Feb. 5, 2001

ESPN.com, the leading sports site, and New York-based Sportscapsule will team up this spring to launch Sportscapsule@ESPN.com, a fee-based service that creates custom video season highlight reels - known as "sportscapsules" - for teams or athletes participating in any sport at any level. The service can be accessed via ESPN.com or at www.Sportscapsule.com. ESPN.com is part of the Walt Disney Internet Group (NYSE:DIG).

"We believe that a large number of our users are current or former athletes, and these sportscapsules will be something kids and parents alike will be interested in enjoying for years to come," said John Skipper, senior vice president and general manager, ESPN Internet Group. "Sportscapsule's ability to turn these homemade videos into lasting mementos for families and friends to share makes this a great offering for our users."

"We're pleased to have entered into such a significant relationship with ESPN.com," said Mike Paolucci, founder and CEO, Sportscapsule. "By forming such a broad-based bond, we'll get the full benefit of ESPN's reach online and on-air to bring this service to millions of new players, coaches and parents."

Participating youth and amateur teams can send their game videos in to SportsCapsule@ESPN.com, where editors clip their season's biggest moments, add play calls by ESPN anchors and reporters such as Chris Berman, as well as classic sports music and cutting-edge on-screen graphics. Customizable options include digital transfer to CD-ROM and the Web, allowing team members, parents and fans to view their finished highlights from any PC.

Significant online promotion for the service on ESPN.com will be augmented by on-air, print and event-based support across an array of ESPN and Disney properties. Sportscapsule was founded by Michael Paolucci, co-founder of 24/7 Media (NASD: TFSM). Sportscapsule has partnered with leading companies in the sports, technology and broadband arenas, including Time Warner (TWX), Qwest (Q), Comcast (CMCSK), Riddell Sports (AMEX: RDL), and Microsoft's WindowsMedia.com (NASD: MSFT). Sportscapsule has offices in New York and Los Angeles.

ESPN.com, the leading sports Web site, is part of the Walt Disney Internet Group (NYSE:DIG). Walt Disney Internet Group manages many of the most popular Web sites and services, including Disney.com, the number one Web site for kids and families; ESPN.com, the leading sports site; ABC.com, the leading broadcast network site; and ABCNEWS.com, one of the leading news sites. Additional properties include Family.com, Mr.Showbiz, Movies.com, Wall of Sound, DisneyAuctions.com, DisneyStore.com, DisneyVacations.com, Soccernet.com and NFL.com. Walt Disney Internet Group also produces Enhanced TV telecasts in conjunction with select ABC Television and ESPN programming and includes the catalog operations of The Walt Disney Company and 19 Disney-branded international properties. Steve Bornstein is the chairman of Walt Disney Internet Group, which is headquartered in North Hollywood, CA, and has operations in Bristol, CT; Seattle; New York; and London.