8-K

                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   ----------

                                    FORM 8-K
                                 CURRENT REPORT
                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                        SECURITIES EXCHANGE ACT OF 1934


                               September 25, 2003

                                   ----------

                Date of Report (Date of earliest event reported)


                           MEXICAN RESTAURANTS, INC.
                           -------------------------
             (Exact Name of Registrant as Specified in its Charter)

         Texas                       000-28234                   76-0493269
        -------                      ---------                   ----------
(State of Organization)       (Commission File Number)          (IRS Employer
                                                             Identification No.)

                                 1135 Edgebrook
                             Houston, TX 77034-1899
                             ----------------------
        (Address of Registrant's Principal Executive Office) (Zip Code)

                                 (713) 943-7574
                                 --------------
              (Registrant's telephone number, including area code)


Item 5. Other Events.

         On September 25, 2003, Mexican Restaurants, Inc. (the "Company")
announced by press release that it has signed an agreement to acquire 13
restaurants and related assets from its Beaumont-based franchisee, Thomas
Harken, and Mr. Harken's operating partner, Victor Gonzalez, for a total
consideration of approximately $13.75 million. The restaurants to be acquired
include 8 Casa Ole restaurants located in Southeast Texas, 2 Casa Ole
restaurants located in Southwest Louisiana, and 3 Crazy Jose's restaurants
located in Southeast Texas. In the past year these restaurants had combined
sales of over $20 million. The transaction is expected to close by the end of
this year.

         A copy of the Company's press release is filed as an exhibit to this
report.


Item 7. Financial Statements and Exhibits.

         (c) Exhibit:

              99.1   Press release of Mexican Restaurants, Inc., dated September
                     25, 2003


                                   SIGNATURES

         Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this Report to be signed on its behalf by the
undersigned hereunto duly authorized.


                                          MEXICAN RESTAURANTS, INC.



                                          By: /s/ Andrew J. Dennard
                                          --------------------------------------
                                          Name: Andrew J. Dennard
                                          Title: Vice President, Chief Financial
                                          Officer, Treasurer and Corporate
                                          Secretary


Date:  September 26, 2003

EX-99.1

                                                                    EXHIBIT 99.1


[MEXICAN RESTAURANTS, INC. LOGO]


FOR IMMEDIATE RELEASE

Contact:      Mexican Restaurants, Inc.
              Andrew J. Dennard
              (713) 943-7574

                            MEXICAN RESTAURANTS, INC.
              ANNOUNCES AGREEMENT TO ACQUIRE FRANCHISEE RESTAURANTS
                                  (NASDAQ:CASA)

         Houston, Texas (September 25, 2003) Mexican Restaurants, Inc. today
announced that it has signed an agreement to acquire 13 restaurants and related
assets from its Beaumont-based franchisee, Thomas Harken, and Mr. Harken's
operating partner, Victor Gonzalez, for a total consideration of approximately
$13.75 million. The restaurants to be acquired include 8 Casa Ole restaurants
located in Southeast Texas, 2 Casa Ole restaurants located in Southwest
Louisiana, and 3 Crazy Jose's restaurants located in Southeast Texas. In the
past year these restaurants had combined sales of over $20 million. The
transaction is expected to close by the end of this year.

         Louis P. Neeb, the Company's Chairman of the Board of Directors, in
commenting on this contemplated transaction said, "We are very pleased to have
this opportunity to acquire these well-run restaurants from Tom. He is a
long-term successful franchisee who from his 1979 beginning with Casa Ole in
Beaumont, Texas, has developed an outstanding restaurant company with a strong
customer base in his market areas. It is also important to us that Victor, his
original operating partner, has agreed to join our Company and to continue to
operate the restaurants being acquired." Mr. Neeb added, "Because of the
operating fit with Tom's Casa Ole restaurants, and their strong operating
results, this planned acquisition fits well with the Company's intention to
continue to focus its efforts on executing its business plan and enhancing
long-term shareholder value."

         Curt Glowacki, the Company's President and Chief Executive Officer,
said, "I am personally pleased and excited about the prospect of integrating
this acquisition into our company. Their ability to acquire and retain
customers, as well as exceed their comp store sales over the years demonstrates
strong operating and marketing principles, which will add value in our efforts
to grow the business in the future. He added, "I especially look forward to
working with Victor in an effort to build on the legacy of success that both he
and Tom created."

Mexican Restaurants, Inc. operates and franchises 83 Mexican restaurants. The
current system includes 51 Company-operated restaurants and 31
franchisee-operated restaurants and one licensed restaurant.




SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. Such forward-looking
statements involve known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of the Company
to be materially different from any future results, performance or achievements
expressed or implied by such forward-looking statements. Such factors include,
among others, the following: growth strategy; dependence on executive officers;
geographic concentration; increasing susceptibility to adverse conditions in the
region; changes in consumer tastes and eating habits; national, regional or
local economic and real estate conditions; demographic trends; inclement
weather; traffic patterns; the type, number and location of competing
restaurants; inflation; increased food, labor and benefit costs; the
availability of experienced management and hourly employees; seasonality and the
timing of new restaurant openings; changes in governmental regulations; dram
shop exposure; and other factors not yet experienced by the Company. The use of
words such as "believes", "anticipates", "expects", "intends" and similar
expressions are intended to identify forward-looking statements, but are not the
exclusive means of identifying such statements. Readers are urged to carefully
review and consider the various disclosures made by the Company in this release
and in the Company's Annual Report and Form 10-K for the fiscal year ended
December 29, 2002, that attempt to advise interested parties of the risks and
factors that may affect the Company's business.