UNITED STATES
                    SECURITIES AND EXCHANGE COMMISSION
                          Washington, D.C. 20549

                                 FORM 10-K

[X]  ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES
     EXCHANGE ACT OF 1934 FOR THE FISCAL YEAR ENDED JANUARY 3, 2001
                                    or
[  ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM ____ TO ____

Commission File Number 0-10943

                     RYAN'S FAMILY STEAK HOUSES, INC.
          (Exact name of registrant as specified in its charter)

             South Carolina                       57-0657895
    (State or other jurisdiction of            (I.R.S. employer
     incorporation or organization)          identification no.)

405 Lancaster Avenue, Greer, South Carolina         29650
(Address of principal executive offices)          (Zip code)

Registrant's telephone number, including area code     (864) 879-1000

Securities registered pursuant to Section 12(b) of the Act:

                  None                               None
            (Title of class)                (Name of each exchange
                                             on which registered)

Securities registered pursuant to Section 12(g) of the Act:

                       Common Stock, $1.00 Par Value
                             (Title of class)

   Indicate by check mark whether the registrant (1) has filed all  reports
required to be filed by Section 13 or 15(d) of the Securities Exchange  Act
of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject  to
such filing requirements for the past 90 days.  Yes [ X ] No [   ]

   Indicate  by  check mark if disclosure of delinquent filers pursuant  to
Item  405  of  Regulation  S-K is not contained herein,  and  will  not  be
contained,  to the best of the registrant's knowledge, in definitive  proxy
or  information statements incorporated by reference in Part  III  of  this
Form 10-K or any amendment to this Form 10-K. [ X ]

   The  aggregate  market value of the voting stock held by  non-affiliates
(shareholders  holding  less  than 20% of  the  outstanding  common  stock,
excluding  directors and officers), computed by reference  to  the  average
high and low prices of such stock, as of March 7, 2001, was $327,582,000.

   The  number  of  shares  outstanding of the registrant's  Common  Stock,
$1.00 Par Value, was 31,105,100 at March 7, 2001.
                    DOCUMENTS INCORPORATED BY REFERENCE

    Incorporated Document                    Location in Form 10-K

Portions of 2000 Annual Report of Shareholders   Parts I and II
Portions of Proxy Statement dated April 3, 2001     Part III

                                PART I

ITEM 1.   BUSINESS.

General

  Ryan's Family Steak Houses, Inc., the registrant (together with  its
subsidiaries  referred  to hereafter as the  "Company"),  is  a  South
Carolina  corporation  that operates a chain  of  restaurants  located
principally in the southern and midwestern United States.  At  January
3,  2001, 301 Company-owned and 23 franchised Ryan's Family Steakhouse
restaurants (restaurants using the Ryan's Family Steakhouse format are
referred  to  hereafter as "Ryan's" or "Ryan's  restaurant")  were  in
operation.   Systemwide  sales,  which  include  sales  by  franchised
restaurants, were approximately $745 million in 2000 and $704  million
in 1999.  Sales by Company-owned restaurants amounted to approximately
$705  million  in  2000  and  $665  million  in  1999.   The  Company,
headquartered in Greer, South Carolina, was organized in 1977,  opened
its first restaurant in 1978 and completed its initial public offering
in 1982.  It has no revenues or assets outside the U.S.

  The   following   table  indicates  the  number   of   Company-owned
restaurants opened each year, net of closings, and the total number of
Company-owned  restaurants  open at each year-end  during  the  5-year
period ending January 3, 2001:
                            Restaurant          Total Open
                Year      Openings, Net        at Year-End

                                              
                1996             30                 261
                1997              9                 270
                1998             10                 280
                1999              9                 289
                2000             12                 301


Restaurant Operations

  General.   A  Ryan's  restaurant  is  a  family-oriented  restaurant
serving  a  wide  variety of foods from the centrally located  scatter
bars  known  as  the  Mega Barr, as well as grilled  entrees  such  as
charbroiled  steaks, hamburgers, chicken and seafood.  The  Mega  Barr
includes fresh and pre-made salad items, soups, cheeses, a variety  of
hot meats and vegetables, and hot yeast rolls prepared and baked daily
on site.  All entree purchases include a trip to a bakery bar.  Bakery
bars  feature hot and fresh-from-the-oven cookies, brownies and  other
bakery  products as well as various dessert selections,  such  as  ice
cream, frozen yogurt, fresh fruit, cakes, cobblers and several dessert
toppings.  All Ryan's also offer a variety of non-alcoholic beverages.
All  restaurants have their Mega Barsr in a scatter bar format.   This
format  breaks the Mega Barr into five island bars for easier customer
access and more food variety.

  The  newest Ryan's design features a display-style grill and cooking
area that is in the dining room and very visible and easily accessible
to  customers.  A variety of meats are grilled daily and available  to
customers as part of the buffet price.  Customers go the grill and can
get  hot, cooked-to-order steak, chicken or other meat placed directly
from  the  grill onto their plate.  This design was first  implemented
during  2000, and 14 restaurants, including relocations,  were  opened
with  "display  cooking".  In addition, two existing restaurants  were
converted  in  2000  to the display cooking format.   Subject  to  the
results  from those and other test stores, management plans to remodel
approximately  30 restaurants with the display cooking  format  during
2001.

