Build-A-Bear Workshop(R) Reaffirms Guidance for the Year; Company to Present at Investor Conferences

On June 3, 2005, the company announced that it expects fiscal 2005(52 weeks ended December 31, 2005) net income in the range of $25.1million to $26.3 million, representing net income growth of 26% to 32%compared to fiscal 2004. Diluted EPS are expected to be in the rangeof $1.24 to $1.30. Comparable store sales for the year are expected tobe flat with 2004.

Maxine Clark, chairman and chief executive bear said, "WhileHurricane Katrina is taking a terrible toll on people's lives and theeconomic impact -- both directly for those living on the Gulf Coastand surrounding regions, and indirectly for all Americans in terms ofhigher fuel costs -- thus far, our financial results do not appear tohave been materially affected.

"Our business is different from conventional retailers," continuedMs. Clark. "We sell a brand experience - which means we sell not onlyquality products at competitive prices, but an experience that is justas important as our product. Past results show us that in times ofstress and difficulty our Guests reach out to us for a fun andentertaining family break. And, everyday is someone's birthday -- weare a popular destination for children's parties and family specialoccasions which are scheduled in advance and frequently introduce newGuests to our concept. Now with school back in session, our partyseason is in full throttle. We appeal to a broad demographic in age,gender and level of income, and we use marketing to grow brandawareness and sales, not markdowns and promotions. Our integratedmarketing program is supported by national television advertising withnew commercials introduced in August. We have many family orientedevents on our schedule this fall beginning with our official kickoffof the football season this weekend and the launch of our new NFLpartnership and free NFL key ring gift with purchase of one of theofficial team uniforms or apparel.

"With 200 stores by the end of the year, we are closer and moreaccessible to our customers than ever before," added Clark. "Ourfinancial performance remains on track and we look forward to a verysuccessful fall season."

Response to Hurricane Katrina

As announced on September 2, the Build-A-Bear Workshop Foundationdonated $30,000 to the American Red Cross to provide financial supportfor the children and families suffering from Hurricane Katrina. Inaddition, because so many families impacted by the Hurricane have beendisplaced to the Houston area, Build-A-Bear Workshop held a Stuffedwith Hugs (TM) event at the Houston, San Antonio and Austin locationson September 3 and 4 and will hold additional Stuffed with Hugs eventsthis Saturday, September 11 in St. Louis, MO, Jackson, MS, Birminghamand Mobile, AL to provide the hug of a teddy bear to children in need.Guests were invited to visit a store in these cities to make a bearfor free. The bears will be delivered to children in shelters thatwere relocated from the hardest hit areas.

In addition, Guests can visit any Build-A-Bear Workshop or friends2B made(R) store in the United States and Canada, or the company'swebstore at www.buildabear.com and make a contribution to theBuild-A-Bear Workshop Foundation. All funds raised will go directly tothe American Red Cross to provide support to families all along theGulf Coast.

Build-A-Bear Workshop is also providing their employee discount togroups of Guests that wish to schedule a group visit to Build-A-BearWorkshop to make bears for children affected by the hurricane.

Investor Conferences

Maxine Clark and Barry Erdos, the company's president and chiefoperating officer bear, will present at the ThinkEquity Partners 3rdAnnual Growth Conference on Monday, September 12, at 1:00 p.m. EDT andat Susquehanna International Group's Retail Focus Forum on Thursday,September 15, at 8:45 a.m. EDT.

The Build-A-Bear Workshop presentations will be available via livewebcast at http://ir.buildabear.com. Following the live discussion, areplay of the webcasts will be available for one year.

The company will announce fiscal 2005 third quarter (13 weeksended October 1, 2005) financial results on Thursday, October 20, 2005prior to the opening of trading on the New York Stock Exchange. Thecompany will also host a conference call to discuss the results onOctober 20, 2005.

About Build-A-Bear Workshop, Inc.

Build-A-Bear Workshop, Inc. (NYSE: BBW), with fiscal 2004 totalrevenue of $302 million, is the only national company that offersGuests an interactive make-your-own-stuffed animalretail-entertainment experience. The first store opened in St. Louisin 1997; the company currently operates over 190 stores in the UnitedStates and Canada. With the opening of its store in Sheffield,England, in the fall of 2003 and the addition of international storesin Japan, Denmark, Australia, South Korea and France, Build-A-BearWorkshop has become the global leader in the teddy bear business. InNovember 2004, the company opened two friends 2B made(R) stores, thenewest concept based on the doll-making experience. For moreinformation about the company and its products, call 888.560.BEAR(2327) or visit the company's award-winning Web site atwww.buildabear.com.

Forward-Looking Statements

Statements in this news release expressing or indicating thebeliefs and expectations of management regarding future performanceare forward-looking statements including, without limitation, companyfinancial performance, sales growth, new store openings, any otherplans, objectives, expectations and intentions contained in thisrelease that are not historical facts. These statements reflect ourcurrent views with respect to future events and are based onassumptions and subject to risks and uncertainties. These risks anduncertainties include, without limitation, those detailed in our 2004annual report on Form 10-K filed with the SEC on March 29, 2005 underthe caption "Risk Factors" and the following: (1) we may be unable togenerate comparable store sales growth; (2) our marketing initiativesmay not be effective in generating sufficient levels of brandawareness and Guest traffic; (3) we may be unable open new stores toeffectively manage our growth; (4) we may be unable to effectivelymanage our international franchises or laws relating to thosefranchises may change; (5) we may be unable to generate interest inand demand for our interactive retail experience, or to identify andrespond to consumer preferences in a timely fashion; (6) customertraffic may decrease in the shopping malls where we are located, onwhich we depend to attract Guests to our stores; (7) general economicconditions may decrease, which could lead to reduced consumer demandfor our products; (8) our market share could be adversely affected bya significant number of competitors; (9) we may lose key personnel, beunable to hire qualified additional personnel, or experience turnoverof our management team; (10) the ability of our principal vendors todeliver merchandise may be disrupted; (11) the availability and costsof our products could be adversely affected by risks associated withinternational manufacturing and trade; (12) third parties that manageour warehousing and distribution functions may perform poorly; (13) wemay fail to renew, register or otherwise protect our trademarks orother intellectual property; (14) we may have disputes with, or besued by, third parties for infringement or misappropriation of theirproprietary rights; (15) we may be unable to renew or replace ourstore leases, or enter into leases for new stores on favorable terms,or may violate the terms of our current leases; (16) we may experiencefailures in our communications or information systems; (17) terrorismor the uncertainty of future terrorist attacks or war could reduceconsumer confidence and mall traffic; (18) we may become subject tochallenges relating to overtime pay or other regulations relating toour employees; (19) we may suffer negative publicity or be sued due toviolations of labor laws or unethical practices by manufacturers ofour merchandise and (20) we may improperly obtain or be unable toprotect information from our Guests in violation of privacy orsecurity laws or expectations.

These risks, uncertainties and other factors may adversely affectour business, growth, financial condition or profitability, or subjectus to potential liability, and cause our actual results, performanceor achievements to be materially different from those expressed orimplied by our forward-looking statements. We do not undertake anyobligation or plan to update these forward-looking statements, eventhough our situation may change.