CNN News Group, WebMD Announce Strategic Alliance.

ATLANTA--(BUSINESS WIRE)--Feb. 16, 1999--

WebMD to be Premier Provider of Health

and Wellness Information on CNN.com 

Multi-faceted Deal Includes Exchange of Online Content,

On-air and Online Co-branding and Promotion of WebMD

Association with CNN.com's Health Section and

Multi-year Advertising Commitment by

WebMD across CNN Nets

CNN Takes Equity Stake in WebMD

The CNN News Group, the world's news leader, and WebMD, the Internet's first full-service healthcare portal, have entered into a strategic alliance covering the exchange of online content, brand promotion and advertising.

Under the terms of the alliance, CNN and WebMD will exchange online content, and WebMD will receive on-air and online branding and promotion of its association with CNN Interactive's health section across the CNN News Group assets, including CNN television networks, CNN Newsource, CNNRadio and the CNN Web sites.

WebMD also has committed to a three-year multi-million dollar ad campaign across six CNN television networks and will become one of the CNN News Group's top advertisers. In addition, the CNN News Group will take an equity position in WebMD.

Starting in April 1999, CNN Interactive will begin using WebMD as the site's premier provider of health and wellness information to supplement and enhance CNN.com/Health, which offers Internet users the latest news and updates on health issues and medical technology and research. Subscribers to WebMD's healthcare professional Web site will be able to access the constantly updated CNN Headline News summary through that site's Physicians Lounge.

"We are excited by the multi-faceted nature and breadth of this alliance with WebMD, a company which promises to be a major player in the fast growing world of online healthcare," said Tom Johnson, chairman, president and CEO, CNN News Group. "Our aim at CNN is to create the most compelling, meaningful and interactive content for our Internet users, and WebMD's rich resources of in-depth health data and information make this a great marriage of content, providing our users with the best all-round online health news experience."

"With this alliance, WebMD will gain major exposure both on television and online to professionals and consumers through the reach of the CNN asset base," said Jeffrey Arnold, chairman and CEO, WebMD. "In particular, CNN is the ideal media company, as our research shows that more than twice as many doctors get their news from CNN than from any other television news source, including the broadcast networks(a). We share a commitment with CNN not only to provide comprehensive and timely health news and information, but to help nurture and sustain support communities for consumers with similar health conditions and concerns."

"We are pleased that WebMD has chosen the CNN News Group and its demographically attractive and unrivaled U.S. and international audience to advertise and market its leading online healthcare business," said Larry Goodman, president, News Sales and Marketing, Turner Broadcasting Sales. "The CNN News Group has the capability to deliver more than 470 million television viewers, allowing WebMD to target both general consumers and healthcare professionals alike."

CNN.com will link to specific sections on the WebMD site for greater depth, related stories and other interactive features and also will feature WebMD branding in its health section and on its medical and health-related message boards. In addition, CNN Interactive and WebMD will work together to create new editorial features for CNN.com/Health, as well as developing co-branded medical and health-related chats to supplement the regular Friday health chat on CNN.com.

Starting in March 1999, WebMD will launch a three-year global advertising campaign running across all the English-language CNN television networks with a reach of 320 million households, including two 30-second spots running during the airing of Your Health on both CNN/U.S. and CNN International.

Launched October 5, 1998, WebMD, Inc. (www.WebMD.com) offers a comprehensive suite of Internet-based services for physicians, including a premier medical information library; a virtual office with real-time insurance verification and referral authorizations, unified messaging and telephone-based patient test results; customized Web sites for physician practices; competitively priced supplies and hundreds of Continuing Medical Information courses. Its separate consumer Web site offers a broad range of premium branded content and services designed to allow Internet users to take charge of their health and to access healthcare professionals, resources and communities.

CNN Interactive is responsible for the award-winning news site, CNN.com, as well as seven other Web sites and the distribution of CNN news content via other distribution platforms such as PageNet pagers and PointCast. The CNN Web sites generate more traffic and attract more unduplicated Internet users than any other company's general news and information Web sites. The CNN Web sites averaged 105 million page impressions per week during January 1999 and served a total of 4.4 billion page impressions during 1998.

The CNN News Group is one of the largest and most profitable electronic news and information companies in the world. The hub of the CNN News Group is the Cable News Network (CNN), distributed to 73 million U.S. households. Altogether, the CNN News Group is available to more than 800 million people worldwide with six cable and satellite television networks (CNN, CNN Headline News, CNN International, CNNfn, CNN/SI and CNN en Espanol), three private, out-of-home networks (including CNN Airport Network), two radio networks, nine Web sites and CNN Newsource, the world's most extensively syndicated news service.

(a)Source: Penn, Schoen & Berland Associates - 11/24/98