  Most  Ryan's  are  open  seven days a week  with  typical  hours  of
operation  being 11:00 a.m. to 9:30 p.m. Sunday through  Thursday  and
11:00  a.m.  to  10:30  p.m.  Friday and  Saturday.   The  Company  is
implementing  a  program  whereby  new  restaurants,  display  cooking
remodels  and  certain other restaurants are closed on  Mondays.   All
other hours of operation remain consistent with all other Ryan's.   At
January  3, 2001, approximately 10% of the Company's restaurants  were
on  this program.  Management believes that the Monday-closing program
will  result  in  less  manager turnover,  better  overall  restaurant
operations and no significant loss of restaurant sales.

  The   average  customer  count  per  restaurant  during   2000   was
approximately  6,600 per week, and the average meal price  per  person
was  $6.87 (including beverage).  Management believes that the average
table turns over every 30 to 45 minutes.

  Each  Company-owned  Ryan's is located in  a  free-standing  masonry
building  that  ranges  in size from approximately  10,000  to  11,500
square  feet.  The interior of most restaurants contains two or  three
dining  rooms, seating approximately 300 to 500 persons in  total,  an
area where customers both order and pay for their meals and a kitchen.
The  focal  points of the main dining room are the  Mega  Barr  and  a
bakery  bar.  The parking lots at the restaurants vary in  size,  with
available parking ranging from 125 to 200 cars.

  Restaurant  Management  and  Supervision.   The  Company  emphasizes
standardized operating and control systems together with comprehensive
recruiting and training programs in order to maintain food and service
quality.   In  each Ryan's restaurant, the management  team  typically
consists  of  a  general  manager  or  operating  partner  (under  the
Operating  Partner Program described below), a manager,  an  assistant
manager   and  an  associate  manager.   Management  personnel   begin
employment  at the manager trainee level and complete a  formal  four-
week  training program at the Company's management training center  in
Greer,  South  Carolina, prior to being placed  in  associate  manager
positions.   All  restaurant managers continue their training  through
various training manuals and classes developed by the Company.

  Each  restaurant  management team reports to an area  supervisor  or
district partner (under the District Partner Program described below).
Individuals in these positions normally oversee the operations of four
to  eight restaurants and report to one of eight regional directors or
regional  partners  (under  the  Regional  Partner  Program  described
below), positions that may be at the Vice President level and, in  any
case,  report  to the Senior Vice President-Operations.  Communication
and  support  from all corporate office departments  are  designed  to
assist all restaurant supervisory personnel (collectively referred  to
as "Restaurant Supervision") in responding promptly to local concerns.

  All  Restaurant  Supervision as well as general managers,  operating
partners   and  managers  participate  in  incentive  bonus  programs.
Bonuses paid to general managers and managers are based on the monthly
sales volume of their individual restaurant with deductions for excess
spending  in  key expense items, such as food cost, payroll  and  cash
shortages.   The  bonus  program  for area  supervisors  and  regional
directors  is  based  principally on same-store sales,  profitability,
"hidden  shopper"  (service feedback) scores and  certain  qualitative
factors.

  In  1997,  the  Company initiated an Operating  Partner  Program  in
order  to provide general managers with an additional career path  and
an  opportunity to share in the profitability of their stores.   After
being selected and upon a $10,000 investment in Ryan's common stock, a
general  manager is promoted to Operating Partner and then  shares  in
both   the  profit  improvement  and  overall  profitability  of   the
restaurant.  At January 3, 2001, Operating Partners were managing  145
restaurants.   The  Company's  goal  is  to  have  approximately   200
Operating Partners in place by January 2002.

  In  1999, the Company initiated a District Partner Program in  order
to  reward  top-performing area supervisors who were ready  to  assume
additional responsibilities.  After being selected and upon a  $15,000
investment  in Ryan's common stock, an area supervisor is promoted  to
District  Partner and then shares in both the profit  improvement  and
overall profitability of the restaurants under his or her supervision.
At  January 3, 2001, there were thirteen District Partners supervising
100 restaurants.  The Company's goal is to have an additional five  to
seven District Partners in place by January 2002.

  In  2000, the Company initiated a Regional Partner Program in  order
to  reward top-performing regional directors who had demonstrated  the
ability  to assume additional responsibilities.  After being  selected
and  upon  a  $20,000 investment in Ryan's common  stock,  a  regional
director  is  promoted  to Regional Partner and  then  shares  in  the
overall profitability of the restaurants under his or her supervision.
A  Regional  Partner's  compensation is also  affected  by  same-store
sales,   "hidden  shopper"  scores,  profit  improvement  and  certain
qualitative  factors.   At January 3, 2001, there  were  two  Regional
Partners supervising 96 restaurants.  The Company's goal is to have an
additional Regional Partner in place by January 2002.

  Advertising.    The   Company   has  not   relied   extensively   on
advertising,  expending  less  than one percent  of  restaurant  sales
during  each  of the years 2000, 1999 and 1998.  In 2000, the  Company
ran  advertising  campaigns,  consisting  of  spot  television,  cable
television and radio, in 20 markets covering 89 Ryan's.  Newspaper ads
and  billboards  were  used  in various other  markets.   The  Company
reviews  its  overall advertising plans annually and may  or  may  not
utilize  television or radio advertising in its annual plan  depending
on various factors, such as historical sales results from advertising,
current  and planned restaurant programs and current advertising  cost
levels.

  The  Company  also  has a local marketing program  that  focuses  on
building customer relationships through community involvement.   Local
marketing  may  include  such activities such as  sponsoring  a  youth
sports  team, providing a meeting place for organizations or providing
food  for  a  special community event.  The emphasis  is  on  building
relationships  at  the  restaurant level that  lead  to  word-of-mouth
advertising  and, in turn, to increased restaurant  sales.   In  2001,
management   intends  to  place  more  emphasis  on  local  marketing.
Estimated 2001 expenditures related to the program are expected to  be
less than 1% of 2001 sales.

