BLOCKBUSTER OPENS 8000TH STORE WORLDWIDE

BLOCKBUSTER OPENS 8000TH STORE WORLDWIDE

8000th Store Located in Sao Paulo, Brazil


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DALLAS, TX & SAO PAULO, BRAZIL–(HISPANIC PR WIRE)–June 24, 2002–Blockbuster Inc., (NYSE: BBI) a leading international provider of home movies and video games, celebrated the official grand opening of its 8000th store in Sao Paulo, Brazil, with franchisee BWU Video S.A.

“The opening of our 8000th store speaks to the strength of the Blockbuster brand, which is about giving people around the world the power to transform an ordinary night into something extraordinary,” said Nigel Travis, president and chief operating officer for Blockbuster, who attended the festivities in Sao Paulo, Brazil. “This event is significant because it symbolizes our tremendous opportunities for continued growth and development as we move beyond our 8000th store.

Blockbuster entered the Brazilian market in 1995 in Sao Paulo and now has 89 stores in seven states, including Distrito Federal, Sao Paulo, Rio de Janeiro, Minas Gerais, Parana, Goias, Santa Catarina and Rio Grande do Sul.

“Renting movies provides Brazilian families with an attractive and economical entertainment proposition,” said Arthur Negri, president of BWU. “Our business continues to grow and in 2002, Blockbuster Brazil intends to open additional stores. We are proud of our ongoing development in the Brazilian market, but it is especially thrilling to know that our country is the site of Blockbuster’s 8000th store.”

Negri also noted that Blockbuster Brazil’s administrative offices have relocated to the same building as the 8000th store in Sao Paulo.

Blockbuster was founded in 1985 in Dallas, Texas, and opened its first international store in 1989 in London. Since then, the company has seen phenomenal international growth and now boasts more than 2,600 store locations in 26 international markets throughout North America, Central America, South America, Europe and Asia. In 2001, Blockbuster’s worldwide revenues surpassed $5 billion, of which 20 percent was generated outside the U.S.

Blockbuster Inc. (NYSE: BBI) is a publicly traded subsidiary of Viacom Inc. (NYSE: VIA, VIA.B) and is the world’s leading renter of videos, DVDs and video games, with more than 8,000 stores throughout the Americas, Europe, Asia and Australia. The company may be accessed internationally at blockbuster.com. Viacom is the No. 1 platform in the world for advertisers, with preeminent positions in broadcast and cable television, radio, outdoor advertising and online.

This news release contains forward-looking statements relating to Blockbuster’s operations, including, without limitation, statements relating to Blockbuster’s growth expectations. These forward-looking statements are based on Blockbuster’s current intent, expectations, estimates, and projections and are not guarantees of future performance. These statements involve risks, uncertainties, assumptions, and other factors that could cause actual results to vary materially from those expressed in or indicated by them. Factors include, among others: consumer demand for newly released DVD and VHS rental product, previously-rented product and other Blockbuster product and service offerings; the impact of competitor pricing and competitive product and service offerings; Blockbuster’s ability to respond to changing consumer preferences and to effectively adjust its product mix and marketing initiatives; and other factors, as set forth under the heading “Cautionary Statements” in Blockbuster’s annual report on Form 10-K for the fiscal year ended December 31, 2001.

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CONTACT:

Liz Greene

Blockbuster Inc.

214-854-3209

BLOCKBUSTER OPENS 8000TH STORE WORLDWIDE