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      FORM 8-K NOVEMBER 2006 MERGER AGREEMENT AND NON-RELIANCE
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      8-K</strong></font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>CURRENT
      REPORT</strong></font></div>
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      TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
      1934</strong></font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Date
      of
      Report (Date of earliest event reported) </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>November
      5, 2006</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><br></div>
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      RESTAURANT PARTNERS, INC.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Exact
      name of registrant as specified in its charter)</font></div>
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                or other jurisdiction of incorporation)</font></div>
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                Employer</font></div>
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                No.)</font></div>
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      North West Shore Boulevard, Suite 500, Tampa, Florida
      33607</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Address
      of principal executive offices) (Zip Code)</font></div>
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      telephone number, including area code </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>(813)
      282-1225</strong></font></div>
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      the
      appropriate box below if the Form 8-K filing is intended to simultaneously
      satisfy the filing obligation of the registrant under any of the following
      provisions:</font></div>
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      Written
      communications pursuant to Rule&#160;425 under the Securities Act (17 CFR
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      Soliciting material pursuant to Rule&#160;14a-12 under the Exchange Act (17 CFR
      240.14a-12) </font></div>
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      Pre-commencement communications pursuant to Rule&#160;14d-2(b) under the
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      Pre-commencement communications pursuant to Rule&#160;13e-4(c) under the
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
      1.01 </strong></font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>ENTRY
      INTO A MATERIAL DEFINITIVE AGREEMENT</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Merger
      Agreement</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: -18pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
      November 5, 2006, OSI Restaurant Partners, Inc., a Delaware corporation (the
      &#8220;Company&#8221;), entered into an Agreement and Plan of Merger (the &#8220;Merger
      Agreement&#8221;) with Kangaroo Holdings, Inc., a Delaware corporation (&#8220;Parent&#8221;), and
      Kangaroo Acquisition, Inc., a Delaware corporation and a wholly owned subsidiary
      of Parent (&#8220;Merger Sub&#8221;). Parent and Merger Sub are owned by an investor group
      comprised of affiliates of Bain Capital Partners, LLC and Catterton Partners
      and
      the Company&#8217;s founders, Robert D. Basham, J. Timothy Gannon and Chris T.
      Sullivan.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to the terms of the Merger Agreement, Merger Sub will merge with and into the
      Company, with the Company as the surviving corporation of the merger (the
&#8220;Merger&#8221;). In the Merger, each share of common stock of the Company, other than
      those held by the Company, any subsidiary of the Company, Parent or Merger
      Sub,
      and other than those shares with respect to which dissenters rights are properly
      exercised, will be converted into the right to receive $40.00 per share in
      cash
      (the &#8220;Merger Consideration&#8221;). In addition, except as otherwise agreed to by the
      Company, Parent, Merger Sub and certain members of management of the Company,
      each share of restricted stock will be converted into the right to receive
      cash
      in an amount equal to the Merger Consideration, with the cash amount payable
      in
      accordance with the original vesting schedule applicable to the converted
      restricted stock; provided, however, that such cash amount will vest and be
      paid
      upon death, disability or termination other than for cause of the grantee.
      Except as otherwise provided in the Merger Agreement, all outstanding options
      to
      acquire shares of Company common stock will vest at the effective time of the
      Merger and holders of such options will receive an amount in cash equal to
      the
      excess, if any, of the Merger Consideration over the exercise price per share
      subject to the option for each share subject to the option. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">A
      special
      committee of the Company&#8217;s Board of Directors, consisting of all of the
      independent members of the Company&#8217;s Board of Directors (the &#8220;Special
      Committee&#8221;), has unanimously approved the Merger Agreement and determined that
      the Merger Agreement and the Merger are advisable and both fair to and in the
      best interest of the Company&#8217;s shareholders. Wachovia Securities LLC served as
      financial advisor to the Special Committee, and Wachovia Securities LLC and
      Piper Jaffray &amp; Co. each rendered separate fairness opinions to the Special
      Committee as to the fairness, from a financial point of view, of the
      consideration to be received by the Company&#8217;s shareholders (other than the
      founders and members of management who are expected to invest in Parent) in
      the
      Merger. Wachtell, Lipton, Rosen &amp; Katz served as special counsel to the
      Special Committee and Baker &amp; Hostetler LLP served as counsel to the Company
      and the Board of Directors. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      founders of the Company and certain members of the Company&#8217;s senior management
      have agreed to enter into arrangements with Parent to invest in Parent in
      connection with the Merger.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Completion
      of the Merger is subject to customary closing conditions including (i) approval
      by the Company&#8217;s shareholders (excluding any shares owned by the founders of the
      Company and certain members of senior management who have agreed to invest
      in
      Parent upon completion of the Merger) and (ii) regulatory approval. The
      transaction is not subject to a financing condition. The parties currently
