Youbet.com Delivers Strong Derby Weekend Results

Business Wire, May 04, 2009

Over $7.5 million wagered on the Youbet Express platform during Oaks & Derby Weekend

BURBANK, Calif. -- Youbet.com, Inc. (NASDAQ: UBET) announced today an exceptionally strong Derby weekend for the company with over $7.5 million wagered this past Friday and Saturday, an increase of 115% year-over-year. Total two-day Youbet.com handle results across all Youbet offerings were down just 2.1% from 2006, which was a record-breaking Derby weekend and the last time that Youbet carried the Derby.

Youbet.com’s market share of handle of the Oaks Day card and Churchill Derby Card were equal with the record-breaking year of 2006 at 2.3% and 2.0%, respectively. In addition, the Derby race card produced the third-best day in company history in terms of handle on the Youbet Express system. Customers who logged in during the Derby card enjoyed the new WagerVantage™ advanced suite of horse race wagering tools including WagerPadPro™, WagerQueuePro, conditional wagering and the high-quality xStreamAV video.

“We are so pleased to be able to bring together the best racing content in the world, including all the 2009 Triple Crown races to our customers,” said Youbet.com Chief Executive Officer Michael Brodsky. “Even though the costs of content have risen this year, this weekend’s results demonstrate Youbet’s commitment and ability to deliver the best experience for our customers. Further, we believe this weekend we proved that we not only have the best wagering platform available but our Player Services team handled the day exceptionally well with the shortest wait times in the industry.”

Youbet also congratulates Jason M., who placed a $1 Superfecta box – a $24 total bet – using the top four finishers in the Kentucky Derby – Mine That Bird, Pioneer of the Nile, Musket Man and Papa Clem. Mine That Bird’s stunning victory at 50-1 odds – the second biggest upset in Kentucky Derby history – triggered a tote-busting Superfecta payoff of $278,503 for a $1.00 base bet. As the only winning Superfecta ticket holder on Youbet.com, Jason is the winner of Youbet’s $10,000 Derby Super Bonus in addition to the Superfecta jackpot.

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.