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November 12, 2001 08:22am
Rick's Cabaret Opens Couples Club
Source: Rick's Cabaret International, Inc.
by: Company Press Release

(HOUSTON, TX) -- Rick's Cabaret International, Inc. [NASDAQ: RICK], the only publicly traded company in the topless entertainment industry and the leading online auctioneer of adult products and memorabilia, has added a new business line: upscale swingers' clubs.

Rick's will open its first such club, Encounters, on November 17th. Located near the posh Galleria shopping mall in Houston (5718 Fairdale), it has attracted substantial crowds for several pre-launch parties and its owners believe it may become "the" hot nightspot for couples in the south Texas. In addition to the club itself, Encounters will offer customers the chance to stay in touch through www.encountersclub.com, an Internet site complete with interactive forums and online seat-specific reservations.

Eric Langan, President and CEO of Rick's, said Encounters will normally charge $20 per couple as an entry fee (with tickets $60 to $75 per couple for the opening night party) and will also sell alcoholic beverages. "Swinging has become quite fashionable. We plan to employ the same strategy with Encounters that has been so successful with our Rick's Cabaret gentlemen's clubs by creating a comfortable, upscale environment that takes this type of entertainment and relaxation to a higher level than is usually available." He said the nightspot features attractive décor with upholstered chairs and an ambiance conducive to socializing. Only couples or single females will be admitted on Saturday nights. "The attraction is the anticipation of meeting other couples that share mutual interests in a safe and attractive atmosphere," he added.

Mr. Langan said the new venture was a response to market research indicating strong growth among couples in purchases of adult videos and other sexual entertainment. The phenomenon of "swinging" or consensual exchanging of partners among married couples or twosomes in relationships has grown in the United States. According to research published by the Society for Human Sexuality, up to 2% of adult couples practice swinging. The research also indicates that 6.7% of couples interviewed "would participate if the opportunity presented itself."

"To break the ice, an Encounters hostess acts as a social director and introduces guests to other like-minded couples," Mr. Langan said. "In our pre-opening evenings we've noticed a very upscale demographic, with a high proportion of attorneys, doctors and other professionals, along with a good sprinkling of colorful people who arrive on their Harley-Davidsons. Swinging is a major new trend, and you may never know that your neighbors or your lawyers are into it until you meet them very discreetly at our club."

About Rick's Cabaret:
Rick's Cabaret International Inc. [www.ricks.com], opened its first Rick's Cabaret in Houston in 1983 and went public in 1995, making Rick's the world's first publicly traded topless entertainment business. Rick's owns and operates premier adult entertainment Internet Web sites, such as www.DancerDorm.com and www.xxxpassword.com. Rick's also owns and/or operates four Rick's Cabaret locations, three of which are in Houston and one of which is in Minneapolis. Rick's also owns and operates two XTC Cabarets, which are located in San Antonio and Austin, through its 93% owned subsidiary, Taurus Entertainment Companies Inc. Rick's and its subsidiaries own all the real estate properties where their cabarets and Internet production studio are located except its south Houston location, which is leased. In May Rick's Cabaret was named as one of Houston's 100 fastest growing companies by The Houston Chronicle. Rick's also owns the largest network of adult-oriented Internet auction sites under the flagship www.naughtybids.com.

Forward Looking Statements:
This press release contains forward-looking statements that involve a number of risks and uncertainties. Important factors that could cause the company's actual results to differ materially from those indicated in this press release include the risks and uncertainties related to the growth of Rick's Internet operations, the future operational strength its partners, the growth of Rick's cabaret operations, the laws governing the operation of adult entertainment businesses, competitive factors, dependence on key personnel and the ability to manage operations. Rick's has no obligation to update or revise the forward-looking statements to reflect the occurrence of future events or circumstances.

Media: Ellie Reeve, 212-338-0050, elliereeve@aol.com
Investors: Allan Priaulx, 212-338-0050, ir@ricks.com

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