Critical Path Receives Proposal to Take Company Private.

SAN FRANCISCO -- Critical Path, Inc. (OTC:CPTH) ("Critical Path"), a leading provider of messaging software and services, announced today that it has received a non-binding preliminary proposal (the "Proposal") from General Atlantic, LLC ("General Atlantic"), Cheung Kong (Holdings) Limited ("Cheung Kong") and certain of their respective affiliates to take the Company private by acquiring all of the publicly held common stock of the Company at $.102 per share and to recapitalize the Company by converting all of its outstanding Series E Redeemable Convertible Preferred Stock ("Series E preferred stock"), Series D Cumulative Redeemable Convertible Preferred Stock ("Series D preferred stock") and 13.9% promissory notes (the "13.9% notes"), which mature on June 30 2008, at the same price on an as-converted basis. General Atlantic, Cheung Kong and their respective affiliates together hold about 92% of the 13.9% notes, approximately 97% of the Series D preferred stock of the Company and approximately 34% of the Series E preferred stock, which, on an as-converted basis, allows them to control the vote of the 13.9% notes, Series D preferred stock and common stock.

The board of directors of the Company has formed a special committee of independent directors (the "Special Committee") consisting of Michael Shannahan and Ross Dove. The Special Committee has engaged Gibson, Dunn & Crutcher LLP as its independent legal counsel and Oppenheimer & Co. Inc. as its independent financial advisor. The Special Committee, together with its independent advisors, is currently evaluating the Proposal. There is no assurance that this proposal or any other proposal will be consummated.

About Critical Path, Inc.

Critical Path's Memova[R] solutions provide a new and improved email experience for millions of consumers worldwide, helping mobile operators, broadband and fixed-line service providers unlock the potential of email in the mass market. Memova[R] Mobile gives consumers instant, on-the-go access to the messages that matter most. Featuring industry-leading anti-spam and anti-virus technology, Memova[R] Anti-Abuse is designed to protect consumers against viruses and spam. Memova[R] Messaging provides consumers with a rich email experience, enabling service providers to develop customized offerings for high-speed subscribers. Headquartered in San Francisco with offices around the globe, Critical Path's solutions are deployed by service providers throughout the world. More information is available at www.criticalpath.net.

Note to Editors: Critical Path and the Critical Path logo, Memova and the Memova logo and Messages that Matter are the trademarks of Critical Path, Inc., some of which are registered in various jurisdictions. All other trademarks are the property of their respective holders.