Net sales for the 13-week period increased 8.1% to $161.1 million from sales of $149.0 million in the year-earlier period. Comparable store sales for the quarter increased 4.1% when compared with the 13-week period for the prior year. Net income for the quarter was $11.2 million, or $0.66 per diluted share, compared with net income of $9.2 million, or $0.54 per diluted share, in the year-earlier period.

For the fiscal year ended January 28, 2006, net sales increased 6.3% to $503.8 million from sales of $474.1 million in the prior year. Comparable store sales increased 3.3% when compared with fiscal 2005. For the fiscal year ended January 28, 2006, the Company reported net income of $13.1 million, or $0.77 per diluted share, compared with net income of $10.2 million, or $0.59 per diluted share, for fiscal 2005. The Company’s results for the fiscal year ended January 28, 2006, included $754,000 in gains, net of taxes, from insurance recoveries for three stores that were permanently damaged by hurricanes during fiscal 2005. This gain increased net income for the fiscal year ended January 28, 2006, by approximately $0.04 per fully diluted share.

Commenting on the results, Sandra B. Cochran, President and Chief Executive Officer, said, “We were very pleased with our results for the quarter. Sales were positive across a broad range of categories. Our core book business performed well, as did the gift business and the bargain book category. Children’s books, teen fiction, biography, inspirational books and cooking all contributed to the solid results in comparable store sales. Bestsellers for the season included James Frey’s Million Little Pieces, Nicholas Spark’s At First Sight, titles related to The Chronicles Of Narnia and new books from James Patterson, Jimmy Carter, Patricia Cornwell and Paula Deen. The café business is increasingly competitive, and this trend has adversely impacted sales in the hot drink category. Our balance sheet remains strong and reflects continued attention to inventory management and debt reduction.”

The Board of Directors has declared an increase in the Company's quarterly cash dividend, up 60% to $0.08 per common share. The dividend will be paid on April 12, 2006, to shareholders of record at the close of business on March 29, 2006.

The Company has reviewed its policy regarding future earnings guidance and has determined that it will no longer provide quarterly or annual earnings per share guidance. The Company believes this change will serve the interest of its shareholders as management focuses on the achievement of long-term objectives.

Books-A-Million is one of the nation’s leading book retailers and sells on the internet at www.booksamillion.com. The Company presently operates 205 stores in 19 states and the District of Columbia. The Company operates large superstores under the names Books-A-million and Books & Co. and traditional bookstores operating under the name Bookland.

                         BOOKS-A-MILLION, INC.
              Unaudited Consolidated Statements of Income
                (In thousands, except per share data)

                            13 Weeks Ended         52 Weeks Ended  
                        ---------------------   ---------------------
                         Jan. 28,    Jan. 29,    Jan. 28,    Jan. 29,
                           2006        2005        2006        2005   
                        ---------   ---------   ---------   ---------
NET SALES               $ 161,093   $ 148,991   $ 503,751   $ 474,099
 Cost of sales
  (including warehouse,
  distribution and 
  store occupancy 
  costs)                  108,290     102,844     357,166     339,012
                        ---------   ---------   ---------   ---------
GROSS PROFIT               52,803      46,147     146,585     135,087
 Operating, selling and
  administrative
  expenses                 30,309      26,834     109,160      99,207
 Gain on insurance
  recoveries                 --          --        (1,248)       --
 Depreciation and
  amortization              3,725       4,460      15,636      17,788
                        ---------   ---------   ---------   ---------
OPERATING INCOME           18,769      14,853      23,037      18,092
 Interest expense, net        262         366       1,441       1,874
                        ---------   ---------   ---------   ---------
INCOME FROM CONTINUING
 OPERATIONS BEFORE
 INCOME TAXES              18,507      14,487      21,596      16,218
  Income tax provision      7,362       5,360       8,545       6,001
                        ---------   ---------   ---------   ---------
INCOME FROM CONTINUING
 OPERATIONS                11,145       9,127      13,051      10,217
DISCONTINUED OPERATIONS:
 Income (loss) from
  discontinued operations 
  (including loss on 
  disposal)                    57          43          27         (29)
 Income tax provision
  (benefit)                    23          16          11         (11)
                        ---------   ---------   ---------   ---------
INCOME (LOSS) FROM
 DISCONTINUED 
 OPERATIONS                    34          27          16         (18)
                        ---------   ---------   ---------   ---------
NET INCOME              $  11,179   $   9,154   $  13,067   $  10,199
                        =========   =========   =========   =========

NET INCOME PER COMMON SHARE:
Basic:
 Income from 
  continuing
  operations            $    0.68   $    0.56   $    0.80   $    0.62
 Loss from 
  discontinued
  operations                 --          --          --          --
                        ---------   ---------   ---------   ---------
 Net income             $    0.68   $    0.56   $    0.80   $    0.62
                        =========   =========   =========   =========
Diluted:
 Income from 
  continuing
  operations            $    0.66   $    0.54   $    0.77   $    0.59
 Loss from 
  discontinued
  operations                 --          --          --          --
                        ---------   ---------   ---------   ---------
 Net income             $    0.66   $    0.54   $    0.77   $    0.59
                        =========   =========   =========   =========
Weighted average
 shares outstanding:
  Basic                    16,547      16,290      16,384      16,453
                        =========   =========   =========   =========
  Diluted                  17,061      17,029      16,964      17,178
                        =========   =========   =========   =========

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995:

This document contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve a number of risks and uncertainties. A number of factors could cause actual results, performance, achievements of the Company, or industry results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. These factors include, but are not limited to, the competitive environment in the book retail industry in general and in the Company's specific market area; inflation; economic conditions in general and in the Company's specific market areas; the number of store openings and closings; the profitability of certain product lines, capital expenditures and future liquidity; liability and other claims asserted against the Company; certainties related to the Internet and the Company's Internet initiative. In addition, such forward-looking statements are necessarily dependent upon assumptions, estimates and dates that may be incorrect or imprecise and involve known and unknown risks, uncertainties and other factors. Accordingly, any forward-looking statements included herein do not purport to be predictions of future events or circumstances and may not be realized. Given these uncertainties, shareholders and prospective investors are cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any obligations to update any such factors or to publicly announce the results of any revisions to any of the forward-looking statements contained herein to reflect future events or developments.