J2/National Lampoon Advances Internet Advertising and E-Commerce Strategies

Los Angeles, California, UNITED STATES

Company Hires Internet Ad Firm That is Preferred Ad Solution for IBM, Top Brands; Also Hires E-Commerce Consultants Specializing in Brand Name Entertainment Including South Park, ER, Star Wars, Rugrats and Austin Powers

LOS ANGELES, Sept. 8, 1999 (PRIMEZONE) -- J2 Communications (Nasdaq:JTWO), an Internet-based comedic entertainment company owning National Lampoon, announced today the hiring of Internet advertising firm Phase2 Media and e-commerce service provider The eMarket Group.

J2 Chairman and CEO James P. Jimirro said, "The hiring of these reputable firms advances our strategy to generate revenue through the sale of advertising as well as related merchandise on our site. We chose to outsource these tasks to top firms in the business. This will allow us to concentrate on building the most creative and outrageous content possible on our nationallampoon.com site." The Company intends to launch its humor network through its interactive Internet site nationallampoon.com in the fall of 1999. The humor network will feature a wide variety of new characters, interactive activities, animated shorts, outrageous satirical stories, and will be supplemented with classic material from the National Lampoon archives.

"We hired Phase2Media based upon their comprehensive understanding of both our site and the desirable demographic makeup of our target audience: middle-to-upscale men between the ages of 18 and 49," Jimirro said. "Phase2Media has successfully sold advertising space on a host of sites, including American Greetings; the Wire: News from the Associated Press; ELLE.com; and Maxim magazine. In this competitive advertising environment, we hired one of the most experienced, innovative leaders in the field."

Richy Glassberg, chairman and CEO of Phase2Media said, "The National Lampoon brand speaks volumes, whether in print, film or on the Web. With such strong brand recognition, we are confident that advertisers will acknowledge the powerful potential of National Lampoon on the Internet."

Phase2Media is a strategic marketing and Internet advertising firm based in New York. The firm represents branded sites to advertisers, groups sites into "networks" by audience or content affinity and help marketers make the most effective media buys. Phase2Media emphasizes targeted marketing partnerships in order to best serve its growing network of branded sites. Phase2Media partners with NetGravitity (Nasdaq:NETG) to provide its sites with the most advanced ad management and serving capabilities.

J2/National Lampoon selected The eMarket Group for the maintenance and fulfillment of the e-commerce store on its nationallampoon.com site. The Company plans to sell apparel, posters, gag items, gifts, and gimmicky products such as "roadkill beanie babies" under its National Lampoon Store on the site. The Nationallampoon.com store, entitled "Smash and Grab", will hold contests in which a lucky winner may "break-in" to the store to grab merchandise for free.

"The eMarket Group has the resources to assist us in inventory management, customer service, product development and fulfillment services. eMarket also provides broad based TV and movie stores for Tribune media, and Hollywood Stock exchange, carrying products from South Park, Austin Powers, Star Wars, Star Trek, X-Files, Xena, Seinfeld, Buffy the Vampire Slayer, ER and Rugrats. We are impressed with the firm's track record and their unique combination of Internet creativity and efficiency," added Jimirro.

eMarket Group Vice President of Marketing John Wells said, "Nationallampoon.com's new content, animated features and no-holds-barred humor will offer significant merchandising opportunities. As the popularity of the site and the new characters build momentum, we will seize the potential to exploit their enormous brand name appeal and build on their new humor network hits. Of course, their store will also offer products from the National Lampoon archives, such as CD-Roms and back issues of the magazine and radio show."

The eMarket Group, based in Portland, OR, is an Internet consulting firm specializing in e-commerce for branded entertainment product. The firm provides a way for entertainment sites, fan sites and major studios to sell popular licensed merchandise to their visitors without needing a warehouse, inventory or customer support.

Based in Los Angeles, CA, J2 Communications, which owns National Lampoon, is an Internet-based entertainment company. The Company is creating an interactive comedy network on its website Nationallampoon.com. The site will contain hilarious new characters, stories and features as well as entertainment classics from the national Lampoon archives. The Company plans to sell related merchandise and advertising space on the site to supplement its current revenue base from licensing agreements. Nationallampoon.com will be launched in the fall of 1999.