BlueLight.com Teams with Kmart, Yahoo! and Spinway to Unveil Totally Free Internet Service en Espanol.

Business Editors/High-Tech Writers

Free ISP Service is Launched with Spanish-English CD-ROM Designed

for Bilingual Hispanic Community Available in Kmart Stores

SAN FRANCISCO & SANTA CLARA, Calif.--(BUSINESS WIRE)--Sept. 18, 2000

BlueLight.com's Totally Free Internet Service is opening doors to even more consumers by offering users the choice of Spanish or English service. BlueLight.com(TM), Kmart Corporation (NYSE: KM), Yahoo! Inc. (Nasdaq: YHOO) and Spinway, Inc. today announced the launch of a customized Spanish-language version of the record-breaking, no-cost Internet service.

Just a few weeks after signing up the four-millionth registered user to its popular English-language service, BlueLight.com (www.bluelight.com) is distributing millions of the free Spanish-language ISP CD-ROMs through 1,600 Kmart retail locations nationwide. BlueLight.com PC-based CD-ROMs are also available at no charge by calling the company's toll-free CD request line at 1-888-945-9255, staffed with English- and Spanish-speaking operators. In addition, the company will undertake a special mailing to the top 2,000 Hispanic trend-setters and opinion-leaders in the United States promoting the new bilingual service.

"Hispanics are among Kmart's most valuable customers and the fastest growing population segment of U.S. residents purchasing PCs and getting online, so it makes perfect sense to offer our highly successful Totally Free Internet Service in Spanish as well as English," said Dave Karraker, director of corporate communications for BlueLight.com. "We hope to do our part to significantly narrow the Digital Divide by offering our customers and their families our Totally Free Internet Service in their choice of the two most commonly spoken languages in North America."

By simply installing the Spanish-language BlueLight.com free Internet service software onto their home computers, consumers will be greeted by a co-branded BlueLight.com Mi Yahoo! start page that includes personalized information in Spanish, including relevant news, sports scores, weather forecasts and discount travel. Through an integrated Yahoo! en Espanol registration process, BlueLight en Espanol users can also sign up for a Yahoo! Mail account (http://correo.espanol.yahoo.com), and install a co-branded version of Yahoo! Messenger (http://messenger.yahoo.com/intl/e1/), Yahoo!'s popular instant messaging service.

"Yahoo! is pleased to join forces with BlueLight.com to better serve U.S. Hispanics, one of the fastest growing communities to embrace the Internet," said Jorge Consuegra, marketing director for Yahoo! Latin America. "Since readily available free access is a key factor that can help more people take full advantage of the Web, we are especially proud that Yahoo! will be integrated into this free ISP service."

"Kmart understands the important role the Internet can have to better the lives of Spanish-speaking Americans," said Leslie Kota, director of community affairs for Kmart Corporation. "For years we have conducted dedicated in-store programs designed to make the shopping experience more pleasurable and relevant for our Hispanic customers. Today's announcement reinforces our dedication to this market."

Through its relationship with Spinway, the BlueLight.com ISP is accessible by 96 percent of the United States population -- the largest ISP coverage currently available in this country. Serving more than 5,000 cities and towns nationwide, BlueLight.com also features free 24-hour customer service provided by Spinway, which is now available in Spanish.

To further promote the BlueLight.com Spanish-language free Internet service, the company, along with Yahoo!, who is an official sponsor of Major League Soccer, will be distributing more than 50,000 bilingual CD-ROMs at selected MLS games across the country this season. In addition, BlueLight.com will be hosting free "Get To Know the Internet" classes in November at the top 10 Hispanic-traffic Kmart stores in America, further helping to bridge the Digital Divide. The classes will include demonstrations of the BlueLight.com Totally Free Internet Service and the new low-cost BlueLight PC ($499).

The BlueLight.com online shopping site features thousands of products consumers use everyday, including Martha Stewart Everyday(R) home, garden and baby; Jaclyn Smith clothing for women; Sesame Street apparel for kids; and a wide selection of toys, music and videos. All items on BlueLight.com are value priced and can be returned at any Kmart store.

About Bluelight.com

Based in San Francisco, BlueLight.com is an independent company formed to leverage the substantial assets of Kmart Corporation, the nation's second-largest discount retailer. As Kmart's e-commerce channel, BlueLight's goal is to meet the online shopping needs of the more than 30 million Americans who visit a Kmart retail location each week, turning those consumers into BlueLight customers by offering "Great Brands at BlueLight Prices."

BlueLight's shopping site (www.bluelight.com) features thousands of products across multiple categories, including Martha Stewart Everyday(R) and other nationally recognized brands. BlueLight.com's Totally Free Internet Service, powered by Spinway, Inc., is the fastest growing Internet service in U.S. history with more than four million subscribers in less than nine months. BlueLight.com was formed in 1999 by Kmart Corporation and SOFTBANK Venture Capital with investments by Martha Stewart Living Omnimedia, Inc. For more information visit www.bluelight.com.

About Yahoo!

Yahoo! Inc. is a global Internet communications, commerce and media company that offers a comprehensive branded network of services to more than 156 million individuals each month worldwide. As the first online navigational guide to the Web, www.yahoo.com is the leading guide in terms of traffic, advertising, household and business user reach, and is one of the most recognized brands associated with the Internet.

The company also provides online business services designed to enhance the Web presence of Yahoo!'s clients, including audio and video streaming, store hosting and management, and Web site tools and services. The company's global Web network includes 23 local World properties outside the United States. Yahoo! has offices in Europe, the Asia Pacific, Latin America, Canada and the United States, and is headquartered in Santa Clara, Calif.

About Spinway

Incorporated in January 1999 Spinway, Inc. (www.spinway.com) is enabling Internet advertising to live up to its potential as the most powerful medium in the advertising industry. Spinway is rapidly establishing its advertising network by partnering with offline brand-leaders to co-brand their free ISP services. To enrich its co-branded free Internet access offering, Spinway has recently teamed with Yahoo! Inc., its preferred partner for content including personalized start pages and email. In seven months, Spinway has obtained over 5 million consumers, making it the fastest growing free ISP in history. Spinway offers advertisers a new approach to online advertising that uniquely targets consumers by demographics, psychographics, geographics, time-of-day and keywords.

Spinway's proprietary advertising technology tracks advertising impressions and enables full motion video ads to run while consumers are connecting to the service without any performance impact. Spinway does not sell its subscribers' personal information to advertisers. A sampling of co-branded free ISP partners includes: BlueLight.com, Kmart's online presence (NYSE: KM); OurHouse.com, the Internet's premier destination for home solutions, partnered with Ace Hardware; NBCi (NASDAQ: NBCI), a branded global integrated media company; Spiegel Catalog, Inc., the leading home-based retailer in women's apparel and home furnishings (NASDAQ: SPGLA); and Capital One (NYSE: COF), a major financial provider.