Advanced Marketing Services, Inc. Announces Deregistration of Common Stock.

SAN DIEGO -- Advanced Marketing Services, Inc. (Pink Sheets:MKTS), a leading provider of customized merchandising, wholesaling and contract distribution services, today announced that it has filed with the Securities and Exchange Commission (SEC) a Form 15 notice of suspension of its obligations to file periodic and current reports with the SEC and termination of the registration of its common stock under the Securities Exchange Act of 1934. The Company's obligations to file SEC reports that would have been required to be filed after June 14, 2006, terminated immediately upon the filing of the Form 15, and the Company expects that deregistration of its common stock will become effective in ninety days. The Company expects to file all SEC reports that were required to be filed prior to June 14, 2006. The Company previously announced publicly that its common stock was de-listed from the New York Stock Exchange effective June 30, 2005.

The Company anticipates that its common stock will continue to trade through the Pink Sheets(R), where there currently are approximately four market makers, although there can be no assurance that any broker-dealer will continue to make a market in the Company's common stock. The Pink Sheets(R) is a centralized quotation service that collects and publishes real-time market maker quotations primarily through its web site, www.pinksheets.com, which provides stock and bond price quotations and financial and other information about securities traded.

The Company stated that it concluded that the increasing financial costs and commitment of management's time to addressing increasing regulatory requirements cannot be justified at this time. The Company also stated that there is limited coverage of the Company by securities analysts, the Company's common stock is thinly traded and, as a result, the public market does not provide a realistic opportunity to raise additional capital. The Company determined that the benefits of deregistration far outweigh continuing as an SEC reporting company, and include the elimination of the legal, accounting and administrative costs associated with being a publicly-traded SEC reporting company, and the ability of management to devote more time and attention to the Company's business and operations. The Company believes that the legal, accounting and administrative costs that will be saved as the result of deregistration will be substantial.

The Company emphasized that deregistration will not affect its loan agreement with its lender, that it will continue to make financial and business information available to its stockholders on a regular basis, and that it will maintain and continue to strengthen its internal financial controls and procedures.

Finally, the Company stated that it is continuing the work required to enable its independent auditors to complete the Company's fiscal year 2004 audit, and the Company continues to believe that the work is nearing completion.

ABOUT ADVANCED MARKETING SERVICES

Headquartered in San Diego, California, the Company is a leading provider of customized merchandising, wholesaling, distribution and publishing services, currently primarily to the book industry. The Company has operations in the U.S., Mexico, the United Kingdom and Australia and employs approximately 1,400 people worldwide. The Company provides a wide range of value-added services that provide its retailer customers with book buying advice, promotional support and expert supply chain management, to ensure the success of their book programs. The Company's proprietary Vendor Managed Inventory (VMI) software is a unique tool that allows its book specialists to manage efficiently and effectively the book distribution supply chain for the benefit of its membership warehouse club customers. Publishers Group Worldwide (PGW), an alliance of the Company's global contract distribution operations, provides independent publishers with exclusive full service English language sales and distribution services.

Recent public announcements about the Company are available on both the Company's Website, www.advmkt.com, and on Business Wire, www.businesswire.com.

Forward-looking statements in this public announcement are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking statements that involve risks and uncertainties, including the following statements:

--The Company expects that deregistration of its common stock will become effective in ninety days.

--The Company expects to file all SEC reports that were required to be filed prior to June 14, 2006.

--The Company anticipates that its common stock will continue to trade in the Pink Sheets(R).

--The Company will continue to make financial and business information available to its stockholders on a regular basis.

--The Company will continue to strengthen its internal financial controls and procedures

--The Company believes that the fiscal year 2004 audit is nearing completion.

Certain important factors could cause results to differ materially from those anticipated by the forward-looking statements including factors discussed from time to time in reports filed by the Company with the Securities and Exchange Commission.