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CIBC Consumer
Growth Conference
July 10, 2007
Tim McGeehan
    Executive Vice
    President – Retail
    Sales


2
Safe Harbor
          Cautionary Statement Pursuant to the Private
              Securities Litigation Reform Act of 1995
    This presentation may contain forward-looking statements,
    which are subject to risk and uncertainty. A variety of
    factors could cause our actual results to differ materially
    from the anticipated results expressed in such forward-
    looking statements, including, among other things, factors
    listed in our Annual Report on Form 10-K filed with the
    SEC on 5/02/07. That 10-K describes additional factors
    that could cause actual results to differ materially from
    those contemplated by the forward-looking statements
    made in this presentation.


3
History of Growth
                                                                                          ROIC2
                           Diluted EPS1                     21%                                                       +4 pts
                                                            CAGR                                        22%
                                                    $2.79
                                                                                                                 21%
                                                                                               20%
                                                                                       19%
                                            $2.27
                                                                      17%     16%
                                    $1.75
                            $1.44
                   $1.11
     $1.07




                                                                      FY02    FY03     FY04    FY05     FY06     FY07
     FY02         FY03      FY04    FY05    FY06    FY07
                                                                   2Fiscal
                                                                         years 2002 thru 2005 have not been adjusted for FAS 123
  1 Pro-forma      adjusted for FAS 123 expense
                                                                   expense

Revenue Growth                                                                        FY07 Results
                                                            15%
($ in billions)
                                                            CAGR
                                                                     Total revenue growth                            16%
                                                    $35.9
                                                                     Comp revenue growth                            5.0%
                                            $30.8
                                    $27.4
                            $24.5
                                                                     Operating income %                        +23 bps
                  $20.9
   $17.7

                                                                     Diluted EPS growth                              23%
                                                                     Market share                                    21%
     4
  FY02        FY03         FY04     FY05    FY06    FY07
The Dallas Story, 2004

           Summary
• Objective: Increase
  convenience and pursue
  market share with new
  stores, while lifting the
  performance of all stores.
• Actions Taken: Listened to
  employees about growth
  nodes in the market;
  identified 6 new locations
  (55% growth).




  5
The Dallas Story, 2007

• Summary of Results:
      • Total market revenue
      surpassed goal
      •Market share increased
      • Annual EVA increased for
      the existing stores and for
      the entire metro area
      • Comp USA will reduce its
      local store count to 2
      stores (from 10)
      • Results varied by market
      but were consistently
      above plan, including the
      impact of cannibalization


  6
Winning with Customers, Employees
                                                    76
                                                             Total U.S. Market Share
  Customer Satisfaction
                                                                                                                      20%
                                                                                                              19%
                                                           20.0%
             #1 Driver of Improvement:
             Quality of Interaction with
                    Employees                                                                                 14%
                                                           15.0%
                                                                                                                       13%
       72                72

                                           71
                                                           10.0%
                                                                                                               7%
                                                                                                                       6%
                                                                                                                           6%
                                                           5.0%                                                  5%
                                                                                                                5%      5%


                                                           0.0%
      2003              2004              2005      2006
                                                                   1997         1999    2001   2003    2004   2005    2006
Source: American Customer Satisfaction Index
Fourth Quarter Scores – 2/20/07 (www.theacsi.org)                                      Calendar Year

Reward Zone = 20 million members                            Retail Turnover

                                                                                81%
                                                                                                 69%
                                                                                                                    67%

                                                                    $ Billion




                                                                                FY05             FY06               FY07
 7
Optimizing Labor

    • 1998: SOPs,
      variable labor,
      unspecialized
    • 2003: customer
      centricity,
      specialized labor,
      high fixed costs
    • 2008: finding the
      right balance

8
Investing for the Future

    Core Business    Acquisitions and   Direct Shareholder
                        Alliances            Returns
• New stores        New:                • $5.5 billion stock
                                        repurchase
• Services          • Capabilities
                                        authorization
• Supply chain      • Customers
                                            – $3.0 billion
• Best Buy Mobile   • Markets
                                            accelerated
• Best Buy For      • Vendor                share
  Business            relationships         repurchase
                    • Geographies       • 30% dividend
                                        increase
9
Sean Skelley
     Senior Vice
     President – Services



10
Technology: Not Just a Lifestyle…
                It’s the infrastructure of life
                               Home Theater Systems

                 DVR                                  Gaming System




                                                                     Desktop
     Notebook


                                                             Digital Camera

           iPhone
                                                        Networking
                    Satellite Radio      Phone
11
Increasing Complexity

     Then             Now




12
U.S. Services: $50B Market

              Geek     Home                             Service
              Squad   Theater     Auto      Appliance   Centers

Deliver

Repair

Install

Configure
                          Shared Service Capabilities



  13
The Services Story
                                                                                                   Partnerships
                          Small Business



             Managed                                                                                        Green Migration
             Services                                                                                           & Disposal


                                                                                                                     International
      Assurance


     Home
                                                                                                                           Web 2.0
     Integration

                                                              R&D / New Product Trials

                                                                                 Global Workforce
                                                                                 Customer Focused Agents
                                       BUILD                                     Decision Support
                                                                                 Data Analytics
                                    SERVICES                                     Claims Processing
                                                                                 Call Center
                                   OPERATION                                     Remote Services


                                                                                             C SI
                                              ch                                                  Scor
                                        pat                                              Br            es
                                  / Dis                                                     an
                                                      te m
                           ting
                                                             rm




                                                                                               d
                      ou                            ys
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                                                                         MyAgent


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                                                                                      ity
                                        nd



                                                         t
                                      ta



                                                      en
                                    ac



                                                    Ag
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                                on
                               C




                                                                                                   Services Foundation
14
Any other partners?




