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To: Glenn D. Rudolph who wrote (18620)	9/27/1998 3:57:00 PM
From: Jan Crawley	Read Replies (1) \| Respond to of 164684

Glenn, the following does not clearly answer the questions, have to dig a little more, I think there is an 8K filing about a month ago regarding specifically to the two acquisitions. (am on my way to the office, maybe I can find the print copy there) Per 10K filed, 8/14/98 In April 1998, the Company acquired three Internet companies: Bookpages Limited ("Bookpages"), Telebook, Inc. ("Telebook") and Internet Movie Database Limited ("IMDB"). Bookpages and Telebook are online booksellers. Bookpages has operations in the United Kingdom, and Telebook has operations primarily in Germany through its ABC Bucherdienst subsidiary. IMDB operates a comprehensive repository for movie information on the Internet. Each of the acquisitions was accounted for under the purchase method of accounting. The aggregate purchase price of the three acquisitions, plus related charges, was approximately $55 million. The consideration for the acquisitions was comprised of cash and common stock. The Company issued an aggregate of approximately 1.1 million shares of common stock to effect the transactions. The Company will amortize the intangibles resulting from the acquisitions over two years. On August 4, 1998, the Company announced that it had entered into definitive agreements to acquire 100% of the outstanding shares and assume all outstanding options of Junglee Corporation ("Junglee") and Sage Enterprises, Inc. ("PlanetAll") in exchange for equity having an aggregate value of approximately $280 million. The Junglee acquisition closed on August 12, 1998. Junglee develops Web-based virtual database technologies to help consumers find products on the Internet. PlanetAll provides contact management services via the Internet, including Web-based address, calendar and reminder features. The Company has issued approximately 1.6 million shares of common stock and assumed all (approximately 300,000) outstanding options in connection with the acquisition of Junglee and will account for this transaction under the purchase method of accounting. The Company will issue approximately 800,000 shares of common stock and assume all (approximately 100,000) outstanding options in connection with the acquisition of PlanetAll and anticipates accounting for this transaction as a pooling of interests. The PlanetAll transaction is expected to close during the quarter ending September 30, 1998, subject to customary closing conditions. The Company anticipates that the application of purchase accounting guidelines to the Junglee purchase will result in substantial additional charges to its operating results. Under the purchase method of accounting, the purchase price is allocated to the assets acquired and liabilities assumed based on their estimated fair values. Management anticipates allocating the purchase price to the fair values of the tangible assets, intangible assets and technology, some of which has not reached technological feasibility and therefore has no alternative future use. In addition, the Company anticipates recording costs related to the Junglee and PlanetAll acquisitions in the quarter ending September 30, 1998. In addition, both entities are currently incurring operating losses. The Company intends to continue investing in product development, marketing and sales, and general and administrative activities for the acquired companies, and expects that such expenses, combined with amortization of goodwill and other purchased intangibles, will significantly exceed revenues generated by the companies for the foreseeable future.