The new superstore is the ninth of 12 scheduled to open during fiscal 1998, with an additional 51 stores scheduled to open by the end of fiscal 2000. The company currently operates 126 superstores in 18 states, with approximately 2.6 million square feet of retail space.

"Hastings is in the middle of the most ambitious store expansion program in our history, with plans to have approximately 170 units in operation by the end of fiscal 2000," said John H. Marmaduke, chairman and chief executive officer. "The company has steadily and profitably built its store base since developing and implementing the superstore format in 1991. Now, we are ready to accelerate our expansion rate, with at least 500 small to medium-sized markets identified that meet our new-market criteria.

"A key reason we decided to accelerate our store expansion program is the success we’ve exhibited with our proprietary system for information, purchasing, distribution and inventory control that took four years and approximately $13 million to develop and implement," noted Marmaduke. "We believe this system, which was completed in 1997, is like no other in entertainment retailing today. It enhances our profit potential and competitive position by enabling Hastings to rapidly and actively respond to changing customer desires, while maintaining control of costs."

Hastings superstores offer customers an extensive product assortment, customized for the entertainment preferences of each individual market, of approximately 44,000 book titles, 27,000 music selections, 1,500 software titles, 2,000 periodicals, 6,000 videotape titles, and 1,500 complementary and accessory items, as well as another 15,000 videotape and video game selections for rent. In addition, the company has introduced the DVD format (digital video disc), initially stocking up to 350 titles for sale and 250 titles for rent.

"We are deeply committed to our corporate mission of satisfying our guests’ desires for personal entertainment and information through total customer satisfaction. That concern is reflected in every store we open, regardless of the size of the community," added Marmaduke. "We have designed our stores to be fun and informative gathering places for our 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."

Celebrating its 30th year in entertainment retailing, Hastings is a leading multimedia entertainment retailer that combines the sale of books, music, software, periodicals and videotapes with the rental of videotapes and video games in a superstore format. The company currently operates 126 superstores, averaging 21,200 square feet, primarily in small to medium-sized markets in the Midwestern and Western United States. The company also operates www.hastingsentertainment.com, a leading multimedia entertainment e-commerce Internet Web site that offers a vast and expanding selection of books, music, software, videotapes and games to the electronic global marketplace. General financial information about Hastings is available to investors and customers via the Internet at this site.