Newly Formed MySpace, Inc. Receives $5 Million in Financing Proceeds to

Facilitate Continued Growth of Business as Independent Subsidiary of

Intermix Media

    LOS ANGELES, Feb. 15 /PRNewswire-FirstCall/ -- Intermix Media, Inc.
 (Amex:   MIX), announced today the formation of an independent subsidiary that
 will own and operate MySpace.com.  Under the terms of the deal, the Company
 and the management of MySpace.com ("MySpace Ventures LLC") contributed their
 ownership interests in the assets of the MySpace.com business to a newly
 formed Delaware corporation named MySpace, Inc.  Simultaneously with the
 transfer of assets, MySpace, Inc. sold a combination of common and preferred
 stock to Redpoint for a total purchase price of approximately $11.5 million.
 As a result of the transactions, Intermix received approximately $2.8 million
 in cash, a promissory note from MySpace, Inc. in the principal amount of
 $1.5 million subject to post-closing adjustment, and a majority ownership
 stake in MySpace Inc. totaling approximately 52% of the Company.  Prior to
 this transaction, Intermix owned a 66% interest in the assets of MySpace.com
 with MySpace Ventures owning the remainder.  After payment to MySpace Ventures
 of approximately $3.75 million in cash as partial consideration for its
 contribution of assets, the net financing proceeds to MySpace, Inc. were
 $5 million.
     "We are very pleased with the final structure of MySpace, Inc.," said
 Richard Rosenblatt, Chief Executive Officer of Intermix.  "We received a
 minority investment to further fuel the growth of MySpace.com and we retained
 control and other important rights.  This new arrangement is expected to
 enable MySpace, Inc. to attract and retain top tier managers by tying the
 equity component of their compensation directly to MySpace's success.  We
 believe that this transaction will enhance MySpace.com's value for Intermix's
 stockholders and allow us to most effectively monetize this subsidiary moving
 forward."
     Mr. Rosenblatt and Intermix director Andrew Sheehan will sit on the Board
 of MySpace, Inc. as the nominees of Intermix along with Geoffrey Yang from
 Redpoint Ventures and Chris DeWolfe as CEO of MySpace, Inc.  An unaffiliated
 fifth director is expected to be elected to the MySpace Board in the near
 future.  Mr. Rosenblatt will serve as Chairman of the new MySpace corporation.
 Additional terms of the transaction announced today include Intermix's right
 to maintain its majority ownership position in MySpace, Inc. prior to certain
 triggering events and a one-year option for Intermix to purchase all
 outstanding shares of MySpace, Inc. under certain circumstances and at a pre-
 set valuation.
     "We are very excited about our investment in MySpace," said Geoffrey Yang,
 Managing Director of Redpoint Ventures.  "MySpace has quickly become the next
 generation leader in social networking space.  The company has the opportunity
 to define a new category of lifestyle portal for young adults around a social
 network."
     "Redpoint's experience in breaking new ground at the intersection of
 technology and entertainment will prove invaluable," said Chris DeWolfe, CEO
 of MySpace.  "We look forward to benefiting from this experience as we move
 forward."
 
     About Intermix Media
     A leading online media and ecommerce enterprise, Intermix Media and its
 subsidiaries utilizes proprietary technologies and analytical marketing to
 develop unique content, an active community and innovative ecommerce
 offerings. The Intermix Network blends user-generated and proprietary online
 content to motivate its users to spend more time on its Network and to invite
 their friends to join them.  By integrating social networking applications,
 self publishing and viral marketing, the Intermix Network has grown to over 21
 million unique visitors per month, including such flagship properties as
 MySpace.com and Grab.com.  Intermix also leverages its optimization
 technologies, marketing methodologies and the Internet through its Alena unit,
 where it launches branded consumer product offerings.  Alena expands
 Intermix's consumer reach by marketing select high margin and innovative
 products directly to the consumer across the Internet.  In doing so, Alena
 cost effectively builds consumer brands, such as Hydroderm, and drives new
 users back to the Intermix Network.
 
      Investor Relations Contact:
      Brett Brewer, Intermix Media, Inc., (310) 215-1001 ex. 117,
      bbrewer@intermix.com
 
 

SOURCE  Intermix Media, Inc.

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