EXHIBIT 99.1

HSN, Inc. Reports Third Quarter 2011 Results

HSNi's Results For the Third Quarter 2011:

• Net sales increased 6% with digital sales up 12%
• Gross profit margin improved 100 basis points to 36.3%
• Adjusted EBITDA grew 29% to $63.1 million
• Adjusted EPS increased 52% to $0.47

ST. PETERSBURG, Fla., Nov. 2, 2011 (GLOBE NEWSWIRE) -- HSN, Inc. (Nasdaq:HSNI) reported results for the third quarter ended September 30, 2011 for HSN, Inc. ("HSNi") and its two operating segments, HSN and Cornerstone.

Third Quarter 2011 Results vs Third Quarter 2010 Results

• HSNi's net sales grew 6% over the prior year to $751.2 million. HSN's net sales increased 4% to $513.0 million, including 10% growth in digital sales. Cornerstone's net sales increased 11% to $238.2 million, including 15% growth in digital sales.
   
• HSNi's Adjusted EBITDA increased 29% to $63.1 million. These results were driven by a 6% increase in net sales and a 100 basis point increase in gross profit margin, partially offset by a 4% increase in operating expenses (excluding non-cash charges). Operating income increased 44% to $47.2 million. Included in the prior year's Adjusted EBITDA and operating income was a $2.5 million sales provision for a voluntary product recall at one of the Cornerstone brands and costs related to a $2.5 million legal settlement. Excluding these charges last year, HSNi's Adjusted EBITDA increased 17% and its operating income increased 25%.     
   
• Adjusted EPS increased 52% to $0.47 compared to $0.31 in the prior year. GAAP diluted EPS increased 60% to $0.40 compared to $0.25 in the prior year. The combined impact in the prior year of the product recall and legal settlement of $3.0 million, net of taxes, on Adjusted EPS and GAAP diluted EPS was $0.05 per diluted share. Excluding these charges last year, Adjusted EPS increased 31% and GAAP diluted EPS increased 33%.

"HSNi delivered another quarter of strong sales, EBITDA and EPS growth year-over-year.  We achieved these results while executing on a number of significant initiatives, including new launches, events and expansion of our digital efforts," said Mindy Grossman, CEO of HSN, Inc.  "The performance of both HSN and Cornerstone in the quarter, as well as our recently announced capital return plan, reflect our focus on driving shareholder value and our confidence in HSNi's long-term growth potential."
 

HSN Segment Results for the Third Quarter 2011

HSN's net sales increased 4% to $513.0 million driven by strength in the electronics, beauty and wellness categories. Digital sales grew 10% with penetration increasing 190 basis points to 32.8%. Average price point and units shipped increased 3% and 4%, respectively. The return rate increased to 20.3% from 19.2% primarily due to changes in product mix.

Gross profit increased 5% to $178.5 million. Gross profit margin improved 40 basis points to 34.8% from 34.4%. The margin increase was primarily attributable to lower outbound shipping costs and improvements in supply chain management, partially offset by an increase in clearance activity and a change in product mix.

Adjusted EBITDA increased 20% to $51.8 million compared to $43.1 million in the prior year.  The increase was due to growth in net sales and gross profit margin. Operating income was $41.4 million compared to $30.7 million in the prior year.  Excluding the impact of the prior year's $1.6 million legal settlement, Adjusted EBITDA growth was 16%.

Cornerstone Segment Results for the Third Quarter 2011

Net sales for Cornerstone increased 11% to $238.2 million. Digital sales grew 15% with penetration increasing 180 basis points to 58.7%. Average price point and units shipped increased 7% and 2%, respectively. The return rate decreased to 14.3% from 15.9% primarily due to the $2.5 million sales provision recorded in the prior year for the voluntary product recall.

Gross profit increased 18% to $94.3 million. Gross profit margin increased 240 basis points to 39.6% from 37.2%. The margin increase was primarily attributable to improved outbound shipping margins; lower inbound freight costs in the home brands; and the impact of a $2.5 million sales provision for the voluntary product recall recorded in the prior year.       

