Third-Quarter Operating Loss of $428,000 for El Pollo Loco

El Pollo Loco, the Irvine fast-food chain, a division of Flagstar Cos., reported an operating loss of $428,000 for the third quarter.

That contrasted with operating income of $667,000 for same period last year. Revenue increased 10% to $27.1 million from $24.6 million.

For the first three quarters of 1993, the division had an operating loss of $1.7 million, contrasted with an operating profit of $262,000 for the same period a year earlier. Nine-month revenue was $80.1 million, up from $72.4 million. The company said the losses resulted from heavy discounting of menu items during the latest quarter.