Under the agreement, Yahoo!(R) members will now have a custom, free personal home page service from GeoCities, Yahoo!'s premier provider of free personal home pages. Yahoo!'s registered user base will now have access to GeoCities' extensive publishing and community tools. Yahoo! will be GeoCities' exclusive third-party provider of free personalized member services including chat, e-mail, message boards, financial portfolios, classifieds, and My Yahoo!. Yahoo! will provide these services to new and current GeoCities users and will serve as the premier navigational guide service throughout GeoCities. GeoCities members will have the opportunity to register for Yahoo!'s free personal services directly from the GeoCities registration or profile pages. Links to Yahoo!'s properties and directory will be integrated throughout relevant topics and neighborhoods on the GeoCities site.

"The alliance with GeoCities brings together our strengths as leaders in Web services to offer users a unique combination of community and communication available on the Web for free," said Jeff Mallett, Chief Operating Officer of Yahoo!. "By working together, Yahoo! and GeoCities are able to offer Yahoo!'s millions of users an additional way to personalize the Web experience and at the same time introduce our communication and personalization services to GeoCities' extensive audience."

"GeoCities is developing strong communities and a successful business. Strategic partnerships like the one with Yahoo! further strengthens our position as a leader," said David Bohnett, founder and CEO of GeoCities. "This alliance will provide enhanced community and personalization services to new and current members of both services."

Community and Communication Services
Expanding upon the free personalized and community features already available on Yahoo!, the agreement offers Yahoo!'s registered users a custom free, personal home page hosting service on GeoCities. Currently, Yahoo! members generate a member profile page when registering for free membership services. Upon completion of the member profile page, users will now have the ability to create their own personal home pages using GeoCities' tools. Once created, personal home pages will be hosted by and integrated throughout GeoCities' robust community of 40 themed neighborhoods. All users who have created home pages through Yahoo! will be identified as Yahoo! members with a button next to their listing in the GeoCities directory. Registered users can access the personal home page service through Yahoo!'s registration and profile pages.

GeoCities members will be able to easily register for Yahoo!'s personalization service, including My Yahoo! (my.yahoo.com), directly from the GeoCities registration and profile pages. A GeoCities content module will be offered to all current and new My Yahoo! users. Once registered, users will be able to access Yahoo!'s communication services such as chat, e-mail and classifieds to communicate with each other and the Web community at large. GeoCities members will have the ability to build stock portfolios through My Yahoo! and Yahoo! Finance (quote.yahoo.com) once they have registered for the My Yahoo! service. In addition, links to Yahoo!'s properties and directory will be integrated throughout topic and neighborhood areas of the GeoCities site, providing users with relevant Web resources and information that are of interest to them. These services are scheduled to be available this quarter.

About GeoCities
Based in Santa Monica, CA, with advertising sales offices in New York and San Francisco, GeoCities (www.geocities.com) is the largest community of free home pages on the Web. The site currently receives more than 502 million page views and 90 million individual visits each month, according to IPRO's November 1997 report. Media Metrix's (A PC Meter Company) latest analysis (November 1997) reported that more than one in five Internet users visited GeoCities in the month of October. In January 1997, the company closed on a $9.0 million round of venture capital financing from SOFTBANK Holdings Inc., Chase Capital Partners, InnoCal, CMG@Ventures and Flatiron Partners. Recently, SOFTBANK Corporation of Japan and GeoCities launched a joint venture to develop an Internet-related company in Japan.

About Yahoo!
Yahoo! Inc. (Nasdaq: YHOO - news) is a global Internet media company that offers a network of branded Web programming that serves millions of users daily. As the first online navigational guide to the Web, www.yahoo.com, is the single largest guide in terms of traffic, advertising, household and business user reach, and is one of the most recognized brands associated with the Internet. Yahoo! Inc. provides targeted Internet resources and communications services for a broad range of audiences, based on demographic, key-subject and geographic interests. Yahoo! is headquartered in Santa Clara, Calif.

This announcement contains forward looking statements that involve risks and uncertainties, including those relating to the company's ability to successfully introduce new community and communications features through the GeoCities relationship. Actual results may differ materially from the results predicted and reported results should not be considered an indication of future performance. The potential risks and uncertainties include, among others, the company's limited operating history, the increasingly competitive environment for the company's services and advertising sales, the early stage of the Web as an advertising medium, the company's dependence on advertising revenues and third parties for sales, technology, content and distribution (including the company's dependence on GeoCities to provide free home page services to Yahoo! users). More information about potential factors that could affect the company's business and financial results is included in the company's annual report on Form 10-K for the year ended Dec. 31, 1996, the company's quarterly report on Form 10-Q for the period ended Sept. 30, 1997, and the company's registration statement filed on Form S-3 dated Nov. 5, 1997, which on file with the Securities and Exchange Commission.