Adjusted EBITDA increased 93% to $11.3 million. The increase was primarily due to growth in net sales and gross profit margin, partially offset by a 14% increase in selling and marketing costs, particularly catalog production and distribution costs. Operating income was $5.8 million compared to $2.1 million in the prior year. Excluding the impact of the prior year's $2.5 million voluntary product recall and $0.8 million legal settlement, Adjusted EBITDA growth was 23%.

Liquidity and Capital Resources

As of September 30, 2011, HSNi had cash and cash equivalents of $340.1 million compared to $354.3 million at December 31, 2010 and $259.4 million at September 30, 2010. Net cash provided by operating activities for the nine months ended September 30, 2011 was $7.2 million compared to $6.2 million in the prior year. In October 2011, HSNi made a voluntary prepayment of the remaining $69.8 million balance of its term loan.

On September 27, 2011, the Board of Directors approved a share repurchase program for 10 million shares and a cash dividend of $0.125 per share.   These are the first share repurchase and cash dividend programs initiated by the company.  The timing of any repurchases and actual number of shares repurchased will depend on a variety of factors, including the stock price, corporate and regulatory requirements, restrictions under the company's debt obligations and other market and economic conditions.  The repurchase program may be suspended or discontinued by HSNi at any time.  The dividend will be paid on November 16, 2011 to HSNi's record holders as of November 2, 2011. 

OTHER INFORMATION

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995

This press release may contain forward-looking statements relating to the future performance of HSNi, its operating segments and its consolidated subsidiaries that are based on current expectations, forecasts and assumptions. These statements relate to expectations concerning matters that are not historical fact. These forward-looking statements are based largely on information currently available to our management and on our current expectations, assumptions, plans, estimates, judgments and projections about our business and our industry, and such statements involve inherent risks and uncertainties. Although we believe our expectations are based on reasonable estimates and assumptions, they are not guarantees of performance and there are a number of known and unknown risks, uncertainties, contingencies and other factors (many of which are outside our control) that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Factors that could cause or contribute to such differences include but are not limited to: the continued impact of the current macroeconomic environment on consumer confidence and spending levels; whether national economic stimulus initiatives and measures to improve the economy will be successful in achieving their objectives within the expected timeframes; other changes in political, business and economic conditions, particularly those that affect consumer confidence, consumer spending or digital sales growth; changes in our relationships with pay television operators, vendors, manufacturers and other third parties; changes in product delivery costs, particularly if we are unable to offset them; our ability to offer new or alternative products and services in a cost effective manner and consumer acceptance of these products and services; any technological or regulatory developments that could negatively impact the way we do business, including regulations regarding state and local sales and use taxes; HSNi's business prospects and strategy, including whether HSNi's initiatives will be effective; and the loss of any key member of our senior management team.  More information about potential factors that could affect HSNi's business and financial results is included in our filings with the U.S. Securities and Exchange Commission.  Other unknown or unpredictable factors that could also adversely affect HSNi's business, financial condition and results of operations may arise from time to time.  In light of these risks and uncertainties, any forward-looking statements may not prove to be accurate. All written or oral forward-looking statements that are made or attributable to us are expressly qualified in their entirety by this cautionary notice. Accordingly, you should not place undue reliance on any forward-looking statements, which only reflect the views of HSNi management as of the date of this press release. Such statements speak only to the date such statements are made and HSNi does not undertake to update any forward-looking statements. Historical results should not be considered as an indication of future performance.

Conference Call

Mindy Grossman, Chief Executive Officer, and Judy Schmeling, Executive Vice President and Chief Financial Officer, will hold a conference call on November 2, 2011 at 9:00 a.m., Eastern Time, to discuss these results. Those interested in participating in the conference call should dial 877-307-0246 or 224-357-2394 at least five minutes prior to the call. There will also be a simultaneous audio webcast available via HSNi's website at http://www.hsni.com. 

A replay of the conference call can be accessed until Wednesday, November 16, 2011 by dialing 855-859-2056 or 404-537-3406, plus the pass code 15918480 and will also be hosted on the company's website for a limited time. 

About HSN, Inc.

