Youbet.com Announces Agreement to Carry the 135th Running of the Kentucky Derby and Churchill Downs 2009 Spring Meet

Business Wire, April 27, 2009

BURBANK, Calif. -- Youbet.com, Inc. (NASDAQ: UBET) announced today that it has reached an agreement with TrackNet Media that will permit Youbet.com members to wager on the Kentucky Derby for the first time since 2006, as well as permitting members to wager on the Churchill Downs 2009 Spring Meet.

“We are very excited to offer the first leg of the Triple Crown – the most prestigious event in all of horse racing – as content for our customers,” said Youbet.com Chief Executive Officer Michael Brodsky. “The Churchill Downs Spring Meet – especially the Kentucky Derby – is a perfect complement to the abundance of global content Youbet has added this year.”

On Saturday, April 25, Youbet.com began taking wagers on Churchill Downs, which will host Kentucky Derby 135 on Saturday, May 2. Along with the Kentucky Derby and the Spring Meet, Youbet Express customers are also able to wager on over 150 other racetracks in the United States, as well as numerous international racetracks, providing for nearly 20 hours a day of racing coverage. Youbet Express customers will have free access to WagerVantage™, an advanced suite of horse race wagering tools including WagerPadPro™, WagerQueuePro and “conditional wagering” to ensure that they will be able to place their bets under optimal criteria with the speed and flexibility needed to handle great wagering opportunities which abound with the Kentucky Derby.

“We are very pleased that we are able to come to an agreement to offer the Kentucky Derby to Youbet.com,” said Churchill Downs Incorporated senior vice president Kevin Flanery. “The Derby is the oldest continuously-held sporting event in the U.S., and the greatest two minutes in racing. We look forward to our continued strong working relationship, which will now include offering all of the Churchill Downs Spring Meet to Youbet.com customers, providing benefits for both companies and the horse racing industry.”

On Derby Day, Youbet is offering a special “$10,000 Derby Super Bonus” contest; customers who correctly pick the Derby Superfecta will win or share in $10,000. With 116,280 possible combinations, the Derby Superfecta is one of the toughest, and most rewarding, wagers of the year in horse racing and there is no better or faster wagering tool to tackle the Superfecta than WagerPadPro.

About Youbet.com, Inc.

Youbet.com, Inc. (NASDAQ: UBET) is a leading domestic online horse racing and horse betting site, the exclusive provider of live horse racing footage and racing results to ESPN.com and CBSSports.com and a leading supplier of totalizator systems to the pari-mutuel industry. Youbet’s website enables its customers to securely wager on horse races at over 150 racetracks each year worldwide from the convenience of their homes or other locations. Through its online platform, Youbet offers members real-time wagering, co-mingled track pools, conditional wagering capabilities, high quality live audio/video, up-to-the-minute track information, mobile wagering, race replay library, simultaneous X2 Video multi-race viewing capability and sophisticated ROI-based player analysis tools. In addition, through its United Tote totalizator systems subsidiary, Youbet provides hardware and software to its track partners, allowing them to process pari-mutuel wagers, issue and pay tickets, and calculate payoff odds.

Forward-Looking Statements

This press release contains certain forward-looking statements. These forward-looking statements, which are included in accordance with Section 21E of the Securities Exchange Act of 1934, as amended, may involve known and unknown risks, uncertainties and other factors that may cause Youbet's actual results and performance in future periods to be materially different from any future results or performance suggested by the forward-looking statements in this press release. Although Youbet believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that actual results will not differ materially from these expectations. Important factors that could cause actual results to differ materially from those in the forward looking statements include the difficulty of determining all of the facts relative to Section 382 of the Internal Revenue Code, unreported buying and selling activity by stockholders and unanticipated interpretations of the Internal Revenue Code and regulations as well as the risks and uncertainties discussed in Youbet's Form 10-K for the year ended December 31, 2008, and in Youbet's other filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this press release. Youbet does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions that may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.