IAC Completes Acquisition of Ask Jeeves

Jul 19, 2005, 01:00 ET from IAC/InterActiveCorp

    NEW YORK, and OAKLAND, Calif., July 19 /PRNewswire-FirstCall/ --
 IAC/InterActiveCorp (Nasdaq:   IACI) today announced the successful completion
 of its acquisition of Ask Jeeves, a leading provider of information retrieval
 technologies, brands and Internet advertising services.
     Under the terms of the merger agreement each share of Ask Jeeves common
 stock was converted into the right to receive 1.2668 shares of IAC common
 stock, and options to purchase Ask Jeeves common stock were converted into
 options to acquire IAC common stock.  In addition, in connection with the
 transaction, IAC has irrevocably and unconditionally guaranteed Ask Jeeves'
 outstanding convertible subordinated notes due 2008; these notes are now
 convertible into shares of IAC common stock in accordance with their terms.
     In the transaction, IAC has issued approximately 74.8 million shares of
 IAC common stock in respect of Ask Jeeves' outstanding stock, and expects to
 issue approximately 13.2 million additional shares in respect of Ask Jeeves'
 outstanding convertible notes and in-the-money stock options.  As previously
 announced, IAC has offset a substantial portion of the dilution resulting from
 the transaction through its repurchase of 52.8 millions shares of its common
     Shares of Ask Jeeves common stock, which prior to the merger traded on the
 Nasdaq National Market under the symbol "ASKJ", were delisted from trading as
 of the close of the market on Tuesday, July 19.
     Ask Jeeves will continue as an operating business of IAC, residing in the
 'Media & Advertising' sector of IAC, pursuant to IAC's recently announced new
 reporting configuration.
     About IAC/InterActiveCorp
     IAC operates leading and diversified businesses in sectors being
 transformed by the internet, online and offline ... our mission is to harness
 the power of interactivity to make daily life easier and more productive for
 people all over the world. To view a full list of the companies of IAC please
 visit our website at http://www.iac.com.
      IAC Corporate Communications
      Deborah Roth
      (212) 314-7254
      IAC Investor Relations
      Roger Clark / Eoin Ryan
      (212) 314-7400
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SOURCE IAC/InterActiveCorp