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Strategies & Market Trends : Mr. Pink's Picks: selected event-driven value investments -- Ignore unavailable to you. Want to Upgrade?

To: Mr. Pink who wrote (9419)	6/15/1999 5:32:00 PM
From: 2MAR$	Read Replies (2) \| Respond to of 18998

(BSNS WIRE) Hitsgalore.com Finalizes Agreement for $100 Million Investme Hitsgalore.com Finalizes Agreement for $100 Million Investment From Life Foundation Trust Business Editors RANCHO CUCAMONGA, Calif.--(BUSINESS WIRE)--June 15, 1999-- Hitsgalore.com, Inc. (OTC BB:HITT) today announced that it has received and accepted a Subscription Agreement from the Life Foundation Trust for an equity investment of $100 million for five million shares, or $20 per share. The Subscription Agreement formalizes an earlier Agreement in Principal between the parties. Under the terms of the Subscription Agreement the Trust will pay $100 million cash to Hitsgalore.com within one year. The Subscription Receivable will be secured by an assignment of certain assets held by the Life Foundation Trust. The Subscription is a binding legal obligation of the Life Foundation Trust. The stock to be received by the Trust following shareholder approval will be restricted, and held by the Trust pursuant to a lock-up agreement. Steve Bradford, CEO of Hitsgalore.com, said, "We are pleased with the continuing vote of confidence from the Trust, and we believe that this transaction will be beneficial to the long-term financial well-being of the Company. Amidst the turmoil compounded by negative rumors and innuendo, the Company remains profitable and the response to our radio ads has been very good. We are focused on the future, with new products and offerings under development to further enhance our business model." Hitsgalore.com is in the midst of a national radio ad campaign that is driving traffic to its website at hitsgalore.com. The Company projects positive cash flow from its unique business model of giving away free lifetime banner placements, and generates sales from its sponsorships, Keyword Bid & Rank program and Local City Editions. The company believes this compares favorably with other Internet portals and search engine companies such as Lycos, Inc. (Nasdaq:LCOS), Excite, Inc. (Nasdaq:ATHM), Infoseek Corporation (Nasdaq:SEEK) and Yahoo! Inc. (Nasdaq:YHOO). Hitsgalore.com strives to provide porn-free searching and does not accept or encourage any porn or adult-content listings on its site. Included in this release are "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, as amended, and as that term is defined in the Private Securities Litigation Reform Act of 1995. Although the company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations reflected in such forward-looking statements will prove to have been correct. The company's actual results could differ materially from those anticipated in the forward-looking statements as a result of certain factors including sales levels, distribution and competition trends and other market factors. --30--jd/mi* CONTACT: Hitsgalore.com, Inc., Rancho Cucamonga Danny Gavin, Investor Relations: 800/300-5388 or investor@hitsgalore.com KEYWORD: CALIFORNIA INDUSTRY KEYWORD: COMPUTERS/ELECTRONICS COMED INTERACTIVE/MULTIMEDIA/INTERNET Today's News On The Net - Business Wire's full file on the Internet with Hyperlinks to your home page. URL: businesswire.com