(1)

-- An additional 31% of shoppers will finish their gift buying two weeks
before the holiday.

Borders(R) Launches Free Customer Loyalty Program

Members earn
rewards every time they shop, enjoy exclusive savings every week, and earn
Personal Shopping Days(TM) every month.S.com to
manage their accounts and receive even more rewards, including a free welcome
gift.
More detailed information on the company is available at
http://www.

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(1)

-- Consumers and businesses will spend $133 billion on catalog purchases
in 2005, an increase from $126 billion last year. Headquartered in Ann
Arbor, Mich.

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NEW YORK, According to the Direct Marketing
Association (DMA), Americans plan to spend $299 billion on holiday gifts this
year.(1)

-- Men are more likely to procrastinate , with 51% finishing their
shopping the final week compared to 41% of women. "US Direct Marketing Today: Economic
Impact 2005"
(3) Direct Marketing Association.bordersstores.

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In
addition, each month that members spend $50 or more at any Borders, Borders
Express, Borders Outlet , Borders airport, or Waldenbooks store in the U. "Borders Rewards is easy to join, easy to use,
and membership is free -- all the things our customers told us they wanted.

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(1)

-- Seventy-two percent of women shop from the home or office, compared
to 66% of men.(1)

-- Ninety-seven percent of Americans plan to shop for holiday gifts in
2005. today launched
Borders Rewards, a new loyalty program designed to reward customers who shop
at the more than 1,000 Borders, Borders Express, Borders Outlet, Borders
airport, and Waldenbooks stores throughout the U. Borders Rewards will also give members exclusive
promotional offers and discounts every week through email and in-store.

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stores located throughout Great Britain. Borders
Group has also acquired Paperchase Products Limited, a leading stationery
retailer based in London, England with more than 80 locations in the U.

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After enrolling in the program,
members can register their cards online at http://www.

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(1)

Why do they shop from home or office?

-- Sixty-three percent of shoppers cite convenience as the reason they
shop via catalogs, the Internet, mail, or phone .bordersrewards.

About Borders Group
Borders Group, Inc.

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Other popular gifts include Food ($195),
Electronics/Computers ($187), General Gifts ($172), Toys + Games
($149), Home Decor or Furniture ($124), Books/Music/Videos ($101),
Sporting Goods ($63), Tickets for Sports/Entertainment ($60), Pet
Supplies ($47), Flowers ($35), and Gardening Supplies ($30).S. Information regarding Borders store
locations, in-store events and title reservation is available through
http://www.

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(1) With the holiday shopping season underway, Americans are flocking to
catalogs, the Web, and stores to find items on their holiday gift lists. DMA
provides the following statistics about how much people are spending, what
they are buying, and how they will do their shopping this season.
Who is buying?

-- More than two-thirds of Americans - 70% - shop from home, buying from
catalogs, over the Internet, over the phone, or through the mail.(3)

For additional information about holiday shopping, and more than 300 links
to catalog and online retailers, visit The DMA's consumer Web site,
http://www.
(Logo: http: //www."
To join the program, customers can pick up a free Borders Rewards card at
any store and enroll in the program at the point of purchase by simply
providing the cashier a valid email address. In
addition, the company operates over 50 Borders superstores outside the U.

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org.com
(http://www.

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"We listened to what our customers told us
they wanted from a loyalty program, and we designed something that responds to
their needs," he continued., the company employs approximately 34,000 people worldwide.

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S.

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(1)

How much will they spend?

-- American adults plan to spend a total of $299 billion on holiday
gifts in 2005 - an average of $1,373 per person .(2)

-- The average catalog shopper spent $142 per order in 2004, and
purchased an average of four items per order.

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Fun Facts for Holiday Shopping From the Direct Marketing Association

(1)

-- Americans plan to spend an average of $211 on Apparel gifts this
holiday season.(4)

-- Books/Music/Videos are the most popular online purchases, with 55% of
online shoppers buying these items on the Web.newscom.
"The Borders Rewards program provides us with an exceptional opportunity
to reward our best customers in attractive ways," said Vin Altruda , president
Borders Group U.
Borders Group, through its subsidiaries, operates more than 475 Borders
superstores and approximately 600 Waldenbooks stores throughout the U.com ).com .

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(2)

What do they buy?

-- Nearly two-thirds of catalog shoppers - 65% - buy apparel from
catalogs.(4)

When do they shop?

-- Twenty percent of shoppers plan to buy all of their holiday gifts
before Thanksgiving. Forty-six percent wait until the final week to
complete their shopping, with 23% finishing the day before the
holiday.

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Borders Rewards(TM) makes reading even more rewarding

ANN ARBOR, Mich.com .

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Other reasons for
shopping from home or office include variety (36 percent), to save
money (34 percent), and customer service (20 percent).shopthenet. Membership in Borders
Rewards is free, with no enrollment costs or annual fees.com/cgi-bin/prnh/20060208/BORDERSLOGO )
One unique feature of the Borders Rewards program is Holiday Savings
Rewards(TM).,
they earn a Personal Shopping Day(TM) of their choosing that entitles them to
save ten percent on most items, on an entire day of shopping at all stores.

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Other popular items
purchased on the Web: Apparel (48%) , Travel Services/Airline Tickets
(47%), Gifts (44%), Electronics/Computers (43%), Tickets /Sports +
Entertainment (33%), Toys + Games (31%), Home Decor or Furniture
(21 %), Sporting Goods (19%), Flowers (16%), Pet Supplies (10%), Food
(7%), and Gardening Supplies (6%). "The DMA 2005 Multichannel Marketing
Report"
(4) Opinion Research Corporation survey for the Direct Marketing
Association, October 6-8, 2005





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,
as well as 33 Books etc.

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(NYSE: BGP) is a leading global retailer of books,
music and movies with 2004 revenues of $3.

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Other popular catalog purchases include Gifts (40%),
Books/Music/Videos (37%), Home Decor or Furniture (26%), Toys + Games
(24%), Electronics (23%), Sporting Goods (21%), Gardening Supplies
(14%), Food (12%), Flowers (12%), and Pet Supplies (11%).

(1) Opinion Research Corporation survey for the Direct Marketing
Association, September 15-17, 2005
(2) Direct Marketing Association.com, online shopping is available through Borders .bordersgroupinc.

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operations.S.waldenbooks.

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, Borders, Inc.S.9 billion.K.

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(1)

-- Men plan to spend $1,515 on gifts, while women plan to spend
$1,240.(3)

-- The Web will generate nearly $284 billion in sales of all products
and services in 2005, up from $243 billion in 2004. Five percent of all qualifying purchases made by members
throughout the year go into a personal Holiday Savings account, which can be
used on purchases made from November 15 through just in time for
holiday shopping.
Teamed with Amazon.

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