Rick's Cabaret International, Inc. Signs Amended Purchase Agreement and Will Buy 100% of Philadelphia Night Club.


HOUSTON-(January 29, 2008)-Rick's Cabaret International, Inc. [NASDAQ-GM:RICK], premier operator of upscale gentlemen's clubs, said today its wholly owned subsidiary has signed an amended Purchase Agreement and will now acquire 100 percent of The End Zone, Inc., owner of an upscale, 25,000 square foot adult nightclub in Philadelphia, Pennsylvania.

The new contract amends an agreement signed last October under which a subsidiary of Rick's Cabaret would have purchased 51 percent of The End Zone, Inc., which owns and operates the Crazy Horse Too Cabaret at 2908 South Columbus Blvd. As part of the new agreement Rick's Cabaret continues its plan to acquire a 51 percent interest in the real property on which the club is located.

"We are enthusiastic about the opportunity to own 100 percent of what is Philly's most desirable gentlemen's club," said Eric Langan, President and CEO of Rick's Cabaret. "The club is located a few minutes from Center City, next to the major sports complex where Philadelphia Phillies, 76ers, Flyers and Eagles games are played, and near the site of a proposed new gambling casino. We expect that very soon Rick's Cabaret Philadelphia will be the No. 1 adult entertainment and dining establishment in the area."

Rick's Cabaret will pay $3.5 million in cash for the 51 percent interest in the real property and will issue 195,000 shares of the company's stock valued at $23 per share. The shares will be subject to certain lock-up/leak-out provisions that limit their resale. The transaction is anticipated to close within seven days of approval by the Pennsylvania Liquor Control Board, which the company anticipates will happen in the current fiscal quarter.

Mr. Langan said that upon finalization of the transaction the company plans to incorporate an upscale steakhouse and sports bar and convert the venue to the Rick's Cabaret model that has been successful in markets including New York City, Houston, Minneapolis and other cities.

Forward-Looking Statements:
This document contains forward-looking statements that involve a number of risks and uncertainties that could cause the company's actual results to differ materially from those indicated in this document, including:  the risks and uncertainties associated with operating and managing an adult business; the business climates in New York City and elsewhere; the success or lack thereof in launching and building the company's businesses in New York City and elsewhere; the Company's ability to identify and secure suitable locations for new nightclubs on acceptable terms, open the anticipated number of new nightclubs on time and within budget; achieve anticipated rates of same-store sales; hire and train additional nightclub personnel and integrate new nightclubs into its operations; unexpected increases in costs of sales or employee, pre-opening or other expenses; the economic conditions in the new markets into which the Company expands and possible uncertainties in the customer base in these areas; fluctuations in quarterly operating results; the impact of any negative publicity or public attitudes; competitive pressure from other national and regional nightclub chains; risks and uncertainties related to the operational and financial results of our Web sites, conditions relevant to real estate transactions, and numerous other factors such as laws governing the operation of adult entertainment businesses, competition and dependence on key personnel. Rick's has no obligation to update or revise the forward-looking statements to reflect the occurrence of future events or circumstances. For further information go to www.ricks.com.

Contact for further information: Allan Priaulx, 212-338-0050, ir@ricks.com