Back Yard Burgers Announces Special Stockholder Meeting for August 3, 2007, in Memphis, Tennessee

  
    
  
  
    
      Back Yard Burgers, Inc. (NASDAQ: BYBI) announced today that it has 
      established a record date and special meeting date for its stockholders 
      to consider and vote on a proposal to adopt the previously announced 
      merger agreement providing for the acquisition of Back Yard Burgers by 
      BBAC, LLC, and, if necessary, to adjourn the meeting until a later date 
      or dates to permit further solicitation and vote of proxies. Back Yard 
      Burgers’ stockholders of record at the close 
      of business on Friday, July 6, 2007, will be entitled to notice of the 
      special meeting and to vote on the proposal. The special stockholder 
      meeting will be held on Friday, August 3, 2007, in Memphis, Tennessee. 
      The exact time and place of the special meeting will be set forth in 
      Back Yard Burgers’ proxy statement which is 
      expected to be mailed the week of July 9, 2007.
    
    
      About Back Yard Burgers
    
    
      Back Yard Burgers operates and franchises quick-service restaurants in 
      20 states, primarily in markets throughout the Southeast region of the 
      United States. The restaurants specialize in charbroiled, freshly 
      prepared, great-tasting food. As its name implies, Back Yard Burgers 
      strives to offer the same high-quality ingredients and special care 
      typified by outdoor grilling in the backyard. Its menu features 
      made-to-order gourmet Black Angus hamburgers and chicken sandwiches - 
      charbroiled over an open flame, fresh salads, chili and other specialty 
      items, including hand-dipped milkshakes, fresh-made lemonade and 
      fresh-baked cobblers.
    
    
      About the Transaction
    
    
      This press release is not a proxy statement or a solicitation of proxies 
      from the holders of Back Yard Burgers’ common 
      stock or preferred stock. In connection with the proposed merger, Back 
      Yard Burgers will file a proxy statement with the Securities and 
      Exchange Commission. INVESTORS AND SECURITY HOLDERS ARE STRONGLY ADVISED 
      TO READ THE PROXY STATEMENT WHEN IT BECOMES AVAILABLE, BECAUSE IT WILL 
      CONTAIN IMPORTANT INFORMATION. Investors and security holders may obtain 
      a free copy of the proxy statement (when available) and other documents 
      filed by Back Yard Burgers, Inc. at the Securities and Exchange 
      Commission’s Web site at http://www.sec.gov. 
      The proxy statement and such other documents may also be obtained for 
      free by directing such request to Back Yard Burgers, Inc., Investor 
      Relations, 1657 N. Shelby Oaks Drive, Memphis, Tennessee 38134, 
      telephone: [phone] or on the investor relations page of Back Yard 
      Burgers’ website at http://www.backyardburgers.com.
    
    
      Back Yard Burgers and its directors, executive officers and certain 
      other members of its management and employees may be deemed to be 
      participants in the solicitation of proxies from its stockholders in 
      connection with the proposed merger. Information regarding the interests 
      of Back Yard Burgers’ participants in the 
      solicitation will be included in the proxy statement relating to the 
      proposed merger when it becomes available.
    
    
      Forward-looking Statements
    
    
      Certain statements contained in this press release are “forward-looking 
      statements” within the meaning of Section 27A 
      of the Securities Act of 1933, as amended, and Section 21E of the 
      Securities Exchange Act of 1934, as amended. Back Yard Burgers intends 
      these forward-looking statements to be covered by the safe harbor 
      provisions established by the Private Securities Litigation Reform Act 
      of 1995. This press release contains forward-looking statements within 
      the meaning of the Securities Exchange Act of 1934, as amended. These 
      forward-looking statements include statements regarding expectations as 
      to the completion of the merger and the other transactions contemplated 
      by the merger agreement. Investors are cautioned that forward-looking 
      statements are not guarantees of future performance or results and 
      involve risks and uncertainties that cannot be predicted or quantified 
      and, consequently, the actual performance of Back Yard Burgers may 
      differ materially from those expressed or implied by such 
      forward-looking statements. Such risks and uncertainties include, but 
      are not limited to, the following factors, as well as other factors 
      described from time to time in our reports filed with the Securities and 
      Exchange Commission (including the sections entitled “Risk 
      Factors” and “Management’s 
      Discussion and Analysis of Financial Condition and Results of Operations” 
      contained therein): the occurrence of any event, change or other 
      circumstances that could give rise to the termination of the merger 
      agreement with BBAC, LLC and BBAC Merger Sub, Inc.; the outcome of any 
      legal proceedings that may be instituted against the Company related to 
      the merger agreement; the inability to complete the merger due to the 
      failure to obtain stockholder approval for the merger or the failure to 
      satisfy other conditions to completion of the merger, including the 
      failure to obtain the necessary financing arrangements set forth in the 
      debt and equity commitment letters delivered pursuant to the merger 
      agreement; risks that the proposed transaction disrupts current plans 
      and operations; the potential difficulties in employee retention as a 
      result of the merger; and the impact of the indebtedness to be incurred 
      to finance the consummation of the merger.
    
    
      Any forward-looking statements are made pursuant to the Private 
      Securities Litigation Reform Act of 1995 and, as such, speak only as of 
      the date made. Back Yard Burgers, Inc. disclaims any obligation to 
      update the forward-looking statements. You are cautioned not to place 
      undue reliance on these forward-looking statements which speak only as 
      of the date stated, or if no date is stated, as of the date of this 
      press release.