15
Home Theater: Building Scale

                  • 3,000 installers today
                  • Leveraging
                    capabilities from our
                    service platform
                  • Investing in new tools
                    to improve
                    productivity




16
Your Questions




17

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CIBC World Markets 7th Annual Consumer Growth Conference

  • 2. Tim McGeehan Executive Vice President – Retail Sales 2
  • 3. Safe Harbor Cautionary Statement Pursuant to the Private Securities Litigation Reform Act of 1995 This presentation may contain forward-looking statements, which are subject to risk and uncertainty. A variety of factors could cause our actual results to differ materially from the anticipated results expressed in such forward- looking statements, including, among other things, factors listed in our Annual Report on Form 10-K filed with the SEC on 5/02/07. That 10-K describes additional factors that could cause actual results to differ materially from those contemplated by the forward-looking statements made in this presentation. 3
  • 4. History of Growth ROIC2 Diluted EPS1 21% +4 pts CAGR 22% $2.79 21% 20% 19% $2.27 17% 16% $1.75 $1.44 $1.11 $1.07 FY02 FY03 FY04 FY05 FY06 FY07 FY02 FY03 FY04 FY05 FY06 FY07 2Fiscal years 2002 thru 2005 have not been adjusted for FAS 123 1 Pro-forma adjusted for FAS 123 expense expense Revenue Growth FY07 Results 15% ($ in billions) CAGR Total revenue growth 16% $35.9 Comp revenue growth 5.0% $30.8 $27.4 $24.5 Operating income % +23 bps $20.9 $17.7 Diluted EPS growth 23% Market share 21% 4 FY02 FY03 FY04 FY05 FY06 FY07
  • 5. The Dallas Story, 2004 Summary • Objective: Increase convenience and pursue market share with new stores, while lifting the performance of all stores. • Actions Taken: Listened to employees about growth nodes in the market; identified 6 new locations (55% growth). 5
  • 6. The Dallas Story, 2007 • Summary of Results: • Total market revenue surpassed goal •Market share increased • Annual EVA increased for the existing stores and for the entire metro area • Comp USA will reduce its local store count to 2 stores (from 10) • Results varied by market but were consistently above plan, including the impact of cannibalization 6
  • 7. Winning with Customers, Employees 76 Total U.S. Market Share Customer Satisfaction 20% 19% 20.0% #1 Driver of Improvement: Quality of Interaction with Employees 14% 15.0% 13% 72 72 71 10.0% 7% 6% 6% 5.0% 5% 5% 5% 0.0% 2003 2004 2005 2006 1997 1999 2001 2003 2004 2005 2006 Source: American Customer Satisfaction Index Fourth Quarter Scores – 2/20/07 (www.theacsi.org) Calendar Year Reward Zone = 20 million members Retail Turnover 81% 69% 67% $ Billion FY05 FY06 FY07 7
  • 8. Optimizing Labor • 1998: SOPs, variable labor, unspecialized • 2003: customer centricity, specialized labor, high fixed costs • 2008: finding the right balance 8
  • 9. Investing for the Future Core Business Acquisitions and Direct Shareholder Alliances Returns • New stores New: • $5.5 billion stock repurchase • Services • Capabilities authorization • Supply chain • Customers – $3.0 billion • Best Buy Mobile • Markets accelerated • Best Buy For • Vendor share Business relationships repurchase • Geographies • 30% dividend increase 9
  • 10. Sean Skelley Senior Vice President – Services 10
  • 11. Technology: Not Just a Lifestyle… It’s the infrastructure of life Home Theater Systems DVR Gaming System Desktop Notebook Digital Camera iPhone Networking Satellite Radio Phone 11
  • 12. Increasing Complexity Then Now 12
  • 13. U.S. Services: $50B Market Geek Home Service Squad Theater Auto Appliance Centers Deliver Repair Install Configure Shared Service Capabilities 13
  • 14. The Services Story Partnerships Small Business Managed Green Migration Services & Disposal International Assurance Home Web 2.0 Integration R&D / New Product Trials Global Workforce Customer Focused Agents BUILD Decision Support Data Analytics SERVICES Claims Processing Call Center OPERATION Remote Services C SI ch Scor pat Br es / Dis an te m ting rm d ou ys G e/R MR fo S MyAgent ee edul t tah en at Sc h k Pl I em Sq yU ag g ua n in Ma nn ill d ld B C Fie Jo ity nd t ta en ac Ag tr on C Services Foundation 14
  • 16. Home Theater: Building Scale • 3,000 installers today • Leveraging capabilities from our service platform • Investing in new tools to improve productivity 16