Ruby Tuesday, Inc.
Projected Consolidating Statement of Income (unaudited)
First Quarter of Fiscal 2004
(Amounts in thousands)
                                                                                                          

                                                    Percent      Franchise    Percent                    Consolidated Ruby  Percent
                                 Ruby Tuesday, Inc. of Sales   Partnerships   of Sales  Eliminations       Tuesday, Inc.    of Sales
Company restaurant revenues              $ 245,500     98.2        $ 94,900     100.0                           $ 340,400     99.7
Franchise income                             4,500      1.8             -         -       $ (3,500) A               1,000      0.3
                                      -------------            -------------            -----------          -------------
  Total operating revenues                 250,000    100.0          94,900     100.0       (3,500)               341,400    100.0

Operating Costs and Expenses:
  (as a percent of Company restaurant
        revenues)
  Cost of merchandise                       63,400     25.8          24,200      25.5                              87,600     25.7
  Payroll and related costs                 80,100     32.6          31,700      33.4                             111,800     32.8
  Other                                     41,200     16.8          21,500      22.7       (3,500) A              59,200     17.4
  Depreciation and amortization             12,800      5.2           3,900       4.1           75  B              16,775      4.9
  (as a percent of Total operating
        revenues)
  Selling, general and administrative       15,600      6.2           5,700       6.0                              21,300      6.2
  Equity in (earnings) of franchisees       (1,300)    (0.5)            -          -         1,300  C                  -        -
  Minority interest                            -                        -                    1,900  D               1,900      0.6
                                      -------------            -------------            -----------          -------------
 Total operating costs and expenses        211,800     84.7          87,000      91.7         (225)               298,575     87.5
                                      -------------            -------------            -----------          -------------

Earnings before Interest, Taxes and
  cumulative effect of change in
  accounting principle                      38,200     15.3           7,900       8.3       (3,275)                42,825     12.5

  Interest expense, net                      1,400      0.6           4,500       4.7                               5,900      1.7
                                      -------------            -------------            -----------          -------------

Pre-tax profit                              36,800     14.7           3,400       3.6       (3,275)                36,925     10.8

  Provision for income taxes                13,100      5.2             -          -            75                 13,175      3.9
                                      -------------            -------------            -----------          -------------

Income before cumulative effect of change
  in accounting principle                   23,700      9.5           3,400       3.6       (3,350)                23,750      7.0

Cumulative effect of change in
  accounting principle, net                    -                        -                   40,575  E              40,575
                                      -------------            -------------            -----------          -------------

Net (Loss) / Income                      $  23,700                  $ 3,400              $ (43,925)             $ (16,825)
                                      =============            =============            ===========          ==============




A - Elimination of royalty fees paid by the Franchise Partnerships to Ruby
    Tuesday

B - Depreciation recorded in conjunction with the write-up of the assets of one
    Franchise Partnership resulting from a prior purchase price adjustment

C - Elimination of Ruby Tuesday, Inc.'s share of the earnings of the 50%
    Franchise Partnerships

D - Allocation of minority interest to the Franchise Partnerships

E - Cumulative effect estimated to be $48,500 gross shown net of estimated
    deferred tax benefit of $7,925.