Printer Friendly

Intuit to invest $40 million in Excite; Companies to Create the Premiere Personal Finance Channel on the Internet.

REDWOOD CITY/MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--June 11, 1997--Intuit (NASDAQ:INTU) and Excite (NASDAQ:XCIT) announced today that Intuit will make a $40 million equity investment in Excite and that the companies are entering into a seven-year agreement to program, promote and distribute a new online financial channel. The alliance combines Excite's core competencies in distribution and programming with Intuit's strengths in financial software and content to create the Web's foremost channel for personal finances.

Large-scale distribution and content relationship

Beginning this summer, the new financial channel will feature content and services designed to help consumers organize and manage their personal financial lives and make better financial decisions. The channel will include financial information and news, stock quotes, directories of services, tracking and decision tools and transactional services. The companies expect that revenue will be generated from a combination of advertising and fees for enabling transactions for financial products and services.

The new financial channel will be distributed throughout the Excite Network - including Excite, WebCrawler and Magellan - as well as through Quicken Financial Network and actively promoted to Quicken's installed base of 10 million software customers.

"With this collaboration, Intuit and Excite have pioneered a new model integrating distribution and content," said George Bell, president and CEO of Excite. "Excite Network's 2.5 million daily users combined with Quicken's 10 million active users will give the companies unprecedented cross-promotion and distribution opportunities."

"The Web truly enables us to improve the way people manage their finances, make financial decisions, and shop for financial services," said Scott Cook, chairman and co-founder of Intuit. "This alliance with Excite will increase the speed with which we will be able to deliver these solutions and dramatically expand the number of people we can reach."

Under the agreement, Intuit will become the exclusive provider and aggregator of financial content on all of Excite's services, and Excite will become the exclusive search and navigation service featured in Intuit's popular Quicken, QuickBooks and TurboTax products.

In the transaction, Intuit will purchase 2.9 million shares of Excite common stock, representing approximately 19 percent of Excite's common shares outstanding (excluding preferred stock and options). Based on a fixed price of $13.50 per Excite share, the transaction is valued at approximately $40 million. The transactions between the two companies have been approved by both Boards. Intuit's investment is subject to certain terms and conditions, including execution of a definitive agreement and obtaining regulatory approval.

About Intuit Inc.

Intuit Inc., a financial software and Web-based services company, develops and markets Quicken, the leading personal finance software; TurboTax, the best-selling tax preparation software; and QuickBooks, the most popular small business accounting software. Intuit's Quicken Financial Network (www.quicken.com) offers a complete set of personal finance news, information, and tools, including the leading mutual fund and insurance sites. Intuit's products and services enable individuals, small businesses, and financial professionals to better manage their financial lives and businesses.

About Excite, Inc.

Founded in 1994, Excite, Inc. is a leading navigation hub on the Internet. The Excite Network consists of four leading brands: Excite (http://www.excite.com), WebCrawler (http://webcrawler.com), Excite City.Net (http://city.net) and Magellan (http://www.mckinley.com). Excite offers topic-based channels of information where consumers can find topical news and content, reviews and guides, bulletin boards, chat and search. WebCrawler offers consumers simple, but powerful online search solutions. Excite City.Net offers travelers a comprehensive travel resource for travel planning, complete with destination information and transaction capabilities. The Magellan Internet Guide offers a catalog of "green light" or safe sites on the Internet. Based in Redwood City, Calif., Excite, Inc. (NASDAQ: XCIT) has strategic relationships with America Online, Inc., Tribune Company, CUC Investments Inc., Apple Computer, Inc. and Netscape Communications Corp. -0-

Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including and without limitation, risks relating to consumer acceptance of the companies' proposed personal finance channel; the consummation of Intuit's investment in Excite; the ability of Excite to realize sustained increases in users resulting from its recent advertising campaign; the ability of Excite to experience increases in traffic from AOL, Netscape and other online and Internet access providers; the demand for advertising on the companies' proposed personal financial channel, as well as continued increases in the number of companies advertising on Excite's current services and on the Web generally; the commercial acceptance and success of new "gateways" to the Web such as WebTV; the viability of the Internet as a commercial medium; continued acceptance of the companies' respective products and services; technological changes; governmental regulations, including but not limited to those relating to content on and usage of the Internet and the Web; general economic conditions; and other risks detailed in Intuit's and Excite's most recent annual and quarterly reports on Forms 10-K and Forms 10-Q (as amended), on file with the Securities and Exchange Commission.

Intuit, the Intuit logo, Quicken, QuickBooks and TurboTax, among others, are registered trademarks of Intuit Inc. in the United States and other countries. Quicken Financial Network, among others, is a trademark of Intuit Inc. in the United States and other countries. Other names or brands may be trademarks or registered trademarks of their respective holders. -0-

EXCITE/INTUIT

MEDIA AND ANALYST ALERT

What: Conference call for media, industry analysts and financial

analysts

Who: Intuit, Inc. (NASDAQ:INTU) and Excite (NASDAQ:XCIT)

Why: Intuit to Invest $40 Million in Excite: Companies to

Create the Premiere Personal Finance Channel on the Internet

When: 2 p.m. Pacific time (5 p.m. Eastern time) today, Wed.

June 11, 1997. Call 1-800-779-4815. No code required.

If you are unable to participate, you may call

1-800-839-8474 to listen to a taped recording of the call.

Intuit Chairman Scott Cook and Excite President and

CEO George Bell will discuss the announcement and answer

questions.

CONTACT: Intuit

Jennifer Glass, 415/944-3569

jennifer_glass@intuit.com

or

Excite

Melissa Walia, 415/569-2213

melissa@excite.com
COPYRIGHT 1997 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1997, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

Article Details
Printer friendly Cite/link Email Feedback
Publication:Business Wire
Date:Jun 11, 1997
Words:1013
Previous Article:3Com and U.S. Robotics shareholders approve largest merger in data networking industry.
Next Article:Catalyst Semiconductor, Inc. Announces Fiscal Year-End Results.
Topics:


Related Articles
America Online and Intuit Announce Major Multi-Million Dollar Content and Commerce Agreement.
America Online Launches Powerful New Insurance Center Featuring Services of Intuit's Quicken InsureMarket.
Online Insurance Leaders Quotesmith.com and Quicken InsureMarket From Intuit to Share Services in New Alliance.
AOL, INTUIT TEAM UP TO CREATE ONLINE HOUSEHOLD BILL PAYMENT SERVICE.
CheckFree To Provide Routing, Tracking and Infrastructure to Support Intuit's New Electronic Billing and Payment Service Offering.
Major Online Retail and Internet-Related Service Sites to Offer Access to Quicken TurboTax for the Web.
Americans Flocking to AOL to File Tax Returns Online.
Tools for your financial life.
America Online Launches Intuit's Quicken Bill Manager, Teaming to Create a Simple, Convenient Way to Manage All Household Bills Online.
INTUIT SELLS BILL PAYMENT BUSINESS TO CHECKFREE.

Terms of use | Privacy policy | Copyright © 2018 Farlex, Inc. | Feedback | For webmasters