Provides Guidance for the 3rd Quarter of 2009

CITY OF INDUSTRY, Calif., Aug. 19, 2009 (GLOBE NEWSWIRE) -- Hot Topic, Inc. (Nasdaq:HOTT), today announced that the company incurred a net loss in the second quarter of fiscal 2009 (13 weeks ended August 1, 2009) of $3.2 million, or $0.07 per share, compared with a net loss of $0.4 million, or $0.01 per share, in the second quarter of fiscal 2008 (13 weeks ended August 2, 2008). The results for the second quarter of fiscal 2009 and fiscal 2008 include approximately $0.02 and $0.01 per share of expense, respectively, related to ShockHound (www.shockhound.com), the company's online music site.

Total sales for the second quarter of fiscal 2009 decreased 5.4% to $157.8 million compared to $166.8 million for the second quarter last year. Total company comparable store sales declined 7.7% for the second quarter of fiscal 2009. A summary of the sales results by division (including internet) is as follows:

                                                    Comparable Store
                                 Net Sales           Sales % Change
                            --------------------  --------------------
                                       % Change
                                $       To Last      This      Last
                             Millions    Year        Year      Year
                            ---------  ---------  ---------  ---------
 SECOND QUARTER:
  Hot Topic                  $119.8      -6.0%      -7.5%      -0.6%
  Torrid                      $38.0      -4.0%      -8.4%      -2.1%
  Total Co.                  $157.8      -5.4%      -7.7%      -0.9%

At the end of the second quarter of fiscal 2009, the company operated 679 Hot Topic stores and 156 Torrid stores compared to 684 Hot Topic stores and 158 Torrid stores at the end of the second quarter of fiscal 2008. During the second quarter of fiscal 2009, the company opened one Torrid store and closed three Torrid stores. The company also remodeled or relocated five Hot Topic stores during the quarter.

The company issued third quarter (13 weeks ending October 31, 2009) guidance of earnings in the range of $0.11 to $0.13 per diluted share based upon a mid-single-digit decline in comparable store sales. Included in the guidance is expense related to ShockHound (www.shockhound.com), the company's online music site, of approximately $0.02 per share.

A conference call to discuss second quarter results, business trends, guidance and other matters is scheduled for August 19, 2009 at 4:30 PM (ET). The conference call number is 800-299-7635, pass code "Hot Topic", and will be accessible to all interested parties. It will also be webcast on the company's Investor Relations website located at http://investorrelations.hottopic.com. A replay of the conference call will be available at 888-286-8010, pass code 16121790, for approximately two weeks. In addition, a webcast replay of the conference call will be available on the company's Investor Relations website for approximately two weeks.

Hot Topic, Inc. is a mall and web based specialty retailer operating the Hot Topic and Torrid concepts, as well as the e-space music discovery concept, ShockHound. Hot Topic offers music/pop culture-licensed and music/pop culture-influenced apparel, accessories, music and gift items for young men and women principally between the ages of 12 and 22.