MOVIE GALLERY ANNOUNCES ANTICIPATED COMPLIANCE WITH
ALL DEBT COVENANTS FOR THE FIRST QUARTER OF 2006

DOTHAN, Ala., April 19, 2006 -- Movie Gallery, Inc. (NASDAQ:
MOVI) today announced that based on preliminary results for the
first quarter of 2006 the Company expects to be in full
compliance with the financial covenants in its senior credit
facility for the reporting period ending April 2, 2006.  The
Company will announce definitive results for the first quarter of
2006 on or before May 12, 2006.

Contrary to an article published on April 18, 2006, Movie Gallery
has not scheduled a call with its bank lenders.

About Movie Gallery
Movie Gallery is the second largest North American video rental
company with approximately 4,800 stores located in all 50 U.S.
states, Canada and Mexico.  Since the Company's initial public
offering in August 1994, Movie Gallery has grown from 97 stores
to its present size through acquisitions and new store openings.
For more information about the Company please visit our website
at:  www.moviegallery.com

Forward-Looking Statements
To take advantage of the "safe harbor" provisions of the Private
Securities Litigation Reform Act of 1995, you are hereby
cautioned that this release contains forward-looking statements,
including forecasts of the Company's compliance with the
financial covenants contained in its senior credit facility, that
are based upon the Company's current intent, estimates,
expectations and projections and involve a number of risks and
uncertainties.  Various factors exist which may cause results to
differ from these expectations.  These risks and uncertainties
include, but are not limited to, the risk factors that are
discussed from time to time in the Company's SEC reports,
including, but not limited to, the annual report on Form 10-K for
the fiscal year ended January 1, 2006.  In addition to the
potential effect of these ongoing factors, the Company's
operations and financial performance may be adversely effected
if, among other factors; (i) same-store revenues are less than
projected; (ii) the Company is unable to comply with the revised
financial covenants contained in its senior credit facility;
(iii) the Company's real estate subleasing program and other
initiatives fail to generate anticipated cost reductions; (iv)
the availability of new movie releases priced for sale negatively
impacts the consumers' desire to rent movies; (v) unforeseen
issues with the continued integration of the Hollywood
Entertainment business; (vi) the Company's actual expenses or
liquidity requirements differ from estimates and expectations;
(vii) consumer demand for movies and games is less than expected;
(viii) the availability of movies and games is less than
expected; or (ix) competitive pressures are greater than
anticipated.  The Company undertakes no obligation to update any
forward-looking statements, whether as a result of new
information, future events, or otherwise.

Contacts
Financial: Thomas D. Johnson, Jr., Movie Gallery, Inc., +1-503-
570-1950
Media: Andrew B. Siegel of Joele Frank, Wilkinson Brimmer
Katcher, +1-212-355-4449 ext. 127
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