Coinstar Adds Borders and Waldenbooks to Coin To Card Program; Consumers Can Now Turn Their Loose Change into a Borders or Waldenbooks Gift Card and Pay No Coin Counting Fee.

BELLEVUE, Wash. -- Coinstar, Inc. (Nasdaq:CSTR), the leader in self-service coin counting, today announced the addition of Borders Books & Music(R) and Waldenbooks(R) stores to its selection of gift cards in the Coin to Card(TM) program. Launched earlier this year, the program allows consumers to convert loose change into gift cards from national retailers and pay no coin counting fee at thousands of Coinstar Centers across the United States.

The Coin to Card program is available at more than 4,500 select Coinstar Centers located in supermarkets and drug stores. Users take advantage of a no fee coin counting transaction by simply choosing their desired gift card or eCertificate and then depositing their loose, unsorted change or bills into the machine. Once the change is counted, Coinstar converts the full value of their deposit to a gift card or eCertificate. Approximately 2,000 Coinstar Centers will offer Borders and Waldenbooks gift cards by the end of 2005.

"Based on consumer research, we knew that book retailers would be among the most popular categories for our Coin to Card program," said Gretchen Marks, vice president of marketing at Coinstar, Inc. "So we're very pleased to have Borders, one of the leading book retailers in the country, as part of this program. This new offering, combined with the estimated $99 in loose change per U.S. household, should create a strong motivation for people to convert their change at the Coinstar Center."

Gift cards purchased through Coinstar Centers may be used at any of the more than 1,200 Borders, Waldenbooks, Borders Express and Borders Outlet stores nationwide. They may also be used online at Borders teamed with Amazon.com (www.borders.com) and at Waldenbooks teamed with Amazon.com (www.waldenbooks.com).

"We are pleased to be a part of Coinstar's Coin to Card program," said Borders Group Director of Sales Service Support Charlie Moore. "Our gift cards are extremely popular, especially during the holidays when customers are looking for a particularly thoughtful gift. This program gives customers another convenient way to purchase our gift cards."

Borders and Waldenbooks gift cards are currently being added to Coinstar Centers and will be in approximately 20 U.S. regions by the end of the year, including Chicago, Dallas, Los Angeles, San Diego, San Francisco and others.

Other national retailers offering gift cards and eCertificates at Coinstar Centers include Starbucks Coffee Company, Hollywood Video, Pier 1 Imports, Linens 'n Things and Amazon.com. Cards offered vary by location and users can visit www.coinstar.com to find a nearby Coinstar Center offering the program.

An estimated 80 percent of Americans accumulate coin, but only 58 percent of them choose to cash in their coin. The ability to turn this inactive change into a book, latte, DVD rental, or accessories for the home with no coin counting fee, gives consumers a choice and a motivating reason to cash in change.

About Coinstar, Inc.

Coinstar, Inc. (Nasdaq:CSTR) is a multi-national company offering a range of 4th Wall(TM) solutions for the retailers' front of store consisting of self-service coin counting, electronic payment solutions, and entertainment services. The company's products and services can be found at more than 44,000 retail locations including supermarkets, drug stores, mass merchants, convenience stores, and restaurants. American Coin Merchandising Inc., Cell Cards of Illinois, L.L.C., and Coinstar E-payment Services, Inc. are wholly-owned subsidiaries of Coinstar, Inc. For more information, visit www.coinstar.com.