America Online, Cyberian Outpost Announce Marketing Partnership

January 28, 1998

FOR IMMEDIATE RELEASE Dulles, Va. and Kent, Conn. - January 28, 1998 - AOL Networks, the Internet online services division of America Online, Inc., [NYSE: AOL] the world's leading Internet online service, and Cyberian Outpost Inc., (www.outpost.com) a leading computer Internet retailer, today announced a marketing partnership under which Cyberian Outpost will be the exclusive third-party retailer of new computer hardware and peripheral equipment in the Computing Superstore and other areas of the AOL Computing Channel. Cyberian Outpost will also have a presence in the AOL Shopping Channel, and will be integrated into computer areas on AOL.com, AOL's Website and the number one consumer site on the World Wide Web. Over the one-year term of the agreement, Cyberian Outpost will make guaranteed payments to AOL of $5 million and AOL will share in revenues. Stated Bob Pittman, President and Chief Executive Officer of AOL Networks, "The sales of computers and peripherals is one of the fastest-growing and most significant online markets. As the only computer retailer with a singular focus on the online market and the key international and consumer segments in particular Cyberian Outpost is the ideal partner to join AOL in capitalizing on that opportunity." "Cyberian Outpost's financial commitment is a significant statement on the progress of e-commerce and the value of AOL in helping companies build brand identity and market share," added Barry Schuler, President, Creative Development, AOL Networks. "The AOL Computing Channel is the 14th most visited site in cyberspace, according to Media Metrix, and this agreement highlights the fact that Cyberian Outpost has recognized the value of reaching the AOL Computing Channel audience." Darryl Peck, President of Cyberian Outpost said, "This online marketing partnership with AOL, the world's leading online network, indicates Cyberian Outpost's position as the premier online brand for computer software, hardware and peripherals. The agreement allows us to gain access to AOL's unmatched global community of more than 11 million members, extend our brand, further strengthen our financial position and deliver unparalleled customer service to AOL members." AOL's redesigned Computing Channel is a comprehensive resource for AOL members, whether novice or advanced. It offers members the opportunity to explore computing and technology interests, find helpful tools and get answers to a range of computer and technology questions. In addition, through the Computing Superstore, AOL members can purchase a wide variety of software, hardware and peripherals through Cyberian Outpost, which offers a high level of customer service and the fastest delivery available from an online computer product retailer. Cyberian Outpost's success is rooted in its customer-centric philosophy of providing customers with competitively-priced products combined with unparalleled customized and personalized services. BizRate ranks Cyberian Outpost's interface as one of the best on the Internet, and the site can be accessed in nine different languages. To date, the company has shipped products to customers in more than 140 different countries.

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