EAT Brinker International Inc

Brinker International Announces May Sales DALLAS, June 2 /PRNewswire-FirstCall/ -- Brinker International, Inc. (NYSE:EAT), announced today comparable store sales increased 0.5 percent for the four-week period ending May 26, 2004. May comparable store sales for the four reported brands were as follows: May FY '04 May FY '03 Chili's 0.0% 3.2% Macaroni Grill -3.0% 1.7% Maggiano's +3.0% 1.8% On The Border +6.3% 1.2% May price increases and product mix-shifts for Brinker and the four reported brands were as follows: Price Increase Product Mix-Shift Brinker +1.9% -0.6% Chili's +2.2% -1.4% Macaroni Grill +1.6% +0.6% Maggiano's +1.7% -0.2% On The Border +1.1% +1.8% Brinker reaffirmed its estimate of fourth quarter fiscal 2004 earnings to be $0.71 to $0.73 per share, based on quarterly comparable store sales growth in the 1 percent to 3 percent range. The company's fiscal year 2004 contains 53 weeks, and fiscal year 2005 will be a 52-week year. The company announced initial fiscal year 2005 earnings per share estimates of $2.28 to $2.38, based on the following assumptions: -- 130 to 135 new restaurant openings, resulting in capacity growth of 6 percent to 7 percent; a high number of openings are scheduled for the latter part of the fiscal year and will have a minimal effect on revenues -- Comparable store sales growth of 1 percent to 3 percent -- An increase of approximately $11 million pre-tax net interest expense related to the company's senior notes offering of $300 million at 5.75 percent which closed in May 2004 -- Higher pre-opening expense due to 28 to 34 additional restaurant openings on a year over year basis -- Exclusion of any additional costs related to the previously announced closure of 30 restaurants -- Approximately 96 to 97 million outstanding diluted shares, exclusive of any impact of the potential conversion or inclusion in the share base of the company's outstanding convertible debt The company will more fully discuss in detail these estimates on August 11 during its scheduled year-end conference call. A recorded message providing perspective on May sales and the initial guidance will be available beginning Wednesday, June 2, at 4:30 p.m. EDT through Friday, June 4, by dialing 1-973-528-0005 and entering pass code 1313. Brinker International either owns, operates, franchises, or is involved in the ownership of 1,462 restaurants under the names Chili's Grill & Bar (968 units), Romano's Macaroni Grill (214 units), Maggiano's Little Italy (28 units), On The Border Mexican Grill & Cantina (128 units), Corner Bakery Cafe (85 units), Big Bowl Asian Kitchen (14 units), and Rockfish Seafood Grill (25 units). The statements contained in this release that are not historical facts are forward-looking statements. These forward-looking statements involve risks and uncertainties and, consequently, could be affected by general business and economic conditions, the impact of competition, the seasonality of the company's business, adverse weather conditions, future commodity prices, fuel and utility costs and availability, terrorist acts, consumer perception of food safety, changes in consumer taste, changes in demographic trends, availability of employees, unfavorable publicity, the company's ability to meet its growth plan, acts of God, governmental regulations, and inflation. Contacts: Louis Adams, Media Relations Chuck Sonsteby, Investor Relations (972) 770-4967 (972) 770-9406 DATASOURCE: Brinker International, Inc. CONTACT: Louis Adams, Media Relations, +1-972-770-4967, or Chuck Sonsteby, Investor Relations, +1-972-770-9406, both of Brinker International, Inc. Web site: http://www.brinker.com/

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