Borders Group and CARE Join Forces to Fight Global Poverty; ``Reading

    Business Editors

    ANN ARBOR, Mich.--(BUSINESS WIRE)--May 3, 2005--Borders Group, Inc. today announced that sales of exclusive "Reading is Magic" wristbands to benefit the international poverty-fighting organization CARE have surpassed 300,000 units, equating to over half a million dollars donated to CARE.
    Borders began selling the wristbands on March 25, 2005, in all U.S. Borders Books and Music superstores, Waldenbooks and Borders Express locations. All net proceeds from sales of the $2.00 wristbands ($1.60 per wristband) go to CARE to fund its efforts in 70 of the world's poorest countries, helping communities create long-term quality of life solutions through education, nutrition, and economic growth.
    "On a local level, each Borders and Waldenbooks store is part of its community, lending a helping hand to local charities through various fundraising initiatives," said Borders Senior Vice President, Marketing Michael Tam. "Now we are reaching out to the global community through our relationship with CARE, translating our employees' and our customers' passion for knowledge into hope for millions of people around the world."
    "To end global poverty, and its effect on women and girls particularly, we must start by understanding it," said CARE President and Chief Executive Officer Peter Bell. "The needs and rights of people in extreme poverty require us to take notice, become informed and empowered to make a difference in their struggle for a better life. Organizations like CARE and the communities with which we work can only hope that more businesses like Borders will venture into similar partnerships. Spreading knowledge and gaining momentum for the fight against global poverty is a wonderful investment in our shared future."
    Borders and Waldenbooks stores will sell the wristbands throughout the summer (or while supplies last) in an effort to continue raise awareness about global poverty and raise money for CARE.

    About Borders Group

    Borders Group, Inc. (NYSE:BGP) is a leading global retailer of books, music and movies with annual revenues of $3.9 billion. Headquartered in Ann Arbor, Mich., the company employs approximately 32,000 people worldwide. Borders Group operates more than 460 Borders superstores and approximately 650 Waldenbooks stores throughout the U.S. In addition, the company operates 46 Borders superstores outside the U.S., as well as 35 Books etc. stores located throughout Great Britain. Borders Group has also acquired Paperchase Products Limited, a leading stationery retailer based in London, England with more than 70 locations in the U.K. Teamed with Amazon.com, online shopping is available through Borders.com (www.borders.com) and Waldenbooks.com (www.waldenbooks.com). More detailed information on the company is available at www.bordersgroupinc.com. Information regarding Borders store locations, in-store events and title reservation is available through www.bordersstores.com.

    About CARE

    CARE is a leading humanitarian organization fighting root causes of poverty. CARE helps the world's poorest communities get the tools, knowledge and other resources they need to change their lives for good. For more information, please visit www.careusa.org.

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CONTACT: Borders Group, Inc. Beth Bingham, 734-477-4457 bbingham@bordersgroupinc.com or CARE Allen Clinton, 404-979-9206 clinton@care.org

KEYWORD: MICHIGAN INDUSTRY KEYWORD: CONSUMER/HOUSEHOLD RETAIL SOURCE: Borders Group, Inc.

Copyright Business Wire 2005