Second Quarter Results

Sales for the second quarter of fiscal 2010 increased 13.9% to a record $136.6 million compared to $119.9 million for the second quarter of fiscal 2009. Sales were driven largely by continued strong in-store execution and effective advertising and marketing campaigns. Comparable store sales grew 7.4%, on top of a 4.5% comparable store sales increase in the second quarter of the prior year, and exceeded the Company's previously estimated range of 5% to 7%. By category, comparable store sales increased approximately 11% for tires, 7% for alignments, 7% for brakes, 7% for maintenance services and 4% for exhaust.

The total sales for the quarter included an increase in sales from new stores of $10.0 million. The 26 Autotire stores acquired in June 2009 contributed $8.4 million of the increase.

Gross margin increased to 43.1% in the second quarter of fiscal 2010 from 42.0% in the prior year quarter. The improvement in gross margin was driven by lower material costs, improved labor productivity and leveraging of fixed occupancy costs included in cost of sales. Partially offsetting this improvement was a sales mix shift to lower margin tire and oil change sales. Total operating expenses were $41.3 million, or 30.2% of sales, compared with 30.5% of sales for the same period of the prior year. Operating income for the quarter increased 27.3% to $17.5 million from $13.8 million in the prior year period.

Net income for the second quarter increased 30.4% to a record $10.0 million from $7.7 million for the prior year period. Diluted earnings per share for the quarter were $.49 and exceeded the Company's previously expected range of $.47 to $.48. This compares to diluted earnings per share of $.38 in the second quarter of fiscal 2009.

The Company opened four locations and closed five locations during the quarter, ending the second quarter of fiscal 2010 with 739 stores.

First Six Month Results

For the six-month period, net sales increased 10.2% to a record $264.7 million from $240.3 million in the same period of the prior year. Net income for the first six months of fiscal 2010 increased 25.5% to a record $19.4 million, or $.95 per diluted share, compared with $15.5 million, or $.77 per share in the comparable period of fiscal 2009.

Robert G. Gross, Chairman and Chief Executive Officer, stated, "We are delighted with our continued strong performance and positive traction that we experienced in the second quarter which was driven by effective in-store sales execution and our ability to capitalize on favorable macro factors. Additionally, our strong reputation as a trusted service provider and our effective advertising strategy helped us to achieve a very impressive record same store traffic increase of approximately 7% for the quarter. Further, we are pleased that we continue to gain market share, both organically as a result of our effective business strategy and positive impact of dealership closures, as well as through our recent value-priced acquisitions which are expected to add approximately $90 million (18%) to annual sales."

Company Outlook

Based on current visibility and business and economic trends, the Company anticipates comparable store sales growth in the range of 6% to 8% for the third quarter of fiscal 2010. The Company also expects diluted earnings per share for the third quarter to be in the range of $.32 to $.35, compared with $.28 for the third quarter of fiscal 2009.

For fiscal 2010, the Company now anticipates comparable store sales growth in the range of 6% to 7% compared with its previously estimated range of 4% to 7%. The Company now expects total fiscal 2010 sales in the range of $553 million to $563 million compared with its previously estimated range of $515 million to $530 million. The Company raised its estimated range for fiscal 2010 diluted earnings per share to $1.44 to $1.48 from its previously estimated range of $1.35 to $1.45. The estimate is based on 20.6 million weighted average shares outstanding.

Mr. Gross concluded, "We are pleased with our continued strong momentum entering the third quarter as we are executing well and maximizing our opportunities for market share expansion. Notably, our September comparable store sales increased approximately 10% and our October comparable sales were up approximately 12.5%. The integration of our three recent value-priced acquisitions into the Monro family are progressing as planned and we believe that we are well-positioned to take advantage of additional acquisition opportunities as they arise. As we look to the second half of our fiscal year, we remain optimistic about our prospects given the favorable trends that we are currently experiencing in both our business and in the industry."

Investor Conferences

Mr. Gross will participate in the Wells Fargo Securities 2009 Consumer Growth Conference at the New York Palace Hotel in New York City at 9:30 a.m. EDT on October 28, 2009. He will also participate in the Gabelli & Company Automotive Aftermarket Symposium at 3:30 p.m. PST on November 3, 2009 in Las Vegas, NV. The presentations will be webcast live during the conference and available for 30 days after the conference ends via the Investor Information section of the Company's website www.monro.com

Earnings Conference Call and Webcast

The Company will host a conference call and audio webcast today, October 26, 2009 at 11:00 a.m. Eastern Time. The conference call may be accessed by dialing 800-839-7875 and using the required pass code 1491478. A replay will be available approximately one hour after the recording through Monday, November 2, 2009 and can be accessed by dialing 888-203-1112. The live conference call and replay can also be accessed via audio webcast at the Investor Info section of the Company's website, located at www.monro.com. An archive will be available at this website through November 2, 2009.

About Monro Muffler Brake

Monro Muffler Brake operates a chain of stores providing automotive undercar repair and tire services in the United States, operating under the brand names of Monro Muffler Brake and Service, Mr. Tire, Tread Quarters Discount Tires, Autotire and Tire Warehouse. The Company currently operates 784 stores in New York, Pennsylvania, Ohio, Connecticut, Massachusetts, West Virginia, Virginia, Maryland, Vermont, New Hampshire, New Jersey, North Carolina, South Carolina, Indiana, Rhode Island, Delaware, Maine, Illinois and Missouri. Monro's stores provide a full range of services for brake systems, steering and suspension systems, tires, exhaust systems and many vehicle maintenance services.

