Acquisition

Restaurant Group PLC
17 October 2007


The Restaurant Group plc

Acquisition of Brunning & Price Limited


The Board of The Restaurant Group plc ('TRG' or 'the Group') announces that it
has acquired the entire issued share capital of Brunning & Price Limited ('B&P')
for £32 million.  B&P operates 14 high quality pub restaurants, predominantly in
the North-West of England.  Five are freehold sites and nine are leaseholds.  A
further freehold site which is currently undergoing redevelopment is expected to
open during 2008.  B&P's pub restaurants are character properties located
predominantly in rural and semi-rural locations.



The acquisition of B&P provides TRG with increased opportunities to further
develop its pub restaurant business, a segment of the eating out market which
possesses good prospects for long-term sustainable growth, distinct barriers to
entry and the prospect of good returns on investment.  The acquisition is
complementary to Blubeckers, the pub restaurant business acquired by TRG in
2005.  Following the acquisition the Group will have a portfolio of more than 40
pub restaurants and it is the Board's intention to roll out both B&P and
Blubeckers pub restaurants in both rural and semi-rural locations.



B&P was established in 1981 and has been steadily developed since inception.  B&
P's pub restaurants offer good quality food and beverage in a relaxed and
welcoming environment.  The style of operation, customer base and price point
fit well with TRG's market positioning.  B&P is a high quality operator and this
has been recognised by both its customers and independent referencing bodies
having won the Pub Group of the Year award three times in the past ten years,
most recently in 2007.  The business has shown a consistent performance and has
a solid record of profitable growth.  The existing management team of B&P will
remain with the business.  In the year ended 30 June 2007 B&P generated
restaurant EBITDA of £3.9m1, an increase of 12% on the previous year.  The
Directors of TRG expect the acquisition of B&P to be earnings enhancing2 in the
current and future financial years.



The consideration comprises £26.4 million for the share capital and £5.6 million
for the repayment of existing debt within B&P.  This has been satisfied from the
existing banking facilities available to TRG which have been extended from £80
million to £100 million and rolled over until April 2009 on similar commercial
terms.





Andrew Page, Chief Executive of The Restaurant Group plc, said:



'We are delighted to have secured ownership of the Brunning & Price business and
to welcome its team into TRG.  Its expanding portfolio of 14 pub restaurants is
of an exceptionally high standard both in terms of profitability and quality of
food, beverage and service.  In 2007 B&P was voted Pub Group of the Year by the
Good Pub Guide - testament to its consistently high standards of quality, value
and service.



Our pub restaurant businesses now comprise in excess of 40 sites located
predominantly in Cheshire, the North West and the South East.  The acquisition
of B&P enhances our opportunities for future rollout and the further profitable
development of our pub restaurant business.'







NOTES:



1. In the year ended 30 June 2007 the acquired business had turnover of £17.95m,
profit before interest and tax of £1.5m, profit before tax of £1.2m and gross
assets of £19.2m.  Before central overheads of £1.6m, the restaurant EBITDA of
the business acquired was £3.9m.



2. This statement should not be taken to mean that future earnings per share of
The Restaurant Group plc following the acquisition will necessarily match or
exceed historic earnings per share and no forecast is intended or implied.



3. Certain statements made in this announcement are forward-looking statements.
Such statements are based on current expectations, and by their nature, are
subject to a number of risks and uncertainties that could cause actual results
and performance to differ materially from any expected future results or
performance expressed or implied by the forward-looking statement. The
information does not assume any responsibility or obligation to update publicly
or revise any of the forward-looking statements contained herein.



17 October 2007





ENQUIRIES:



The Restaurant Group plc                               Tel: [phone]
Andrew Page, Chief Executive Officer
Stephen Critoph, Finance Director

College Hill                                           Tel: [phone]
Matthew Smallwood




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