AutoTrader.com Pulls Ahead of E-Auto Pack, Drives Toward Success in 2001; Largest Internet Classifieds Site Leads Category, Survives Dot-Com Debacle.

Business Editors, Automotive/High-Tech Writers

ATLANTA--(BUSINESS WIRE)--Feb. 2, 2001

The dot-com shakeout has left companies scurrying for a profitable business model in 2001. Last year was a particularly bumpy road for online automotive web sites as many companies saw revenues and stock prices tumble. In contrast, AutoTrader.com, the leading Internet destination and automotive marketplace for used car buyers and sellers, has completed their most successful year ever, establishing clear leadership in the online automotive classifieds sector amidst market turmoil. After achieving critical mass in 2000, AutoTrader.com is now in the position to lead and dominate the online automotive classifieds industry with a solid, viable business model that is very difficult for competitors to match.

Amidst the clutter and chaos, AutoTrader.com has what no other online auto company is able to produce -- a massive listing of more than 1.5 million used vehicles for sale throughout the United States, along with an audience of 4 million monthly car shoppers who are actively searching for used cars and contacting sellers.

This one-of-a kind, many-to-many marketplace for used cars is producing dramatic improvements for buyers and sellers. What was traditionally the role of newspaper classifieds has moved online, creating an instant consumer need and demand and providing a continually updated list of pre-owned vehicles from dealers and private sellers. As a result of this unique business model, revenues have increased from $5 million to $28 million during 2000.

"Last year we achieved nationwide recognition as the No. 1 used car classifieds marketplace, and this was reflected in the explosive growth throughout all key business metrics -- vehicle inventory, audience and customer leads and paying dealer participation," said Chip Perry, president and CEO, AutoTrader.com. "This year we will continue to concentrate on the used car market as our primary focus, while adding features such as new car searches that strengthen our business and add value to buyers and sellers."

AutoTrader.com's success can be attributed to several significant advantages and achievements.

Competitive Advantages

1. Strong financial backing by industry leaders including Cox

Enterprises, Inc., Manheim Auctions, ADP, Trader

Publishing Inc., eBay and Kleiner Perkins Caufield & Byers

has enabled AutoTrader.com to invest and grow

independently without being affected by the recent

financial market turmoil.

2. AutoTrader.com's exclusive operating partnerships with

Manheim Auctions, the largest wholesale automotive company

in the world, the Dealer Services Group of Automatic Data

Processing, and Auto Trader magazine, the largest print

classified company in the world, have helped

AutoTrader.com become a successful "brick and click"

company with significant advantages over purely

Internet-driven dot-coms with volatile, unscaleable

business models.

3. The company's exclusive operating partnership with eBay

provides AutoTrader.com with new opportunities to bring

auction-style buying and selling into its massive auto

classifieds marketplace.

4. The AutoTrader name is a widely recognized and popular

brand that is being strengthened and extended by a large

network television ad campaign and an exclusive marketing

partnership with AOL.

5. The company's sales force grew by 40% last year to more

than 200 people; this strong, dedicated sales team is

building continuing momentum in 2001.

6. AutoTrader.com has an unrivaled database of 1.5 million

vehicles, which is updated daily from more than 30,000

dealers and a quarter of a million private owners.

Results and Successes

1. According to J.D. Power and Associates, AutoTrader.com was

named the No. 1 Internet destination for buyers of used

vehicles in 2000 as well as ranked one of the top ten web

sites new car buyers are visiting.

2. From January 2000 to January 2001:

-- Average monthly unique visitors have increased from 2.9 million to 4.3
million.

-- Vehicle searches have increased 150% (currently 20 million per month -- up
from 8.3 million).

-- Average monthly page views have increased from 44.4 million to 115 million.

3. The number of dealers who buy AutoTrader.com's low-cost

and highly-targeted classified advertising services

increased from 1,900 to more than 6,000 in the past year.

Moving forward in 2001, AutoTrader.com is focusing its efforts on maintaining the largest used car marketplace in America, developing new products and revenue streams (such as a new car marketplace announced this week) that will support the core business, further increasing brand awareness and traffic, maintaining a high level of customer service by scaling up staff to meet customer and site growth, and finally, achieving profitability within the next 12-18 months.

About AutoTrader.com

AutoTrader.com is the leading Internet destination and marketplace in the United States for buyers and sellers of used cars, light trucks, vans and sport utility vehicles and for consumers seeking information regarding automotive products and services, such as insurance, financing and warranties. AutoTrader.com, through its strategic alliances, aggregates in a single location an extensive network of industry participants and a comprehensive database of 1.5 million vehicle listings and automotive information to create an open marketplace that is local, regional and national in nature.

AutoTrader.com was formed in 1997 and is a majority-owned subsidiary of Manheim Auctions, Inc. which has been in business since 1945 and is the world's largest operator of wholesale auto auctions. Manheim Auctions, a wholly owned subsidiary of Cox Enterprises, Inc., a leading media conglomerate, is AutoTrader.com's principal stockholder and one of AutoTrader.com's strategic partners. Other investors and strategic partners include Trader Publishing Company, ADP, Inc., eBay, Inc. and the venture capital firm, Kleiner Perkins Caufield & Byers.