PIZZA INN, INC. REPORTS RESULTS FOR THE THIRD QUARTER OF FISCAL 2006

PIZZA INN, INC. REPORTS RESULTS FOR THE
THIRD QUARTER FISCAL YEAR 2006

THE COLONY, TEXAS - TBD, 2006 - PIZZA INN, INC. (NASDAQ:PZZI) today reported a
net loss per share for its third quarter ended March 26, 2006 of ($0.05) versus
earnings of $0.00 per share for the same quarter last year. The quarter
resulted in a net loss of ($477,000) versus a net loss of ($20,000) for the same
quarter last year on revenues of $12.8 million and $13.4 million, respectively.
THIRD QUARTER FY 2006 VERSUS THIRD QUARTER FY 2005 RESULTS
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Diluted EPS was ($0.05) versus $0.00 on a net loss of ($477,000) versus a
net loss of ($20,000) for the same quarter last year.

Same store buffet restaurant sales increased 1.1% for the quarter and same
store chainwide retail sales increased 0.4% for the quarter.

- - Total revenues decreased approximately 4%, or $589,000, primarily due to
2.6% overall lower chainwide retail sales as a result of fewer net stores and
lower cheese prices. The resulting reductions in food and supply sales and
royalty revenues were partially offset by higher company-owned restaurant sales
due to the opening of three new company buffet restaurants in the current fiscal
year.

- - Losses for company-owned restaurants increased approximately $140,000 to
($238,000).

- - Salaries increased approximately $134,000 due to increased staffing levels
and severance payments made.

- - Energy costs increased approximately $114,000.

General and administrative expenses included non-cash stock compensation
expense of $88,000 for approximately 560,000 stock option rights granted
previously. The prior year did not include any non-cash compensation expense.



P R E S S R E L E A S E

FOR IMMEDIATE RELEASE


PIZZA INN, INC. REPORTS RESULTS FOR THE
THIRD QUARTER FISCAL YEAR 2006
(CONTINUED)

The Company's President and CEO, Tim Taft, commented, "Following months of
research and preparation, we implemented the first phase of our marketing plan
in January of this year and are already seeing encouraging results from these
efforts. In addition, the renewed trust and confidence our franchise partners
have in the brand's new direction is producing positive results. We continue to
work together to establish the proper direction for Pizza Inn, one focused on
our competitive strengths and advantages. Although sales performance is
improving at Pizza Inn, we have not lost sight of our opportunity to improve its
operating performance."

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
each of the restaurant and entertainment industries, store sales
cannibalization, success of its franchise operations, negative publicity,
fluctuations in quarterly results of operations, including seasonality,
government regulations, weather, commodity, insurance and labor costs.

Pizza Inn, Inc. is headquartered in The Colony, Texas, along with its
distribution division, Norco Restaurant Services Company. Pizza Inn franchises
approximately 378 restaurants and currently owns four restaurants with annual
chainwide sales of approximately $155 million.