Cover Page About Brinker International Inc. Financial Highlights To Our Shareholders, Employees and Guests Chili's Romano's Macaroni Grill On The Border Mexican Grill & Cantina Maggiano's Little Italy Corner Bakery Cafe Cozymel's Coastal Grill Big Bowl Asian Kitchen Rockfish Seafood Grill Board of Directors Principal Officers Principal Officers in Restaurant Concepts Shareholder Information FINANCIAL INFORMATION    Selected Financial Data    Management's Discussion and Analysis    Consolidated Statements of Income    Consolidated Balance Sheets    Consolidated Statements of Shareholders' Equity    Consolidated Statements of Cash Flows    Notes to Consolidated Financial Statements    Independent Auditors' Report    Management's Responsibility Back Cover

SELECTED FINANCIAL DATA (In thousands, except per share amounts and number of restaurants)

Fiscal Years 2002   2001   2000   1999(a)   1998 Income Statement Data: Revenues $ 2,887,111 $ 2,406,874 $ 2,100,496 $ 1818,008 $ 1,528,908 Operating Costs and Expenses:   Cost of sales 796,714 663,357 575,570 507,103 426,558   Restaurant expenses 1,591,367 1,303,349 1,138,487 984,027 820,637   Depreciation and amortization 130,102 100,064 90,647 82,385 86,376   General and administrative 121,420 109,110 100,123 90,311 77,407     Total operating costs and expenses 2,639,603 2,175,880 1,904,827 1,663,826 1,410,978 Operating income 247,508 230,994 195,669 154,182 117,930 Interest expense 13,327 8,608 10,746 9,241 11,025 Other, net 2,332 459 3,381 14,402 1,447 Income before provision for income taxes and cumulative effect of accounting change 231,849 221,927 181,542 130,539 105,458 Provision for income taxes 79,136 76,779 63,702 45,297 36,383 Income before cumulative effect of accounting change 152,713 145,148 117,840 85,242 69,075 Cumulative effect of accounting change - - - 6,407 - Net income $ 152,713 $ 145,148 $ 117,840 $ 78,835 $ 69,075 Basic Earnings Per Share:   Income before cumulative effect of accounting change $ 1.56 $ 1.46 $ 1.20 $ 0.86 $ 0.70   Cumulative effect of accounting change - - - 0.06 -   Basic net income per share $ 1.56 $ 1.46 $ 1.20 $ 0.80 $ 0.70 Diluted Earnings Per Share:   Income before cumulative effect of accounting change $ 1.52 $ 1.42 $ 1.17 $ 0.83 $ 0.68   Cumulative effect of accounting change - - - 0.06 -   Diluted net income per share $ 1.52 $ 1.42 $ 1.17 $ 0.77 $ 0.68 Basic weighted average shares outstanding 97,862 99,101 98,445 98,888 98,648 Diluted weighted average shares outstanding 100,565 102,098 101,114 102,183 101,174 Balance Sheet Data(End of Period): Working capital deficit $ (160,266 )   $ (110,006 )   $ (127,377 )   $ (86,969 )   $ (92,898 ) Total assets 1,783,336 1,445,320 1,162,328 1,093,463 968,848 Long-term obligations 504,020 294,803 169,120 234,086 197,577 Shareholders' equity 977,096 900,287 762,208 661,439 593,739 Number of Restaurants Open (End of Period): Company-operated 1,039 899 774 707 624 Franchised/Joint Venture 229 244 264 226 182     Total 1,268 1,143 1,038 933 806 (a)   Fiscal year 1999 consisted of 53 weeks while all other periods presented consisted of 52 weeks. Note: During fiscal 2002, the Company reclassified sales incentives from restaurant expenses to revenues (see Note 1(b) to consolidated financial statements). Prior year balances have been reclassified to conform with the fiscal 2002 presentation.