When it sold the chain four years ago, there were only 16 restaurants. Hiring McCormick and Schmick as managers, the sale allowed the duo to finance a rapid expansion while maintaining relative control of the product while also going public through the back door. Last year, the chain reported sales of $162.4 million, up about 30% from 1999's $125.6 million.

The duo is now planning for the October opening of its 35th restaurant, this one in Boston. Others are planned for Hackensack, NJ; Orlando, FL; and Atlanta. McCormick and Schmick now have restaurants in 16 states, mostly under their own name.

Avado, meanwhile, is struggling, having posted a net loss of $1 million in the first quarter. The company's share price stands at 61 cents today(Thursday, June 14), up from a 52-week low of 37.5 cents in March, but well below it's 52-week high of $2.75 in July 2000.