      expect that the Merger will be completed by April 30, 2007. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      Merger Agreement contains certain non-solicitation provisions but permits the
      Company to encourage and solicit proposals for a competing transaction for
      a
      period of 50 days from November 5, 2006. Wachovia Securities LLC will be
      assisting the Special Committee with respect to the solicitation of proposals
      for a competing transaction. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      Merger Agreement contains certain termination rights for both Parent and the
      Company. If the Company terminates the Merger Agreement prior to the end of
      the
      solicitation period as a result of the Special Committee or the Board of
      Directors concluding that in light of a </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">superior
      proposal, it would be inconsistent with the directors&#8217; exercise of their
      fiduciary obligations to the Company&#8217;s shareholders under applicable law to (i)
      make or not withdraw the recommendation that the Company&#8217;s shareholders approve
      the Merger Agreement or (ii) fail to effect a change in such recommendation
      in a
      manner adverse to Parent (a &#8220;Recommendation Change&#8221;), the Company is required to
      pay to or as directed by Parent a termination fee of $25 million and reimburse
      Parent for its out-of-pocket fees and expenses incurred with respect to the
      transactions contemplated by the Merger Agreement, up to a maximum of $7.5
      million. If the Company terminates the Merger Agreement as a result of the
      effective time of the Merger not occurring on or before April 30, 2007 and
      concurrently with or within nine months of such termination the Company enters
      into a definitive agreement providing for an alternative transaction that
      provides a value per share of not less than the Merger Consideration, the
      Company is required to reimburse Parent for its out-of-pocket fees and expenses
      incurred with respect to the transactions contemplated by the Merger Agreement,
      up to a maximum of $7.5 million. In certain other circumstances, including
      a
      termination of the Merger Agreement by the Company after the end of the
      solicitation period as a result of a Recommendation Change, the Company is
      required to pay to or as directed by Parent a termination fee of $45
      million.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">If
      (i)
      the Company terminates the Merger Agreement as a result of the effective time
      of
      the Merger not occurring on or before April 30, 2007 and the Company is not
      in
      breach in any material respect of the Merger Agreement and (ii) the mutual
      conditions to closing of the Merger, including approval of the Merger Agreement
      by the Company&#8217;s shareholders, and Parent&#8217;s conditions to closing of the Merger
      would have been satisfied had the closing been scheduled on April 30, 2007,
      Parent is required to pay the Company a termination fee of $45 million. In
      addition, if the Company terminates the Merger Agreement as a result of Parent
      not (i) depositing with the paying agent cash in an aggregate amount sufficient
      to pay amounts required to be paid pursuant to the Merger Agreement within
      five
      days after notice by the Company to Parent that the mutual conditions to closing
      of the Merger and Parent&#8217;s conditions to closing of the Merger are satisfied or
      would be satisfied as of an immediate closing and (ii) proceeding immediately
      thereafter to give effect to the closing, Parent is required to pay the Company
      a termination fee of $45 million; however, the Company has no right to terminate
      the Merger Agreement under this provision prior to the final day of the
      marketing period for Parent&#8217;s contemplated debt financing or if certain
      financial information has not been furnished on or prior to April 2,
      2007.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Parent
      has obtained commitments for the equity portion of the financing for the Merger,
      and Merger Sub has obtained commitments for the debt portion of the financing
      for the Merger, each of which is subject to customary conditions. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      Merger Agreement is attached as Exhibit 2.1 hereto and is incorporated by
      reference herein. A press release issued November 6, 2006 relating to the Merger
      Agreement and the Merger is attached as Exhibit 99.1 hereto and incorporated
      by
      reference herein. The foregoing description of the Merger Agreement and the
      Merger is qualified in its entirety by reference to Exhibit 2.1.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Amendments
      to Employment Agreements, Stock Option Agreements and Restricted Stock
      Agreements</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
      November 5, 2006, the Company entered into amendments (each, an &#8220;Amendment&#8221;) to
      certain employment, stock option and restricted stock agreements with each
      of A.
      William Allen, III, the Chief Executive Officer of the Company, Paul E. Avery,
      the Chief Operating Officer of the Company, Joseph J. Kadow, the Executive
      Vice
      President, Chief Officer - Legal and Corporate Affairs of the Company, and
      Dirk
      Montgomery, the Chief Financial Officer of the Company.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to the Amendments, in the event of a separation of service of the executive
      by
      the Company without cause or by the executive for good reason within two years
      after a change of control, the executive will be paid a lump sum equal to two
      times the sum of (i) his gross annual base salary at the rate in effect
      immediately prior to the change of control and (ii) the aggregate cash bonus
      compensation paid to him for the two fiscal years preceding the year in which
      the change of control occurs divided by two. However, in the case of Mr.
      Montgomery, if he is not employed for the two entire fiscal years preceding
      the
      year in which a change of control occurs, the amount for the purposes of clause
      (ii) will be equal to his target bonus for the year in which the change of
      control occurs. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to Mr. Allen&#8217;s Amendment, if a change of control and subsequent separation of
      service cause the vesting of all restricted stock granted to Mr. Allen pursuant
      to certain Restricted Stock Agreements, the Company will not be required to
      pay
      Mr. Allen severance compensation of $5,000,000, as previously required under
      Mr.
