The company’s 137th superstore in Champaign is 28,290 square feet, while the 138th superstore in McAllen contains 22,000 square feet of retail space. Each of the stores featuares:

• Customized inventory in multiple entertainment formats, including about 20,000 book titles, 10,000 music selections, 3,000 videocassettes and video games, 400 DVD-format titles, 1,200 periodicals, 1,000 software titles, and 1,500 complementary products, including clothing, greeting cards and stationery products, for sale at discounted prices;
• Over 10,000 videocassettes, video games and DVDs available for rent;
• Extensive children’s product section, including free rentals on children’s videos and regular StoryTime;
• Financial commitment to the literacy campaign in the local community;
• Employment for about 50 to 60 employees at each of the two stores, primarily from the Champaign and McAllen areas.

"We have undertaken the most ambitious store expansion program in Hastings’ 31-year history during fiscal 1999. It is very gratifying to know that we have not only met our plan, but exceeded it, during the first six months of this year," said John H. Marmaduke, chairman and chief executive officer. "We anticipate opening 11 more units for a total of 149 superstores in operation by the end of the year.

"We have steadily and profitably built Hastings' superstore base by concentrating primarily on small to medium-sized markets across America that typically are under-served by other entertainment retailers," added Marmaduke. "Hastings stores average 21,500 square feet, providing enough space to offer our customers a wide range of entertainment products in a single location. Our stores reflect our total commitment to satisfying our guests’ desires for personal entertainment and information, and I believe it is reflected in the success our stores have achieved in their individual neighborhoods."

Founded in 1968, Hastings Entertainment, Inc. is the leading multimedia entertainment retailer that combines the sale of books, music, software, periodicals, DVDs and videos with the rental of videos, DVDs and video games in a superstore format. Hastings superstores are designed to be fun and informative gathering places for customers to shop, offering such amenities as free gourmet coffee, comfortable chairs for reading, CD listening stations, video game preview stations, interactive information kiosks, telephones for free local calls, children’s play areas and in-store promotional events.

Hastings also operates www.gohastings.com, an e-commerce Internet Web site that makes available to our customers more than 10 million new and used entertainment products and unique, contemporary gifts and toys. The site features exceptional product and pricing offers, including best-selling books at up to 50% off list price. In addition, investors and customers can review general and financial information about Hastings at this Web site.