Audio Book Club Records 828% Increase in Internet Revenue and 135% Increase in Internet Membership From Comparable 1998 Period.

MORRISTOWN, NJ--(BUSINESS WIRE)--June 7, 1999--

Company Expands Marketing Alliance With MSN 

Network of Internet Services; Updates Exclusive Agreement With

Broadcast.Com

Audio Book Club, Inc. (AMEX: KLB) announced today that it has registered over 20,000 new members via the Internet during the first five months of 1999, a 135 percent increase over 8,500 during the comparable 1998 period. The 20,000 members from the Internet represents approximately 50% of the total members acquired by Audio Book Club through the first five months of this year. The Company also recorded an 828% increase in member revenue from the Internet over the prior 1998 comparable period.

The Company also announced today that it has expanded its online advertising agreement with MSN(tm) network of Internet services (NASDAQ: MSFT) and has updated its exclusive agreement with broadcast.com (NASDAQ: BCST) to increase Audio Book Club's visibility on the broadcast.com site, as part of the Company's ongoing Internet growth strategy.

As a result of today's agreement, the Company is now a Merchant on MSN Shopping (www.shopping.msn.com), which enables Audio Book Club to direct millions of potential new customers to its various sites including www.audiobookclub.com. MSN.COM is the third most frequented Internet destination, reaching over 45% of all web users. Audio Book Club's tenant merchant position will include a logo/text link on MSN Shopping (www.shopping.msn.com) within the site's "Books and Magazine" and "Cars and Travel" departments. In addition, Audio Book Club will receive marquee placement throughout the following MSN Web Sites: MSN HotMail(tm) (www.hotmail.com), MSNBC (www.msnbc.com), MSNLinkExchange (www.linkexchange.com), MSN Expedia(tm) (www.expedia.msn.com) and WebTV Network(tm) (www.webtv.com).

Through its agreement with broadcast.com, Audio Book Club is the exclusive advertiser of audiobook club's on broadcast.com and will continue to receive prime promotional space on the site. Broadcast.com will prominently feature Audio Book Club's banners, buttons and text links throughout their site, which will allow users to access Audio Book Club's vast catalogue of audio content.

Norton Herrick, Chairman and CEO of Audio Book Club, stated, "By continuing to strategically align ourselves with such leading Internet companies as Microsoft and broadcast.com, we believe that we can continue to realize the true potential of the e-commerce arena. In fact, we are delighted to announce a 135 percent increase in new members obtained via the Internet during the first five months of 1999, and it is our belief that today's agreements should only further our success. Equally significant is the fact that our www.audiobookclub.com website recently received a 4-star Gold Merchant Customer Certified rating from BizRate.com, a leading surveyor of online customer satisfaction."

Audio Book Club also announced today that it has terminated its agreement to proceed with a strategic marketing alliance and investment in bidnow.com, inc.

Audio Book Club, Inc. is the world's largest marketer of audiobooks through its membership club which markets and sells audiobooks and music via the Internet at www.audiobookclub.com and by mail order. Later this summer, the Company will also launch Mediabay.com (a sample of which is presently available at www.mediabay.com), offering visitors a single location for the entertainment features of leading content-driven websites and the product selection and service of great commerce-driven sites. Audio Book Club, Inc. is also a publisher of audio and video content including classic radio and video programs and markets and sells that content on audio cassettes, CDs and video cassettes via numerous distribution channels including the Internet at www.radiospirits.com, catalogues, radio shows, retail and other outlets. Since commencing operations in January 1994, Audio Book Club, Inc. has engaged in an aggressive membership recruitment program to establish a core Audio Book Club member base. After completion of the pending acquisition of Audiobooks Direct, Audio Book Club, Inc. will have a combined membership and customer database of approximately 2 million names.

Safe Harbor Statement Under The Private Securities Litigation Reform Act of 1995: The statements which are not historical facts contained in this press release are forward looking statements that involve a number of known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. Such factors include, but are not limited to, the ability of the Company to successfully integrate the newly acquired businesses into its operations and the uncertainty regarding the actual effect of the acquisitions on the Company, risks relating to the Company's direct mail campaigns and its ability to retain members to its book club, risks relating to the Company's growth strategy, dependence on third party service providers, uncertainty of the scope of future product returns, collection and risks associated with selling products on credit, competition and other risks detailed in the Company's Securities and Exchange Commission filings. The words 'believe' and 'should' and similar expressions identify forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements which speak only as of the date the statement was made.