      Allen&#8217;s employment agreement in certain circumstances.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to the Amendments for each of Mr. Allen, Mr. Avery and Mr. Kadow, the options
      owned by each of them will become fully vested and exercisable if, within two
      years after a change of control, the executive is terminated by the Company
      without cause, resigns for good reason, dies or suffers a disability.
</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to the Amendments for each of Mr. Allen, Mr. Kadow and Mr. Montgomery, the
      restricted stock owned by each of them will become fully vested and all
      restrictions will lapse if, within two years after a change of control, the
      executive is terminated by the Company without cause, resigns for good reason,
      dies or suffers a disability.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Each
      Amendment provides a &#8220;conditional gross-up&#8221; for excise and related taxes in the
      event the severance compensation and other payments or distributions to an
      executive pursuant to an employment agreement, stock option agreement,
      restricted stock agreement or otherwise would constitute &#8220;excess parachute
      payments,&#8221; as defined in Section 280G of the Internal Revenue Code. The tax
      gross up will be provided if the aggregate parachute value of all severance
      and
      other change in control payments to the executive is greater than 110% of the
      maximum amount that may be paid under Section 280G of the Code without
      imposition of an excise tax. If the parachute value of an executive&#8217;s payments
      does not exceed the 110% threshold, the executive&#8217;s payments under the change in
      control agreement will be reduced to the extent necessary to avoid imposition
      of
      the excise tax on &#8220;excess parachute payments.&#8221;</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      Amendments are attached as Exhibits 10.1, 10.2, 10.3 and 10.4 and are
      incorporated by reference herein. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Amendments
      to Amended and Restated Stock Plan, Amended and Restated Managing Partner Stock
      Plan, Partner Equity Plan and Directors&#8217; Deferred Compensation and Stock
      Plan</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to Amendments to the Outback Steakhouse, Inc. Amended and Restated Stock Plan
      (the &#8220;Stock Plan&#8221;) and the Outback Steakhouse, Inc. Amended and Restated
      Managing Partner Stock Plan (the &#8220;Managing Partner Stock Plan&#8221;), each dated
      November 5, 2006, each option granted under the Stock Plan and the Managing
      Partner Stock Plan that is outstanding immediately prior to the effective time
      of the Merger (the &#8220;Effective Time&#8221;) will, as of the Effective Time, become
      fully vested and be converted into an obligation to pay cash in an amount equal
      to the product of (i) the total number of shares of common stock subject to
      such
      option and (ii) the excess, if any, of the Merger Consideration over the per
      share option price. Additionally, pursuant to such amendments, at the Effective
      Time, unless otherwise agreed to by the award recipient, each award of
      restricted stock will be converted into a right to receive cash in an amount
      equal to the product of (i) the Merger Consideration and (ii) the number of
      shares of restricted stock in respect of such award. Such cash amount will
      vest
      and be paid in accordance with the original scheduled vesting dates applicable
      to the converted restricted stock; provided, however, that such cash amount
      will
      vest and be paid upon the death, disability or termination other than for cause
      of the holder of the restricted stock. Prior to the Effective Time, the Company
      will establish an irrevocable grantor trust to provide for the payment of these
      cash amounts in respect of such outstanding restricted stock awards.
</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to the Amendment to the Outback Steakhouse, Inc. Partner Equity Plan (the
&#8220;PEP&#8221;), dated November 5, 2006, phantom shares of Company stock credited to each
      participant&#8217;s account will be converted into cash credits in an amount equal to
      the product of (i) the Merger Consideration and (ii) the number of shares of
      Company common stock credited to such participant&#8217;s account. Such cash amounts
      will be credited to an account for each participant and will be eligible to
      be
      invested by participants in the investment alternatives available under the
      Partner Equity Deferred Compensation Diversified Plan part of the
      PEP</font><font style="DISPLAY: inline; FONT-SIZE: 11pt; FONT-FAMILY: Times New Roman">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">and,
      except for such administrative changes as may be necessary to effectuate the
      foregoing, will be administered in accordance with the payment schedule and
      consistent with the terms of the PEP.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to the Amendment to the Directors&#8217; Deferred Compensation and Stock Plan (the
&#8220;Directors&#8217; Plan&#8221;), dated November 5, 2006, each share unit credited to a
      deferral account will be converted into the right to receive the Merger
      Consideration immediately upon the Effective Time.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">These
      amendments are attached as Exhibits 10.5, 10.6, 10.7 and 10.8 and are
      incorporated by reference herein</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br>&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
      4.02</strong></font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>NON-RELIANCE
      ON PREVIOUSLY ISSUED FINANCIAL STATEMENTS OR A RELATED AUDIT REPORT OR COMPLETED
      INTERIM REVIEW</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
      a
      press release dated October 25, 2006, the Company announced that it had
      preliminarily determined that its liability for unearned revenue for unredeemed
      gift cards and certificates was understated by approximately $20,000,000 to
      $40,000,000. The preliminary estimate of the amount of the understatement
      communicated on October 25, 2006 was based on an accounting method which the
      Company anticipated using, under which the Company would recognize income in
      proportion to redemptions as they occur for an estimate of the gift cards and
      certificates that will never be redeemed. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
      November 5, 2006, the Company&#8217;s management and its Audit Committee concluded
      that the Company will need to restate its consolidated financial statements
      to
      correct for errors in its liability for unearned revenue for unredeemed gift
      cards and certificates as well as for certain other errors noted below. As
      part
      of the restatement, the Company has determined that it will recognize revenue
      for those cards and certificates that will never be redeemed at the time at
