New York (July 27, 2007)--Guitar Center has agreed to be acquired for
$1.9 billion by Bain Capital Partners, LLC, a global private
investment firm. The total transaction value, including assumed debt,
is approximately $2.1 billion. Under the agreement, stockholders will
receive $63.00 per share of Guitar Center stock--a 26 percent premium
over the $50.06 that the retailer's shares closed at yesterday on
June 26, 2007. In early trading following the announcement, the stock
shot up to over $60 a share on the NASDAQ.


Guitar Center is comprised of more than 210 U.S. stores. Revenue last
year was $2.03 billion, more than six times what it was earning
annually when the company went public in 1997; at that point, the
stock debuted at $15 a share.


Marty Albertson, Chairman and Chief Executive Officer of Guitar
Center, stated, "We believe this transaction delivers outstanding
value for our stockholders, and is a strong validation of the
Company's accomplishments over the years as well as our future growth
prospects. Following a comprehensive review process, our Board of
Directors concluded this transaction is in the best interests of our
Company and our stockholders and it has the full support of the
management team. Bain Capital has a successful track record and
significant investment experience in the retail industry and we look
forward to partnering with them going forward. We are committed to
maintaining our vendor relationships and ensuring our customers will
continue to experience the same quality and selection of musical
instrument products as well as the high level of service and
professional advice through our stores and our websites."

"As the leading retailer of musical instruments in the U.S., Guitar
Center enjoys great brand recognition among musicians nationwide, a
loyal customer base, and a track record of significant growth," said
Jordan Hitch, a Managing Director at Bain Capital. "We look forward
to working with the Company's experienced and capable management team
to continue to build the business."

This isn't the first major acquisition for Bain; the organization has
been previously purchased Toys R Us, Burlington Coat Factory and
Michael's. The transaction is expected to close in the fourth quarter
of 2007 and is subject to customary closing conditions, including the
approval of Guitar Center's stockholders.

Guitar Center
www.guitarcenter.com