Red Robin Gourmet Burgers Reports Preliminary Unaudited Revenues for the Fiscal Fourth Quarter and Full Year 2007

Red Robin Gourmet Burgers, Inc., (NASDAQ: RRGB), a casual dining restaurant chain focused on serving an innovative selection of high-quality gourmet burgers in a family-friendly atmosphere, today reported preliminary unaudited revenues for the twelve and fifty-two weeks ended December 30, 2007. The Company also increased its earnings guidance for the full year 2007.

For the twelve-week fiscal fourth quarter of 2007, preliminary unaudited revenues, which include company-owned restaurant sales and franchise royalties and fees, increased 12.1% to $183.7 million, versus $163.8 million for the thirteen weeks ended December 31, 2006. Comparable restaurant sales increased 2.7% for company-owned restaurants in the fiscal fourth quarter of 2007, compared to the fiscal fourth quarter of 2006, driven by a 4.2% increase in the average guest check and a 1.5% decrease in guest counts.

For the fifty-two week full year 2007, preliminary unaudited revenues, which include company-owned restaurant sales and franchise royalties and fees, increased 23.4% to $763.4 million, versus $618.7 million for the fifty-three weeks ended December 31, 2006. Comparable restaurant sales increased 2.4% for company-owned restaurants in the full year 2007, compared to the full year 2006, driven by a 3.4% increase in the average guest check and a 1.0% decrease in guest counts. The Company had previously provided 2007 financial guidance for total revenues of $763 to $767 million, including a previously expected comparable restaurant sales increase of approximately 2.5% to 3%.

During the fiscal fourth quarter of 2007, the Company opened three company-owned units and franchisees opened one new restaurant. For the full year 2007, the Company opened 26 new company-owned units, while franchisees opened 14 new restaurants. As of December 30, 2007, there were 250 company-owned or managed restaurants and 134 franchised Red Robin restaurants.

The Company increased its previously communicated earnings guidance for the full year 2007. Net income is now expected to be between $1.74 and $1.78 per diluted share on a GAAP basis, which includes a $0.08 per diluted share after tax charge related to reacquired franchise costs, a $0.01 per diluted share after tax charge for acquisition related integration expenses, a $0.07 per diluted share after tax charge related to the settlement of the California wage and hour lawsuits, and a $0.28 to $0.30 per diluted share impact for stock compensation expenses. The Company had previously expected GAAP basis earnings per share to be between $1.70 and $1.74 per diluted share.

The Company expects to open between 30 and 33 new units in 2008, of which 11 are currently under construction, and three have already opened. Franchise partners are expected to open between 11 and 13 new restaurants in 2008, of which four are currently under construction.



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