      which their redemption becomes remote, which is generally three years after
      their sale. The use of this method of revenue recognition (in contrast to the
      method of ratably recognizing revenue as noted above) changes the Company&#8217;s
      original estimate and is expected to result in an adjustment to its unearned
      revenue liability of approximately $50,000,000 to $70,000,000 at September
      30,
      2006. The actual amount of the understatement, the periods affected and the
      related income tax effects are still being determined. Gift certificate sales
      began in the early 1990&#8217;s and increased commensurate with the Company&#8217;s growth
      in restaurants over the ensuing years.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
      connection with the restatement, the Company is also assessing the correction
      of
      other less significant errors in its financial statements, including deferred
      rent, minority interests in consolidated entities and additional paid in
      capital. The correction of these balances may affect multiple historical
      periods, including 2006. Management has not yet completed its reassessment
      of
      the effectiveness of the Company&#8217;s disclosure controls and procedures as of
      December 31, 2005, March 31, 2006 and June 30, 2006, including internal control
      over financial reporting.&#160; It is possible that management will determine
      that there were one or more material weaknesses in its disclosure controls
      and
      procedures as of those dates.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Management
      and the Audit Committee&#160;also determined on November 5, 2006 that the
      Company&#8217;s previously issued financial statements, including without limitation
      the financial statements and summary financial data contained in the Company&#8217;s
      Annual Report on Form 10-K for the year ended December 31, 2005 and Quarterly
      Reports on Form 10-Q during 2006 should no longer be relied upon.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      Company intends to file its amended 2005 Annual Report on Form 10-K/A and its
      Quarterly Report on Form 10-Q for the third quarter of 2006 as soon as possible,
      although the Company currently expects that it will be late in filing its Form
      10-Q for the third quarter of 2006. The Company intends to file amendments
      to
      its Quarterly Reports on Form 10-Q/A for the first two quarters of 2006 as
      soon
      as practicable.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      Company&#8217;s management and Audit Committee have discussed the conclusions
      disclosed in Item 4.02 of this Form 8-K with PricewaterhouseCoopers LLP, the
      Company&#8217;s independent registered certified public accounting firm.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br>&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
      9.01</strong></font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>FINANCIAL
      STATEMENTS AND EXHIBITS</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(d)</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Exhibits.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2.1&#160;
      <font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Agreement
      and Plan of Merger, dated November 5, 2006, by and among OSI Restaurant
      Partners, Inc., Kangaroo Holdings, Inc. and Kangaroo Acquisition,
      Inc.*</font></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">10.1</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Amendment,
      dated November 5, 2006, between Dirk Montgomery and OSI Restaurant Partners,
      </font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Inc.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">10.2</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Amendment,
      dated November 5, 2006, by and among A. William Allen, III, OSI Restaurant
      </font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Partners,
      Inc. and OS Restaurant Services, Inc.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">10.3</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Amendment,
      dated November 5, 2006, by and among Paul E. Avery, OSI Restaurant Partners,
      </font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Inc.
      and
      Outback Steakhouse of Florida, Inc.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">10.4</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Amendment,
      dated November 5, 2006, by and among Joseph J. Kadow, OSI Restaurant Partners,
      </font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Inc.,
      OS
      Restaurant Services, Inc., OS Management, Inc. and Outback Steakhouse of
      Florida, Inc.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: -36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">10.5</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Amendment
      to Outback Steakhouse, Inc. Amended and Restated Stock Plan, dated November
      5,
</font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">2006</font></div>
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      dated </font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">November
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      Schedules have been omitted pursuant to Item 601(b)(2) of Regulation S-K. The
      Company hereby undertakes to furnish supplementally copies of any of the omitted
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                RESTAURANT PARTNERS, INC.</strong></font></div>
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                6, 2006</font></div>
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              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
            </td>
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            </td>
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                </strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Dirk
                A. Montgomery</font></div>
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                A. Montgomery</font></div>
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                Financial Officer</font></div>
            </td>
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{"company-data": {"conformed-name": "OSI RESTAURANT PARTNERS, INC.", "cik": "0000874691", "assigned-sic": "5812", "irs-number": "593061413", "state-of-incorporation": "DE", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "001-15935", "film-number": "061189161"}, "business-address": {"street1": "2202 NORTH WEST SHORE BLVD.", "street2": "SUITE 500", "city": "TAMPA", "state": "FL", "zip": "33607", "phone": "813-282-1225"}, "mail-address": {"street1": "2202 NORTH WEST SHORE BLVD.", "street2": "SUITE 500", "city": "TAMPA", "state": "FL", "zip": "33607"}, "former-company": {"former-conformed-name": "OUTBACK STEAKHOUSE INC", "date-changed": "19921217"}}
FORM 8-K NOVEMBER 2006 MERGER AGREEMENT AND NON-RELIANCE
UNITED
      STATES
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
Date
      of
      Report (Date of earliest event reported)
November
      5, 2006
OSI
      RESTAURANT PARTNERS, INC.
