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GEOCITIES CLOSES $9.0 MILLION INVESTMENT FROM SOFTBANK HOLDINGS, CHASE CAPITAL PARTNERS, INNOCAL, CMG@VENTURES AND FLATIRON PARTNERSGeoCities' Online Community Continues to Expand at More Than 25% a Month Santa Monica, CA, January 21, 1997 _ GeoCities (www.geocities.com), a pioneer in the development of Internet-based communities, today closed on a $9.0 million venture capital financing from SOFTBANK Holdings Inc., Chase Capital Partners, InnoCal, CMG @Ventures and Flatiron Partners. The partners invested in GeoCities to support the continued development of the company's successful model for online communities. The company has developed a broad set of tools and personal publishing facilities in support of its unique 'homesteading' program, whereby Net surfers are encouraged to express their interests and passions by setting up and maintaining a free home page in one of 29 themed communities. More than 300,000 homesteaders have established residency in GeoCities to date, and more than 3,500 new citizens move in each day. "The investment by SOFTBANK Holdings, Chase, InnoCal, CMG @Ventures and Flatiron Partners allows GeoCities to secure its position as the largest host of free personal home pages on the Web," said David Bohnett, founder and CEO of GeoCities. "This backing is indicative of the industry's belief in GeoCities' unique online community infrastructure as a successful revenue-generating model on the Web." Bohnett provided the initial seed funding for the company in November 1994. Subsequently, CMG@Ventures, a wholly-owned strategic investment and development subsidiary of CMG Information Services, Inc. backed GeoCities with additional venture capital in January 1996. "The astonishing growth that GeoCities has demonstrated signals an overwhelming response by the Internet community to the company's mission and business model," said Jerry Colonna, managing partner of Flatiron Partners. "With the growing demand for online communities, we believe GeoCities' model will continue to be the most successful on the Internet." GeoCities' revenue sources derive from advertising; a fee-based premium subscription service called GeoPlus; merchandising in the GeoStore; and the company's publishing unit, GeoPress Publishing. The GeoCities community design provides advertisers a way to reach a committed and targeted audience in a way that is not available at other commercial Web sites. The environment also allows for custom sponsorships and advertiser-supported creative promotions and marketing approaches. Eric Hippeau, the chairman and CEO of Ziff-Davis, will serve as SOFTBANK's representative on the GeoCities board of directors. According to Hippeau, "Content is king in any medium, but GeoCities recognizes the power of organizing communities on the Internet around special-interest content. Ziff-Davis pioneered the special-interest field and we are excited that GeoCities shares our vision." SOFTBANK Holdings Inc. is the holding company for all of the U.S. interests and activities of SOFTBANK Corporation, the leading infrastructure provider to the global information technology industry. SOFTBANK is the world's largest publisher of computer-related magazines and books, and is the world's leading producer of technology-related trade shows and expositions. In Japan, SOFTBANK is the largest distributor of computer software, peripherals, and systems. SOFTBANK, whose stock is traded over-the counter in Tokyo, had revenues of $1.6 billion in the fiscal year ended March 31, 1996. SOFTBANK has approximately 6,500 employees worldwide. SOFTBANK Holdings Inc. is the holding company for all of the U.S. interests and activities of SOFTBANK Corporation, the leading infrastructure provider to the global information technology industry. SOFTBANK is the world's largest publisher of computer-related magazines and books, and is the world's leading producer of technology-related trade shows and expositions. In Japan, SOFTBANK is the largest distributor of computer software, peripherals, and systems. SOFTBANK, whose stock is traded over-the counter in Tokyo, had revenues of $1.6 billion in the fiscal year ended March 31, 1996. SOFTBANK has approximately 6,500 employees worldwide. Chase Capital Partners is a global private equity partnership with over $3.5 billion under management. It is a leading provider of private equity and has closed over 500 individual transactions since its inception in 1984. Chase Capital Partners' sole limited partner is The Chase Manhattan Corporation, the largest bank holding company in the United States with total assets of approximately $320 billion. Flatiron Partners, founded in August 1996 as a joint venture of SOFTBANK Holdings and Chase Capital Partners, specializes in early stage Internet software, services and media companies primarily in the New York metropolitan area and along the East Coast. InnoCal is a private venture capital firm with $75 million of committed capital. Funding is provided exclusively by the California State Teachers' Retirement System (CALSTRS). The company's investment focus is on early and expansion stage, technology-based businesses that have the potential to be leaders within their respective industries. CMG@Ventures, a wholly owned strategic investment and development subsidiary of CMG Information Services, Inc. (NASDAQ:CMGI) provides intellectual and financial capital to companies seeking to further the commercialization of the Internet and interactive media. The CMG@Ventures team leverages extensive knowledge and hands-on experience in key areas including publishing, advertising, software development, finance, direct marketing services, worldwide Web development and Internet communications. CMG Information Services, Inc., parent of CMG@Ventures, is one of the world's largest providers of direct marketing lists and list services to publishers, and of product and service literature to financial services, high technology, and consumer electronics. Based in Santa Monica, CA, with advertising sales offices in New York and San Francisco, GeoCities is the 10th most visited destination on the World Wide Web, according to PC-Meter's 1996 Q4 Report. Additionally, Nielsen I/Pro reported that during November 1996, GeoCities received more than 103 million page views. GeoCities has forged strategic relationships with leading Internet-related companies including, BackWeb, Reuters New Media, WhoWhere?, Vicinity Corp. and Black Sun Interactive
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