Exhibit 99.1

COINSTAR, INC. ANNOUNCES 2011 THIRD QUARTER RESULTS

Company Posts Strong Growth and Profits

Redbox Becomes Leader in DVD Rentals

BELLEVUE, Wash.—Oct. 27, 2011—Coinstar, Inc. (NASDAQ: CSTR) today announced financial results for the third quarter and nine months ended September 30, 2011.

“We delivered another strong quarter with growth at the top and bottom line,” said Paul Davis, chief executive officer of Coinstar, Inc. “Our redbox business alone passed $1 billion dollars in revenue year to date and became the leading renter of DVDs by staying focused on delivering great value and convenience to our consumers.”

Davis continued, “Our Coin business gained traction in initiatives to engage consumers and generate growth and our New Ventures segment is moving forward with our innovative automated retail concepts. We are pleased with our performance and are confident in our ability to continue to provide value to our consumers, partners and shareholders.”

Financial highlights for the 2011 third quarter and nine months ended September 30, 2011, included:

The company also announced that effective October 31, 2011, the price for renting a redbox standard definition DVD would increase to a $1.20 daily rate from $1.00. The prices for Blu-ray format movie rentals and for video game rentals will not change and the daily rates will continue to be $1.50 and $2.00, respectively.

“We remain committed to providing redbox consumers access to the latest movies at an incredible value,” said Davis. “This marks the first price increase for a redbox standard definition DVD rental in eight years. The change is primarily due to the increase in operating expenses, including the recent increase in debit card interchange fees as a result of the Durbin Amendment.”

“Our strong results reflect solid execution across the board,” said J. Scott Di Valerio, chief financial officer of Coinstar, Inc. “Our business continues to benefit from improved processes and operations, investments in infrastructure and strategic investments in growth, which are particularly important as certain operating costs continue to increase. We remain focused on initiatives that strengthen our position to drive growth at the top and bottom line.”

Revenue for the third quarter of 2011 increased 22.5% to $465.6 million compared with the third quarter of 2010, driven primarily by redbox revenue growth of 27.7% to $389.8 million reflecting new kiosk installations and growth in same store sales. Coin revenue grew 1.1% to $75.5 million primarily due to an increase in the average transaction size.

Operating income for the third quarter of 2011 was $65.6 million, which resulted in an operating margin of 14.1%, compared with operating income of $46.2 million and an operating margin of 12.1% in the third quarter of 2010. The increase in operating margin percentage reflects the benefit from the extension of the amortization period related to the amended agreement with SPHE Scan Based Trading Corporation (“Sony”) signed in August; lower share based payments expense due to the closing price of Coinstar common stock at the end of the quarter; and improved processes and operations in the redbox segment, among other factors.

Income from continuing operations for the third quarter of 2011 was $37.1 million, or diluted earnings per share from continuing operations of $1.18, compared with $21.4 million, or $0.66 per share, in the third quarter of 2010.

For the first nine months of 2011 revenue was $1,324.9 million, an increase of 26.7% compared with the first nine months of 2010. Operating income for the first nine months of 2011 was $155.2 million, which resulted in an operating margin of 11.7%, compared with operating income of $100.1 million and an operating margin of 9.6% in the first nine months of 2010. Net income for the first nine months of 2011 was $72.4 million, or diluted earnings per share of $2.26, compared with net income of $39.3 million, or $1.22 per share, in the first nine months of 2010.

Net cash flows from operating activities from continuing operations in the third quarter of 2011 was $89.8 million, compared with $65.0 million in the third quarter of 2010. Cash paid for capital expenditures for continuing operations for the third quarter of 2011 was $46.9 million, compared with $48.1 million in the third quarter of 2010. Free cash flow from continuing operations for the third quarter of 2011 was $42.9 million, compared with $16.8 million in the third quarter of 2010.

Guidance

Coinstar’s guidance includes the impact of the price increase to $1.20 daily rate for a standard definition DVD effective October 31, 2011, and interchange fees at the current maximum per transaction rate of $0.22 plus five basis points.

For the 2011 full year, Coinstar management updated guidance and now expects:

For the 2011 fourth quarter, Coinstar management expects:

Conference Call

Paul Davis and J. Scott Di Valerio will host a conference call today at 2:00 p.m. PDT (5:00 p.m. EDT) to review the third quarter results and discuss guidance. The conference call will be webcast live and archived on the Investor Relations section of Coinstar’s website at www.coinstarinc.com. A recording of the call will be available approximately two hours after the call ends through November 10, 2011, at 1-888-286-8010 or 1-617-801-6888, passcode 95820770.

About Coinstar, Inc.

