not required by or presented in accordance with GAAP. We have included Adjusted EBITDA as a supplemental disclosure because we believe that Adjusted EBITDA provides investors a helpful measure for comparing our operating performance with the
performance of other companies that have different financing and capital structures or tax rates. We have substantial interest expense relating to the financing of the 2006 acquisition of us and substantial depreciation and amortization expense
relating to this transaction and to our acquisitions of units in recent years. We believe that the elimination of these items, as well as taxes, pre-opening and other expenses and facility impairment charges give investors useful information to
compare the performance of our core operations over different periods. The following is a reconciliation of net income to Adjusted EBITDA(1)(in thousands).



|                                |  |                 |        |  |                |   |        | 
|------------------------------- |  | --------------- | ------ |  | -------------- | - | ------ | 
|                                |  | 13 Weeks Ending |       
|                                |  | March 29, 2011  |        |  | March 30, 2010 |  
|Net income                      |  | $               | 9,506  |  |                | $ | 9,460  | 
|Adjustments:                    |  |                 |        |  |                |   |        | 
|Interest expense                |  |                 | 6,749  |  |                |   | 7,525  | 
|Income tax expense              |  |                 | 4,255  |  |                |   | 3,277  | 
|Depreciation and amortization   |  |                 | 11,771 |  |                |   | 11,423 | 
|Net facility impairment charges |  |                 | 79     |  |                |   | 407    | 
|Pre-opening expenses and other  |  |                 | 239    |  |                |   | 284    | 
|                                |  |                 |        |  |                |   |        | 
|Adjusted EBITDA                 |  | $               | 32,599 |  |                | $ | 32,376 | 
|                                |  |                 |        |  |                |   |        | 

| | (1) | The Company defines Adjusted EBITDA as consolidated net income plus interest, income taxes, depreciation and amortization, facility impairment charges
and pre-opening expenses. Adjusted EBITDA is not a measure of financial performance under generally accepted accounting principles. Adjusted EBITDA has limitations as an analytical tool, and should not be considered in isolation from, or as a
substitute for analysis of, the Companys financial information reported under generally accepted accounting principles. Adjusted EBITDA as defined above may not be similar to EBITDA measures of other companies. | 
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | 

Letters of Credit

As of March 29, 2011, we had letters of credit of $17.7 million issued under our existing credit facility in support of self-insured
risks.



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##### Table of Contents

|Item 3. | Quantitative and Qualitative Disclosures About Market Risk
|------- | ----------------------------------------------------------

We are exposed to various market risks. Market risk is the potential loss arising from adverse changes in market prices and rates. We do not enter into derivative or other financial instruments for
trading or speculative purposes.

Interest Rate Risk. Our primary market risk exposure is interest rate risk. All of
our borrowings under our senior secured credit facility bear interest at a floating rate. As of March 29, 2011, we had $197.7 million in funded floating rate debt outstanding under our senior secured credit facility. We have interest rate swap
agreements that provide for fixed rates as compared to the three-month LIBOR rate on the following notional amounts of floating rate debt at March 29, 2011:



|               |  |                             |      |  |               |  |       |               |  |  |               | 
|-------------- |  | --------------------------- | ---- |  | ------------- |  | ----- | ------------- |  |  | ------------- | 
|Effective Date |  | NotionalAmount(in millions) |      |  | FixedRatePaid |  |       | Maturity Date | 
|April 7, 2008  |  | $                           | 50.0 |  |               |  | 2.79% |               |  |  | April 7, 2011 | 
|Nov. 18, 2008  |  |                             | 30.0 |  |               |  | 2.81% |               |  |  | Nov. 18, 2011 | 
|               |  |                             |      |  |               |  |       |               |  |  |               | 
|               |  | $                           | 80.0 |  |               |  |       |               |  |  |               | 
|               |  |                             |      |  |               |  |       |               |  |  |               | 

After giving effect to these swaps, which leaves us with $117.7 million of floating rate debt, a
100 basis point increase in this floating rate would increase annual interest expense by approximately $1.2 million.

