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Regis Corporation Announces New Long-Term Incentive Plan That Further Aligns Executive Management and Shareholder Interests

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Regis Corporation (NYSE:RGS), a leader in the haircare industry, whose
primary business is owning, operating, and franchising hair salons,
today announced a new Long-Term Incentive Plan that further aligns the
interests of the Executive Management Team and shareholders.

The new plan design is a testament to the willingness of the Board of
Directors and the Executive Management Team to embrace creative
compensation alternatives intended to maximize shareholder value. The
Long-Term Incentive Plan promotes an "ownership mentality" by rewarding
outcomes that are directly aligned with the execution of Regis's
strategic transformation and facilitates a long-term management
perspective that will support the success of Regis for years to come.

Under the fiscal 2019 Long-Term Incentive Plan, executives will no
longer receive automatic annual equity grants. Instead, each eligible
executive will receive a single, larger initial equity grant at the
outset of a five-year period with no further automatic yearly grants for
the remainder of the period. These grants come with significant
performance requirements and a 5-year cliff vesting on the PSU
components and a 3-year cliff vesting on the RSU components. The Company
believes this type of longer than average holding requirement creates a
strong alignment with shareholder interests. Additionally, we have
created a "matching share program" under which senior executives are
encouraged to buy shares with a portion of their own money if they first
achieve annual short-term incentive targets. Such purchased shares must
be held for five years to receive the company match. As eligible
executives may only purchase shares using up to 50 percent of their
target bonus for FY18 and earned bonus thereafter, the maximum matching
grant opportunity will be lower in years of below-target payout, and
higher in years of strong performance.

"We believe it is significant that our fiscal 2019 pay plan has a much
longer-term focus than the plan it replaces," commented Regis
Compensation Committee Chairman Daniel Beltzman. Mr. Beltzman continued,
"We believe that a five-year time frame is long enough for managers to
experience the effects of their decision making and act like true
owners. The extended duration of the plan means management will almost
always have significant amounts of unvested equity, discouraging
poaching, encouraging retention, and minimizing the impact on
shareholders if we part ways with non-performing executives.
Additionally, Executive Management can only earn their performance based
up-front grant if Regis' stock price increases sufficiently and
generates increased shareholder value."

"Overall, we wanted the Regis Executive Management Team to do more than
think like owners—we wanted them to be owners, and to invest their own
funds to become owners beginning this year facilitated by our new
compensation plan. We further wanted compensation to reward the
achievement of disclosed financial goals and the achievement of the key
elements of an evolving long-term strategy. Finally, we wanted to design
a plan that allowed us to focus on the stability of the Executive
Management Team during this multi-year transformation effort," Mr.
Beltzman concluded.

Your attention is directed to the Company's FY2018 Proxy which we expect
to file on or about September 6, 2018 which will provide further
disclosures and details regarding the company's new executive
compensation program.

About Regis Corporation
Regis Corporation (NYSE:RGS) is a
leader in beauty salons and cosmetology education. As of June 30, 2018,
the Company owned, franchised or held ownership interests in 8,168
worldwide locations. Regis' corporate and franchised locations operate
under concepts such as Supercuts®, SmartStyle®, MasterCuts®, Regis
Salons®, Sassoon®, Cost Cutters®, Roosters® and First Choice
Haircutters®. Regis maintains an ownership interest in Empire Education
Group in the U.S. For additional information about the Company,
including a reconciliation of certain non-GAAP financial information and
certain supplemental financial information, please visit the Investor
Information section of the corporate website at www.regiscorp.com.

This press release contains or may contain "forward-looking statements"
within the meaning of the federal securities laws, including statements
concerning anticipated future events and expectations that are not
historical facts. These forward-looking statements are made pursuant to
the safe harbor provisions of the Private Securities Litigation Reform
Act of 1995. The forward-looking statements in this document reflect
management's best judgment at the time they are made, but all such
statements are subject to numerous risks and uncertainties, which could
cause actual results to differ materially from those expressed in or
implied by the statements herein. Such forward-looking statements are
often identified herein by use of words including, but not limited to,
"may," "believe," "project," "forecast," "expect," "estimate,"
"anticipate," and "plan." In addition, the following factors could
affect the Company's actual results and cause such results to differ
materially from those expressed in forward-looking statements. These
factors include the continued ability of the Company to implement its
strategy, priorities and initiatives; our ability to attract, train and
retain talented stylists; financial performance of our franchisees;
acceleration of sale of certain salons to franchisees; The Beautiful
Group's ability to transition and operate its salons successfully, as
well as maintain adequate working capital; the ability of the Company to
maintain a satisfactory relationship with Walmart; marketing efforts to
drive traffic; changes in regulatory and statutory laws including
increases in minimum wages; our ability to maintain and enhance the
value of our brands; premature termination of agreements with our
franchisees; our ability to manage cyber threats and protect the
security of sensitive information about our guests, employees, vendors
or Company information; reliance on information technology systems;
reliance on external vendors; competition within the personal hair care
industry; changes in tax exposure; changes in healthcare; changes in
interest rates and foreign currency exchange rates; failure to
standardize operating processes across brands; consumer shopping trends
and changes in manufacturer distribution channels; financial performance
of Empire Education Group; the continued ability of the Company to
implement cost reduction initiatives; compliance with debt covenants;
changes in economic conditions; changes in consumer tastes and fashion
trends; exposure to uninsured or unidentified risks; ability to attract
and retain key management personnel; reliance on our management team and
other key personnel or other factors not listed above. Additional
information concerning potential factors that could affect future
financial results is set forth in the Company's Annual Report on Form
10-K for the year ended June 30, 2018. We undertake no obligation to
publicly update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise. However, your
attention is directed to any further disclosures made in our subsequent
annual and periodic reports filed or furnished with the SEC on Forms
10-K, 10-Q and 8-K and Proxy Statements on Schedule 14A.

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