RCI Receives Anticipated Nasdaq Letter

HOUSTON—February 18, 2020—RCI Hospitality Holdings, Inc. (Nasdaq: RICK) received on February 13, 2020, as anticipated, a letter from the Nasdaq Stock Market notifying the company of its continued noncompliance with Listing Rule 5250(c)(1) requiring the timely filing of reports with the SEC. Nasdaq sent the letter in connection with RCI not filing its Form 10-Q for the first quarter ended December 31, 2019 and its Form 10-K for the year ended September 30, 2019. Nasdaq's letter has no immediate effect on the company's stock listing.

On February 13, 2020, the company filed its Form 10-K for the year ended September 30, 2019. The next day, February 14, 2020, RCI submitted a plan to Nasdaq to regain compliance. RCI anticipates filing its Form 10-Q before the end of the month, assuming there are no unforeseen delays. If Nasdaq accepts the plan, the exchange may grant an exception of up to 180 calendar days from the 10-K's due date, or until June 15, 2020, to regain compliance.

Forward-Looking Statements

This press release may contain 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 press release, including, but not limited to, the risks and uncertainties associated with (i) operating and managing an adult business, (ii) the business climates in cities where it operates, (iii) the success or lack thereof in launching and building the company's businesses, (iv) cyber security, (v) conditions relevant to real estate transactions, (vi) our ability to maintain compliance with the filing requirements of the SEC and the Nasdaq Stock Market, and (vii) numerous other factors such as laws governing the operation of adult entertainment businesses, competition and dependence on key personnel. The company has no obligation to update or revise the forward-looking statements to reflect the occurrence of future events or circumstances.

Media & Investor Contacts

Gary Fishman and Steven Anreder at 212-532-3232 or gary.fishman@anreder.com and steven.anreder@anreder.com