Contact Information: Contact: Frank R. Erhartic, Jr. 434-239-4272 Email Contact
Sitestar Acquires Assets of OneWest.net
Acquisition Fortifies Company's Foothold in the Northwestern United States
| Source: Sitestar Corporation
LYNCHBURG, VA -- (MARKET WIRE) -- March 1, 2007 -- Sitestar Corporation (OTCBB : SYTE ), a
provider of residential and business Internet access, web hosting and
value-added products and services, announced today that it has purchased
the customers and assets of OneWest.net, an Internet Service Provider (ISP)
having customers in Idaho, Wyoming and Montana. The acquisition will
appreciably increase the company's revenue and it significantly adds to
Sitestar's customer base within the Northwestern United States where
Sitestar acquired many subscribers of Idacomm Corporation's Velocitus
Internet Services division in 2005.
As one of the largest privately-held ISPs in the region, OneWest.net
provides dial-up and broadband Internet access and email services, web
hosting and domain name registration to both consumers and businesses
across Idaho, Wyoming and Montana. Sitestar plans to support the
OneWest.net customers by purchasing network services from Contact
Communications and by utilizing its own customer provisioning and billing
platform and existing call center personnel to maximize profit margins.
The company also expects to increase the customer base by leveraging the
strong OneWest.net brand to attract new customers.
"Our acquisition methodology targets ISP's that have successfully developed
strong brand awareness and deep customer loyalty which are paramount to
achieve sustainable income," said Frank R. Erhartic, Jr., CEO for Sitestar.
"OneWest.net considerably boosts our subscriber count, generates steady and
predictable revenue and supports our strategy to expand our broadband
customer base. Plus, this deal strengthens our foothold within the region
where we expect to continue to grow through new customer sign-ups and
additional acquisitions."
Sitestar anticipates the migration of the OneWest.net customer base to its
own infrastructure to be seamless and smooth. "We're delighted to welcome
the new OneWest.net customers to Sitestar and pledge to deliver exceptional
service and support," said Mr. Erhartic.
Safe Harbor for Forward-Looking Statements
This press release contains forward-looking statements that are based on
management's expectations, estimates, projections and assumptions. The
Company assumes no obligation except as required by law to update the
forward-looking statements contained in this press release as a result of
new information or future events or developments. These forward-looking
statements generally can be identified by words such as "believes,"
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statements are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995, as amended. These statements are
not guarantees of future performance and involve certain risks and
uncertainties, which are difficult to predict. Therefore, actual future
results and trends may differ materially from what is forecast in
forward-looking statements due to a variety of factors, including and
without limitation, as found in the Company's reports filed with the
Securities and Exchange Commission.
About Sitestar
Sitestar (www.sitestar.com) is an Internet and computer solutions provider
that offers narrow-band (dial-up) services and broadband Internet access
services (ISDN, DSL, satellite, cable and wireless), Web hosting and
design, and other value-added services including web acceleration, spam and
virus filtering as well as spyware protection. Headquartered in Lynchburg,
Virginia, Sitestar maintains multiple sites of operation and provides
services to customers throughout the U.S. and Canada, with concentrations
of customers in the Mid-Atlantic and Rocky Mountain regions in the U.S. and
in Ontario, Canada. With a focus on competitive pricing, reliability,
service and speed, Sitestar delivers customer value.