Hostway Continues Growth Strategy With Acquisition of Florida-based Web Hosting Firm

Chicago—August 26, 2003—Hostway, a global leader in Web hosting services, today announced its acquisition of Neutelligent, a Tampa-based Web hosting provider that specializes in dedicated servers and colocation services. Under the terms of the deal, Hostway acquired all Neutelligent assets including its hosting facility, staff and existing customer base.

With this acquisition, Hostway customers gain access to a new state-of-the-art data center with ample expansion space. The Florida hosting center will operate as a wholly owned subsidiary of Hostway Corporation and will offer medium to large companies new options in dedicated servers, colocation services, and complex hosting products.

Hostway said Neutelligent customers can expect superior value and customer support from the combined company. As one of the five largest hosting companies in the world, with global offices in the US, the UK, the Netherlands, Korea, Australia and Canada, Hostway will provide a strong and stable foundation for Neutelligent to enhance its offerings and service levels.

The new operation will be integrated into Hostway's existing infrastructure to meet the current and future needs of its growing global customer base. The acquisition immediately enables all customers of the Tampa hosting center to place their servers in any of Hostway‚s six global locations.

Hostway has compiled a successful record of integrating acquired companies smoothly and delivering superior service to customers of these companies. Hostway recently acquired GlobalHost in Australia and NetNations in Canada. Last year, it successfully integrated UK-based Iarna, a leading UK hosting company, into its operations.

"This deal positions us to better serve our enterprise-level customers who are a very important segment of our customer base," said Lucas Roh, President and CEO of Hostway. "It is yet another step in executing our strategy of becoming a total global hosting provider that is dedicated to providing the best hosting services to business customers everywhere."

The deal further quickens the pace of Hostway‚s strategic push into the enterprise hosting market, adding to its client base the Florida facility‚s 2,000 dedicated and colocated servers.

Current customers of the Florida operation include Fox News, the number one cable news network in the nation, and the Tampa Bay Lightning, a National Hockey League team.

Martin Quessenberry of Tampa Bay Lightning added, "The Tampa Bay Lightning have partnered with Neutelligent for the past three seasons with our hosting and video streaming services. The service, support, and relationship that we have created has been top-notch. Now that Neutelligent is with Hostway, I expect even better service. I recommend Neutelligent to any company looking for reliable services, especially if you require high bandwidth hosting."