EXHIBIT 99.1


** NEWS RELEASE **                                       Contact:
                                                         Hot Topic, Inc.
                                                         Mr. Jim McGinty, CFO
                                                         (626) 839-4681 x2675
                                                         jmcginty@hottopic.com



               HOT TOPIC, INC. DECLARES THREE-FOR-TWO STOCK SPLIT

         CITY of INDUSTRY, CA, August 12, 2003 -- Hot Topic, Inc. (Nasdaq
National Market: HOTT), a national mall-based specialty retailer of
music-licensed and music-influenced apparel, accessories and gift items for
teens, announced today that its Board of Directors has declared a three-for-two
split (in the form of a dividend) of its common stock. On the effective date of
September 2, 2003, shareholders will receive a dividend of one additional share
for every two shares they own at the close of business on the record date of
August 21, 2003. Cash will be paid in lieu of issuing fractional shares based on
the closing sales price of the Company's common stock on the effective date of
the split.

         Following the effective date of the split, Hot Topic will have
approximately 47.5 million shares outstanding. The Company split its stock
three-for-two on February 6, 2002, two-for-one on December 27, 2000 and also
two-for-one on December 28, 1999.

         The Company expects to issue a news release to report full financial
results for the second quarter ended August 2, 2003 after market close on
Wednesday, August 20, 2003. A conference call to discuss second quarter results,
business trends, and other matters will be conducted at 4:30pm Eastern time on
August 20, 2003. The conference call number is (888) 868-9080, and will be
accessible to all interested parties. It will also be webcast at
www.streetevents.com. A replay will be available at (973) 341-3080, pass code
3265628, and at www.streetevents.com.

         Hot Topic, Inc. is a national mall-based specialty retailer of
music-licensed and music-influenced apparel, accessories and gift items for
young men and women principally between the ages of 12 and 22. Torrid, the
Company's second concept, is a mall-based specialty retailer of plus-size
fashion-forward apparel and accessories that targets young women principally
between the ages of 15 and 29. The Company currently operates 459 Hot Topic
stores in 49 states and Puerto Rico, 41 Torrid stores and Internet stores
www.hottopic.com and www.torrid.com.


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         Except for the historical information contained herein, this news
release contains forward-looking statements, including statements relating to
financial results, projections and other financial performance, and managing
growth. These statements involve risks and uncertainties, including risks and
uncertainties associated with meeting expected financial results, management of
growth, relationships with mall developers and operators, the risk that
available cash or mall space will not be adequate for planned expansion,
fluctuations in sales and comparable store sales results, risks and
uncertainties with respect to new store openings including risks associated with
the Company's new store concepts and Internet stores, music and fashion trends,
competition from other retailers, uncertainties generally associated with
specialty retailing, the effect of economic conditions, the effect of severe
weather or natural disasters, political and/or social changes or events that
could negatively impact shopping patterns and/or mall traffic as well as other
risks detailed from time to time in the Company's SEC reports, including its
Quarterly Report on Form 10-Q for the quarter ended May 3, 2003 and its Annual
Report on Form 10-K for the year ended February 1, 2003. The historical results
achieved are not necessarily indicative of the future prospects of the Company.


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