Commodity Prices. Commodity prices such as cheese can vary. The price of this commodity can change throughout the year due to
changes in supply and demand. Cheese has historically represented approximately 30-35% of our cost of sales. We are a member of the UFPC, and participate in cheese hedging programs that are directed by the UFPC to help reduce the volatility of this
commodity from period-to-period. Based on information provided by the UFPC, the UFPC expects to hedge approximately 30% to 50% of the Pizza Hut system's anticipated cheese purchases through a combination of derivatives taken under the direction of
the UFPC.

The estimated increase in our food costs from a hypothetical 10% adverse change in the average cheese block price
per pound (approximately $0.17 per pound for the 13 weeks ended March 29, 2011 and $0.14 per pound for 2010) would have been approximately $2.1 million and $1.8 million for the 13 weeks ended March 29, 2011 and March 30, 2010,
respectively, without giving effect to the UFPC directed hedging programs.



|Item 4. | Controls and Procedures.
|------- | ------------------------

Evaluation
of Disclosure Controls and Procedures.

As of the end of the period covered by this report, we carried out an evaluation,
under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer, of the effectiveness of our disclosure controls and procedures, as such term is defined in Rule 15d-15(e) of the Securities Exchange Act of
1934, as amended (Exchange Act). Based on this evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were effective as of such date to provide reasonable assurance that
the information required to be disclosed in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commissions rules and forms,
and that such information is accumulated and communicated to management, including the Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.

Changes in internal control over financial reporting.There has been no change in our internal control over financial reporting
that occurred during our first fiscal quarter of 2011 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.



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##### Table of Contents

PART II. OTHER INFORMATION



|Item 1. | Legal Proceedings.
|------- | ------------------

As
previously disclosed, the Company is a defendant in a lawsuit entitled Jeffrey Wass and Mark Smith, et al. v. NPC International, Inc., Case No. 2:09-CV-2254-JWL-KGS, in the United States District Court for the District of Kansas. The lawsuit
alleges a collective action under the Fair Labor Standards Act (FLSA) on behalf of plaintiffs and similarly situated workers employed by NPC in 28 states, and a class action under Rule 23 of the Federal Rules of Civil Procedure on behalf
of Plaintiff Smith and similarly situated workers employed in states in which the state minimum wage is higher than the federal minimum wage. The lawsuit alleges among other things that NPC deprived plaintiffs and other NPC delivery drivers of
minimum wages by providing insufficient reimbursements for automobile and other job-related expenses incurred for the purposes of delivering NPC's pizza and other food items.

On March 28, 2011, the court granted conditional collective action certification under the FLSA. NPC has provided the names and addresses of potential opt-in class members to Plaintiffs, and a
third-party administrator is to mail a notice to each potential opt-in. From the date the notices are mailed, the potential opt-ins have 90 days to elect to become members of the class. The Court has set April 27, 2011, for a
hearing to set a schedule for merits based discovery, decertification, pretrial and trial settings. On March 23, 2011, in response to NPCs summary-judgment motion, Plaintiffs filed an expert declaration in relation to NPCs
reimbursement model. On April 14, 2011, the Court ruled that it would hold the Wass summary-judgment motion in abeyance until the merits process is completed. As a result, at this time the Company is not able to predict the outcome of
the lawsuit, any possible loss or possible range of loss associated with the lawsuit or any potential effect on the Companys business, results of operations or financial condition. However, the Company believes the lawsuit is wholly without
merit and will defend itself from these claims vigorously.



|Item 1A. | Risk Factors.
|-------- | -------------

There
have been no material changes in our risk factors from those disclosed in our 2010 Form 10-K.



|Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds.
|------- | ------------------------------------------------------------

Not applicable.



|Item 3. | Defaults Upon Senior Securities.
|------- | --------------------------------

Not applicable.



|Item 4. | Removed and Reserved.
|------- | ---------------------



|Item 5. | Other Information.
|------- | ------------------

Not
applicable.



