Ruby Tuesday Announces Development of Restaurants in Southern California; NFL All-Pro Linebacker, Junior Seau, Is a Partner in West Coast Franchise

Business Wire, August 15, 2006

MARYVILLE, Tenn. -- Ruby Tuesday, Inc. (NYSE:RI), one of the nation's leading casual dining restaurant chains, has announced the signing of a franchise agreement for the development of 15 Ruby Tuesday restaurants in Southern California over the coming five years in a territory that includes parts of Riverside and San Bernardino counties with an option for development in San Diego county. Junior Seau, who announced his retirement from the NFL on Monday and is known as one of the best linebackers in pro football history, is a principal partner in the venture.

"We are very pleased that our brand will be growing on the West Coast and are excited about our business relationship with Junior and his partners," said Mark Ingram, President of Franchise Development for Ruby Tuesday.

Other principals in RT Restaurants Southern California, LLC, the Southern California franchisee, are Ted Davenport, the Ruby Tuesday franchisee for Hawaii since 2003 and the development agent for Subway sandwich shops in Hawaii, and Jeff Howie, a native of Southern California and veteran real estate developer.

"Ted has been a very successful Ruby Tuesday franchisee, and Jeff has a tremendous track record and more than two decades of experience. Junior is one of the greatest and most respected athletes in professional sports. It's a franchise dream team," Ingram added.

Seau played 13 years for the San Diego Chargers and three years with the Miami Dolphins. He was a first-round draft pick from the University of Southern California. In 2002, he was voted to play in a record twelfth consecutive Pro Bowl. His Seau Foundation raises and distributes money for drug awareness, the prevention of child abuse, and college scholarships.

"I enjoy the restaurant business," Seau said, "and I am excited about being a member of the team that brings Ruby Tuesdays to the West Coast."

Ruby Tuesday restaurants are known for their handcrafted burgers, made from fresh, 100% USDA choice beef, and for a fresh garden salad bar. The chain was founded in 1972 by its current Chairman and CEO, Sandy Beall. There are more than 880 Ruby Tuesdays in 42 states, the District of Columbia and Puerto Rico, and in 13 countries around the world.

More information is available on the company's web site at www.rubytuesday.com.

For more information, contact Richard Johnson 865 379-5791; rjohnson@rubytuesday.com.

Special Note Regarding Forward-Looking Information

This press release contains various "forward-looking statements" which represent the Company's expectations or beliefs concerning future events, including one or more of the following: future financial performance and unit growth (both Company-owned and franchised), future capital expenditures, future borrowings and repayment of debt, and payment of dividends. The Company cautions that a number of important factors and uncertainties could, individually or in the aggregate, cause actual results to differ materially from those included in the forward-looking statements, including, without limitation, the following: changes in promotional, couponing and advertising strategies; guests' acceptance of changes in menu items; changes in our guests' disposable income; consumer spending trends and habits; mall-traffic trends; increased competition in the casual dining restaurant market; weather conditions in the regions in which Company-owned and franchised restaurants are operated; guests' acceptance of the Company's development prototypes; laws and regulations affecting labor and employee benefit costs; costs and availability of food and beverage inventory; the Company's ability to attract qualified managers, franchisees and team members; changes in the availability and cost of capital; impact of adoption of new accounting standards; effects of actual or threatened future terrorist attacks in the United States; and general economic condition.