Enters European Market, Inks Content Licensing and Revenue Share Deal With Italy's Largest Publisher

Mondadori of Italy to use Content On Its Portal and Both Parties Explore Larger Joint Venture

Published March 3, 2000 5:21PM (EST) (Nasdaq: SALN - news;, one of the leading Internet media companies, and
Arnoldo Mondadori Editore, Italy's leading publishing company, today announced a licensing agreement that will provide Mondadori, through its portal (, with editorial content from

In the first of a number of planned initiatives in Europe, will provide Mondadori with its award-winning content, including Salon News,
Technology, Arts and Entertainment, Travel and Health. In addition to the licensing agreement, will receive a share of advertising revenue from pages that feature content and will also have the right to sell some of the advertising space on those pages.

``We're thrilled to be partnering with Mondadori, one of the great European publishing companies to expand the brand internationally,'' said
Michael O'Donnell, CEO & President. ``We're seeing increased demand from European consumers and sponsors for and this alliance
with Mondadori begins to extend our reach internationally, just as the Internet is experiencing huge penetration increases.''

According to the Computer Industry Almanac (February 2000), over 57% of the Internet's population in 2000 will be outside the United States. That number
will grow to almost 70% of the Internet's population outside the U.S. by 2005.

``We've built a great information engine at that we're monetizing in many ways, not only through sponsorship and advertising revenue, but
increasingly through syndication and now international licensing with this agreement with Mondadori,'' O'Donnell said. launched last year, and includes content areas covering news, leisure, women's issues and technology. In addition to, the site
features material from ZDNet and Vol Ftp, Italy's leading provider of down-loadable software, games and images. It also includes content from other
Mondadori publications as well as Einaudi, Electa and Elemond books.

`` is one of the few U.S. Internet brands that has international appeal and we look forward to marketing within to build
a sizable audience and increased revenues internationally,'' said Maurizio Costa, CEO of Arnoldo Mondadori Editore. also has international relationships with AltaVista and Microsoft, with which they are developing the first electronic book for the Italian
market, and aims to build up its Internet position through international alliances with Internet leaders like and by developing e-commerce.

``We also plan to explore syndication of information onto mobile phones and wireless devices through,'' added Costa. ``Their
content is so portable and a natural distribution vehicle to expose millions of Europeans and Italians, in specific to's compelling information.'''s international efforts are being led by Executive Vice President Andrew Ross. Ross, a media veteran and one of's co-founders, was a
foreign news editor with The San Francisco Examiner as well as an international reporter with The Guardian newspaper, based in the United Kingdom.

``We've received incredibly favorable reviews from European media outlets for's unique style and perspective and have constantly been asked to
bring our popular brand to Europe,'' said Ross. ``With this first alliance with Mondadori in Italy, we plan to open up new audiences, creating a significant
following and incremental revenue streams.''

About (; AOL Keyword: Salon) is an Internet media company that produces a network of 11 original content sites and two communities
-- Table Talk and The Well. was founded by David Talbot, a former
editor at the San Francisco Examiner. Premier advertisers and sponsors of include IBM, Lexus, Microsoft, Virgin Megastore Online, Intel,
eVineyards,, and EDS. has relationships with more than 325 advertising sponsors. In December 1999, the site had 3.4 million unique visitors as audited by Audit Bureau
of Circulations. recently announced an equity and content agreement with Rainbow Media Holdings, Inc., a subsidiary of Cablevision Systems Corporation and
NBC, to develop online content and's first television series, targeted to air on Bravo, the Film and Arts Network, in Fall 2000.

Recently, announced a content agreement with Red Hat, a leading provider of open-source and Linux software, and with, the fourth
largest, U.S.-based personal software company. also distributes its content to leading online and Internet companies such as America Online
(AOL). Other Internet sites that carry content on a regular basis include Lycos,, Alta Vista, Reuters, and Cnet. In the wireless
and handheld arenas, has signed content distribution agreements with AvantGo and Rocket eBooks. also syndicates through United
Features Syndicate and has an e-commerce ticketing and advertising sponsorship sales agreement with CultureFinder.

About Arnoldo Mondadori Editore

Arnoldo Mondadori Editore, Italy's leading magazine and book publisher, was founded in 1907. The group's business activities are organized into six areas:
books, magazines and advertising, printing, direct marketing, computer publishing and new media, online.

With annual revenues, in 1998, of more than $1.2 billion, a staff of around 5,100 and an extremely solid financial structure, Mondadori covers the entire range
of publishing activities, from the creation of products to printing, distribution and sales.

By Salon Staff

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