CMGI Reinforces Commitment to NaviSite.Business/Technology Editors ANDOVER, Mass.--(BUSINESS WIRE)--Dec. 1, 2000 CMGI CMGI Commonly Maintained Grounds Infrastructures CMGI College Marketing Group Information (Services) , Inc. (Nasdaq: CMGI) Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. David Wetherell today reiterated CMGI's continued support of its NaviSite, Inc. (Nasdaq: NAVI) majority-owned subsidiary majority-owned subsidiary A firm in which more than 50% of outstanding voting stock is owned by the parent company. , and announced that the company expects to accelerate its previously announced $80 million funding of NaviSite, subject to the negotiation of terms and conditions. CMGI previously increased its original financing commitment to NaviSite from $50 million to $80 million in order to compensate for any loss of funding NaviSite might experience from its institutional lenders. As discussed in CMGI's recent financial guidance disclosures, the $80 million advance to NaviSite is reflected in CMGI's projections for fiscal 2001. Negotiation of terms for the advance has begun and the parties expect to announce a definitive agreement to provide the financing within the next two weeks. NaviSite is a majority-owned operating company operating company A business that engages in transactions with outsiders. founded by CMGI in 1997, and a leading provider of outsourced Web hosting Making a Web site available on the Internet. Many ISPs host a few personal Web pages for an individual at no additional cost above the monthly service fee, but the address is subordinate to the ISP; for example, www.friendlyisp.com/pat_smith. and application services See ASP and Web services. for companies conducting mission-critical business on the Internet. "The business metrics for NaviSite continue to exceed expectations," stated Wetherell, "particularly as NaviSite increases its focus on large and middle-market enterprise customers. The managed services An umbrella term for third-party monitoring and maintaining of computers, networks and software. The actual equipment may be inhouse or at the third-party's facilities, but the "managed" implies an ongoing effort; for example, making sure the equipment is running at a certain quality sector in which NaviSite now operates is one of the brightest and most promising sectors in the Internet marketplace See vertical portal and Web hub. today, and CMGI remains committed to helping NaviSite reach its full potential as a leader in this sector." About CMGI and CMGI @Ventures CMGI, Inc. (Nasdaq: CMGI), a leading global Internet operating and development company, represents a network of nearly 70 established and emerging companies, including both CMGI operating businesses and synergistic investments made through its venture capital affiliate, CMGI @Ventures. Companies in the CMGI network span a range of vertical market segments including search and portals; infrastructure and enabling technologies; e-business and fulfillment; interactive marketing; and Internet professional services. CMGI leverages the technologies, content and market reach of its extended network to foster rapid growth and industry leadership across the Internet Economy. Compaq, Microsoft, Pacific Century CyberWorks and Sumitomo hold minority positions in CMGI. CMGI's majority-owned operating companies include Engage (Nasdaq: ENGA), NaviSite (Nasdaq: NAVI), 1stUp.com, Activate, AltaVista, CMGion, Equilibrium, ExchangePath, MyWay.com, NaviPath, SalesLink, Tallan, uBid.com and yesmail.com. CMGI @Ventures has ownership interests in 54 companies, including Terra Lycos (Nasdaq: TRLY), Critical Path (Nasdaq: CPTH), MotherNature.com (Nasdaq: MTHR MTHR Mobile Telecommunications and Health Research (UK) ), Ventro (Nasdaq: VNTR VNTR Variable Number of Tandem Repeat(s) ) and Vicinity (Nasdaq: VCNT). CMGI's corporate headquarters is located at 100 Brickstone Square, Andover, MA 01810. CMGI @Ventures has offices there, as well as at 3000 Alpine Road, Menlo Park, CA 94028. For additional information, see http://www.cmgi.com and http://www.ventures.com. This release contains forward-looking statements which address a variety of subjects including, for example, the successful negotiation, completion and approval of each company's Board of Directors of definitive financing agreements Financing Agreements In the context of project financing, the documents which provide the project financing and sponsor support for the project as defined in the project contracts. between CMGI and NaviSite and the expected terms of any such definitive agreements CMGI may enter into with NaviSite. The following important factors and uncertainties, among others, could cause actual results to differ materially from those described in these forward-looking statements: the parties may be unable to reach agreement on terms and conditions for the financing; the shareholders of NaviSite may not grant necessary approvals; NaviSite's technology and products may not successfully interoperate with those of third parties; NaviSite may experience difficulties integrating technologies, operations and personnel of recent acquisitions. NaviSite's success depends on the continued acceptance of the Internet as a medium; continued demand for NaviSite's products and services; increased competition and technological changes in the markets in which NaviSite competes; and possible failure of systems or internal infrastructure. For a detailed discussion of these and other cautionary statements, please refer to the filings made by each of NaviSite and CMGI with the Securities and Exchange Commission, including each company's Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for its most recently ended fiscal year. |
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