Capitol Records New Media Teams with iMedium To Create Dynamic, Viral Web Promotion for Everclear Record Release.

Business/Technology Editors

LOS ANGELES, Calif.--(BUSINESS WIRE)--June 27, 2000

Single Picture Ignites Six Weeks of Exclusive Content on Fan,

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Hear The New CD Before it Hits Stores

Combining industry leading marketing expertise with cutting-edge technology, Capitol Records New Media has teamed with iMedium, the Web's premier enabler of visual e-business interactions, to launch an online promotion that will allow fan, radio, retail and lifestyle sites to host exclusive content being made available to promote the much anticipated July release of Everclear's fourth album, SONGS FROM AN AMERICAN MOVIE VOL. 1: LEARNING HOW TO SMILE.

Using iMedium's visual interaction technology platform, Capitol Records New Media has designed an interactive picture or ViBE(TM) that allows Everclear fans to access constantly changing, exclusive content during the six weeks leading up to and after the album's July 11 release. The promotion, which can be previewed http://preview.imedium.com/everclear/, includes a full album listening party before the street date, access to the band's entire video library, Everclear radio hosted by AOL/Spinner.com's Chris Douridas, live chats and more.

"With iMedium's visual interaction technology, we found a tremendously effective way to harness the power of our promotional efforts by turning existing pictures into highly engaging and purposeful interactive visual content," said Robin Bechtel, Head of New Media for Capitol Records. "The Everclear ViBE not only promotes the upcoming record release and increases site "stickiness," it also provides fans with exclusive entertainment opportunities and awesome content for their sites, helping them to drive traffic as well."

Given the unparalleled ease of use of this technology, Capitol New Media was able to quickly distribute the ViBE to radio sites, lifestyle sites and retail sites in the U.S. and Canada as well as directly to fans via email and grassroots marketing efforts. Thus far, over 200 websites have joined the promotion. In addition, fans will be empowered to virally distribute the ViBE through easy to use "send to a friend" and "host on your site" features.

"What we've already seen in the early stages of this promotion is that because it's so easy, fans have been trading this ViBE in newsgroups, chat rooms, clubs, and more," added Bechtel. "We know this because the technology allows us to track traffic on the picture, wherever it appears as it's passed on."

"We are very pleased to be working with one of the most sophisticated New Media departments in entertainment," said Brian Dooner, president and founder of iMedium. "Capitol has done an excellent job in leveraging the strength of our visual interaction technology platform to create interactive content that is both entertaining and purposeful. The Everclear ViBE is creating viral distribution and word-of-mail(TM) buzz, allowing Capitol's marketing campaign to reach places traditional banners and emails have never been."

"These tools allow sites of all levels of sophistication to participate in promoting the release to our consumers well before the album's release without alienating the retailer," said Scott Parry of the CIMS Groups (Coalition of Independent Retailers).

About Capitol Records (www.hollywoodandvine.com)

Capitol Records New Media, founded in 1993, creates and markets websites, enhanced CDs and DVDs, as well as implements online street teams and focus groups for the label. Early pioneers in Internet marketing, Capitol Records New Media created in 1994 the first website destination called Megadeth, Arizona which won numerous awards and was the first website to garner major media attention. The department also broke new ground by developing the Web's first digital postcard and first real-time chatroom. The Capitol Records label site -- Hollywood and Vine -- was nominated "best music site" by Yahoo! Internet Life and was called "one of the best music-related websites sites to be found," by the Los Angeles Times. Hollywood and Vine received more public recognition when they became the first major recording label to enter into the world of e-commerce by offering the sale of the first digital single for Capitol artist Duran Duran.

Capitol Records New Media has created sites and promotions for The Beach Boys, Paul McCartney, The Beatles, John Lennon, Bonnie Raitt, Everclear, Meredith Brooks, Radiohead, The Beastie Boys and Frank Sinatra.

About iMedium (www.imedium.com) Make your business visible(TM)

iMedium's technology platform delivers highly visual, intuitive Web interactions to business customers, prospects, and trading partners. An iMedium image or "ViBE" delivers informative, engaging, and efficient interactive end-user experiences. Businesses can now more effectively merchandise, advertise, contextually cross/upsell and can service customers in a visual way - the way we normally interact with the world. ViBEs also allow businesses to track customer interactions with products and related visual content.

Founded in 1999, iMedium is based in Wayne, PA, near the headquarters of its lead investor/incubator, Safeguard Scientifics (NYSE:SFE)

Six-weeks to the new Everclear release includes (1)...

Week #1: free download of the album track, "Now That It's Over" from Everclear's new CD -- LEARNING HOW TO SMILE.

Week #2: new Everclear video channel, including their latest video "Wonderful," Everclear's entire video library, and never-seen interview footage!

Week #3: an Everclear listening party of the full album before it hits the streets, sponsored by Broadcast.com & Yahoo!

Week #4: band interview and special live performance

Week #5: "Amazingmail" post cards of never before seen Everclear photos fans can send for free through the US Mail

Week #6: Everclear radio hosted by Chris Douridas of AOL's Spinner.com.

(1) subject to change