Exhibit 99.1

Luby's to Reschedule Release of Second Quarter Results, Investor Conference
Call, and Filing of Second Quarter Form 10-Q

     HOUSTON--(BUSINESS WIRE)--March 16, 2005--

         Company to Make Non-Cash Adjustments to Current and Historical
       Financial Statements; Changes Necessary Due to Recent SEC Guidance
                           Relating to Lease Expenses

     Luby's, Inc. (NYSE:LUB) today announced that it will reschedule the release
of its second quarter results and investor conference call to provide additional
time to review its accounting treatment for leases and make the necessary
adjustments to its current and historical financial statements. The release of
second quarter results and investor conference call were previously scheduled
for March 17, 2005, and the Form 10-Q was previously scheduled to be filed on
March 21, 2005. Luby's will file for a five-day extension with the Securities
and Exchange Commission (SEC), which will automatically extend the filing
deadline for the Form 10-Q to March 28, 2005. Luby's will announce a new release
and conference call date later.
     Like many other retail and restaurant companies that operate properties on
long-term leases, Luby's is reviewing certain non-cash items relating to its
lease accounting practices and the effect on its financial statements as a
result of a public letter issued by the SEC's Chief Accountant to the American
Institute of Certified Public Accountants on February 7, 2005, clarifying the
interpretation of existing accounting literature applicable to certain leases
and leasehold improvements. As reported in previous filings with the SEC, Luby's
has historically recorded actual rent expense in the period that it occurs.
Additionally, the Company has depreciated certain of its leaseholds over useful
lives that were not consistent with the terms of related leases.
     As a result of its review, Luby's will begin to utilize straight-line
accounting for its leases and align the useful lives of its leaseholds with the
terms of related leases. Luby's expects to amend its Annual Report on Form 10-K
for fiscal 2004 and its Form 10-Q for first quarter of fiscal 2005 to adjust its
method of accounting for leases and the related depreciation. These adjustments
will not affect historical or future cash flows, the timing of payments under
current leases, cash balances or compliance with any financial covenant or debt
instrument. Of Luby's 134 currently operating restaurant locations, only 40 are
leased while 94 are owned by Luby's.
     Luby's provides its customers with delicious, home-style food, value
pricing, and outstanding customer service at its 134 restaurants in Dallas,
Houston, San Antonio, the Rio Grande Valley, and other locations throughout
Texas and other states. Luby's stock is traded on the New York Stock Exchange
(symbol LUB). For more information about Luby's, visit the Company's website at
www.lubys.com.

     The company wishes to caution readers that various factors could cause its
actual financial and operational results to differ materially from those
indicated by forward-looking statements made from time to time in news releases,
reports, proxy statements, registration statements, and other written
communications, as well as oral statements made from time to time by
representatives of the company. Except for historical information, matters
discussed in such oral and written communications are forward-looking statements
that involve risks and uncertainties, including but not limited to general
business conditions, the impact of competition, the success of operating
initiatives, changes in the cost and supply of food and labor, the seasonality
of the company's business, taxes, inflation, governmental regulations, and the
availability of credit, as well as other risks and uncertainties disclosed in
periodic reports on Form 10-K and Form 10-Q.


     CONTACT: Luby's, Inc., Houston
              Adam Carter, 713-329-6808