(Exact
      name of registrant as specified in its charter)
Delaware
1-15935
59-3061413
(State
                or other jurisdiction of incorporation)
(Commission
                File Number)
(I.R.S.
                Employer
Identification
                No.)
2202
      North West Shore Boulevard, Suite 500, Tampa, Florida
      33607
(Address
      of principal executive offices) (Zip Code)
Registrant's
      telephone number, including area code
(813)
      282-1225
Not
      applicable
(Former
      name or former address, if changed since last report)
Check
      the
      appropriate box below if the Form 8-K filing is intended to simultaneously
      satisfy the filing obligation of the registrant under any of the following
      provisions:
¨
Written
      communications pursuant to Rule 425 under the Securities Act (17 CFR
      230.425)
þ
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
      240.14a-12)
¨
Pre-commencement communications pursuant to Rule 14d-2(b) under the
      Exchange Act (17 CFR 240.14d-2(b))
¨
Pre-commencement communications pursuant to Rule 13e-4(c) under the
      Exchange Act (17 CFR 240.13e-4(c))
Item
      1.01
ENTRY
      INTO A MATERIAL DEFINITIVE AGREEMENT
Merger
      Agreement
On
      November 5, 2006, OSI Restaurant Partners, Inc., a Delaware corporation (the
      "Company"), entered into an Agreement and Plan of Merger (the "Merger
      Agreement") with Kangaroo Holdings, Inc., a Delaware corporation ("Parent"), and
      Kangaroo Acquisition, Inc., a Delaware corporation and a wholly owned subsidiary
      of Parent ("Merger Sub"). Parent and Merger Sub are owned by an investor group
      comprised of affiliates of Bain Capital Partners, LLC and Catterton Partners
      and
      the Company's founders, Robert D. Basham, J. Timothy Gannon and Chris T.
      Sullivan.
Pursuant
      to the terms of the Merger Agreement, Merger Sub will merge with and into the
      Company, with the Company as the surviving corporation of the merger (the
"Merger"). In the Merger, each share of common stock of the Company, other than
      those held by the Company, any subsidiary of the Company, Parent or Merger
      Sub,
      and other than those shares with respect to which dissenters rights are properly
      exercised, will be converted into the right to receive $40.00 per share in
      cash
      (the "Merger Consideration"). In addition, except as otherwise agreed to by the
      Company, Parent, Merger Sub and certain members of management of the Company,
      each share of restricted stock will be converted into the right to receive
      cash
      in an amount equal to the Merger Consideration, with the cash amount payable
      in
      accordance with the original vesting schedule applicable to the converted
      restricted stock; provided, however, that such cash amount will vest and be
      paid
      upon death, disability or termination other than for cause of the grantee.
      Except as otherwise provided in the Merger Agreement, all outstanding options
      to
      acquire shares of Company common stock will vest at the effective time of the
      Merger and holders of such options will receive an amount in cash equal to
      the
      excess, if any, of the Merger Consideration over the exercise price per share
      subject to the option for each share subject to the option.
A
      special
      committee of the Company's Board of Directors, consisting of all of the
      independent members of the Company's Board of Directors (the "Special
      Committee"), has unanimously approved the Merger Agreement and determined that
      the Merger Agreement and the Merger are advisable and both fair to and in the
      best interest of the Company's shareholders. Wachovia Securities LLC served as
      financial advisor to the Special Committee, and Wachovia Securities LLC and
      Piper Jaffray & Co. each rendered separate fairness opinions to the Special
      Committee as to the fairness, from a financial point of view, of the
      consideration to be received by the Company's shareholders (other than the
      founders and members of management who are expected to invest in Parent) in
      the
      Merger. Wachtell, Lipton, Rosen & Katz served as special counsel to the
      Special Committee and Baker & Hostetler LLP served as counsel to the Company
      and the Board of Directors.
The
      founders of the Company and certain members of the Company's senior management
      have agreed to enter into arrangements with Parent to invest in Parent in
      connection with the Merger.