Expansion of Company-Owned Restaurants

  General.   At  January 3, 2001, the Company owned and  operated  301
Ryan's restaurants.  During 2001, current plans call for 14 to 16  new
Company-owned  Ryan's, including four relocations.   Target sites for
these  new  restaurants  are spread  throughout  or  contiguous to the
Company's  current  22-state operating  area.  Management defines a
relocation as a restaurant  opened within  12  months  after  closing
another  restaurant  in  the  same marketing  area.   A  relocation
represents a redeployment  of  assets within  a  market.   The
following  table  summarizes  the  Company's openings, closings and
relocations during 2000, 1999 and 1998:


                                   2000      1999      1998

                                                
          Beginning of year          289       280       270
          New restaurants             13        12        11
          Relocations - opened         4         6         4
          Relocations - closed       (5)       (6)       (4)
          Closings                     -       (3)       (1)
          End of year                301       289       280


  Site  Selection.  The Company employs a real estate manager and uses
independent real estate brokers to locate potential new sites  and  to
perform  all  preliminary site investigative work.  Final approval  is
made by the Company's executive management.  Important factors in site
selection include population, demographics, proximity to both business
and  residential areas, traffic count and site accessibility.  Another
factor  in site selection for a Ryan's restaurant is its proximity  to
other  Ryan's  because this proximity improves the efficiency  of  the
Company's    Restaurant   Supervision,   advertising   programs    and
distribution network.

  Construction.  The Company presently acts as the general  contractor
for  the  construction of all of its restaurants.  The  Company's  in-
house  architectural  staff draws up the detailed  construction  plans
that  are used by subcontractors selected by a Ryan's project  manager
to perform the actual construction work.  In addition to selecting and
scheduling  subcontractors,  a Ryan's project  manager  also  procures
materials,  if  necessary,  and  provides  general  oversight  of  the
construction project.  A Ryan's construction superintendent is on site
during the construction of each restaurant and closely supervises  the
progress  and  workmanship  of  the  project.   New  restaurants   are
generally  completed  approximately  four  to  five  months  from  the
commencement of construction.  The average cost of a new Ryan's (land,
building  and  equipment) constructed in 2000 was  approximately  $2.5
million.

  Restaurant  Opening.   When a new Ryan's is opened,  all  restaurant
management  positions are staffed with personnel who  have  had  prior
management experience in another of the Company's restaurants.   Prior
to  opening, all staff personnel at the new location undergo one  week
of intensive training conducted by a new store opening team.

  Franchising.   While  the Company has granted Ryan's  franchises  in
the  past,  management  has not actively pursued  new  franchisees  in
recent  years in order to concentrate on the operation and development
of  Company-owned restaurants.  New franchises may be awarded  to  the
existing  franchisee  or to new franchisees proposing  to  operate  in
regions   significantly   outside  of  the   Company's   existing   or
contemplated operating areas.

  The  following table indicates the number of franchised  restaurants
opened  each year, net of closings, and the total number of franchised
restaurants  open  at  each year-end during the 5-year  period  ending
January 3, 2000:

                                Net
                            Restaurants          Total Open
                Year      Opened (Closed)       at Year-End

                                              
               1996            (1)                  25
               1997              -                  25
               1998              1                  26
               1999            (3)                  23
               2000              -                  23


  At  January 3, 2001, the Company's sole franchise agreement was with
Family  Steak Houses of Florida, Inc. ("Family") which, at that  date,
operated  23  Ryan's  in central and northern  Florida.   The  present
franchise agreement expires in 2010.  If Family is in compliance  with
the  franchise agreement at that time and agrees to certain remodeling
requirements,  Family then has the option to extend the agreement  for
up  to  two 10-year renewal periods.  The agreement provides that  the
Company  will  furnish  Family with all the necessary  information  to
construct,  equip,  manage and operate restaurants  under  the  Ryan's
Family Steakhouse name or derivative thereof.  It further provides for
exclusive territorial protection in certain Florida counties  as  long
as  Family  operates  a  specified number of Ryan's  restaurants.   At
January  3,  2001,  Family  was required to  have  23  restaurants  in
operation  and  was therefore in compliance at that date.   Under  the
current  agreement, the number of Ryan's required to  be  operated  by
Family  increases  to 25 by year-end 2001 and then  increases  by  two
restaurants per year thereafter.

  The  franchise agreement with Family was amended in August  1999  in
order  to  revise the number of Ryan's restaurants required to  be  in
operation by Family.  A comparison of the old and current requirements
follow:

                                Restaurants in Operation
                                Old               Current
              Year-End      Requirement         Requirement

                                               
                1999             27                  21
                2000             28                  23
                2001             29                  25
                2002             30                  27
                2003             31                  29
          Subsequent years    +1/year             +2/year


Sources and Availability of Raw Materials

  The  Company has a centralized purchasing program which is  designed
to  provide  uniform  product quality in all restaurants  as  well  as
reduced  food,  beverage and supply costs.  The  Company's  management
establishes  contracts for approximately 90% of  its  food  and  other
products  from  a variety of major suppliers under competitive  terms.
Purchases  under  these  contracts  are  delivered  to  one  of  three
warehouses  operated by the Company's principal distributor  and  then
delivered to the restaurants by the distributor.  The remaining 10% of
the  Company's  products  (principally fresh  produce)  are  purchased
locally  by  restaurant management.  The beef used by the  Company  is
obtained  from four western suppliers based on price and  availability
of  product.   To  ensure against interruption in  the  flow  of  beef
supplies  due  to  unforeseen or catastrophic events, the  distributor
maintains up to eight weeks supply of beef at  its  warehouses.
The Company believes that satisfactory sources of supply are generally
available for all the items used regularly in its operations.

