SFX Entertainment and Ticketmaster Announce Exclusive Ticketing Agreement

Business Wire, Nov 16, 1998

NEW YORK and LOS ANGELES --(BUSINESS WIRE)--Nov. 16, 1998--SFX Entertainment, Inc.(NASDAQ: SFXE) and Ticketmaster, a USA company (NASDAQ: USAI), jointly announced today that they have signed a long term worldwide agreement for Ticketmaster to have the exclusive right to sell and distribute tickets for any and all SFX events.

The agreement is scheduled to commence on January 1, 1999.

Commenting on the agreement, Robert F. X. Sillerman, Executive Chairman of SFX Entertainment, Inc., said, "This is truly an important moment for SFX, our shareholders and our customers. This ticketing agreement achieves all of our objectives in creating a fair financial package that in every way delivers the benefits which we have previously indicated were available to us. For the public, this new relationship will allow us, with the approval of all concerned parties, to further expand to all of our amphitheaters a program we started earlier this year offering reduced ticket prices at some of our venues. We are especially gratified to be extending our relationship with Ticketmaster, with whom we and our predecessor companies have a had long-standing association. Furthermore, our new partnership will extend beyond the revenue sharing arrangement we have reached. Both sides have agreed to develop joint ventures to expand merchandising and promotional opportunities and to share in implementing new marketing promotions and affinity programs. We eagerly look forward to participating as partners and to sharing our own resources and the many valuable marketing and media assets which Ticketmaster and its parent company have assembled."

Barry Diller, Chairman and Chief Executive Officer of USA Networks, Inc., said, "I think it's just great that Ticketmaster and SFX could have resolved their short but slightly contentious past in such a positive way for the future. For both companies, this arrangement provides the hope for many joint undertakings that should greatly benefit each."

Terry Barnes, President and Chief Executive Officer of Ticketmaster, said, "This relationship with SFX is an important part of the ongoing evolution of Ticketmaster. The synergy between our respective entities, both on a loproperties."

SFX Entertainment is a leading promoter, producer and venue operator for live entertainment events. It owns and/or operates the largest network of venuill have 68 venues, including 32 amphitheaters 30 million people attended 11,300 SFX events. Sorts franchises and hundreds of leading arenas, stadiums, performing arts venues and theaters; serving more than 3,750 clients in the U.S., South America, Canada, Mexico, Europe, and Australia. Ticketmaster offers its clients comprehensits, family entertainment, performing arts and movies.

USA Networks, Inc. is a diversified media and electronic commerce company with assets that include the following: USA Network; The Sci-Fi Channel; Studios USA, which consists of first-run production & distribution, TV movies & miniseries and network production & development; USA Broadcasting; Home Shopping Network; Ticketmaster; USA Networks Interactive and Internet Shopping Network, whose primary service is First Auction. The company also owns a controlling interest in Ticketmaster Online-CitySearch, Inc., a leading provider of local content and live event ticketing on the World Wide Web.