Home Theater Store Has Agreed to Acquire Assets of Sounds Like Music in Phoenix, Arizona; Fast-Growing Texas Company Continues Expansion

Business Wire, Sept 6, 2005

HOUSTON -- Home Theater Store of Texas announced today that it has agreed to acquire substantially all of the assets of Sounds Like Music, Inc., a supplier of high-end home theater design and installation services in the Phoenix and Scottsdale, Arizona, area. According to the parties, the closing of the acquisition is scheduled for the end of this month.

"This acquisition is an excellent fit with the Home Theater Store business model," said Mihir Mody, CEO of Texas-based Home Theater Store. "Like our stores in Texas, Sounds Like Music is the only retailer in its area that offers an exclusive selection of the highest-end audio equipment in a single location, along with an outstanding tradition of service. We are extremely pleased to take over the Sounds Like Music operation."

"Sounds Like Music has a record of superior client relationships going back more than 10 years, with one of the highest customer satisfaction ratings in the Phoenix-Scottsdale area. We plan to build on that base of exceptional client relationships as we expand our presence in Phoenix," Mody added. He expects that one or two additional store locations may eventually be added in the local market.

"The Sounds Like Music facility is beautifully designed and reflects the same emphasis on quality and style as our Texas stores. With the backing of our company's Texas-based business resources, we are confident we can experience the same sort of growth in Arizona that we've enjoyed in the Texas markets," Mody said.

There are currently seven Home Theater Store locations in Texas. At the time of this Press Release, it was not clear whether Home Theater Store intended to maintain the name Sounds Like Music or re-brand the location as a Home Theater Store. The new Phoenix store will be the company's eighth location, with a ninth location scheduled for opening in downtown Dallas this fall. Plans for two additional Texas Home Theater Stores will be unveiled later this year.

Home Theatre Store combines an understanding of technology fashion with fine design to create luxurious entertainment environments. The flagship retail operation, it works closely with two companion companies that provide complementary high-end services for clients.

"GEL" provides lifestyle design, engineering and installation services directly with clients, or in collaboration with clients' architects, designers or builders. "Mody & Mody" markets high-end furnishings and accessories internationally recognized for workmanship and creativity that offer alternatives to traditional interior environments in a store with everything for the home and office under one roof. Together, the three companies are able to provide an unprecedented amount of complementary services and solutions for their respective clienteles.

Based in Houston, Texas, Home Theater Store was founded in 1986 by the Mody family and continues to be a family operated business, led by Mihir Mody. It has been recognized as an industry leader in both its approach to selling design and ability to satisfy customers' installation needs.

Home Theater Store has been listed as "Top 10 Custom Installer Company of the Year" in three out of the past four years by Audio Video International magazine.