HOUSTON, May 9 /PRNewswire-FirstCall/ -- Landry's Restaurants, Inc.(NYSE: LNY) (the 'Company'), today announced its results for the first quarterended March 31, 2008.

Revenues from continuing operations for the three months endedMarch 31, 2008, totaled $294.8 million, as compared to $283.6 million a yearearlier, including $69.8 million and $70.7 million, respectively from theGolden Nugget properties and an additional day due to leap year. Income fromcontinuing operations for the quarter was $2.2 million, compared to$22.8 million reported last year. Earnings per share-diluted from continuingoperations for the quarter were $0.14, compared to $1.04 reported last year.The Company's continuing operations include results from 8 additionalrestaurants during the three months ended March 31, 2008. Also included inthe current year amount is a non-cash expense of $3.0 million after-tax, or$0.20 per share-diluted for the change in value of interest rate swaps notdesignated as hedges while the prior comparable period includes gains on assetsales of $13.0 million after-tax or $0.59 per share-diluted. During the firstquarter of 2008, consolidated pre-tax interest expense was $20.8 millioncompared to $13.6 million in the comparable period last year primarily due toadditional borrowings associated with the June 2007 Golden Nugget refinancingas well as the 2.0% increase in the interest rate on the $400.0 million SeniorNotes effective August 2007. The Senior Note holders also have an option torequire the Company to redeem the Notes beginning February 28, 2009 at 101% offace value. As a result, the Notes are reflected as current liabilities inthe Company's financial statements. Same store sales for the Company'srestaurants were flat for the quarter.

As a result of our 2006 sale of the Joe's Crab Shack concept and closureof certain additional locations, the results of operations for theserestaurants are reflected as discontinued operations in the Company'sfinancial statements. The loss from discontinued operations, net of taxes,for the quarter ended March 31, 2008 was $0.7 million or $0.04 per share -diluted compared to a loss of $0.7 million or $0.03 per share - diluted in theprior year. Therefore, the consolidated net income for the quarter was$1.5 million or $0.10 per share - diluted, compared to net income of $22.1million or $1.01 per share - diluted in the comparable period in 2007.

Rick H.