Circuit City Sets Stock Distribution Ratio for CarMax Separation

RICHMOND, Va., Sept. 17, 2002 Circuit City Stores, Inc. today announced that the final ratio for the distribution of CarMax, Inc. shares to Circuit City Group Common Stock holders, scheduled for October 1, 2002, will be 0.314 of a share of CarMax, Inc. common stock for each outstanding share of Circuit City Group Common Stock.

As previously announced, in connection with the separation of the CarMax Group from Circuit City Stores, Inc. each holder of record of Circuit City Group Common Stock on September 16, 2002, will receive the distribution of CarMax, Inc. common stock on October 1, 2002. Concurrent with the distribution, each share of CarMax Group Common Stock will be redeemed in exchange for one share of new CarMax, Inc. common stock.

Cash will be paid in lieu of the issuance of any fractional shares of CarMax, Inc. common stock. When the separation is effective, the Circuit City Group Common Stock will be renamed Circuit City common stock and will represent an ownership interest only in the Circuit City business and CarMax, Inc. will be an independent, separately traded public company.

For further information on the redemption and distribution, please see the company's proxy statement/prospectus dated August 7, 2002, or contact the company's information agent Morrow & Co., Inc. at: 445 Park Avenue, 5th Floor, New York, N.Y. 10022; 1-800-607-0088.

Circuit City Stores, Inc. operates 606 Circuit City Superstores and 17 mall-based Circuit City Express stores. Circuit City is a leading national retailer of brand-name consumer electronics, personal computers and entertainment software, operating more locations in more markets than any other consumer electronics specialty retailer. CarMax is the nation's leading specialty retailer of used cars. It operates 40 CarMax retail units in 38 locations, including 36 used-car superstores. CarMax also operates 17 new-car franchises, 15 of which are integrated or co-located with its used-car superstores. For more information, access the company's Web sites at http://www.circuitcity.com and http://www.carmax.com .