MediaBay, Inc. Reaches Agreement in Principle to Extend Credit Facility And Obtain Additional Financing

Apr 16, 2001, 01:00 ET from MediaBay, Inc.

    CEDAR KNOLLS, N.J., April 16 /PRNewswire/ -- MediaBay, Inc. (Nasdaq:   MBAY)
 today announced that it has reached an agreement in principle with the lenders
 under its revolving credit facility to extend the facility to September 30,
 2002 and permit an additional $2.5 to $3.0 million of financing.  MediaBay's
 Chairman, Norton Herrick, has agreed to provide $2.5 million of financing to
 MediaBay directly or through an affiliate.  MediaBay is currently negotiating
 the definitive agreements relating to the extension of the revolving credit
 facility and additional financing and believes that they will be completed in
 the near future.
 
     About MediaBay, Inc.
     MediaBay, Inc. is a leading marketer and seller of spoken audio and
 nostalgia products, including audiobooks and old-time radio shows, in hard
 goods and digital download formats via direct response, retail and Internet
 channels.  The Company markets and sells its products to its customer database
 of over 2.5 million names, its email address database of over 2.1 million
 addresses and its more than 2.0 million unique monthly website visitors.  The
 Company is one of the world's largest marketers of audiobooks through its
 Audio Book Club membership club, which markets and sells tens of thousands of
 audiobook titles to its 1.9 million-member file through direct mail and the
 Internet at http://www.audiobookclub.com.  The Company is also one of the
 world's largest marketers of old-time radio shows and classic videos through
 its Radio Spirits subsidiary which markets and sells its content library of
 over 60,000 radio shows and 3,500 videos on audio cassette, compact disc,
 video cassette and DVD through direct mail to its more than 600,000 catalog
 customers, in over 4,750 retail outlets, on its nationwide traditional radio
 broadcasts and through the Internet at http://www.Radiospirits.com.  The
 Company's media download portal site, http://www.MediaBay.com, offers the
 Company's millions of customers and website visitors a single location for
 premium spoken word content available in streaming and secure digital download
 formats.  The Company's RadioClassics subsidiary has been created to
 distribute the Company's old-time radio programs through additional platforms
 including satellite radio, satellite television and digital cable television.
 
     Safe Harbor Statement Under The Private Securities Litigation Reform Act
 of 1995: The statements which are not historical facts contained in this press
 release are forward-looking statements that involve a number of known and
 unknown risks, uncertainties and other factors which may cause the actual
 results, performance or achievements of the Company to be materially different
 from any future results, performance or achievements expressed or implied by
 such forward looking statements. Such factors include, but are not limited to,
 the ability of the Company to negotiate definitive agreements relating to the
 transactions described in this press release.  The words "believe" and similar
 expressions identify forward-looking statements. Readers are cautioned not to
 place undue reliance on these forward-looking statements, which speak only as
 of the date the statement, was made.
 
 

SOURCE MediaBay, Inc.
    CEDAR KNOLLS, N.J., April 16 /PRNewswire/ -- MediaBay, Inc. (Nasdaq:   MBAY)
 today announced that it has reached an agreement in principle with the lenders
 under its revolving credit facility to extend the facility to September 30,
 2002 and permit an additional $2.5 to $3.0 million of financing.  MediaBay's
 Chairman, Norton Herrick, has agreed to provide $2.5 million of financing to
 MediaBay directly or through an affiliate.  MediaBay is currently negotiating
 the definitive agreements relating to the extension of the revolving credit
 facility and additional financing and believes that they will be completed in
 the near future.
 
     About MediaBay, Inc.
     MediaBay, Inc. is a leading marketer and seller of spoken audio and
 nostalgia products, including audiobooks and old-time radio shows, in hard
 goods and digital download formats via direct response, retail and Internet
 channels.  The Company markets and sells its products to its customer database
 of over 2.5 million names, its email address database of over 2.1 million
 addresses and its more than 2.0 million unique monthly website visitors.  The
 Company is one of the world's largest marketers of audiobooks through its
 Audio Book Club membership club, which markets and sells tens of thousands of
 audiobook titles to its 1.9 million-member file through direct mail and the
 Internet at http://www.audiobookclub.com.  The Company is also one of the
 world's largest marketers of old-time radio shows and classic videos through
 its Radio Spirits subsidiary which markets and sells its content library of
 over 60,000 radio shows and 3,500 videos on audio cassette, compact disc,
 video cassette and DVD through direct mail to its more than 600,000 catalog
 customers, in over 4,750 retail outlets, on its nationwide traditional radio
 broadcasts and through the Internet at http://www.Radiospirits.com.  The
 Company's media download portal site, http://www.MediaBay.com, offers the
 Company's millions of customers and website visitors a single location for
 premium spoken word content available in streaming and secure digital download
 formats.  The Company's RadioClassics subsidiary has been created to
 distribute the Company's old-time radio programs through additional platforms
 including satellite radio, satellite television and digital cable television.
 
     Safe Harbor Statement Under The Private Securities Litigation Reform Act
 of 1995: The statements which are not historical facts contained in this press
 release are forward-looking statements that involve a number of known and
 unknown risks, uncertainties and other factors which may cause the actual
 results, performance or achievements of the Company to be materially different
 from any future results, performance or achievements expressed or implied by
 such forward looking statements. Such factors include, but are not limited to,
 the ability of the Company to negotiate definitive agreements relating to the
 transactions described in this press release.  The words "believe" and similar
 expressions identify forward-looking statements. Readers are cautioned not to
 place undue reliance on these forward-looking statements, which speak only as
 of the date the statement, was made.
 
 SOURCE  MediaBay, Inc.