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##### Table of Contents

|Item 6. | Exhibits, Financial Statement Schedules
|------- | ---------------------------------------

Pursuant to the rules and regulations of the Securities and Exchange Commission, we have filed or incorporated by reference the documents referenced below as exhibits to this Form 10-Q. The documents
include agreements to which the Company is a party or has a beneficial interest. The agreements have been filed to provide investors with information regarding their respective terms. The agreements are not intended to provide any other factual
information about the Company or its business or operations. In particular, the assertions embodied in any representations, warranties and covenants contained in the agreements may be subject to qualifications with respect to knowledge and
materiality different from those applicable to investors and may be qualified by information in confidential disclosure schedules not included with the exhibits. These disclosure schedules may contain information that modifies, qualifies and creates
exceptions to the representations, warranties and covenants set forth in the agreements. Moreover, certain representations, warranties and covenants in the agreements may have been used for the purpose of allocating risk between the parties, rather
than establishing matters as facts. In addition, information concerning the subject matter of the representations, warranties and covenants may have changed after the date of the respective agreement, which subsequent information may or may not be
fully reflected in the Companys public disclosures. Accordingly, investors should not rely on the representations, warranties and covenants in the agreements as characterizations of the actual state of facts about the Company or its business
or operations on the date hereof.

The exhibits that are required to be filed or incorporated by reference herein are listed
in the Exhibit Index below (following the signatures page of this report).



21



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##### Table of Contents

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned thereunto duly authorized, on April 28, 2011.



NPC INTERNATIONAL, INC.By:

/s/  Troy D. CookName:

Troy D. CookTitle:

Executive Vice PresidentFinance, Chief Financial Officer, Secretary and Treasurer (Principal Financial Officer)By:

/s/  Susan G. DechantName:

Susan G. DechantTitle:

Vice PresidentAdministration and Chief Accounting Officer (Principal Accounting Officer)




