Coinstar Announces Nationwide Agreement with Kroger to Expand Availability of Redbox DVD Rental Kiosks.

BELLEVUE, Wash. -- Coinstar, Inc. (NASDAQ:CSTR) today announced an agreement with The Kroger Co. to expand the presence of its redbox fully automated DVD rental kiosks at stores the company operates nationwide. Redbox DVD kiosks are currently available at more than 200 Kroger locations, and more than 2,600 Kroger-operated supermarkets and convenience stores will feature the popular redbox DVD kiosks within the next year.

"Kroger has been a valued customer of Coinstar for a number of years, and we're very pleased to expand our relationship with this industry leader beyond our self-service coin counting kiosks to now include redbox DVD kiosks," said Gregg Kaplan, president and chief operating officer of Coinstar, Inc. "Our products are designed to deliver convenience and value to the consumer while increasing foot traffic for our retailers, and we look forward to partnering with Kroger to serve their customers."

"This partnership with Coinstar will give our customers across the country access to new release DVDs for $1 a night," said Paul Scutt, senior vice president of Retail Operations for Kroger. "Our shoppers tell us that the redbox kiosks are an easy, convenient and affordable way to watch popular new movies at home with their families."

The rollout of more than 2,600 redbox DVD kiosks at Kroger and Kroger-operated banner supermarkets and convenience stores nationwide will be completed in 2010.

About Redbox

Redbox Automated Retail, LLC, a wholly-owned subsidiary of Coinstar, Inc., offers new release DVD rentals for $1 per night through its network of conveniently located, self-service kiosks. Redbox is available at more than 15,000 locations nationwide, including select McDonald's restaurants, leading grocery and convenience stores, and Wal-Mart and Walgreens locations in select markets. For more information, visit www.redbox.com.

About Coinstar, Inc.

Coinstar, Inc. (NASDAQ: CSTR) is a multi-national company offering a range of 4th Wall[R] solutions for the retailers' front of store consisting of self-service coin counting, DVD rental, money transfer, electronic payment solutions, and entertainment services. The Company's products and services can be found at more than 90,000 points of presence including supermarkets, drug stores, mass merchants, financial institutions, convenience stores, restaurants and money transfer agent locations. For more information, visit www.coinstar.com.

About The Kroger Co.

Kroger, one of the nation's largest retail grocery chains, employs more than 326,000 associates who serve customers in 2,475 supermarkets and multi-department stores in 31 states. Kroger operates stores under two dozen local banner names including, Kroger, Ralphs, Fred Meyer, Food 4 Less, Fry's, King Soopers, Smith's, Dillons, QFC and City Market. In addition, Kroger associates serve customers in 764 convenience stores, 387 fine jewelry stores and 798 supermarket fuel centers the Company operates. Kroger also operates 40 food processing plants in the U.S. Headquartered in Cincinnati, Ohio. Kroger focuses its charitable efforts on supporting hunger relief, health and wellness initiatives, and local schools and grassroots organizations in the communities it serves. For more information about the Company, please visit www.kroger.com.

Certain statements in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including phrases conveying expectation or intent and other expressions identifying future performance. Forward-looking statements are not guarantees of future performance which may vary materially from performance expressed or implied in the forward-looking statements. Differences may result from actions taken by Coinstar, Inc., as well as those of third parties and from risks and uncertainties beyond our control. Such risks and uncertainties include, but are not limited to, changes in the number and timing of anticipated installations and the termination, non-renewal or renegotiation on materially adverse terms of contract terms with our significant retailers. The foregoing risks and uncertainties are illustrative, but by no means exhaustive. For more information on factors that may affect future performance, please review "Risk Factors" described in our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission as updated in any subsequent Quarterly Reports on Form 10-Q. These forward-looking statements reflect Coinstar, Inc.'s expectations as of the date of this release. Coinstar, Inc. undertakes no obligation to update the information provided herein.