Working Capital Requirements

  Working  capital  requirements  for continuing  operations  are  not
significant.   The  Company's restaurant sales are  primarily  derived
from  cash  sales,  and inventories are purchased on  credit  and  are
rapidly  converted to cash.  Therefore, the Company does not  maintain
significant receivables or inventories.

Trademarks and Service Marks

  The  Company  has registered various trademarks and  service  marks,
including  "Ryan's  Family Steak Houser" and "Mega  Barr",  and  their
related  designs  with the United States Patent and Trademark  Office.
All  trademarks and service marks have stated expiration dates ranging
from  December 2001 to October 2008.  However, they are renewable  for
an  unlimited number of additional 10-year terms at the option of  the
Company.

Competition

  The  food  service  business  is highly  competitive  and  is  often
impacted  by  changes in the taste and eating habits  of  the  public,
economic conditions affecting spending habits, population and  traffic
patterns.  The principal bases of competition in the industry are  the
quality  and price of the food products offered.  Location,  speed  of
service  and attractiveness of facilities are also important  factors.
Ryan's  restaurants compete with many units operated or franchised  by
national, regional and local restaurant companies that offer steak  or
buffet-style meals. Although the Company believes that its price/value
to  its  customers  places  it in an excellent  competitive  position,
during  the  last  few  years  many  operators  have  upgraded   their
restaurants  to more closely match the Ryan's format and  particularly
the  Mega  Barr.   The Company also competes with many specialty  food
outlets and other food vendors.

Seasonality

  The  Company's operations are subject to some seasonal fluctuations.
Average  sales  per  restaurant run approximately  5%  less  than  the
company-wide annual per restaurant average during the first and fourth
quarters  and 5% more than the company-wide annual average during  the
second and third quarters.

Research

  The  Company  maintains ongoing research programs  relating  to  the
development  of  new products and evaluation of marketing  activities.
The  Company's  management staff includes a Director of  Research  and
Development, whose responsibilities include enhancing and updating the
Mega  Barr  and  entree  selections.  While research  and  development
activities  are important to the Company, past expenditures  have  not
been  and future expenditures are not expected to be material  to  the
Company's financial results.

Customers

  No  material  part  of the Company's business is  dependent  upon  a
single customer or a specific group of customers.

Regulation

  The  Company  is  subject  to licensing and  regulation  by  health,
sanitation,   safety   and  fire  agencies  in   the   states   and/or
municipalities  in which its restaurants are located.   The  Company's
restaurants  are  constructed to meet local and  state  building  code
requirements  and are operated in material accordance with  state  and
local  regulations relating to the preparation and  service  of  food.
Generally  the  Company has not encountered significant  obstacles  to
opening  new  restaurants as a result of difficulties or  failures  in
obtaining  the required licenses or approvals. However, more stringent
or  varied  requirements of local and state governmental bodies  could
delay   or  prevent  development  of  new  restaurants  in  particular
locations.

  The  Company  is  subject  to the Fair Labor  Standards  Act,  which
regulates  matters  such  as minimum wage requirements,  overtime  and
other  working conditions, along with the Americans with  Disabilities
Act  and various family leave mandates.  A significant number  of  the
Company's  restaurant  team members are paid at  the  Federal  minimum
wage,  and accordingly, legislated changes to the minimum wage  affect
the  Company's payroll costs.  Although no minimum wage increases have
been signed into law, potential legislation proposing to increase  the
minimum wage by $1.00 to $6.15 per hour has recently been discussed in
the  U.S. Congress.  Another proposal that increases the minimum  wage
by  $1.50 to $6.55 per hour has also been introduced.  The Company has
typically  been  able to increase menu prices to  cover  most  of  the
payroll rate increases.

Environmental Matters

  While  the  Company  is  not aware of any federal,  state  or  local
environmental  regulations that will materially affect its  operations
or competitive position or result in material capital expenditures, it
cannot predict the impact of possible future legislation or regulation
on its operations.

Employees

  At   March  7,  2001,  the  Company  employed  approximately  19,000
persons, of whom approximately 18,700 were restaurant personnel.   The
Company  strives  to maintain low turnover by offering  all  full-time
employees  a  competitive  benefit package, which  includes  life  and
health  insurance, vacation pay and a defined contribution  retirement
plan.   Part-time employees who work at least 30 hours  per  week  are
eligible  to  participate in the Company's life and  health  insurance
plans and also receive vacation pay.

  None  of  the Company's employees are represented by a  union.   The
Company  has  experienced  no  work stoppages  attributable  to  labor
disputes and considers its employee relations to be good.

Information as to Classes of Similar Products or Services

  The  Company operates in only one industry segment.  All significant
revenues  and pre-tax earnings relate to retail sales of food  to  the
general   public   through  either  Company-operated   or   franchised
restaurants.   At  January  3, 2001, the  Company  had  no  operations
outside the continental United States.

  Information regarding the Company's restaurant sales and  assets  is
included in the Company's financial statements, which are incorporated
by reference into Part II, Item 8 of this Form 10-K.

