Times Mirror to Acquire Minority Investment in Alternate Marketing Networks; Investment Expected to Generate Strategic Business Opportunities for Both Companies

Business Wire, August 23, 1999

GRAND RAPIDS, Mich.--(BUSINESS WIRE)--Aug. 23, 1999--

Alternate Marketing Networks Inc. (Nasdaq:ALTM) announced today that definitive agreements have been reached for the Times Mirror Company to invest in the Company. The transactions are expected to close in September.

Times Mirror intends to make a direct investment in shares of common stock issued by the Company and to acquire shares from a private investor. The total investment position from these two transactions will represent approximately 16 percent of Alternate Marketing Networks' outstanding common stock. Times Mirror will gain representation on the Company's Board of Directors, which will be expanded from four to five directors.

Alternate Marketing Networks' Chairman and Chief Executive Officer Phillip D. Miller expects the agreement to generate meaningful new business opportunities for both companies.

"We plan to make this an active strategic relationship," said Miller. "We see immediate opportunities with Times Mirror's portfolio of high profile newspapers such as the 'Los Angeles Times' and 'Newsday.' In addition, this investment ensures that we can continue our internal growth and continue to invest in our proprietary systems."

"Alternate Marketing Networks has, over the last two years, repositioned itself in the areas of providing direct distribution for consumer product samples and sourcing national advertising for newspaper networks," said Edward L. Blood, Times Mirror Vice President, Strategic Planning. "We expect to work closely with Alternate Marketing Networks to strengthen our sourcing capabilities, expand our direct distribution business and provide an improved and more complete service to our advertisers."

The announcement regarding the Times Mirror investment is the most recent in a series of announcements made by Alternate Marketing Networks. On Aug. 10, the Company reported its second straight quarter of growth, with a 66 percent increase in revenues over the previous year and a gross profit of 23.4 percent. During the second quarter, the Company announced that the Kellogg Company had selected Alternate Marketing Networks as Kellogg's preferred vendor for all in-home sampling campaigns. In addition, the Company announced that 20-year media veteran Celeste Lavezzari had joined its executive team as Vice President, Media Director to oversee newspaper sampling and the expansion and creation of new network opportunities. The Company also announced significant enhancements to its Internet-based End-To-End(TM) tracking system, which provides clients with up-to-the-minute status of sampling campaigns via the Internet.

About Times Mirror

Times Mirror (NYSE:TMC) (PCX:TMC), a Los Angeles-based news and information company, publishes 'The Los Angeles Times,' 'Newsday,' 'The Baltimore Sun,' 'The Hartford Courant,' 'The Morning Call,' 'The (Stanford) Advocate' and 'Greenwich Time'; a wide array of professional information for the aviation, training and health improvement markets; and consumer magazines.

About Alternate Marketing Networks

Alternate Marketing Networks is a national marketing services company focusing on targeted consumer product sampling, suburban newspaper advertising and delivery of phone directories. The Company provides these unique services by utilizing its proprietary national database, the Media Optimizer(TM), its verification system, its Internet-based End-To-End(TM) tracking system and its Direct Delivery capabilities.

Some of the statements included in this news release are not historical facts but are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to the safe harbor created by that statute. Such statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Some of these risks and uncertainties are discussed in Alternate Marketing Networks' filings with the Securities Exchange Commission, which are publicly available. Readers are cautioned not to place undue reliance on the forward-looking statements. Neither Times Mirror nor Alternate Marketing Networks undertakes to publicly release the results of any revisions to these forward-looking statements, which may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.