Brazil's McInternet Project Targeted at Bridging Digital Divide.

Business Editors/High-Tech Writers

FORT LAUDERDALE, Fla. & SAO PAULO, Brazil--(BUSINESS WIRE)--April 29, 2003

America Online Latin America, Inc. (Nasdaq:AOLA):

-- McDonald's Brazil, AOL Brazil, and Banco Itau Will Collaborate

to Establish the First McInternet Network in the World

-- AOL Brazil Will Provide Special Content and Exclusive Internet

Access at Hundreds of McDonald's Locations Throughout Brazil

-- Underscores AOL Latin America's Focus on Developing Targeted

Marketing Initiatives

AOL Brazil, a subsidiary of America Online Latin America, Inc. (Nasdaq:AOLA), one of the leading interactive services providers in Latin America, and McDonald's Brazil, one of the most popular restaurant chains in Brazil, today announced a five-year marketing agreement to provide access to the virtual world of the Internet through McDonald's restaurants in Brazil. Also participating in the project will be Banco Itau. According to McDonald's, a collective investment of US$ 20 million will support the project.

"We would like all our customers to have the opportunity to access the world wide web," said Eduardo Mortari Jr., Vice President of Finance and Information Technology for McDonald's Brazil. "To facilitate accessing the McInternet Portal, we will staff our restaurants with trained employees to demonstrate how to navigate through the exciting world of the Internet. In fact, a major part of the program will be the courses offered to our customers, from the most basic on how to go online to the use of more advanced tools such as e-mailing, doing research online, and using instant messaging." According to Mortari, 1,200 new employees are expected to be involved in the McInternet program.

Under the terms of the agreement, AOL Brazil will develop special content for the McInternet Portal and will provide exclusive Internet access at McDonald's 584 restaurants in the country. The implementation will begin gradually in the states of Sao Paulo and Rio de Janeiro, where the majority of McDonald's restaurants are located. Computer terminals will be prominently located and available at each restaurant with 15 minutes to one hour online limits varying according to the time of day. To access a computer, a customer must show a receipt from that restaurant for a purchase made that day. Furthermore, McDonald's customers who sign up for the AOL Brazil service via specially promoted in-restaurant software CDs, will enjoy a special price for the unlimited usage plan. AOL Brazil will donate 33% of the first payment made by each customer who registers using these special CDs to the Ronald McDonald's Institute, whose mission is to provide appropriate treatment for Brazilian children with cancer.

Charles Herington, President and CEO of AOL Latin America, said: "Adding McDonald's, one of the world's premier consumer brands, to AOL Latin America's list of marketing partners is a great step in our efforts to target our member acquisition efforts. Together, AOL Brazil and McDonald's are making it easier for consumers to experience the power of the Internet and to demonstrate that power to McDonald's young and vibrant community of customers. We're also proud to be helping the Ronald McDonald Institute in its efforts to provide cancer treatment to the children of Brazil."

According to Milton Camargo, President of AOL Brazil, this project is designed to help bridge the digital-divide in Brazil. "The McInternet program should play an important role in our society, by providing Internet access to a large portion of our population, especially to those who do not have a computer at home. A big advantage of the program is that these customers will have personalized support from McDonald's employees who will teach them how to navigate through the web and to take full advantage of the online tools available through the AOL service."

About AOL Latin America

America Online Latin America, Inc. (Nasdaq: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 http://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.

About McDonald's

McDonald's is the world's leading food service organization, operating over 31,000 restaurants in more than 100 countries on six continents. Serving nearly 46 million people each day, the Corporation generated more than $ 40 billion in Systemwide sales during 2002.

In Brazil, McDonald's operates 584 restaurants and 700 kiosks in 125 cities, with over 36,000 employees, more than 150 franchisees and serves an average of 1.5 million people per day.