Forward-Looking Information

  In  accordance  with  the  safe harbor  provisions  of  the  Private
Securities  Litigation Reform Act of 1995, the Company  cautions  that
the  statements in this annual report and elsewhere that are  forward-
looking  involve risks and uncertainties that may impact the Company's
actual results of operations.  All statements other than statements of
historical  fact that address activities, events or developments  that
the  Company  expects or anticipates will or may occur in the  future,
including  such things as deadlines for completing projects,  expected
financial   results  and  other  such  matters,  are   forward-looking
statements.  The words "estimates", "plans", "anticipates", "expects",
"intends", "believes" and similar expressions are intended to identify
forward-looking statements.  All forward-looking information  reflects
the  Company's  best judgment based on current information.   However,
there  can  be  no assurance that other factors will  not  affect  the
accuracy  of  such information.  While it is not possible to  identify
all  factors,  the  following could cause  actual  results  to  differ
materially    from   expectations:   general   economic    conditions;
competition;  real estate availability; food and labor  supply  costs;
food  and  labor  availability; weather  fluctuations;  interest  rate
fluctuations;  stock market conditions; and other  risks  and  factors
described  from time to time in the Company's reports filed  with  the
Securities  and  Exchange Commission, including this Form  10-K.   The
ability  of the Company to open new restaurants depends upon a  number
of  factors,  including  its ability to find  suitable  locations  and
negotiate acceptable land acquisition and construction contracts,  its
ability  to  attract  and  retain  sufficient  numbers  of  restaurant
managers  and team members, and the availability of reasonably  priced
capital.  The extent of the Company's stock repurchase program  during
2001  and future years depends upon the financial performance  of  the
Company's   restaurants,  the  investment   required   to   open   new
restaurants,  share  price,  the  availability  of  reasonably  priced
capital, the financial covenants contained in the agreements governing
both  the  senior  notes and the revolving credit  facility,  and  the
maximum  debt and share repurchase levels authorized by the  Company's
Board of Directors.


ITEM 2. PROPERTIES.

  The  Company  owns  substantially all of its restaurant  properties,
each  of  which  is  a  free-standing  masonry  building  that  covers
approximately  10,000  to  11,500  square  feet,  with   seating   for
approximately 300 to 500 persons and parking for approximately 125  to
200 cars on sites of approximately 75,000 to 130,000 square feet.   At
January 3, 2001, all restaurant sites, except 13 properties under land
leases, were owned by the Company.

  A  listing of the number of Ryan's restaurant locations by state  as
of  January  3,  2001 appears on page 3 of the Company's  2000  Annual
Report  to Shareholders and is incorporated by reference.  A  detailed
listing of Ryan's restaurant locations may be obtained without  charge
by  writing  to the Company's principal executive offices,  Attention:
Corporate Secretary.

  The  Company's  corporate offices consist of  two  office  buildings
(30,000  square feet and 16,000 square feet) and a 10,000 square  foot
warehouse facility, all of which are located in Greer, South Carolina.
The  office  buildings (land and building) are owned by  the  Company.
The  warehouse facility is leased with annual renewal terms ending  in
October 2005.

  From time to time, the Company offers for sale excess land that  was
acquired  in  connection  with its restaurant  properties.   Also,  at
January  3,  2001, six closed restaurant properties were  offered  for
sale.   The  Company  believes that the eventual disposition  or  non-
disposition  of  all  such properties will not materially  affect  its
business or financial condition, taken as a whole.


ITEM 3. LEGAL PROCEEDINGS.

  From  time  to  time, the Company is a defendant  in  legal  actions
arising  in  the normal course of its business.  Based on those  legal
actions currently known to its management, the Company believes  that,
as  a result of its legal defenses and insurance arrangements, none of
these  actions, if decided adversely, would have a material effect  on
its business or financial condition, taken as a whole.


ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

  None.


                                PART II


ITEM 5. MARKET  FOR REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDER
        MATTERS.

  The  information  regarding trading of the Company's  common  stock,
quarterly  market  prices and dividends appears  under  "Common  Stock
Data"  and  "Market Price of Common Stock" on page 25 of the Company's
2000 Annual Report to Shareholders and is incorporated by reference.

  At   March  7,  2001,  the  Company's  common  stock  was  held   by
approximately 10,500 stockholders of record through nominee or  street
name accounts with brokers.

  As  further  described in Item 7A, the Company is party to  a  long-
term  credit agreement involving a revolving credit facility, expiring
in  January  2005,  that  prohibits the  payment  of  cash  dividends.
However, the payment of dividends solely in the Company's common stock
is permitted under the terms of the agreement.


ITEM 6. SELECTED FINANCIAL DATA.

  Selected financial data for the last five years is included  in  the
"Five-Year Financial Summary" on page 13 of the Company's 2000  Annual
Report to Shareholders and is incorporated by reference.


ITEM 7. MANAGEMENT'S  DISCUSSION AND ANALYSIS OF  FINANCIAL  CONDITION
        AND RESULTS OF OPERATIONS.

  "Management's  Discussion and Analysis of  Financial  Condition  and
Results  of  Operations" is included on pages  5  through  12  of  the
Company's  2000  Annual Report to Shareholders and is incorporated  by
reference.


ITEM 7A.QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK

  The  Company's exposure to market risk relates primarily to  changes
in  interest rates.  Foreign currencies are not used in the  Company's
operations,  and commodities used in the preparation of  food  at  the
Company's  restaurants are not under purchase contract for  more  than
one  year in advance.  On January 28, 2000, the Company closed on  two
loan transactions that refinanced all existing debt balances and added
to  the Company's credit availability.  The first transaction involved
the  private placement with several insurance companies of $75 million
of  senior  notes  due in 2008 with principal payments  commencing  in
2005,  bearing interest at 9.02%.  The second transaction  involved  a
$200 million revolving credit facility with several banks due in 2005,
bearing  interest at various floating interest rates plus  a  variable
spread  currently set at 1.375%.  Both loans are secured by the  stock
of the Company's wholly-owned subsidiaries and affiliates.