                       MONRO MUFFLER BRAKE, INC.
                         Financial Highlights
                              (Unaudited)
                (Dollars and share counts in thousands)

                                  Quarter Ended Fiscal September
                                  ------------------------------

                                     2009          2008       % Change
                                  ----------    ----------    --------

 Sales                            $ 136,634     $ 119,912        13.9%

 Cost of sales, including
  distribution and occupancy costs   77,781        69,511        11.9
                                  ----------    ----------

 Gross profit                        58,853        50,401        16.8
                                  ----------    ----------

 Operating, selling, general and
  administrative expenses            41,148        36,786        11.9

 Intangible amortization                198           133        49.1

 Gain on disposal of assets             (20)         (286)         --
                                  ----------    ----------

 Total operating expenses            41,326        36,633        12.8
                                  ----------    ----------

 Operating income                    17,527        13,768        27.3

 Interest expense, net                1,442         1,592        (9.5)

 Other income, net                      (75)         (188)         --
                                  ----------    ----------

 Income before provision for
  income taxes                       16,160        12,364        30.7

 Provision for income taxes           6,158         4,692        31.2
                                  ----------    ----------

 Net income                       $  10,002     $   7,672        30.4
                                  ==========    ==========

 Diluted earnings per share       $     .49     $     .38        28.9%
                                  ==========    ==========

 Weighted average number of
  diluted shares outstanding         20,546        20,230

 Number of stores open (at end of
  quarter)                              739           709


                       MONRO MUFFLER BRAKE, INC.
                         Financial Highlights
                              (Unaudited)
                (Dollars and share counts in thousands)

                                  Six Months Ended Fiscal September
                                  ---------------------------------

                                     2009          2008       % Change
                                  ----------    ----------    --------

 Sales                            $ 264,679     $ 240,281        10.2%

 Cost of sales, including
  distribution and occupancy costs  149,417       138,991         7.5
                                  ----------    ----------

 Gross profit                       115,262       101,290        13.8
                                  ----------    ----------

 Operating, selling, general and
  administrative expenses            80,306        73,638         9.1

 Intangible amortization                331           256        29.5

 Loss (gain) on disposal of assets      119          (319)
                                  ----------    ----------

 Total operating expenses            80,756        73,575         9.8
                                  ----------    ----------

 Operating income                    34,506        27,715        24.5

 Interest expense, net                3,338         3,112         7.3

 Other income, net                     (117)         (260)      (54.9)
                                  ----------    ----------

 Income before provision for
      income taxes                   31,285        24,863        25.8

 Provision for income taxes          11,872         9,397        26.3
                                  ----------    ----------

 Net income                       $  19,413     $  15,466        25.5
                                  ==========    ==========

 Diluted earnings per share       $     .95     $     .77        23.4%
                                  ==========    ==========

 Weighted average number of
  diluted shares outstanding         20,487        20,159


                       MONRO MUFFLER BRAKE, INC.
                         Financial Highlights
                              (Unaudited)
                        (Dollars in thousands)

                                         September 26,      March 28,
                                             2009             2009
                                         -------------   -------------

 Current assets

    Cash                                 $      4,298    $      3,336

    Inventories                                78,136          71,443

    Other current assets                       28,963          26,935
                                         -------------   -------------

     Total current assets                     111,397         101,714

 Property, plant and equipment, net           185,577         185,061

 Other noncurrent assets                       96,969          89,976
                                         -------------   -------------

     Total assets                        $    393,943    $    376,751
                                         =============   =============

 Liabilities and Shareholders' Equity

 Current liabilities                     $     82,463    $     71,325

 Long-term debt                                82,667          97,098

 Other long term liabilities                   13,443          14,037
                                         -------------   -------------

     Total liabilities                        178,573         182,460

 Total shareholders' equity                   215,370         194,291
                                         -------------   -------------

     Total liabilities and shareholders'
      equity                             $    393,943    $    376,751
                                         =============   =============

This news release was distributed by GlobeNewswire, www.globenewswire.com

SOURCE: Monro Muffler Brake, Inc.

CONTACT:  Monro Muffler Brake, Inc.
Robert Gross, Chairman and Chief Executive Officer
(585) 647-6400
Catherine D'Amico, Executive Vice President - Finance
Chief Financial Officer
(585) 647-6400
FD
Investors:
Caren Villarreal
Media:
Diane Zappas
(212) 850-5600

Expected next dividend:
Dividend Announcement Date: 8/31/2009
Dividend Record Date: 9/11/2009
Dividend Pay Date: 9/21/2009
Dividend Amount: 0.07

Sales were up 6% from last year to $128 million. Income came in at $9.4 million, producing earnings of 46 cents per share, beating the Zacks Consensus Estimate by one penny.

Monro has been a steady player in a volatile market, having surprised in each of the last 4 quarters by an average of 2 cents, or 4%.

Estimates Holding Steady

Estimates are up a bit over the last few months, with the current year adding 2 cents and climbing to $1.46 per share. The next-year estimate is up 6 cents to $1.77, a bullish 21% growth projection.

The Chart

Shares of MNRO recently jumped above a 6-month level of resistance at $28, hitting a new 52-week and all-time high in the process. Take a look at the nice move below.

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Monro Muffler Brake has signed an agreement to acquire the assets of Tire Warehouse.

Tire Warehouse's assets include 40 tire stores and six tire franchise locations.

Deal Value (US$ Million) 34
Deal Type                Acquisition
Sub-Category             Asset Purchase
Deal Status              Completed: 2009-10-13

Deal Participants

Target (Company)   Tire Warehouse, Inc.
Acquirer (Company) Monro Muffler Brake, Inc.

Deal Rationale

The acquisition allows Monro Muffler Brake to strengthen its market share.