Coinstar, Inc. (NASDAQ: CSTR) is a leading provider of automated retail solutions offering convenient services that make life easier for consumers and drive incremental traffic and revenue for retailers. The company’s core automated retail businesses include the well-known redbox^® self-service DVD and video game rental and Coinstar^® self-service coin-counting brands. The company has approximately 34,400 DVD kiosks and 19,500 coin-counting kiosks in supermarkets, drug stores, mass merchants, financial institutions, convenience stores, and restaurants. For more information, visit www.coinstarinc.com.

Safe Harbor for Forward-Looking Statements

Certain statements in this press release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. The words “believe,” “estimate,” “expect,” “intend,” “anticipate,” “goals,” variations of such words, and similar expressions identify forward-looking statements, but their absence does not mean that the statement is not forward-looking. The forward-looking statements in this release include statements regarding Coinstar, Inc.’s anticipated growth and future operating results. Forward-looking statements are not guarantees of future performance and actual results may vary materially from the results expressed or implied in such statements. Differences may result from actions taken by Coinstar, Inc., as well as from risks and uncertainties beyond Coinstar, Inc.’s control. Such risks and uncertainties include, but are not limited to, the termination, non-renewal or renegotiation on materially adverse terms of our contracts with our significant retailers and suppliers, payment of increased fees to retailers, suppliers and other third-party providers, the inability to receive delivery of DVDs on the date of their initial release to the general public, or shortly thereafter, for home entertainment viewing, the effective management of our DVD inventory, the ability to attract new retailers, penetrate new markets and distribution channels and react to changing consumer demands, the ability to achieve the strategic and financial objectives for our entry into or expansion of new businesses, the ability to adequately protect our intellectual property, and the application of substantial federal, state, local and foreign laws and regulations specific to our business. The foregoing list of risks and uncertainties is illustrative, but by no means exhaustive. For more information on factors that may affect future performance, please review “Risk Factors” described in our most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission. These forward-looking statements reflect Coinstar, Inc.’s expectations as of the date of this release. Coinstar, Inc. undertakes no obligation to update the information provided herein.

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(Financial Statements Follow)

Contacts:

Media:

Marci Maule

Director of Public Relations

425-943-8277

marci.maule@coinstar.com

Financial Analysts and Investors:

Rosemary Moothart

Director of Investor Relations

425-943-8140

rosemary.moothart@coinstar.com

Appendix A

Use of Non-GAAP Financial Measures

Non-GAAP measures may be provided as a complement to results provided in accordance with United States generally accepted accounting principles (“GAAP”). Non-GAAP measures are not a substitute for measures computed in accordance with GAAP. The definitions of such non-GAAP measures are provided below to allow the reader to reconcile non-GAAP data to that presented in accordance with GAAP. Our non-GAAP measures may be different from the presentation of financial information by other companies.

Adjusted EBITDA from continuing operations is defined as earnings before net interest expense, income taxes, depreciation, amortization and certain other non-cash charges, including the write-off from early retirement of debt and share-based expenses from continuing operations. We believe adjusted EBITDA from continuing operations is an important non-GAAP measure as it provides additional information to users of the financial statements regarding our ability to service, incur or pay down indebtedness. In addition, management uses this non-GAAP measure internally to evaluate performance and manage operations. The table below provides a reconciliation of the most comparable GAAP measure, income from continuing operations, to adjusted EBITDA from continuing operations.

Free cash flow from continuing operations is defined as net cash provided by operating activities from continuing operations after cash paid for capital expenditures for continuing operations. We believe free cash flow is an important non-GAAP measure as it provides additional information to users of the financial statements regarding our ability to service, incur or pay down indebtedness and repurchase our common stock. The table below provides a reconciliation of the most comparable GAAP measure, net cash flows from operating activities from continuing operations, to free cash flow from continuing operations.

COINSTAR, INC.

CONSOLIDATED STATEMENTS OF NET INCOME

(in thousands, except per share data)

(unaudited)

COINSTAR, INC.

CONSOLIDATED BALANCE SHEETS

(in thousands, except share data)

(unaudited)

COINSTAR, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(unaudited)

Coinstar, Inc.

Business Segment Information

(in thousands)

(unaudited)

During the first quarter of 2011, we added a segment, New Ventures, to our existing segments, redbox, formerly named DVD Services, and Coin, formerly named Coin Services, to reflect changes in how our chief executive officer manages our businesses and allocates resources for the future growth of the company.

As a complement to our Consolidated Statements of Net Income, we are providing the following information related to our business segments, which includes segment operating income (loss). Management, including our chief executive officer, evaluates the performances of our business segments primarily on segment revenue and segment operating income from continuing operations before depreciation, amortization and other, and certain share-based payments (“segment operating income”). We utilize segment revenue and segment operating income because we believe they provide useful information for effectively allocating resources among business segments, evaluating the health of our business segments based on metrics that management can actively influence, and gauging our investments and our ability to service, incur or pay down debt.

Segment operating income reconciled to GAAP operating income