NetZero Launches Value-Priced Long Distance Service

NetZero Enters into Agreement with CNM Network


WESTLAKE VILLAGE, Calif., June 6, 2002 (PRIMEZONE) -- United Online, Inc. (Nasdaq:UNTD), a leading provider of value-priced Internet access through its NetZero and Juno Internet services, today announced that NetZero has entered into an agreement with CNM Network, Inc. to offer CNM's value-priced long distance telephone plans under the NetZero brand. Through these NetZero Long Distance plans, NetZero and CNM Network will offer the lowest residential prices currently available from any national carrier. Users will have the choice of two plans: the "Unlimited 0 Cent Per Minute Plan" offering users unlimited* calling for $29.95 a month, or the "1 Cent Per Minute Plan," which offers users up to 500 minutes for one cent per minute plus $9.95 a month.

There is no special telephone equipment required and users do not need to switch phone companies. Users can monitor their usage, dates, times, lengths and location of calls and all billing functions through an automated real-time, online account manager that continually updates information and allows the consumer to personally manage their account. By centralizing these services online, consumers gain added flexibility and always know the status of their account. After a user signs up for the service, the process to access the long distance service requires a user to simply dial a local access number, followed by a PIN number, then the phone number they are dialing. The user can speed-dial the local access number and use the "Quick PIN" feature to eliminate the first two steps of the process.

"We are pleased to be offering CNM's long distance services under the NetZero brand," said Brian Woods, executive vice president and chief marketing officer of United Online, Inc. "Our ISP users have been requesting a value-priced long distance service for quite some time, and we are happy to bring this compelling offer to them. Offering users a high-quality, affordable long distance service as a complement to our value-priced ISP services further solidifies NetZero's position as a highly attractive alternative to the higher priced services that are currently available."

"We are very excited to work with industry leading partners such as United Online to market value-priced nationwide long distance services," said Charles Rice, chairman, president and CEO of CNM Network. "CNM empowers consumers by providing superior long distance services with the flexibility and control of real-time online billing and account management without having to switch phone companies or purchase additional phone equipment."

Specific consumer benefits to the long distance packages include:


 -- High-quality connections
 -- Lowest residential prices currently available from any national
    carrier
 -- Special introductory offer of first month free 
 -- State-to-state calling (excludes Hawaii and Alaska)
 -- In-state calling (excludes Hawaii and Alaska)
 -- Online account management
 -- No time-of-day restrictions
 -- No long-term contracts 
 -- No need to switch long distance companies 
 -- No special equipment required

For more information or to sign up for NetZero Long Distance and for special promotions, go to www.netzerolongdistance.com.

* Limitations apply to excessive usage. This offer is valid for residential use within the contiguous United States only.

About CNM Network

CNM Network Inc. ("CNM") is a leading provider of enhanced communication services. Founded in 1996, CNM operates a national, private, packet-switched fiber-optic communications network that transports converged services. CNM products and services include: (1) residential long distance services that offer the lowest price points, superior quality and real-time functionality; (2) award winning enterprise applications that dramatically improve productivity and increase cost savings; and (3) wholesale origination and termination services to major LECs and carriers. For more information, please visit the company's website at www.cnmnetwork.com.

About United Online

United Online, Inc. (Nasdaq:UNTD) is a leading Internet service provider that commenced operations in September 2001 with the merger of NetZero and Juno Online Services. The company offers free and value-priced dial-up Internet access through its NetZero and Juno Internet services in more than 5,000 cities across the United States and in Canada. The company also offers high-speed Internet access in select locations in the United States. United Online is headquartered in Westlake Village, Calif., with offices in New York City and Hyderabad, India. For more information about United Online and its Internet access services, please visit www.untd.com.

This release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These include, but are not limited to, statements regarding the price, quality and performance of the long distance service and quotes from management in this press release. These statements are based on the company's current expectations or beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The potential risks and uncertainties include, among others, that the service does not perform well; and that the service is discontinued because it is not commercially successful. More information about potential factors that could affect the company's business and financial results is included in the company's Form 10-Q and other filings with the Securities and Exchange Commission (http://www.sec.gov/) including (without limitation) information under the captions "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors."



            

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