Completion
      of the Merger is subject to customary closing conditions including (i) approval
      by the Company's shareholders (excluding any shares owned by the founders of the
      Company and certain members of senior management who have agreed to invest
      in
      Parent upon completion of the Merger) and (ii) regulatory approval. The
      transaction is not subject to a financing condition. The parties currently
      expect that the Merger will be completed by April 30, 2007.
The
      Merger Agreement contains certain non-solicitation provisions but permits the
      Company to encourage and solicit proposals for a competing transaction for
      a
      period of 50 days from November 5, 2006. Wachovia Securities LLC will be
      assisting the Special Committee with respect to the solicitation of proposals
      for a competing transaction.
The
      Merger Agreement contains certain termination rights for both Parent and the
      Company. If the Company terminates the Merger Agreement prior to the end of
      the
      solicitation period as a result of the Special Committee or the Board of
      Directors concluding that in light of a
superior
      proposal, it would be inconsistent with the directors' exercise of their
      fiduciary obligations to the Company's shareholders under applicable law to (i)
      make or not withdraw the recommendation that the Company's shareholders approve
      the Merger Agreement or (ii) fail to effect a change in such recommendation
      in a
      manner adverse to Parent (a "Recommendation Change"), the Company is required to
      pay to or as directed by Parent a termination fee of $25 million and reimburse
      Parent for its out-of-pocket fees and expenses incurred with respect to the
      transactions contemplated by the Merger Agreement, up to a maximum of $7.5
      million. If the Company terminates the Merger Agreement as a result of the
      effective time of the Merger not occurring on or before April 30, 2007 and
      concurrently with or within nine months of such termination the Company enters
      into a definitive agreement providing for an alternative transaction that
      provides a value per share of not less than the Merger Consideration, the
      Company is required to reimburse Parent for its out-of-pocket fees and expenses
      incurred with respect to the transactions contemplated by the Merger Agreement,
      up to a maximum of $7.5 million. In certain other circumstances, including
      a
      termination of the Merger Agreement by the Company after the end of the
      solicitation period as a result of a Recommendation Change, the Company is
      required to pay to or as directed by Parent a termination fee of $45
      million.
If
      (i)
      the Company terminates the Merger Agreement as a result of the effective time
      of
      the Merger not occurring on or before April 30, 2007 and the Company is not
      in
      breach in any material respect of the Merger Agreement and (ii) the mutual
      conditions to closing of the Merger, including approval of the Merger Agreement
      by the Company's shareholders, and Parent's conditions to closing of the Merger
      would have been satisfied had the closing been scheduled on April 30, 2007,
      Parent is required to pay the Company a termination fee of $45 million. In
      addition, if the Company terminates the Merger Agreement as a result of Parent
      not (i) depositing with the paying agent cash in an aggregate amount sufficient
      to pay amounts required to be paid pursuant to the Merger Agreement within
      five
      days after notice by the Company to Parent that the mutual conditions to closing
      of the Merger and Parent's conditions to closing of the Merger are satisfied or
      would be satisfied as of an immediate closing and (ii) proceeding immediately
      thereafter to give effect to the closing, Parent is required to pay the Company
      a termination fee of $45 million; however, the Company has no right to terminate
      the Merger Agreement under this provision prior to the final day of the
      marketing period for Parent's contemplated debt financing or if certain
      financial information has not been furnished on or prior to April 2,
      2007.
Parent
      has obtained commitments for the equity portion of the financing for the Merger,
      and Merger Sub has obtained commitments for the debt portion of the financing
      for the Merger, each of which is subject to customary conditions.
The
      Merger Agreement is attached as Exhibit 2.1 hereto and is incorporated by
      reference herein. A press release issued November 6, 2006 relating to the Merger
      Agreement and the Merger is attached as Exhibit 99.1 hereto and incorporated
      by
      reference herein. The foregoing description of the Merger Agreement and the
      Merger is qualified in its entirety by reference to Exhibit 2.1.
Amendments
      to Employment Agreements, Stock Option Agreements and Restricted Stock
      Agreements
On
      November 5, 2006, the Company entered into amendments (each, an "Amendment") to
      certain employment, stock option and restricted stock agreements with each
      of A.
      William Allen, III, the Chief Executive Officer of the Company, Paul E. Avery,
      the Chief Operating Officer of the Company, Joseph J. Kadow, the Executive
      Vice
      President, Chief Officer - Legal and Corporate Affairs of the Company, and
      Dirk
      Montgomery, the Chief Financial Officer of the Company.
Pursuant
      to the Amendments, in the event of a separation of service of the executive
      by
      the Company without cause or by the executive for good reason within two years
      after a change of control, the executive will be paid a lump sum equal to two
      times the sum of (i) his gross annual base salary at the rate in effect
      immediately prior to the change of control and (ii) the aggregate cash bonus
      compensation paid to him for the two fiscal years preceding the year in which
      the change of control occurs divided by two. However, in the case of Mr.