  While  the  Company has entered into financial instrument agreements
in  the  past, there were no such agreements outstanding as of January
3,  2001.   The  Company  does  not enter  into  financial  instrument
agreements for trading or speculative purposes.

  The  following  table presents information regarding  the  Company's
outstanding long-term debt based on total outstanding debt balances as
of  January  3, 2001.  The contractually required principal repayments
and  their  related  average  interest  rates  by  maturity  date  are
presented in the table.  For the variable rate debt, average  interest
rate is based on the two-month London Interbank Offered Rate ("LIBOR")
as  of  January 3, 2001 plus the current applicable margin of  1.375%.
The applicable margin is subject to increase up to a maximum of 1.675%
or  decrease  to  a minimum of 0.875% in future years  depending  upon
changes  to  the Company's ratio of funded debt to EBITDA.   The  fair
value  of  the variable rate debt approximates its carrying amount  at
January  3,  2001 due to the variable rate provisions of  the  various
debt  instruments.  The fair value of the fixed rate debt is based  on
borrowing rates available to the Company for notes with similar  terms
and average maturities at January 3, 2001.


                           As of January 3, 2001
                         Expected Maturity Dates
                                                   There-       Fair
                    2001  2002  2003  2004   2005  after  Total Value
Liabilities (in millions)
Long-term debt -
                                                     
  Variable rate      -      -     -     -    $117.0    -   117.0 117.0
     Average
     interest rate  7.8%   7.8%  7.8%  7.8%    7.8%   7.8%   7.8%
  Fixed rate         -      -     -     -    $18.8   56.2   75.0  76.4
     Average
     interest rate  9.0%   9.0%  9.0%  9.0%    9.0%   9.0%   9.0%



ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.

  The  Company's  financial statements, unaudited quarterly  financial
information and the independent auditors' report are included on pages
14  through 23 of the Company's 2000 Annual Report to Shareholders and
are incorporated by reference.


ITEM 9. CHANGES  IN  AND DISAGREEMENTS WITH ACCOUNTANTS ON  ACCOUNTING
        AND FINANCIAL DISCLOSURE.

  None.


                               PART III


ITEM 10.DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT.

  The  information  required  under  this  item  is  incorporated   by
reference to the Ryan's Family Steak Houses, Inc. Proxy Statement  for
the  Annual Meeting of Shareholders to be held May 2, 2001  under  the
headings  "Election of Directors", "Executive Officers"  and  "Section
16(a) Beneficial Ownership Reporting Compliance."


ITEM 11.EXECUTIVE COMPENSATION.

  The  information  required  under  this  item  is  incorporated   by
reference to the Ryan's Family Steak Houses, Inc. Proxy Statement  for
the  Annual Meeting of Shareholders to be held May 2, 2001  under  the
headings   "Election  of  Directors  -  Compensation  of   Directors",
"Executive  Compensation  and  Other  Information",  "Report  of   the
Compensation Committee" and "Performance Graph."


ITEM 12.SECURITY   OWNERSHIP   OF   CERTAIN  BENEFICIAL   OWNERS   AND
        MANAGEMENT.

  The  information  required  under  this  item  is  incorporated   by
reference to the Ryan's Family Steak Houses, Inc. Proxy Statement  for
the  Annual Meeting of Shareholders to be held May 2, 2001  under  the
headings "Election of Directors", "Certain Beneficial Owners of Common
Stock" and "Executive Officers."


ITEM 13.CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS.

  The  information  required  under  this  item  is  incorporated   by
reference to the Ryan's Family Steak Houses, Inc. Proxy Statement  for
the  Annual Meeting of Shareholders to be held May 2, 2001  under  the
heading  "Executive  Compensation and  Other  Information  -  Deferred
Compensation - Salary Continuation Agreement."


                                PART IV


ITEM 14.EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON FORM 8-
        K.

  (a)1-2Financial  statements  filed as part of  this  Form  10-K  are
        listed in the "Index to Financial Statements", at page 16.

  (a)3  Exhibits (numbered in accordance with Item 601 of Regulation
        S-K):

      Exhibit #                    Description

                3.1        Articles of Incorporation of the Company,
                as amended through April 24, 1986:  Incorporated by
                reference to Exhibit 4(a) to the Registration
                Statement of the Company filed with the SEC on Form S-
                3 (Commission file no. 33-7245) (the "Form S-3").

                3.1.1      Articles of Amendment to the Articles of
                Incorporation, dated April 22, 1987:  Incorporated by
                reference to Exhibit 3.2 to the Annual Report on Form
                10-K for the period ended January 1, 1992 (Commission
                file no. 0-10943) (the "1991 10-K").

                3.1.2      Articles of Amendment to the Articles of
                Incorporation, dated May 25, 1989:  Incorporated by
                reference to Exhibit 4.3 to the Registration
                Statement of the Company filed with the SEC on Form S-
                8 (Commission file no. 33-53834).

                3.2  Bylaws of the Company:  Incorporated by
                reference to Exhibit 4(b) to the Form S-3.

                3.2.1     Amendment to By-Laws of the Company, dated
                October 25, 1990:  Incorporated by reference to
                Exhibit 3.3 to the 1991 10-K.

                3.2.2     Amendment to By-Laws of the Company, dated
                January 28, 1999:  Incorporated by reference to
                Exhibit 3.2.2 to the Annual Report on Form 10-K for
                the period ended December 29, 1999 (Commission file
                no. 0-10943) (the "1999 10-K").

                4.1        Specimen of Company common stock
                certificate:  Incorporated by reference to Exhibit
                4.1 to the 1991 10-K.

