America Online Latin America Receives Nasdaq Delisting Notice; Intends to Appeal; Reviewing Possibility of Over-The-Counter Trading.

Business Editors/Hi-Tech Writers

FT. LAUDERDALE, Fla.--(BUSINESS WIRE)--Aug. 30, 2002

America Online Latin America, Inc. (NASDAQ-SCM:AOLA), a leading interactive services provider in Latin America, today announced that it has received a letter from NASDAQ stating that the Company has not met the $35 million market capitalization requirement for continued listing of its Class A Common Stock on the NASDAQ SmallCap Market (Marketplace Rule 4310(c)(2)(B)(ii)).

America Online Latin America intends to request a hearing before the NASDAQ Listing Qualifications Panel to appeal the ruling by NASDAQ. During the appeals process, which the Company expects will take between 30 and 60 days, the Company's class A common stock will continue to trade on the NASDAQ SmallCap Market. There can be no assurance that the Panel will grant the Company's request for continued listing. In the event that the Panel does not grant continued listing, the Company expects that its class A common stock would trade on the Over-the-Counter Bulletin Board (OTCBB). The OTCBB is a regulated quotation service that displays real-time quotes, last-sales prices, and volume information for more than 3,600 equity securities.

Charles Herington, President and CEO of AOL Latin America, said: "We remain committed to our shareholders and to maintaining our position as a leading ISP in Latin America, one of the fastest growing Internet markets in the world. We will continue to operate under normal conditions and continue to implement initiatives aimed at strengthening our business fundamentals, including targeting higher value members and streamlining operations. In addition, as previously announced, we anticipate that our cash on hand as well as cash available under our financing agreement with AOL Time Warner will be sufficient to fund operations into early 2003."

About AOL Latin America

America Online Latin America, Inc. (NASDAQ-SCM: AOLA) is the exclusive provider of AOL-branded services in Latin America and has become one of the leading Internet and interactive services providers in the region. AOL Latin America launched its first service, America Online Brazil, in November 1999, and began as a joint venture of America Online, Inc., a wholly owned subsidiary of AOL Time Warner Inc. (NYSE:AOL), and the Cisneros Group of Companies. Banco Itau, a leading Brazilian bank, is also a minority stockholder of AOL Latin America. The Company combines the technology, brand name, infrastructure and relationships of America Online, the world's leader in branded interactive services, with the relationships, regional experience and extensive media assets of the Cisneros Group of Companies, one of the leading media groups in the Americas. The Company currently operates services in Brazil, Mexico and Argentina and serves members of the AOL-branded service in Puerto Rico. It also operates a regional portal accessible at www.aola.com. America Online's 35 million members worldwide can access content and offerings from AOL Latin America through the International Channels on their local AOL services.

The Company's statement that it has sufficient liquidity to allow it to continue operations into early 2003 is forward looking, is based on the Company's current expectations and is subject to a number of risks and uncertainties that could cause actual results to differ materially. Such risks and uncertainties are described in our Annual Report on Form 10-K for the period ended December 31, 2001, and from time to time in other reports we file with the SEC, as well as the following risks and uncertainties: that the Company's expenses may exceed, or the Company's revenues may fall short of, its current forecast, negatively impacting the Company's limited liquidity, and if for any reason the Company is unable to draw down on its current loan facility with AOL Time Warner. Except for the Company's current loan facility with AOL Time Warner, none of the Company's partners is obligated to provide it with any future funding. Forward-looking statements speak only as of the date they are made, and the Company undertakes no duty or obligation to update any forward-looking statements in light of new information or future events.