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##### Table of Contents

Exhibit Index



|            |  |                                                                                                                                                                                                                                                                                                                                                                                                                                   
|----------- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit No. |  | Document Description                                                                                                                                                                                                                                                                                                                                                                                                              
|2.1*        |  | Stock Purchase Agreement dated as of March 3, 2006 among NPC Acquisition Holdings, LLC, NPC International, Inc. and the stockholders of NPC International, Inc. named
therein                                                                                                                                                                                                                                                     
|            | 
|2.2*        |  | Merger Agreement dated as of May 3, 2006 between Hawk-Eye Pizza, LLC and NPC Management, Inc.                                                                                                                                                                                                                                                                                                                                     
|            | 
|2.3         |  | Asset Sale Agreement by and between NPC International, Inc., Pizza Hut of America, Inc. and Pizza Hut, Inc. dated as of November 3, 2008 (incorporated herein by reference to
Exhibit 2.1 to the Companys Current Report on Form 8-K filed with the Commission on December 9, 2008)                                                                                                                                              
|            | 
|2.4         |  | Asset Purchase and Sale Agreement by and between NPC International, Inc., Pizza Hut of America, Inc. and Pizza Hut, Inc. dated as of November 3, 2008 (incorporated herein by
reference to Exhibit 2.2 to the Companys Current Report on Form 8-K filed with the Commission on December 9, 2008)                                                                                                                                 
|            | 
|2.5         |  | Amendment to Asset Sale Agreement dated as of December 8, 2008 among NPC International, Inc., Pizza Hut of America, Inc. and Pizza Hut, Inc. (incorporated herein by reference
to Exhibit 2.3 to the Companys Current Report on Form 8-K filed with the Commission on December 9, 2008)                                                                                                                                          
|            | 
|2.6         |  | Amendment to Asset Purchase and Sale Agreement dated as of December 8, 2008 among NPC International, Inc., Pizza Hut of America, Inc. and Pizza Hut, Inc. (incorporated herein
by reference to Exhibit 2.4 to the Companys Current Report on Form 8-K filed with the Commission on December 8, 2008)                                                                                                                             
|            | 
|2.7         |  | Asset Purchase and Sale Agreement by and between NPC International, Inc., Pizza Hut of America, Inc. and Pizza Hut, Inc. dated as of December 15, 2008 (incorporated herein by
reference to Exhibit 2.5 to the Companys Current Report on Form 8-K filed with the Commission on January 20, 2009)                                                                                                                                
|            | 
|2.8         |  | Asset Sale Agreement by and between NPC International, Inc., Pizza Hut of America, Inc. and Pizza Hut, Inc. dated as of January 13, 2009 (incorporated herein by reference to
Exhibit 2.6 to the Companys Current Report on Form 8-K filed with the Commission on February 17, 2009)                                                                                                                                             
|            | 
|2.9         |  | Amendment to Asset Sale Agreement dated as of February 12, 2009 between NPC International, Inc., Pizza Hut of America, Inc. and Pizza Hut, Inc. (incorporated herein by
reference to Exhibit 2.7 to the Companys Current Report on Form 8-K filed with the Commission on February 17, 2009)                                                                                                                                      
|            | 
|2.10        |  | Second Amendment to Asset Sale Agreement dated as of February 16, 2009 between NPC International, Inc., Pizza Hut of America, Inc. and Pizza Hut, Inc. (incorporated herein by
reference to Exhibit 2.8 to the Companys Current Report on Form 8-K filed with the Commission on February 17, 2009)                                                                                                                               
|            | 
|3.1*        |  | Amended and Restated Articles of Incorporation of NPC International, Inc.                                                                                                                                                                                                                                                                                                                                                         
|            | 
|3.2*        |  | Bylaws of NPC International, Inc.                                                                                                                                                                                                                                                                                                                                                                                                 
|            | 
|4.1*        |  | Indenture dated as of May 3, 2006 among NPC International, Inc., NPC Management, Inc. and Wells Fargo Bank, National Association, related to the issue of the 9 1/2% Senior
Subordinated Notes due 2014                                                                                                                                                                                                                           
|            | 
|4.2*        |  | Form of 9 1/2% Senior Subordinated Note due 2014 (included in Exhibit 4.1)                                                                                                                                                                                                                                                                                                                                                        
|            | 
|4.3*        |  | Registration Rights Agreement dated as of May 3, 2006 among NPC International, Inc., NPC Management, Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated and
J.P. Morgan Securities Inc.                                                                                                                                                                                                                                     
|            | 
|10.1*       |  | Hawk-Eye Interests Purchase Agreement, dated as of May 3, 2006, among NPC International, Inc., Oread Capital Holdings, LLC and Troy D. Cook                                                                                                                                                                                                                                                                                       
|            | 
|10.2*       |  | Credit agreement dated as of May 3, 2006 among NPC International, Inc., NPC Acquisition Holdings, LLC as a Guarantor, the other Guarantors party thereto, JPMorgan Chase Bank,
N.A., as Administrative Agent, Collateral Agent and Issuing Bank, Merrill Lynch, Pierce, Fenner & Smith Incorporated, as Syndication Agent, Bank of America, N.A. and Sun Trust Bank, as Co-Documentation Agents, and the Lenders signatory
thereto
|            | 
|10.4*       |  | Advisory Agreement, dated as of May 3, 2006, among NPC International, Inc., NPC Acquisition Holdings, LLC and Merrill Lynch Global Partners, Inc.                                                                                                                                                                                                                                                                                 
|            | 
|10.7*       |  | NPC International, Inc. Deferred Compensation and Retirement Plan                                                                                                                                                                                                                                                                                                                                                                 



