news releases

Pizza Inn, Inc. today reported earnings per share for its second quarter ended December 24, of 5 cents, versus 6 cents for the same quarter last year. Net income was $529,000 versus $745,000, on revenues of $15.5 million versus $16.3 million in the previous year. For the six-month period, earnings per share were 11 cents versus 13 cents last year. Net income was $1,175,000 compared to $1,493,000 on revenues of $32.3 million versus $33.7 million last year. Comparable chainwide same-store sales finished down 3.6% for the second quarter.

Pizza Inn also announced that its annual franchisee owners' conference has been scheduled for the week of March 19. The Company is moving forward with the operational initiatives previously announced and is using the conference to highlight new efforts with its franchisees.

   For more information contact:
   Ronald W. Parker
   President
   (972) 701-9955

For more information about the company, visit Pizza Inn at http://www.pizzainn.com/.

                               PIZZA INN, INC.
             (In thousands, except share and per share amounts)

            2nd Quarter
                                               December 24,     December 26,
                                                   2000              1999
  Revenue                                        $15,520           $16,331

  Income before taxes                               $802            $1,129

  Net Income                                        $529              $745

  Diluted earnings per share                       $0.05             $0.06

  Basic earnings per share                         $0.05             $0.06

  Weighted average shares outstanding:
     Diluted                                  10,725,224        11,690,978
     Basic                                    10,723,302        11,569,842


            Six Months
                                               December 24,     December 26,
                                                   2000              1999
  Revenue                                        $32,336           $33,725

  Income before taxes                             $1,834            $2,265

  Net Income                                      $1,175            $1,493

  Diluted earnings per share                       $0.11             $0.13

  Basic earnings per share                         $0.11             $0.13

  Weighted average shares outstanding:
     Diluted                                  10,734,765        11,581,149
     Basic                                    10,728,819        11,410,637

SOURCE: Pizza Inn, Inc.