To:    All CCS and FNANB Notes Users

  Subject:        From Alan McCollough

To All Circuit City Associates:

This morning,  we  announced,  as planned,  earnings for the fourth  quarter and
fiscal year ended  February 29, 2004.  We also  announced  two  additional  news
items, which, I hope you will agree,  represent exciting new initiatives that we
are taking to revitalize the performance of our company.  First, we have entered
into a definitive  agreement  with InterTAN,  Inc.,  under which we will acquire
InterTAN,  a leading consumer  electronics  retailer of both  private-label  and
internationally branded products with headquarters in Barrie, Ontario, in a cash
tender offer for $14 per InterTAN common share, or  approximately  $284 million.
Second,  we have  entered  into an agreement to purchase the assets of MusicNow,
Inc. I would like to briefly review each of these announcements.

Fourth Quarter and Fiscal Year 2004 Earnings.
Total sales for our fourth quarter ended February 29, 2004,  increased 2 percent
to $3.25  billion from $3.19 billion for the fourth  quarter ended  February 28,
2003. Comparable store merchandise sales increased 1 percent. The fourth quarter
net earnings from continuing  operations totaled $94.7 million,  or 46 cents per
share, for fiscal 2004,  compared with $66.5 million, or 32 cents per share, for
fiscal 2003.

For the fiscal year ended February 29, 2004,  total sales decreased 2 percent to
$9.75 billion from $9.95 billion for fiscal 2003.  Comparable store  merchandise
sales  decreased  3 percent.  The net loss from  continuing  operations  totaled
$787,000,  or 0 cents  per  share,  compared  with a net  loss  from  continuing
operations  of $5.3  million,  or 3 cents per share,  for the fiscal  year ended
February 28, 2003.

Although  these  results are still not where we need to be, I want to thank each
of you for helping us make the progress we have. The fourth quarter results,  in
particular,  reflect  significant  expense  reductions  that you have  helped us
achieve.  I appreciate  your  diligence in these efforts and your  understanding
that in the competitive  industry in which we operate, we can turn a profit only
if  we  pay  close  attention  to  expense  management.   Our  store  Associates
implemented a number of  significant  changes in our operating  model during the
past year.  In the current  year,  we are  committed to slowing down the pace of
operational change and focusing more on execution and the consistent delivery of
outstanding service to our customers.

InterTAN, Inc.
InterTAN operates more than 980 retail stores and dealer outlets in Canada under
the trade names RadioShack(r), Rogers Plus(r) and Battery Plus(r). InterTAN uses
the  trade  name   RadioShack(r)   in  Canada  under  license  from   RadioShack
Corporation. RadioShack spun off and divested its ownership interest in InterTAN
in 1987.

Through  this  acquisition,  we  expect  to bring to our  Circuit  City  team an
organization that has proven strengths in the private-label business. We believe
that,  when partnered with our own direct import  organization,  the acquisition
will enable us to more rapidly expand our  private-label  merchandise  selection
and effectively  showcase this merchandise in our Circuit City  Superstores.  In
addition,  we will gain a Canadian  operation with a successful  Canadian retail
format, marking our first move into the Canadian market.

We  believe  that  InterTAN  will be a  strong  financial  contributor  as well.
InterTAN generates annual revenues of approximately $400 million,  gross margins
of  approximately  40 percent  and a net  operating  margin of  approximately  5
percent.  The  company's  full  merchandise  assortment  includes  a variety  of
accessories and electronic gadgets.

Under the terms of the agreement, we will commence a tender offer to acquire all
outstanding   shares  of  InterTAN  common  stock.  The  tender  offer  will  be
conditioned upon at least a majority of the fully diluted shares being tendered.
If  successful,  the  tender  offer  will be  followed  by a merger in which the
holders  of the  remaining  outstanding  shares of  InterTAN  common  stock will
receive $14 per share in cash. The transaction,  which has been approved by each
company's board of directors,  is contingent upon customary closing  conditions,
including regulatory and other standard approvals.

Upon  conclusion  of the tender offer,  expected in the second  quarter of 2004,
InterTAN  will become a subsidiary of Circuit City,  but its  headquarters  will
remain in Barrie. Brian Levy, president and chief executive officer of InterTAN,
will report to me. We have a great deal of respect for InterTAN's management and
Associates,  and  we do not  expect  to  make  any  changes  in  their  Canadian
operations.


MusicNow, Inc.
MusicNow  offers  consumers an online  digital music store and service with more
than 40 channels of original musical programming and content from all five major
music labels and two  independent  labels.  Customers  may  purchase  tracks and
albums  a la  carte or  subscribe  to  MusicNow's  subscription  service,  which
provides  unlimited  access to the MusicNow  library for a monthly  subscription
fee. MusicNow is primarily marketed through distribution partners, including SBC
Yahoo DSL, Charter Communications and Microsoft.

We believe  that  MusicNow  can add another  dimension  to our already  strongly
growing  Web   business.   We  plan  to  integrate   MusicNow's   platform  into
circuitcity.com and into our Superstores nationwide. We also anticipate that our
relationship with MusicNow will enable them to continue  expanding their content
offering to consumers as well as develop additional  private-label or co-branded
download subscription sites with other companies.

The financial terms of our deal with MusicNow have not been publicly  disclosed,
but we do not expect them to be financially material to Circuit City. Fiona Dias
will  manage the  MusicNow  relationship  for  Circuit  City,  and the  MusicNow
management will report directly to her.

We are revitalizing Circuit City. We are doing it with new formats. We are doing
it with new  locations.  We are  doing it  through  your  efforts  to serve  our
internal and external  customers,  while also reducing  expenses to  appropriate
levels.  These two acquisitions will help us do it through more new products and
services for our customers.

Additional Information
This announcement is neither an offer to purchase nor a solicitation of an offer
to sell securities of InterTAN. At the time the offer is commenced, Circuit City
will  file a  tender  offer  statement  with the U.S.  Securities  and  Exchange
Commission and InterTAN will file a  solicitation/recommendation  statement with
respect to the offer.  Investors and InterTAN  stockholders are strongly advised
to read the tender offer  statement  (including an offer to purchase,  letter of
transmittal     and    related    tender     documents)    and    the    related
solicitation/recommendation   statement  because  they  will  contain  important
information. These documents will be made available to all InterTAN stockholders
at no expense to them and, when  available,  may be obtained at no charge at the
SEC's Web site at www.sec.gov.