                4.2         See Exhibits 3.1, 3.1.1, 3.1.2, 3.2, 3.2.1
                and 3.2.2.

                4.3        See Exhibit 10.24.

                *10.1      Ryan's Family Steak Houses, Inc. Incentive
                Stock Option Plan:  Incorporated by reference to the
                Registration Statement of the Company filed with the
                SEC on Form S-8 (Commission file no. 2-83987).

                *10.2      Ryan's Family Steak Houses, Inc. 1987
                Stock Option Plan:  Incorporated by reference to
                Exhibit 4 to the Registration Statement of the
                Company filed with the SEC on Form S-8 (Commission
                file no. 33-15924).

                *10.3      Ryan's Family Steak Houses, Inc. 1991
                Stock Option Plan:  Incorporated by reference to
                Exhibit 4.4 to the Registration Statement of the
                Company filed with the SEC on Form S-8 (Commission
                file no. 33-53834).

                *10.4      Ryan's Family Steak Houses, Inc. 1998
                Stock Option Plan:  Incorporated by reference to
                Exhibit 99.1 to the Registration Statement of the
                Company filed with the SEC on Form S-8 (Commission
                file no. 333-67165).

                *10.5      Ryan's Employee Retirement Savings Plan,
                dated March 1, 1992:  Incorporated by reference to
                Exhibit 10.4 to the 1991 10-K.

                *10.6      Salary Continuation Agreement, dated April
                22, 1987, between the Company and Alvin A. McCall,
                Jr.; as amended on October 26, 1989:  Incorporated by
                reference to Exhibit 10.5 to the 1991 10-K.

                *10.7      Deferred Compensation - Salary
                Continuation Agreement, dated April 22, 1987, between
                the Company and Charles D. Way:  Incorporated by
                reference to Exhibit 10.6 to the 1991 10-K.

                *10.8      Agreement and Plan of Restructuring:
                Incorporated by reference to Exhibit A to the Proxy
                Statement of the Company, dated March 25, 1993, filed
                with respect to the Annual Meeting of Shareholders to
                be held on April 28, 1993 (Commission file no. 0-
                10943).

                *10.9      Split Dollar Agreement by and between the
                Company and Charles D. Way dated September 1, 1993:
                Incorporated by reference to Exhibit 10.8 to the
                Annual Report on Form 10-K for the period ended
                December 29, 1993 (Commission file no. 0-10943) (the
                "1993 10-K").

                *10.10     Split Dollar Agreement by and between the
                Company and G. Edwin McCranie dated November 12,
                1993:  Incorporated by reference to Exhibit 10.9 to
                the 1993 10-K.

                *10.11     Split Dollar Agreement by and between the
                Company and John C. Jamison dated November 12, 1993:
                Incorporated by reference to Exhibit 10.10 to the
                1993 10-K.

                *10.12     Split Dollar Agreement by and between the
                Company and James R. Hart dated August 8, 1993:
                Incorporated by reference to Exhibit 10.11 to the
                1993 10-K.

                *10.13     Split Dollar Agreement by and between the
                Company and Fred T. Grant, Jr. dated November 12,
                1993:  Incorporated by reference to Exhibit 10.12 to
                the 1993 10-K.

                *10.14     Split Dollar Agreement by and between the
                Company and Alan E. Shaw dated November 12, 1993:
                Incorporated by reference to Exhibit 10.13 to the
                1993 10-K.

                *10.15     Split Dollar Agreement by and between the
                Company and Morgan A. Graham dated November 12, 1993:
                Incorporated by reference to Exhibit 10.15 to the
                Annual Report on Form 10-K for the period ended
                December 31, 1997 (Commission file no. 0-10943) (the
                "1997 10-K").

                *10.16     Split Dollar Agreement by and between the
                Company and Janet J. Gleitz dated November 12, 1993:
                Incorporated by reference to Exhibit 10.16 to the
                1997 10-K.

                *10.17     Split Dollar Agreement by and between the
                Company and Ilene T. Turbow dated November 12, 1995:
                Incorporated by reference to Exhibit 10.17 to the
                1997 10-K.

                *10.18     Deferred Compensation Plan by and between
                the Company and Morgan A. Graham dated November 1,
                1997:  Incorporated by reference to Exhibit 10.18 to
                the 1997 10-K.

                *10.19     Deferred Compensation Plan by and between
                the Company and Janet J. Gleitz dated November 1,
                1997:  Incorporated by reference to Exhibit 10.19 to
                the 1997 10-K.

                *10.20     Deferred Compensation Plan by and between
                the Company and Ilene T. Turbow dated November 1,
                1997:  Incorporated by reference to Exhibit 10.20 to
                the 1997 10-K.

                *10.21     Executive Bonus Plan, commencing in fiscal
                year 1998:  Incorporated by reference to Exhibit
                10.23 to the 1997 10-K.

                10.22      Agreement between Ryan's Properties, Inc.
                and Family Steak Houses of Florida, Inc.:
                Incorporated by reference to Exhibit 10.15 to the
                Annual Report on Form 10-K for the period ended
                December 28, 1994 (Commission file no. 0-10943).

      10.22.1   Amendment dated October 3, 1996 to the Agreement between
                Ryan's Properties, Inc. and Family Steak Houses of Florida,
                Inc. dated July 11, 1994:  Incorporated by reference to
                Exhibit 10.22.1 to the 1999 10-K.

                10.22.2   Amendment dated August 31, 1999 to the
                Agreement between Ryan's Properties, Inc. and Family
                Steak Houses of Florida, Inc. dated July 11, 1994 and
                amended on October 17, 1994 and October 3, 1996.
                1994:  Incorporated by reference to Exhibit 10.22.2
                to the 1999 10-K.