      Montgomery, if he is not employed for the two entire fiscal years preceding
      the
      year in which a change of control occurs, the amount for the purposes of clause
      (ii) will be equal to his target bonus for the year in which the change of
      control occurs.
Pursuant
      to Mr. Allen's Amendment, if a change of control and subsequent separation of
      service cause the vesting of all restricted stock granted to Mr. Allen pursuant
      to certain Restricted Stock Agreements, the Company will not be required to
      pay
      Mr. Allen severance compensation of $5,000,000, as previously required under
      Mr.
      Allen's employment agreement in certain circumstances.
Pursuant
      to the Amendments for each of Mr. Allen, Mr. Avery and Mr. Kadow, the options
      owned by each of them will become fully vested and exercisable if, within two
      years after a change of control, the executive is terminated by the Company
      without cause, resigns for good reason, dies or suffers a disability.
Pursuant
      to the Amendments for each of Mr. Allen, Mr. Kadow and Mr. Montgomery, the
      restricted stock owned by each of them will become fully vested and all
      restrictions will lapse if, within two years after a change of control, the
      executive is terminated by the Company without cause, resigns for good reason,
      dies or suffers a disability.
Each
      Amendment provides a "conditional gross-up" for excise and related taxes in the
      event the severance compensation and other payments or distributions to an
      executive pursuant to an employment agreement, stock option agreement,
      restricted stock agreement or otherwise would constitute "excess parachute
      payments," as defined in Section 280G of the Internal Revenue Code. The tax
      gross up will be provided if the aggregate parachute value of all severance
      and
      other change in control payments to the executive is greater than 110% of the
      maximum amount that may be paid under Section 280G of the Code without
      imposition of an excise tax. If the parachute value of an executive's payments
      does not exceed the 110% threshold, the executive's payments under the change in
      control agreement will be reduced to the extent necessary to avoid imposition
      of
      the excise tax on "excess parachute payments."
The
      Amendments are attached as Exhibits 10.1, 10.2, 10.3 and 10.4 and are
      incorporated by reference herein.
Amendments
      to Amended and Restated Stock Plan, Amended and Restated Managing Partner Stock
      Plan, Partner Equity Plan and Directors' Deferred Compensation and Stock
      Plan
Pursuant
      to Amendments to the Outback Steakhouse, Inc. Amended and Restated Stock Plan
      (the "Stock Plan") and the Outback Steakhouse, Inc. Amended and Restated
      Managing Partner Stock Plan (the "Managing Partner Stock Plan"), each dated
      November 5, 2006, each option granted under the Stock Plan and the Managing
      Partner Stock Plan that is outstanding immediately prior to the effective time
      of the Merger (the "Effective Time") will, as of the Effective Time, become
      fully vested and be converted into an obligation to pay cash in an amount equal
      to the product of (i) the total number of shares of common stock subject to
      such
      option and (ii) the excess, if any, of the Merger Consideration over the per
      share option price. Additionally, pursuant to such amendments, at the Effective
      Time, unless otherwise agreed to by the award recipient, each award of
      restricted stock will be converted into a right to receive cash in an amount
      equal to the product of (i) the Merger Consideration and (ii) the number of
      shares of restricted stock in respect of such award. Such cash amount will
      vest
      and be paid in accordance with the original scheduled vesting dates applicable
      to the converted restricted stock; provided, however, that such cash amount
      will
      vest and be paid upon the death, disability or termination other than for cause
      of the holder of the restricted stock. Prior to the Effective Time, the Company
      will establish an irrevocable grantor trust to provide for the payment of these
      cash amounts in respect of such outstanding restricted stock awards.
Pursuant
      to the Amendment to the Outback Steakhouse, Inc. Partner Equity Plan (the
"PEP"), dated November 5, 2006, phantom shares of Company stock credited to each
      participant's account will be converted into cash credits in an amount equal to
      the product of (i) the Merger Consideration and (ii) the number of shares of
      Company common stock credited to such participant's account. Such cash amounts
      will be credited to an account for each participant and will be eligible to
      be
      invested by participants in the investment alternatives available under the
      Partner Equity Deferred Compensation Diversified Plan part of the
      PEP
and,
      except for such administrative changes as may be necessary to effectuate the
      foregoing, will be administered in accordance with the payment schedule and
      consistent with the terms of the PEP.
Pursuant
      to the Amendment to the Directors' Deferred Compensation and Stock Plan (the
"Directors' Plan"), dated November 5, 2006, each share unit credited to a
      deferral account will be converted into the right to receive the Merger
      Consideration immediately upon the Effective Time.
These
      amendments are attached as Exhibits 10.5, 10.6, 10.7 and 10.8 and are
      incorporated by reference herein
Item
      4.02
NON-RELIANCE
      ON PREVIOUSLY ISSUED FINANCIAL STATEMENTS OR A RELATED AUDIT REPORT OR COMPLETED
      INTERIM REVIEW
In
      a
      press release dated October 25, 2006, the Company announced that it had
      preliminarily determined that its liability for unearned revenue for unredeemed
      gift cards and certificates was understated by approximately $20,000,000 to
      $40,000,000. The preliminary estimate of the amount of the understatement
      communicated on October 25, 2006 was based on an accounting method which the
      Company anticipated using, under which the Company would recognize income in
      proportion to redemptions as they occur for an estimate of the gift cards and
      certificates that will never be redeemed.
