It's Done! American Media, Inc. Successfully Completes Agreement With Bondholders...

It's Done! American Media, Inc. Successfully Completes Agreement With
Bondholders After Full Year of Negotiations

- Deal Will Revitalize AMI's Capital Structure -

NEW YORK, Feb. 2 /PRNewswire/ -- David J. Pecker, Chairman, President and
CEO of American Media, Inc., (AMI) today announced the company had
successfully closed on its proposed transaction with its bondholders, bank
lenders and shareholders.

Mr. Pecker said, "As a result of this transaction, we now have the capital
structure in place to strategically, financially and operationally fully
realize the potential of our brands as the leaders in both the celebrity and
health & fitness categories. It gives us the flexibility and freedom we need
to move the company forward."

"Today's announcement signals the next step in AMI's evolution as a major
media company, in the digital and print platforms," he added. "At the same
time, we will continue to balance our future investments with a disciplined
financial mindset to maximize the return for our new shareholders."

AMI's current Board of Directors unanimously approved the transaction, which
reduces its debt by $227 million in exchange for bondholders receiving 95%
ownership of the company. The principal owners will now be Angelo, Gordon &
Company, Avenue Capital Management II LTD, American High Income Trust, Credit
Suisse Securities LLC, and Regiment Capital LTD, all multi-billion dollar
companies.

The Principals have assembled a talented new Board of Directors with a strong
media expertise and have asked Mr. Pecker to continue to serve as Chairman of
the Board, as well as President and CEO, which he has enthusiastically agreed
to do.

"We appreciate the hard work and sensibility of all of the stakeholders and
professionals, especially in this challenging financial market," said Brad
Pattelli, Managing Director of Angelo, Gordon & Company. "We are fortunate to
be able to put David and the organization in a position to optimize the value
of a truly unique collection of assets and brands."

Mr. Pecker stated that the company would immediately focus on its two biggest
opportunities - the launch of Radaronline.com and re-launch of Shape.com.

"We are set to launch the Radar site in March with the very realistic goal of
rapidly becoming the #1 site for celebrity news and pop culture," Mr. Pecker
said. Citing AMI's unmatched newsgathering operation, Mr. Pecker added that
"no one, not TMZ or even People, will be able to compete with Radar's ability
to break celebrity news - and that's what really drives traffic."

Regarding Shape.com, Mr. Pecker commented "Shape is the leading magazine in
the women's health & fitness category. And with the latest interactive diet
and fitness programs from Shape experts combined with social networking,
Shape.com will assume the #1 spot online." The new site is set to launch in
April.

Mr. Pecker feels AMI is coming off an extremely difficult year for publishers
with an excellent foundation to build on in 2009. AMI's total PIB ad pages for
calendar year 2008 declined only 5.7% versus 2007, the second smallest decline
among the top ten publishing companies. "Conde Nast, Time, Meredith and others
were all down double digits," Mr. Pecker said.

"This is a new beginning for American Media," concluded Mr. Pecker. "Going
forward, we should now be recognized for what we accomplish with the spotlight
trained not on our finances, but on our future."

About American Media, Inc.
American Media, Inc. is the leading publisher of celebrity journalism and
health and fitness magazines in the U.S. These include Star, Shape, Men's
Fitness, Fit Pregnancy, Natural Health, and The National Enquirer. In
addition to print properties and web sites, AMI owns Distribution Services,
Inc., the country's #1 in-store magazine merchandising company.

SOURCE American Media, Inc.

Dean Durbin, Chief Operating Officer and Chief Financial Officer of American
Media, Inc., +1-212-545-4829