Benihana Inc. Completes Amendment & Restatement of its Credit Agreement; Maturity of Secured Revolving Credit Facility Extend...

Benihana Inc. (NASDAQ: BNHNA; BNHN), operator of the nation’s largest chain of Japanese theme and sushi restaurants, today announced that it has completed an amendment and restatement of its credit agreement with Wells Fargo Bank, National Association. The amended and restated credit agreement provides the Company with continued access to its existing secured revolving credit facility through February 10, 2014, with an initial aggregate principal amount of $30 million and an option to increase the principal amount by $5 million to $35 million, subject to certain conditions.

As of February 10, 2011, the revolving credit facility will bear interest at LIBOR +4.25%, which compares favorably to the prior revolving credit facility, which bore interest at LIBOR +4.75% with a floor of 5.75%. The amended and restated credit agreement also contains modifications to certain covenants and offers the Company greater financial flexibility.

Richard C. Stockinger, Chairman, Chief Executive Officer and President, said “We are pleased to have reached this new credit agreement, which provides for the capital needs of our business on more favorable terms, and extends the maturity of our facility by an additional three years. We appreciate Wells Fargo’s continued partnership and support of our Company.”

The Company intends to use the proceeds of the credit facility to finance its restaurant expansion and related costs and to provide for working capital and general corporate requirements.

Safe Harbor Statement

Except for the historical matters contained herein, statements in this press release are forward-looking and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that forward-looking statements involve risks and uncertainties that may affect the business and prospects of the Company, including, without limitation: risks related to the Company’s business strategy, including the Company’s Renewal Program and marketing programs; risks related to the Company’s ability to operate successfully in the current challenging economic environment; risks related to the Company’s efforts to strengthen its Benihana Teppanyaki concept and build its RA Sushi and Haru brands; and other risks and uncertainties that may cause results to differ materially from those set forth in the forward-looking statements. Past performance may not be indicative of future results. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, there can be no assurance that its expectations will be realized. In addition to the risks and uncertainties set forth above, investors should consider the risks and uncertainties discussed in the Company’s filings with the Securities and Exchange Commission, including, without limitation, the risks and uncertainties discussed under the heading “Risk Factors” in such filings. The Company does not undertake any obligation to publicly update any forward-looking statement to reflect events or circumstances after the date on which any such statement is made or to reflect the occurrence of unanticipated events.

About Benihana

Headquartered in Miami, Benihana Inc. (NASDAQ GS: BNHN, BNHNA) is the nation's leading operator of Japanese theme and sushi restaurants with 97 restaurants nationwide, including 63 Benihana restaurants, nine Haru sushi restaurants, and 25 RA Sushi restaurants. Famous for its entertaining chefs who present and prepare delicious teppanyaki entrees at hibachi tables, as well as sushi and other Japanese favorites, Benihana introduced Japanese food to America in 1964. RA Sushi offers a subtly sexy and energetic experience with a hip ambience, and Haru is an urban, upscale sushi concept. In addition, 20 franchised Benihana restaurants are operating in the United States, Latin America and the Caribbean. To learn more about Benihana Inc. and its three restaurant concepts, please view the corporate video at www.benihana.com/about/video.

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