For the third quarter fiscal 2006, net earnings were $105.3million, or 67 cents per diluted share, on sales of $1.47 billion.Last year, net earnings were $92.6 million, or 56 cents per dilutedshare, on sales of $1.38 billion. These numbers represent a 15%increase in net earnings and 20% growth in earnings per share.

For the quarter, total sales were $1.47 billion, roughly 7.1%more than last year as a result of strong-same store sales growthat Olive Garden and Red Lobster. Olive Garden achieved its 46thconsecutive quarter of US same-restaurant sales growth with a 5.7%increase, while Red Lobster's US same-restaurant sales growth was1.6% for the quarter, its 6th consecutive quarter ofsame-restaurant sales growth. The company said that same-storesales growth would have been 2% higher but Lent and Red Lobster'ssignature Lobsterfest into this year's fourth quarter adverselyaffected same-restaurant sales.

Specifically, Olive Garden's third-quarter sales reached $689million, up 9.8% from last year, while Red Lobster's sales of$651.7 million were 2.5% above prior year. Bahama Breeze'sthird-quarter sales totaled $38.2 million, up 1.8% from the prioryear. Same-restaurant sales also increased 1.7% in the thirdquarter, primarily because of higher guest counts than last year asthe company continued to successfully implement key elements of itsturnaround plan.