Acquisition Furthers Interland's Drive to Accelerate Scale, Profitability

9/3/2002

Atlanta, GA — (PRNewswire-FirstCall) — Interland, Inc. the leading provider of business-class Web hosting services to small and medium businesses, today announced it has acquired Miami, Florida-based Web hosting company iNNERHOST. Terms of the transaction were not disclosed.

“The acquisition of iNNERHOST demonstrates that Interland is continuing to build upon its market leadership and scale economics by taking advantage of the current consolidation environment in the Web hosting market,” said Joel J. Kocher, Interland chairman and chief executive officer. “In addition, iNNERHOST should be accretive to Interland’s profitability objectives.”

iNNERHOST is a Microsoft® Gold Certified Partner and this acquisition solidifies Interland’s leadership position in the small and medium enterprise (SME) hosting space. In the last nine months, Interland’s acquisitions have included the small business Web hosting accounts of Interliant and AT&T, and the corporate acquisitions of CommuniTech.Net and Dialtone Internet.

About Interland

Interland, Inc. is the leading provider of business-class Web hosting solutions for small and medium businesses, offering a broad portfolio of standardized Web hosting, e-commerce, and application hosting services, from basic Web sites to managed dedicated hosting solutions. More information about Interland can be found at www.interland.com.

The foregoing contains “forward-looking statements” which are based on management’s beliefs as well as on a number of management assumptions concerning future events and on information currently available to management. Such forward-looking statements are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside Interland’s control, which could cause actual results to differ materially from such statements. Statements regarding the future financial results expected to result from an acquisition are dependent upon the accuracy of numerous assumptions and projections relating to transition and integration costs and other factors, and no assurance can be given of the accuracy of such statements. For a more detailed description of factors that could cause a difference between forward-looking statements and actual results, please see Interland’s most recent Form 10-K, Forms 10-Q and Forms 8-K and other filings with the Securities and Exchange Commission. Interland disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.