BANYAN SUBSIDIARY SWITCHBOARD COMPLETES AOL REORG.

Switchboard Inc, the Banyan Systems Inc subsidiary which in August 1998 had a very public falling-out with America Online (CI No 3,485) (NBD 08/31/98), says it has completed the realignment of its business relationship with AOL. The documents filed by Switchboard rival Infospace Inc before its IPO revealed that AOL had not renewed its contract with Switchboard's White Pages directory service and had given the business to Infospace instead. At the time, Switchboard president Dean Polnerow said AOL wanted more money from Switchboard than Switchboard was prepared to pay, and that the online service also wanted to claim hits on the White Pages as part of its own aggregate hits. This meant those hits could not be counted to Switchboard. Polnerow said Switchboard had hoped to make its money back from ad revenues, but that space on AOL had proved harder to sell than expected. The companies admitted that Switchboard's provision of the Yellow Pages service to AOL was also under review. Now AOL says it will let the Yellow Pages contract expire as well. The parting is not entirely unamicable, however. AOL and Switchboard have agreed to work together in other areas, including on AOL's Digital City business. In addition, AOL will retain its 10% equity interest in Switchboard.