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|            |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|----------- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit No. |  | Document Description                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|10.8*       |  | NPC International, Inc. POWR Plan for Key Employees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|            | 
|10.9*       |  | Form of Location Franchise Agreement dated as of January 1, 2003 between Pizza Hut, Inc. and NPC Management, Inc.                                                                                                                                                                                                                                                                                                                                                                                                                   
|            | 
|10.10*      |  | Form of Territory Franchise Agreement dated as of January 1, 2003 between Pizza Hut, Inc. and NPC Management, Inc.                                                                                                                                                                                                                                                                                                                                                                                                                  
|            | 
|10.11*      |  | Purchase Agreement and Escrow Instructions dated as of August 26, 2006 between Realty Income Corporation and NPC International, Inc.                                                                                                                                                                                                                                                                                                                                                                                                
|            | 
|10.12*      |  | Purchase Agreement dated as of April 25, 2006 among Merrill Lynch & Co. and J.P. Morgan Securities Inc., as representative for the initial purchasers, NPC International,
Inc, and NPC Management, Inc.                                                                                                                                                                                                                                                                                                                             
|            | 
|10.13       |  | Pizza Hut National Purchasing Coop, Inc. Membership Subscription and Commitment Agreement (incorporated herein by reference to Exhibit 10.32 to the Registrants Annual Report
on Form 10-K filed with the Commission on May 28, 1999 (File No. 0-13007))                                                                                                                                                                                                                                                                           
|            | 
|10.14*      |  | ISDA Master Agreement dated as of June 6, 2006 between Merrill Lynch Capital Services, Inc. and NPC International, Inc.                                                                                                                                                                                                                                                                                                                                                                                                             
|            | 
|10.15       |  | NPC Acquisition Holdings, LLC Management Option Plan (including forms of executive and director option agreements) dated January 24, 2007 (incorporated herein by reference to
Exhibit 10.1 to the Companys Current Report on Form 8-K filed with the Commission on January 25, 2007)                                                                                                                                                                                                                                              
|            | 
|10.16       |  | Amendment to Franchise Agreement dated as of December 25, 2007 between Pizza Hut, Inc. and NPC International, Inc. (incorporated herein by reference as Exhibit 10.16 to the
Companys Annual Report on Form 10-K filed with the Commission on March 14, 2008)                                                                                                                                                                                                                                                                      
|            | 
|10.17       |  | Swap Transaction Confirmation dated March 31, 2008 between Merrill Lynch Capital Services, Inc. and NPC International, Inc. (incorporated herein by reference to Exhibit 10.17 to the
Companys Quarterly Report on Form 10-Q filed with the Commission on May 9, 2008)                                                                                                                                                                                                                                                             
|            | 
|10.22       |  | Restricted Common Unit Bonus Award Agreement dated May 5, 2010 between NPC Acquisition Holdings, LLC and James K. Schwartz (incorporated herein by reference to Exhibit 10.22 to the
Companys Quarterly Report on Form 10-Q filed with the Commission on August 6, 2010)                                                                                                                                                                                                                                                           
|            | 
|10.23**     |  | Master Distribution Agreement between Unified Foodservice Purchasing Co-op, LLC, for and on behalf of itself as well as the Participants, as defined therein (including certain
subsidiaries of Yum! Brands, Inc.) and McLane Foodservice, Inc., effective as of January 1, 2011 and Participant Distribution Joinder Agreement with McLane Foodservice, Inc. dated August 11, 2010 (incorporated herein by reference to Exhibit 10.23 to
the Companys Quarterly Report on Form 10-Q filed with the Commission on November 8, 2010)
|            | 
|10.24       |  | Amended and Restated Employment Agreement, dated as of February 16, 2011 among NPC International, Inc., NPC Acquisition Holdings, LLC and James K. Schwartz (incorporated herein by
reference as Exhibit 10.24 to the Companys Annual Report on Form 10-K filed with the Commission on February 21, 2011)                                                                                                                                                                                                                          
|10.25       |  | Amended and Restated Employment Agreement, dated as of February 16, 2011 among NPC International, Inc., NPC Acquisition Holdings, LLC and Troy D. Cook (incorporated herein by
reference as Exhibit 10.25 to the Companys Annual Report on Form 10-K filed with the Commission on February 21, 2011)                                                                                                                                                                                                                               
|            | 
|10.26***    |  | NPC International, Inc. Deferred Compensation and Retirement Plan as amended and restated effective March 1, 2011                                                                                                                                                                                                                                                                                                                                                                                                                   
|            | 
|14.1        |  | Code of Business Conduct and Ethics (incorporated herein by reference to Exhibit 14.1 to the Companys Annual Report on Form 10-K filed with the Commission on
March 23, 2007)                                                                                                                                                                                                                                                                                                                                                      



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##### Table of Contents

|            |  |                                                                                                                                                  
|----------- |  | -------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit No. |  | Document Description                                                                                                                             
|            | 
|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 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
|            | 
|32.2***     |  | Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002



|* | Filed as an exhibit with corresponding number to the registrants registration statement on Form S-4 (File No 333-138338) and incorporated herein by reference
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------------

|** | Portions of these documents have been omitted pursuant to a Request for Confidential Treatment filed with the Securities and Exchange Commission pursuant to
Rule 24b-2 under the Securities Exchange Act of 1934, as amended. Omitted portions of these documents are indicated with an asterisk.
|-- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|*** | Filed herewith
|--- | --------------



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