The Knot Reports First Quarter 2003 Financial Results; Revenue Grows by 41% and Net Loss is Reduced by 92% Compared to 2002

Business Wire, May 13, 2003

Business Editors

NEW YORK--(BUSINESS WIRE)--May 13, 2003

The Knot, Inc. (OTCBB:KNOT.OB)(www.theknot.com), the nation's leading wedding resource, today reported financial results for its first quarter ended March 31, 2003.

FIRST QUARTER 2003 RESULTS

The Knot reported net revenues of $8.7 million for the first quarter of 2003, an increase of 41% from net revenues of $6.1 million for the comparable prior year quarter. National and local online advertising more than doubled to $2.9 million, and merchandise and publishing revenue increased by 23% and 15%, respectively.

The Knot also reported a net loss for the first quarter of 2003 of $195,000, or $0.01 per basic and diluted share, as compared to a net loss of $2.5 million, or $0.15 per basic and diluted share, in the first quarter of 2002. Total operating expenses for the first quarter were $5.9 million, a slight decrease from the $6.2 million incurred in the prior year.

"The pattern of performance and growth that we established last year continues into 2003 with an emphasis on expanding The Knot brand and increasing the products and services that we offer," said David Liu, CEO of The Knot. "Our results this quarter reflect the strength of our business model, and we look forward to the balance of 2003 with confidence in our ability to further enhance our leadership position in the bridal market."

THE KNOT'S RECENT HIGHLIGHTS

The Knot began 2003 with two significant announcements - the extension of its agreement with MSN and the extension of its longstanding relationship with America Online, Inc. With long-term presence through these leading online distribution partners solidly in place, The Knot can continue to focus its efforts on offline avenues for brand distribution.

In April, The Knot announced that it teamed up with "The View," ABC Daytime's popular talk and entertainment program, to bring to life the fantasy weddings of the show's famed co-hosts: Barbara Walters, Meredith Vieira, Star Jones, and Joy Behar. Every Thursday from April 24 through May 15, Carley Roney, co-founder and Editor-in-Chief of The Knot, walked them through their very own fantasy weddings, from the engagement rings to the wedding cakes of their dreams.

In addition, The Knot continues to leverage its existing technology and creative talents with the launch of Prom Spot (www.promspot.com), the first and only all-in-one prom and party-planning site of its kind on the World Wide Web. Just in time for prom-planning season, the nation's millions of potential prom-goers can now turn to PromSpot.com for the biggest prom dress finder, prom planning to-dos and how-tos, savvy articles, message boards, plus fun quizzes and polls on all things prom.

ABOUT THE KNOT INC.

The Knot Inc. (OTCBB: KNOT; www.theknot.com; AOL keyword: weddings) is one of the world's leading wedding media and services companies, providing today's to-be-weds with comprehensive wedding planning information, interactive tools, and resources. Its award-winning website, TheKnot.com, is the leading online wedding destination and wedding content provider to America Online, MSN and Yahoo!.

The Knot also offers a diverse collection of wedding-planning print publications. The Knot produces a national publication, The Knot Magazine, and, through its subsidiary Weddingpages, Inc., publishes WEDDINGPAGES, regional wedding magazines covering more than 20 U.S. markets. In addition, the Company publishes a wedding-planning book trilogy with Random House's Broadway Books and a gift book series with Chronicle Books. The Knot is based in New York and has several other offices across the country.

This release may contain projections or other forward-looking statements regarding future events or the future financial performance of The Knot. These statements are only predictions and reflect the current beliefs and expectations of The Knot. Actual events or results may differ materially from those contained in the projections or forward-looking statements. It is routine for internal projections and expectations to change as the quarter progresses, and therefore it should be clearly understood that the internal projection and beliefs upon which The Knot bases its expectations may change prior to the end of the quarter. Although these expectations may change, The Knot will not necessarily inform you if they do. The Knot's policy is to provide its expectations not more than once per quarter, and not to update that information until the next quarter. Some of the factors that could cause actual results to differ materially from the forward-looking statements contained herein include, without limitation, (i) The Knot's unproven business model and limited operating history, (ii) The Knot's history of losses (iii) the significant fluctuation to which The Knot's quarterly revenues and operating results are subject, (iv) the seasonality of the wedding industry and (v) other factors detailed in documents The Knot files from time to time with the Securities and Exchange Commission, including its recent filings on Forms 10-K and 10-Q. Forward-looking statements in this release are made pursuant to the safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995.