HSN, Inc. (Nasdaq:HSNI) is a $3 billion interactive multi-channel retailer with strong direct-to-consumer expertise among its two operating segments, HSN and Cornerstone. HSNi offers innovative, differentiated retail experiences on TV, online, via mobile devices, in catalogs, and in brick and mortar stores. HSN, a leading interactive multi-channel retailer which offers a curated assortment of exclusive products combined with top brand names, now reaches approximately 96 million homes (24 hours a day, seven days a week, live 364 days a year). HSN.com is a top 10 trafficked digital sales site that offers a differentiated digital experience by leveraging content, community and commerce. In addition to its existing media platforms, HSN is the industry leader in transactional innovation, including services such as HSN Shop by Remote^®, the only service of its kind in the U.S., the HSN Shopping App for mobile handheld devices and HSN on Demand^®. Cornerstone comprises leading home and apparel lifestyle brands including  Ballard Designs^®, Frontgate^®, Garnet Hill^®, Improvements^®, Smith + Noble^®, The Territory Ahead^® and TravelSmith^®. Cornerstone distributes more than 275 million catalogs annually, operates seven separate digital sales sites and operates 18 retail and outlet stores. 

The HSN, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=8695

SEE IMPORTANT NOTES AT END OF THIS DOCUMENT

HSN, INC.'S PRINCIPLES OF FINANCIAL REPORTING

HSNi reports Adjusted EBITDA, Adjusted Net Income and Adjusted EPS, all of which are supplemental measures to GAAP. These measures are among the primary metrics by which we evaluate the performance of our businesses, on which our internal budgets are based and by which management is compensated. We believe that investors should have access to, and we are obligated to provide, the same set of tools that we use in analyzing our results.  These non-GAAP measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for or superior to GAAP results. HSNi endeavors to compensate for the limitations of the non-GAAP measures presented by providing the comparable GAAP measures with equal or greater prominence and descriptions of the reconciling items, including quantifying such items, to derive the non-GAAP measures. We encourage investors to examine the reconciling adjustments between the GAAP and non-GAAP measures contained in this release and which we discuss below.

Definitions of Non-GAAP Measures

Adjusted EBITDA is defined as operating income excluding, if applicable: (1) non-cash charges including: (a) stock-based compensation expense, (b) amortization of intangibles, (c) depreciation and gains and losses on asset dispositions, and (d) goodwill, long-lived asset and intangible asset impairments; (2) pro forma adjustments for significant acquisitions; and (3) one-time items. Adjusted EBITDA is not a measure determined in accordance with GAAP, and should not be considered a substitute for operating income, net income or any other measure determined in accordance with GAAP. Adjusted EBITDA is used as a measurement of operating efficiency and overall financial performance and HSNi believes it to be a helpful measure for those evaluating companies in the retail and media industries. Adjusted EBITDA measures the amount of income generated each period that could be used to service debt, pay taxes and fund capital expenditures. Adjusted EBITDA should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. Adjusted EBITDA has certain limitations in that it does not take into account the impact to HSNi's statement of operations of certain expenses, including stock-based compensation, amortization of intangibles, depreciation, gains and losses on asset dispositions, asset impairment charges, acquisition-related accounting and one-time items.

Adjusted Net Income generally captures all items on the statement of operations that have been, or ultimately will be, settled in cash and is defined as net income available to common shareholders excluding, net of tax effects, if applicable: (1) stock-based compensation expense, (2) amortization of intangible assets, (3) gains and losses on asset dispositions, (4) goodwill, long-lived asset and intangible asset impairments, (5) pro forma adjustments for significant acquisitions, (6) one-time items and (7) discontinued operations.  We believe Adjusted Net Income is useful to investors because it represents HSNi's consolidated results taking into account charges which are not allocated to the operating businesses such as interest expense and taxes, but excluding the effects of identified non-cash expenses or one-time items.

Adjusted EPS is defined as Adjusted Net Income divided by diluted weighted average shares outstanding for Adjusted EPS purposes.  We believe Adjusted EPS is useful to investors because it represents, on a per share basis, HSNi's consolidated results, taking into account charges which are not allocated to the operating businesses such as interest expense and taxes, but excluding the effects of identified non-cash expenses or one-time items.  Adjusted Net Income and Adjusted EPS have the same limitations as Adjusted EBITDA. Therefore, we think it is important to evaluate these measures along with our consolidated statement of operations.

CONTACT: Felise Glantz Kissell (Analysts/Investors)
         727-872-7529
         felise.kissell@hsn.net

         Brad Bohnert (Media)
         727-872-7515
         brad.bohnert@hsn.net