Mpath Interactive, Inc.
                 Consolidated Statements of Operations
               (In thousands, except per share amounts)
                               Unaudited

                                                 Three Months Ended
                                                      March 31,
                                                  1999         1998
Revenues:
   Live Communities                            $  1,120     $    317
   Foundation                                     1,008        1,134
       Total revenues                             2,128        1,451

Cost of net revenues:
   Live Communities                               1,659          584
   Foundation                                       231          192
       Total cost of revenues                     1,890          776

Gross profit                                        238          675

Operating expenses:
  Research and development                        1,543          779
  Sales and marketing                             2,331        1,852
  General and administrative                      1,438          767
  Stock based compensation                          936          650
     Total operating expenses                     6,248        4,048

Loss from operations                             (6,010)      (3,373)
Interest income (expense), net                       34          (15)
Net loss                                       ($ 5,976)    ($ 3,388)

Net loss per share, basic and diluted          ($  1.89)    ($  1.73)
Weighted average shares outstanding               3,169        1,958

Pro forma loss per share,
 basic and diluted                             ($   .38)    ($   .27)
Number of shares used in
 pro forma calculations(a)                       15,731       12,375

(a)  Pro forma share counts are computed using the weighted average
     number of common shares outstanding, including the pro forma
     effects of the automatic conversion of all of the Company's
     outstanding preferred stock into common stock as of the beginning
     of the period.

                        Mpath Interactive, Inc.
                      Consolidated Balance Sheets
                            (In thousands)

                                               March 31,  December 31,
                                                 1999        1998
                                              (Unaudited)
ASSETS
Current assets:
  Cash and cash equivalents                     $14,770    $ 1,114
  Accounts receivable, net                        1,797      2,226
  Prepaid expenses and other                      1,097        710
     Total current assets                        17,664      4,050

Property and equipment, net                       2,347      1,878
Other assets                                        268        249
     Total assets                               $20,279    $ 6,177

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
  Accounts payable and accrued expenses         $ 2,327    $ 1,872
  Accrued payroll and related liabilities         1,173      1,029
  Current portion of capital
   lease obligations                                439        458
  Deferred revenue                                  756        332
  Notes payable                                     863      2,426
     Total current liabilities                    5,558      6,117

Convertible note payable                          1,864      1,864
Capital lease obligations,
 net of current portion                             232        326
     Total liabilities                            7,654      8,307

Stockholders' equity (deficit)                   12,625     (2,130)
    Total liabilities and
     stockholders' equity                       $20,279    $ 6,177