Planet America Inc. PNTC Zeroes in On $1.7 Trillion E-commerce Market by Franchising the Month Ahead Community and Internet Guide

Business Wire, July 13, 1999

BUFFALO, N.Y.--(BUSINESS WIRE)--July 13, 1999--

Planet America Inc. (NASDAQ OTC BB: PNTC) confirmed today that it has entered into an agreement with Franchise Bancorp Inc. to develop and market a franchise system for Planet Newspapers Inc., a wholly-owned subsidiary of Planet America Inc. (PNTC) and publishers of The Month Ahead Community and Internet Guide.

The agreement specifies that Franchise Bancorp Inc. will prepare a franchise package for The Month Ahead to be utilized in the sale of licensed territories to local entrepreneurs who will be called Area Publishers (licensees).

Franchise Bancorp Inc. is experienced in franchising and territory licensing of retail outlets with specialty stores in many fields of retailing -- home decor, residential lighting, giftware, decorative accessories, collectibles, kitchenware, nature giftware, pet food, pet supplies and accessories. With over 140 retail outlets, the group does over $60 million in business every year.

"The advantage of franchising The Month Ahead is that it allows us to streamline and focus all our energies on epla.net Local Area Webs(tm) themselves, while still reaping the benefits of increased community awareness, local content, and users," Emmanuel Casalino, VP of Sales and Marketing, said.

The Month Ahead Community and Internet Guide is a new twist on an existing business that local entrepreneurs, advertisers, and consumers can easily relate to. Initially delivered free to every household in a town, The Month Ahead acknowledges that community lifestyle and commerce-that make up 90 percent of people's time and spending habits -- will need a significant transition period as they shift from bricks and mortar to online, and that certain inalienable characteristics of local life and local economies will require some hybrid between traditional and new media. Planet believes the present must be linked to the future to tap the Internet's true potential. Television needs print guides that the general public can follow, and so does the Internet.

Through this franchise approach, Planet America Inc. (PNTC) is zeroing in on e-commerce revenues in over 1,200 communities across North America alone. Publishers of The Month Ahead will operate profitable businesses by saving people time and money; that loyalty will drive users onto LAWs(TM), where a high trust-factor and convenient local fulfillment will strengthen Planet America's position as the preeminent e-commerce player in a market expected to top $1.7 trillion within a few short years. And epla.net's long-term revenue potential is greater still.

Planet America Inc. (PNTC) recently executed an irrevocable Investment Agreement for the sale of Common Stock to Swartz Private Equity, LLC of Roswell Georgia, up to an aggregate amount equal to $25 million, with an option to expand the equity line up to $35 million upon mutual agreement of the parties. The sale of common stock is subject to registration and certain other conditions. Today's announcement allows Planet America to maximize this agreement, and rapidly accelerate its revenue-generating online growth strategies.

There are 5,766,000 shares outstanding in Planet America Inc. (PNTC) with 700,000 in the float. Since January 1, 1999 the stock has traded at a high of $10.25 a share. PNTC stock closed Monday July 12, 1999 at $2.69 a share.

This release contains forward-looking statements made by Planet America Inc. which may involve known and unknown risks, uncertainties and other factors that may cause Planet America Inc.'s actual results and performance in future periods to be materially different from any future results or performance suggested by these statements. No regulatory agency has either approved or disapproved the contents of this release.