CARMAX LAUNCHES DRAMATICALLY EXPANDED ONLINE VEHICLE SEARCH CAPABILITIES ON CARMAX.COM

RICHMOND, Virginia · December 10, 2007 /PRNewswire/ — CarMax, Inc. (NYSE: KMX), the nation's largest retailer of used cars, announced the launch of a new and innovative approach to the way consumers conduct vehicle searches on carmax.com. CarMax is one of the first major automotive retailers to offer this type of expanded online search function, providing consumers with greater flexibility and the ability to customize their online car shopping experience.

"We developed the new vehicle search based in part on research, including honest consumer feedback. This unique web tool will allow car shoppers to search for specific vehicle options that match their lifestyle," said Tom Folliard, president and chief executive officer for CarMax. "We're excited to be able to offer our customers the innovative search tools they told us they want."

The new vehicle search enables consumers to search based on a wide array of criteria including price, mileage, type, popular features and other options, without having to first select a make and model. This is a significant change from most existing vehicle search websites.

"A car shopper on carmax.com may be looking for a vehicle offering a third-row seat but doesn't know which makes and models offer them. The new vehicle search function will allow the shopper to find all of the vehicles in our inventory that offer that option," said Folliard.

Another unique benefit to the new search is that online car shoppers can now combine the options they want. Consumers on carmax.com can type in criteria, such as "convertible," and "navigation system," and all of the convertibles in the company's inventory that include a navigation system will be displayed.

Finding the car, van or truck in the CarMax inventory is as easy as following these steps:

Visit carmax.com
Begin your user-friendly search by selecting any of the following:
- Vehicle type, such as: 4WD/AWD, convertibles or hybrids
- Popular features, such as: leather seats, navigation system or seat heater
- Price or mileage, such as: under $20,000 or under 40,000 miles
- Make, such as: Chevrolet, Jeep or Toyota
- Typing in criteria in the open search field, such as: "DVD and navigation system," "BMW with sunroof," or "red convertible"

Online shoppers can use the carmax.com website to conduct a vehicle search of the company's inventory of more than 25,000 used and new cars. The website showcases each vehicle with multiple photos, the no-haggle price, and information on features, options, fuel economy, customer reviews and a free vehicle history report from AutoCheck. In fiscal year 2007, carmax.com averaged more than four million visits per month. Additionally, approximately 70 percent of in-store customers visited the website before coming to the store.

CarMax offers consumers a no-hassle, no-haggle car-buying experience and a broad selection of high-quality used vehicles. CarMax guarantees a clean title, accurate odometer readings and the quality of the cars sold. CarMax does not sell flood or frame-damaged vehicles. All vehicles are thoroughly inspected and reconditioned, and CarMax offers a five-day, money-back guarantee and a limited 30-day warranty (60-day in Connecticut).

About CarMax

CarMax, a Fortune 500 company and one of the Fortune 2007 "100 Best Companies to Work For," is the nation's largest retailer of used cars. Headquartered in Richmond, Va., CarMax currently operates 86 used car superstores in 39 markets. The CarMax consumer offer is structured around four customer benefits: low, no-haggle prices; a broad selection; high quality vehicles; and customer-friendly service. During the twelve months ended February 28, 2007, we retailed 337,021 used vehicles and sold 208,959 wholesale vehicles at its in-store auctions. For more information, access the CarMax website at www.carmax.com.