Exhibit 99.1

FOR:      NATHAN'S FAMOUS, INC.

COMPANY   Ronald G. DeVos, Vice President - Finance and CFO
CONTACT:  (516) 338-8500 ext. 229

                                                           FOR IMMEDIATE RELEASE
                                                           ---------------------


                         NATHAN'S FAMOUS, INC. ANNOUNCES
                 STOCK ACQUISITION PROGRAM FOR 1 MILLION SHARES

     Westbury,  New York,  October 7, 2002  Nathan's  Famous,  Inc.(NASDAQ:NATH)
today announced that its Board of Directors has authorized the purchase of up to
1 million shares of its common stock on behalf of the Company. Purchases will be
made  from  time to time,  depending  on market  conditions,  in open  market or
privately negotiated  transactions,  at prices deemed appropriate by management.
There is no set time limit on the  repurchases.  On August 29, 2002, the Company
completed a previous stock acquisition program covering 1 million shares.

     "The stock repurchase  program reflects the Board of Director's belief that
the current price of the  Company's  Common Stock  continues to be  undervalued"
said Howard M. Lorber,  Chairman of the Board and Chief Executive Officer. "This
action  underscores  our belief that  purchase of our stock  continues  to be an
attractive  investment  for our Company and that it will help build  shareholder
value."

     Today Nathan's Famous,  Inc.  consists of 350 franchised or licensed units,
21 company- owned units and approximately  1,900 Nathan's Branded Product points
of sale located in 41 states,  the District of Columbia and 13 foreign countries
featuring the Nathan's, Miami Subs and Kenny Rogers Roasters brands.

Except for historical  information  contained in this news release,  the matters
discussed are forward looking  statements that involve risks and  uncertainties.
Words such as  "anticipate",  "believe",  "estimate",  "expect",  "intend",  and
similar expressions identify forward-looking statements,  which are based on the
belief  of  the  Company's  management,  as  well  as  assumptions  made  by and
information currently available to the Company's  management.  Among the factors
that could cause actual  results to differ  materially  are the  following:  the
effect of business and economic  conditions;  the impact of competitive products
and  pricing;  capacity;  the  regulatory  and trade  environment;  and the risk
factors reported from time to time in the Company's SEC reports.