Panera Bread Company (Nasdaq: PNRA) announced
an agreement with the Cain Group of Little Rock, Ark., to open 10 Panera Bread bakery-cafes
in Montgomery, Harris and Fort Bend Counties in the Houston, Texas, area. The Cain Group is
scheduled to open its first bakery-cafe by June 2002.

Chuck Cain, Andria Cain and Pam Harbaugh, principals of the Cain Group, each have extensive
experience in restaurant franchise operations. Chuck and Andria Cain formerly owned three
Applebee’s restaurants in Little Rock, Ark., and the Cain Group currently owns 21 Pizza Huts in
Illinois and Indiana and six Sonic Drive In restaurants in Nevada and Illinois.

Ron Shaich, Panera Bread chairman and chief executive officer, said, “We are very pleased to
welcome Chuck, Andria and Pam into the Panera Bread family. Their group brings the resources
and experience we need to successfully launch our concept in Houston.”

Chuck Cain said he appreciates the opportunity to represent the Panera Bread brand. “We are
proud and happy to be part of the number one bakery-cafe operation in the country. We see in
Panera Bread a commitment to quality products and execution as well as strategic growth. We
believe the brand will have lasting value.”

Panera Bread continues to pursue other qualified franchisee candidates to develop the remainder
of the Houston market.

Panera Bread owns and franchises bakery-cafes under the Panera Bread and Saint Louis Bread
Co. names. The company is the leader in the emerging specialty bread/cafe category due to its
unique bread combined with a quick, casual dining experience. As previously reported, as of April
21, 2001, 285 Panera Bread bakery-cafes (including four specialty bakery-cafes) were operating in
29 states (94 company-owned and 191 franchised bakery-cafes). Additional information is
available on the company’s website, www.panerabread.com .