8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) May 30, 2008

Pizza Inn, Inc.

(Exact name of registrant as specified in its charter)

Missouri (State or other jurisdiction of incorporation) 0-12919 (Commission File Number) 47-0654575 (IRS Employer Identification No.)

3551 Plano Parkway, The Colony, Texas	75056
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code (469) 384-5000

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 1.01 Entry into a Material Definitive Agreement.

On May 30, 2008, Pizza Inn, Inc. (the “Company”) and The CIT Group / Commercial Services, Inc. (“CIT”) entered into a Third Amendment to Financing Agreement (the “Amendment”) modifying certain terms related to the Financing Agreement dated January 23, 2007. The Amendment permits the company to repurchase up to $7,000,000 of the Company’s common stock related to the previously disclosed stock repurchase plan authorized by the board of directors on May 23, 2007.

Item 8.01 Other Events

On June 2, 2008, Pizza Inn, Inc. issued a press release announcing that its Board of Directors has amended the stock repurchase plan authorized on May 23, 2007 increasing the number of shares of common stock the Company may repurchase by  1,000,000 shares to a total of 2,016,000.  A copy of the press release is attached as Exhibit 99.1 to this Form 8-K.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No.	Description of Exhibit
99.1	Pizza Inn, Inc. Press Release dated June 2, 2008 (furnished herewith and incorporated herein by reference)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: June 2, 2008

Pizza Inn, Inc.

By:  /s/ Charles R. Morrison

Name: Charles R. Morrison

Title: President and CEO

EX-99.1 CHARTER

            &# 160;              

FOR IMMEDIATE RELEASE 
Contact:

Danny Meisenheimer

VP of Brand Management

Pizza Inn, Inc.

469-384-5000

dmeisenheimer@pihq.com

PIZZA INN ANNOUNCES STOCK REPURCHASE PLAN EXTENSION

Board Approves Plan to Extend Repurchases to more than 2 Million Shares

Of Outstanding Common Stock

The Colony, Texas – June 2, 2008 – PIZZA INN INC. (NASDAQ:PZZI) today announced that its Board of Directors has authorized the repurchase of an additional 1,000,000 shares of company stock pursuant to the 2007 Stock Repurchase Plan authorized by the Board of Directors in May of 2007.

Share repurchases may be implemented through open market purchases, privately negotiated transactions, block trades or other methods, or by any combination of such methods.  The timing of repurchases is dependent on prevailing market conditions, alternative uses of capital and other factors.  The stock repurchase plan will be funded primarily through the Company’s available working capital.

Mr. Mark Schwarz, Chairman of the Board of Pizza Inn stated, "The increase in the repurchase program reflects our strong confidence in the future of the Pizza Inn brand and its strong franchise system.  The repurchase of our shares will continue to be considered along with additional investments in the business, and in the context of the Company's overall capital allocation process."

Pizza Inn President & CEO Charlie Morrison also commented.  “We continue to see positive momentum in our business with 5 straight quarters of positive same store sales growth and the recent announcements of new domestic franchise agreements and continued international expansion into new markets.”

Certain statements in this press release, other than historical information, may be considered forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, and are subject to various risks, uncertainties and assumptions.  Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may differ from those anticipated, estimated or expected.  Among the key factors that may have a direct bearing on Pizza Inn’s operating results, performance or financial condition are its ability to implement its growth strategies, national, regional and local economic conditions affecting the restaurant/entertainment industry, competition within the restaurant and entertainment industries, success of franchise operations, negative publicity, seasonality, government regulations, weather and commodity, insurance and labor costs.

Pizza Inn, Inc. (www.pizzainn.com) is headquartered in The Colony, Texas, along with its distribution division, Norco Restaurant Services Company.  The Company is a franchisor and food and supply distributor to a system of franchised and company owned restaurants operating both domestically and internationally under the trade name “Pizza Inn.”