Survey: 61% of Nonprofits Are to Date on Target or Ahead of Expectations for 2004 Contributions, According to Kintera

Business Wire, June 30, 2004

SAN DIEGO -- A recent survey of nonprofits shows that 61% of respondents are to date either on target or ahead of expectations for 2004 contributions. Of those surveyed, 30% report that contributions to their organization are greater than expected; 31% say they are the same as expected; and 39% report contributions are less than expected. The web poll was conducted by "software as a service" provider Kintera(R) Inc. (Nasdaq:KNTA) from June 9 through June 29, 2004 via the company's website at www.kintera.com.

"Given that the majority of charitable organizations so far in 2004 have met or exceeded their fundraising expectations, this should be a very good year for nonprofits," says Dr. Harry Gruber, co-founder and CEO of Kintera. "Charity is a consumer product. More than 50% of consumers research a product online before purchase. Using the Internet to drive affinity for a cause is a likely factor in driving the growth of philanthropy."

About Kintera Inc.

Kintera(R) Inc. (Nasdaq:KNTA) is an innovative provider of software as a service that helps nonprofit organizations foster a powerful sense of community to achieve their mission. Kintera's Knowledge Interaction technology strengthens an organization's community by providing volunteers, members, donors and staff web-based tools to efficiently fulfill their tasks and share real-time data and information. The company's Internet innovations include its Friends Asking Friends(R) solicitation program and Kintera Sphere(TM), an enterprise-grade software system that provides content management, contact management, communication tools, commerce applications, community-building features and reporting functions. Kintera's technology is built on a unified database and payment processing engine. A web browser is all that is needed to use Kintera Sphere to help increase donations, reduce fundraising costs and build awareness and affinity for a cause. For more information, visit Kintera at www.kintera.com.

Forward-Looking Statements

In addition to historical information, this press release contains forward-looking statements (including, without limitation, express or implied statements regarding the adoption of Internet marketing software by nonprofit organizations) that involve risks and uncertainties. These forward-looking statements represent our estimates and assumptions only as of the date hereof. These statements reflect our current views with respect to future events and are based on assumptions and subject to risks and uncertainties. These statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements. These risks and uncertainties include, without limitation: our limited operating history; our history of losses; our dependence on increased acceptance by nonprofit organizations of online fundraising; lengthy sales cycles for major customers; our need to manage growth; risks associated with accounting for and processing large amounts of donations; the rapidly changing technologies and market demands; and other risks identified in our filings with the Securities and Exchange Commission. Given these uncertainties, you should not place undue reliance on these forward-looking statements.