On
      November 5, 2006, the Company's management and its Audit Committee concluded
      that the Company will need to restate its consolidated financial statements
      to
      correct for errors in its liability for unearned revenue for unredeemed gift
      cards and certificates as well as for certain other errors noted below. As
      part
      of the restatement, the Company has determined that it will recognize revenue
      for those cards and certificates that will never be redeemed at the time at
      which their redemption becomes remote, which is generally three years after
      their sale. The use of this method of revenue recognition (in contrast to the
      method of ratably recognizing revenue as noted above) changes the Company's
      original estimate and is expected to result in an adjustment to its unearned
      revenue liability of approximately $50,000,000 to $70,000,000 at September
      30,
      2006. The actual amount of the understatement, the periods affected and the
      related income tax effects are still being determined. Gift certificate sales
      began in the early 1990's and increased commensurate with the Company's growth
      in restaurants over the ensuing years.
In
      connection with the restatement, the Company is also assessing the correction
      of
      other less significant errors in its financial statements, including deferred
      rent, minority interests in consolidated entities and additional paid in
      capital. The correction of these balances may affect multiple historical
      periods, including 2006. Management has not yet completed its reassessment
      of
      the effectiveness of the Company's disclosure controls and procedures as of
      December 31, 2005, March 31, 2006 and June 30, 2006, including internal control
      over financial reporting.  It is possible that management will determine
      that there were one or more material weaknesses in its disclosure controls
      and
      procedures as of those dates.
Management
      and the Audit Committee also determined on November 5, 2006 that the
      Company's previously issued financial statements, including without limitation
      the financial statements and summary financial data contained in the Company's
      Annual Report on Form 10-K for the year ended December 31, 2005 and Quarterly
      Reports on Form 10-Q during 2006 should no longer be relied upon.
The
      Company intends to file its amended 2005 Annual Report on Form 10-K/A and its
      Quarterly Report on Form 10-Q for the third quarter of 2006 as soon as possible,
      although the Company currently expects that it will be late in filing its Form
      10-Q for the third quarter of 2006. The Company intends to file amendments
      to
      its Quarterly Reports on Form 10-Q/A for the first two quarters of 2006 as
      soon
      as practicable.
The
      Company's management and Audit Committee have discussed the conclusions
      disclosed in Item 4.02 of this Form 8-K with PricewaterhouseCoopers LLP, the
      Company's independent registered certified public accounting firm.
Item
      9.01
FINANCIAL
      STATEMENTS AND EXHIBITS
(d)
Exhibits.
2.1
Agreement
      and Plan of Merger, dated November 5, 2006, by and among OSI Restaurant
      Partners, Inc., Kangaroo Holdings, Inc. and Kangaroo Acquisition,
      Inc.*
10.1
Amendment,
      dated November 5, 2006, between Dirk Montgomery and OSI Restaurant Partners,
Inc.
10.2
Amendment,
      dated November 5, 2006, by and among A. William Allen, III, OSI Restaurant
Partners,
      Inc. and OS Restaurant Services, Inc.
10.3
Amendment,
      dated November 5, 2006, by and among Paul E. Avery, OSI Restaurant Partners,
Inc.
      and
      Outback Steakhouse of Florida, Inc.
10.4
Amendment,
      dated November 5, 2006, by and among Joseph J. Kadow, OSI Restaurant Partners,
Inc.,
      OS
      Restaurant Services, Inc., OS Management, Inc. and Outback Steakhouse of
      Florida, Inc.
10.5
Amendment
      to Outback Steakhouse, Inc. Amended and Restated Stock Plan, dated November
      5,
2006
10.6
Amendment
      to Outback Steakhouse, Inc. Amended and Restated Managing Partner Stock Plan,
dated
      November 5, 2006
10.7
Amendment
      to Outback Steakhouse, Inc. Partner Equity Plan, dated November 5,
      2006
10.8
Amendment
      to Outback Steakhouse, Inc. Directors' Deferred Compensation and Stock Plan,
      dated
November
      5, 2006
99.1
Press
      Release, dated November 6, 2006
*
      Schedules have been omitted pursuant to Item 601(b)(2) of Regulation S-K. The
      Company hereby undertakes to furnish supplementally copies of any of the omitted
      schedules upon request by the Securities and Exchange Commission.
SIGNATURE
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.
OSI
                RESTAURANT PARTNERS, INC.
(Registrant)
Date:  November
                6, 2006
By:
/s/
Dirk
                A. Montgomery
Dirk
                A. Montgomery
Chief
                Financial Officer