                10.23      Ryan's Family Steak Houses, Inc. and
                Wachovia Bank of North Carolina, N.A., as Rights
                Agent, Shareholder Rights Agreement dated as of
                January 26, 1995:  Incorporated by reference to
                Exhibit 2 to the report on Form 8-K filed with the
                Commission on February 9, 1995 (Commission file no. 0-
                10943).

                10.24     Credit Agreement dated as of January 28,
                2000 among Ryan's Family Steak Houses, Inc. (the
                "Borrower"), the domestic subsidiaries of the
                Borrower, as Guarantors, Bank of America, N.A., as
                Administrative Agent, First Union National Bank, as
                Syndication Agent, Wachovia Bank, N.A., as
                Documentation Agent, SunTrust Bank, Atlanta, as
                Senior Managing Agent, and certain other banks
                signatory thereto:  Incorporated by reference to
                Exhibit 10.24 to the 1999 10-K.

                10.25     Note Purchase Agreement between Ryan's
                Family Steak Houses, Inc. and various lenders for
                $75,000,000 of 9.02% Senior Notes due January 28,
                2008:  Incorporated by reference to Exhibit 10.25 to
                the 1999 10-K.

                *10.26    Form of Split-Dollar Life Insurance
                Agreement by and between the Company and each of
                Messrs. Way, McCranie, Graham, Grant, Hart, Jamison
                and Shaw and Ms. Gleitz and Ms. Turbow:  Incorporated
                by reference to Exhibit 10.26 to the 1999 10-K.

                *10.27    Deferred Compensation Plan, effective as of
                August 1, 1999:  Incorporated by reference to Exhibit
                10.27 to the 1999 10-K.

                *10.28+   Form of Employment, Noncompetition and
                Severance Agreement by and between the Company and
                each of Messrs. Way, McCranie, Grant, Graham, and
                Hart and Ms. Gleitz and Ms. Turbow.

                13.1+      Ryan's Family Steak Houses, Inc. 2000
                Report to Shareholders (except for those portions
                that are expressly incorporated by reference in this
                Report on Form 10-K, this exhibit is furnished for
                the information of the Commission and is not deemed
                to be filed as a part hereof).

                21.1+      Subsidiaries of the Company.

                23.1+      Consent of Independent Auditors.

                *          This is a management contract or
                compensatory plan or arrangement.
                +          Filed with this Form 10-K.


  (b)   On  October  2,  2000,  November 6, 2000,  December  4,  2000,
        January  9,  2001, February 12, 2001 and March 12,  2001,  the
        Company  filed reports on Form 8-K regarding sales information
        for  September  2000,  October 2000, November  2000,  December
        2000, January 2001, and February 2001, respectively.

  (c)   The  response  to this portion of Item 14 is  submitted  as  a
        separate section of this report.

  (d)   The  response  to this portion of Item 14 is  submitted  as  a
        separate section of this report.


                              SIGNATURES


  Pursuant  to  the  requirements  of  Section  13  or  15(d)  of  the
Securities  Exchange Act of 1934, the registrant has duly caused  this
report  to be signed on its behalf by the undersigned, thereunto  duly
authorized.

                            RYAN'S FAMILY STEAK HOUSES, INC.
April 3, 2001

                            By:/s/Fred T. Grant, Jr.
                            Fred T. Grant, Jr.
                            Senior Vice President -
                            Finance, Treasurer and
                            Assistant Secretary
                            (Principal Financial and
                            Accounting Officer)

  Pursuant  to  the  requirements of the Securities  Exchange  Act  of
1934,  this  report has been signed below by the following persons  on
behalf  of  the  registrant and in the capacities  and  on  the  dates
indicated.

Signature                 Title                   Date

/s/Charles D. Way        Chairman, President and  April 3, 2001
Charles D. Way           Chief Executive Officer

/s/G. Edwin McCranie     Director and Executive   April 3, 2001
G. Edwin McCranie        Vice President

/s/James D. Cockman      Director              April 3, 2001
James D. Cockman

/s/Barry L. Edwards      Director              April 3, 2001
Barry L. Edwards

/s/Brian S. MacKenzie    Director              April 3, 2001
Brian S. MacKenzie

/s/Harold K. Roberts, Jr.   Director           April 3, 2001
Harold K. Roberts, Jr.

/s/James M. Shoemaker, Jr.  Director           April 3, 2001
James M. Shoemaker, Jr.

/s/Fred T. Grant, Jr.    Senior Vice President - Finance,   April 3, 2001
Fred T. Grant, Jr.       Treasurer and Assistant
                         Secretary (Principal Financial
                         and Accounting Officer)


                   RYAN'S FAMILY STEAK HOUSES, INC.

                     INDEX TO FINANCIAL STATEMENTS

  The  following  financial statements of the Registrant  included  in
the  Annual Report to Shareholders for the year ended January 3, 2001,
are incorporated herein by reference.  With the exception of the pages
listed below and other information incorporated in this report on Form
10-K, the 2000 Annual Report to Shareholders is not deemed "filed"  as
part of this report.

                                 Page Reference
                                in Annual Report

Independent Auditors' Report           23

Consolidated Statements of Earnings    14

Consolidated Balance Sheets            15

Consolidated Statements of Cash Flows  16

Notes to Financial Statements        17-23

  All  financial  statement  schedules have  been  omitted  since  the
required information is not applicable or the information required  is
included  in  the  consolidated  financial  statements  or  the  notes
thereto.