|Americans Generate 'Found Money' While Recycling Idle Coin - Coins Processed Via Coinstar Surpass U.S. Mint Production -|
BELLEVUE, Wash., July 16 /PRNewswire-FirstCall/ -- Coinstar Inc. (Nasdaq: CSTR) today announced that its network of more than 10,000 machines in the U.S. recycled a total of 33.2 billion coins -- representing $1.7 billion -- back into the economy in 2002. The milestone represents a 13 percent increase in coins recycled and a 17 percent increase in the value of coins recycled by the company over the previous year; this out-paces the U.S. Mint's production of new coin for the second consecutive year. In 2002 14.4 billion new coins were produced by the U.S. Mint, a drop from 19.4 billion new coins in 2001.
Despite the increases in coin recycling by Americans, Coinstar believes the amount of coin being recycled has not had a measurable impact in retrieving the $10.5 billion in coin that is estimated to be sitting idle in American homes. On average, that represents approximately $99 per U.S. household.
"While there is a significant amount of idle change across America, we believe we are changing consumer behaviors and making a positive impact in coin production and recycling in two ways," said Rich Stillman president of Coinstar Inc. "First, as more Americans dust off their spare change and cash it in, they are increasing their spending power, and secondly, as more 'out-of-circulation' change is returned to local economies, certain public and private sectors can save money by having to produce and purchase less coin."
Based on anticipated coin-recycling patterns and the U.S. Mint's planned production schedule for 2003, Coinstar is on track to once again recycle more coin than the U.S. Mint will produce this year.
Coinstar continues to expand its network, and plans to install Coinstar(R) machines in a total of 1,000 new locations this year. In addition, the company expects to bring three million new users to Coinstar in 2003, and historically, nearly 80 percent of users return to convert their change on a regular basis.
"Coinstar solves an everyday problem for consumers by providing a service that makes it easy to convert loose change into spendable cash," added Stillman. "The success we have had in this industry is self-evident by how we have contributed to all sectors of society, including helping to re-circulate coin back into the economy."
About Coinstar Inc.
Coinstar Inc. (www.coinstar.com) owns and operates the only network of supermarket-based machines that offer coin counting and other electronic consumer services. The company has more than 10,000 machines linked by a sophisticated interactive network throughout the United States, as well as in Canada and the United Kingdom.
This press release contains forward-looking statements relating to Coinstar Inc.'s future growth, expansion and customers that involve a number of risks and uncertainties. These are forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. The words "believe," "expect," "intend," "anticipate," variations of such words, and similar expressions identify forward-looking statements, but their absence does not mean that the statement is not forward-looking. Actual results may vary significantly from the results expressed or implied in such statements. Factors that could cause or contribute to such varying results include, but are not limited to, the ability to bring new and repeat customers to Coinstar machines, the ability to obtain new agreements with potential retail partners for the installation of Coinstar units and the retention of the current agreements with our existing retail partners on terms that are not materially adverse to the company, the ability to attract customers currently using Coinstar machines at Safeway markets to other locations, the successful deployment and operation of our coin processing network, additional potential competitors, legal or governmental regulatory action and uncertainties relating to the ultimate success of new business initiatives, including but not limited to the ability to attract customers and reach agreements with retail and other partners. These and other risks are more fully described under the caption "Risk Factors" included in the most recent reports filed with the Securities and Exchange Commission by Coinstar Inc. These forward-looking statements reflect Coinstar Inc.'s expectations as of July 16, 2003. Coinstar Inc. undertakes no duty or obligation to update the information provided herein.
Coinstar is a registered trademark of Coinstar Inc.
SOURCE Coinstar Inc. -0- 07/16/2003 /CONTACT: Marci Maule-Kenny, Coinstar Inc., +1-425-943-8277, email@example.com; Jessica Taylor, firstname.lastname@example.org, Cristina Sorondo, both of M. Silver Associates Inc., +1-305-533-1111, for Coinstar Inc./ /Web site: http://www.coinstar.com / (CSTR) CO: Coinstar Inc. ST: Washington IN: FIN SUP SU: MT -- NYW087 -- 4488 07/16/2003 10:05 EDT http://www.prnewswire.com