AdOne/PowerAdz Merge to Create Largest Online Newspaper Network in U.S. Representing Nearly 50% of Daily U.S. Print Circulation.

Business Editors

NEW YORK--(BUSINESS WIRE)--Oct. 25, 2001

Over 1, 600 Newspapers to Benefit from Best-in-Class Publishing,

Vertical Applications and eClassifieds Products and Services

AdOne and PowerAdz, the nation's two leading online newspaper application service providers, today announced a merger, which is anticipated to close within the next two weeks. The new company offers a single source for end-to-end online publishing and advertising solutions to newspapers of all sizes across the country.

The new company will provide a broad spectrum of market-leading Internet products, services and business solutions to over 1,600 leading newspapers in the U.S. representing daily and weekly newspaper circulation of over 40 million and nearly 50% of daily U.S. print circulation.

"This is a merger of two customer-focused industry leaders, with complementary market positions, that creates real synergies and opportunities for newspapers," said Brendan Burns, Founder and CEO of AdOne. "The combination of AdOne and PowerAdz allows us to establish a company that delivers best-in-breed business solutions to meet the challenges of online publishing and advertising."

"Our mission is to provide local media companies with the tools to

operate successful and profitable online businesses," said Mark

Chudzicki, Founder, President and CEO of PowerAdz. "We remain

absolutely committed to developing and delivering technology

solutions that reduce costs and complexity for our affiliates.

Merging our companies allows us to do this in the most effective way

possible."

The new company, which will adopt a new name in the near future, will take advantage of its strong relationships with media partners across the country to identify and cultivate market opportunities and further extend its market share. Leveraging its robust technologies and common data standards, the company expects to create expanded services and significant cost savings that newspapers could not easily realize on their own. Burns and Chudzicki will be co-CEOs of the new company.

The new company will:

-- Service over 1,600 daily and weekly newspapers across the country

-- Aggregate and deliver online over 1,000,000 paid, newspaper classifieds
daily

-- Generate more than 45 million page views per month

-- Reach over 1.5 million unique users per month

-- Reach 95 out of the top 100 markets, representing over 83% of total US
households

-- Cover all 50 U.S. states

About AdOne

Founded in 1995, AdOne LLC is a privately held company that has built an online classifieds network in the U.S. AdOne provides a suite of products and tools that enable newspapers to grow their classifieds revenue and offer their advertisers greater value. In addition, AdOne, via its "Abracat Network" of local classifieds sites, reaches millions of consumers daily. The network offers leading national advertisers effective online solutions for selling their products and services to local consumers with a high propensity to purchase.

Based in New York, AdOne is backed by Advance Publications, Belo Corporation, Donrey Media Group, The E.W. Scripps Company, The Hearst Corporation, Journal Registry Company, Lee Enterprises, Incorporated, Media General, Media News Group, Morris Communications Corporation and Pulitzer Inc. For more information, visit www.adone.com

About PowerAdz.com

PowerAdz.com is a leading Internet infrastructure provider and aggregator of local, granular content, assembling the largest network of local, newspaper-based community portals on the Internet. The company publishes all or part of thousands of online newspapers daily and has thousands of participating advertisers with over 20 state press association endorsements. The company's network advertising programs provide a unique opportunity for businesses to reach the "hometown" demographic.

PowerAdz.com affiliates include hundreds of suburban, daily and weekly newspapers across America, and boast many of the largest newspapers and newspaper groups in the country, including the New York Post, Dallas Morning News, Journal Register Company, Pittsburgh Post-Gazette, Omaha World Herald, Orange County Register, Milwaukee Journal Sentinel and the Bergen Record. PowerAdz.com markets its services under the AdQuest, CarCast, ThinkHomes, CareerGold and Zwire! Internet brands. For more information, visit www.poweradz.com