Copernic Inc. Announces 2008 First Quarter Results

Copernic Inc., (the "Company"), (NASDAQ: CNIC), a leading software development company in the technology sector, specializing in internet, desktop and mobile search products, today reported its financial results for the first quarter ended March 31, 2008. Unless otherwise stated, all figures in this release are in US dollars.

Financial Highlights

- Revenue was $1.7 million for the first quarter 2008, same as fourth quarter 2007 compared to $2.6 million in the first quarter of 2007

- Net loss of $1.1 million ($0.07 per share) for the first quarter 2008 compared to net loss of $1.4 million ($0.10 per share) in the first quarter 2007

- Total expenses were at $2.2 million for the first quarter 2008 compared to $3.3 million for the first quarter 2007

- Liquidities sufficient to meet normal operating requirements until end of Q1 2009, were at $6.2 million as of March 31, 2008, compared to $6.9 million as of December 31, 2007.

Recent Highlights

- Won first prize in CTIA wireless 2008 E-Tech Award, recognized for innovation in the Enterprise solutions Category

- Signed licensing deal with multi-national consulting firm for a corporate wide site license of Copernic Desktop Search Corporate Edition

- Expanded global reach of Copernic desktop Search Corporate Edition with availability in French, German and Spanish

At the end of Q1 2008, Copernic took action and focused on a cost reduction plan for approximately $1.5 million on an annualized basis of which $1 million is related to reduced manpower. Mr. Ferland recently appointed President and CEO stated "these costs reductions are necessary in order for the Company to achieve profitability in the future." Furthermore, he stated "marketing programs would be launched immediately to monetize Copernic's technology in order to increase revenues."

Financial Results for the quarter ended March 31, 2008

Revenues in the first quarter of 2008 totalled $1,709,000, down from $2,643,000 in the first quarter of 2007 mainly due to a decline in search and graphic advertising. Revenues in Q1 2008 were slightly higher than Q4 2007 by $55,000.

Gross margin in the first quarter 2008 was 60%, compared to 66% in the same quarter in 2007 mainly due to higher payouts to partners which deliver better quality traffic and usage of more bandwidth for having run our new Canadian data centers in parallel with the ones located in the United States. In April 2008 our US data centers were shut down.

Expenses in the first quarter of 2008 were at $2,182,000, compared to $2,751,000 excluding write-downs and settlement costs in Q4 2007 and $3,288,000 in Q1 2007.

Net loss in the first quarter 2008 was $1,086,000 ($0.07 per share), compared to a net loss of $1,381,000 ($0.10 per share) in the same quarter 2007.

Liquidities totalled $6,179,000, which was a decrease of 693,000 over the balance as at December 31, 2007. Liquidities included restricted cash of $828,000 which should be entirely available by the end of Q2 2008.

About Copernic Inc.

Copernic Inc. specializes in developing, marketing and selling cutting-edge search technology, providing innovative home and business software products and solutions for desktop, web and mobile users, through its online properties, including www.mamma.com and www.copernic.com .

With its award winning Copernic Desktop Search® software search engine product, the Company brings the power of a sophisticated, yet easy-to-use search engine to the user's PC. Additionally, Copernic Inc. provides both online advertising as well as pure content to its vast array of partnerships worldwide through its well established media placement channels. Copernic handles over 1 billion search requests per month and has media placement partnerships established not only in North America, but also in Europe and Australia.

More information can be found at www.copernic-inc.com .

Statements contained in this press release, which are not historical facts, are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties that can cause actual results to differ materially from estimated results. Such risks and uncertainties are detailed in the Company's filings with the Securities and Exchange Commission and the Ontario Securities Commission. The Company expressly disclaims any intent or obligation to update any description of the scope, focus or subject matter of the statements in this press release.