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<h1 class="main">Svoboda, Collins L.L.C. Announces an Equity Investment in Webmiles.com, Inc.</h1>
<p class="main"><B>CHICAGO, May 1, 2000</B> - Svoboda, Collins today announced that it has made an equity investment in Webmiles.com, Inc. Based near Salt Lake City, UT, WebMiles provides turn-key consumer loyalty programs that leverage the Internet and utilize global, unrestricted airline miles to provide a means by which online as well as offline merchants are able to reward and retain valued customers. Svoboda, Collins invested $3 million as part of a $32.5 million round of financing led by Patricof & Co. Ventures. Previous investors that participated in the round include Sequel Ventures, Utah Ventures and Graystone Partners. Other new investors participating in the round include NBC, Starvest Partners, Staenberg Private Capital, CMS Companies and Maritz Inc.</p>
<p class="main">Launched in January 2000, WebMiles provides online and offline businesses with WebMile rewards - similar to airline miles - that are redeemable for free travel on all airlines, all flights at any time with no blackout dates or seat restrictions. Consumers earn WebMiles rewards for engaging in a variety of behaviors including shopping, joining programs, referring friends, etc., within the WebMiles partner network. In the second half of 2000, members will also be able to earn additional WebMile rewards by using a co-branded credit card, which allow them to earn WebMile rewards twice as fast. Membership is free and starting with as few as 8,000 WebMiles rewards, members can start to redeem for discounted or free travel.</p>
<p class="main">Research indicates that airline miles are the most sought-after non-cash incentive, with the ability to dramatically alter consumer buying patterns and establish long-term loyalty when they are offered as rewards. According to Incentive Federation and the Direct Marketing Association, this year's loyalty and incentive industry will range between $26 billion - $160 billion a year. </p>
<p class="main">"We are delighted with the caliber of investors that we've attracted in this latest round of funding," said Bill Meade, president and CEO of WebMiles. "The combined expertise of this group, coupled with the visibility individual members can help us achieve, will prove invaluable in building a highly distinguishable brand in this competitive industry." Prior to securing this latest round of funding, WebMiles had raised $1.8 million in the seed round of financing and $5 million in the first round of funding </p>
<p class="main">Svoboda, Collins is a $150 million private equity fund established in 1998 to identify, invest in and build excellent service and distribution companies.</p>
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<b class="main">Portfolio Company News</b>
<p class="main">
<ul>
<li><a href="http://www.gloverparkgroup.com/" target="_blank" class="subnav">The Glover Park Group</a></li>
<li><a href="http://www.optronicsinc.com/aboutus.htm" target="_blank" class="subnav">Optronics, Inc.</a></li>
<li><a href="http://www.labelexperts.com" target="_blank" class="subnav">GPA</a></li>
<li><a href="http://www.cigarsinternational.com" target="_blank" class="subnav">Cigars International, Inc. </a></li>
<li><a href="http://www.coffeebeanintl.com/press.htm" target="_blank" class="subnav">Coffee Bean International, Inc.</a></li>
<li><a href="http://www.austinlogistics.com/news/" target="_blank" class="subnav">Austin Logistics</a></li>
<li><a href="http://www.interlinebrands.com/pressReleases/main.asp" target="_blank" class="subnav">Interline Brands</a></li>
<li><a href="http://www.katun.com/aboutkatun/news.html" target="_blank" class="subnav">Katun</a></li>
<li><a href="http://www.ndegree.com/news_events.html" target="_blank" class="subnav">Nth Degree</a></li>
<li><a href="http://www.partsnow.com/news.asp" target="_blank" class="subnav">Parts Now!</a></li>
<li><a href="http://www.spscommerce.com/news.shtml" target="_blank" class="subnav">SPS Commerce</a></li>
<li><a href="http://www.smithbucklin.com/news/latestnews.cfm" target="_blank" class="subnav">SmithBucklin</a></li>
<li><a href="http://www.wdpi.com/in_the_news2006.htm" target="_blank" class="subnav">World Data Products</a></li>
</ul>
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