eBay and AutoTrader.com Create Internet s Largest Auction-Style by yaosaigeng


									eBay and AutoTrader.com Create Internet's Largest Auction-Style Marketplace for Used

eBay® Makes Strategic Equity Investment in AutoTrader.com; Co-branded Site Up-and-Running Today®

ATLANTA & SAN JOSE, Calif., March 7, 2000 — AutoTrader.com, the world's largest used car marketplace, and eBay®,
(NASDAQ: EBAY; http://www.ebay.com/), the world's leading person-to-person online trading community, today announced an
agreement that will create the Internet's largest auction-style marketplace for consumers and dealers to buy and sell used cars.
eBay also solidified its relationship with AutoTrader.com by making an equity investment in the company. Starting today, the co-
branded site, www.ebay-autotrader.com, is directly accessible through the eBay and AutoTrader.com Web sites. Financial
terms were not disclosed.

The agreement connects eBay's trading community of 10 million buyers and sellers with AutoTrader.com's 5 million unique
monthly visitors and more than 40,000 participating auto dealers and 250,000 private sellers that provide the 1.5 million used
vehicles offered for sale on AutoTrader.com.

The new site, www.ebay-autotrader.com, will serve the U.S. market and focus on the consumer-to-consumer (C2C) and dealer-
to-consumer (B2C) market segments. Both companies will manage the development of the new site and fund a co-branded
marketing campaign.

"eBay's online auto category has quickly developed into a vibrant marketplace that has been a home run for us in terms of
gross merchandise sales," said Meg Whitman, president and CEO of eBay. "With AutoTrader.com's extensive inventory of used
cars and dealer relationships, we plan to deliver the Internet's largest listing of used cars in an auction format, as well as the
ancillary services that make this a 'must visit' site if you are thinking about buying or selling a car."

"Our goal is to create such a large auto auction marketplace that it will become a very practical way for people to buy and sell
cars on a local level," said Chip Perry, president and CEO of AutoTrader.com. "For dealers, ebay-Autorader provides a new
distribution channel for reaching serious car buyers, allowing them to sell more cars faster, and at a significantly lower
advertising cost than with traditional newspaper classifieds."

New car selling on the Internet has received most of the attention to date, but Americans buy more than four times as many
used cars and trucks as new ones — an estimated 42 million in 1999. Used-car sales total $370 billion annually and according
to a recent J.D. Power & Associates survey, 26 percent of used car buying consumers used the Internet when making a
decision, up from 14 percent in 1998.1 By 2003, that figure is expected to grow by more than 50 percent.2

Complementary Assets

AutoTrader.com and eBay are bringing strongly complementary assets to the new alliance. An acknowledged e-commerce
leader, eBay will host www.ebay-autotrader.com and provide customer service. The site will have all the tried and trusted
features, such as proxy bidding, the Feedback Forum, SafeHarbor trust and safety services, that make eBay the leading
person-to-person trading community on the Internet. Since the launch of its auto category in August 1999, automobiles have
become one of eBay's fastest growing areas, with record numbers of bids per item and some of the Internet's highest average
selling prices for merchandise.

AutoTrader.com is an automotive powerhouse with unrivalled online and offline resources and properties. Online,
AutoTrader.com attracts 5 million unique monthly visitors looking to buy or sell a used car. Offline, AutoTrader.com's close
relationship with Manheim Auctions, Inc., Trader Publishing Company and the Dealer Services Group of Automatic Data
Processing, provide access to more than 90 percent of the 70,000+ auto dealers in the United States. AutoTrader.com will
promote the new site to its private sellers and dealers and provide customer service for dealers interested in selling cars
through the eBay-AutoTrader auction.

In the coming months, several new services and features are expected to be introduced to the co-branded site. For example,
both eBay and AutoTrader.com plan to work with other companies to provide transaction services such as vehicle certification,
transportation and finance.

About eBay
eBay (http://www.ebay.com/), the world's personal trading community™, pioneered person-to-person online trading. Founded
in 1995, eBay has developed an efficient and entertaining trading site on the Web that is available 24 hours a day, seven days
a week. eBay has more than 10 million registered users. Currently, there are more than 4 million items listed for sale. More
than 400,000 items are added daily in more than 4,300 categories, including: antiques; automotive; books, movies and music;
coins and stamps; collectibles; computers; dolls and figures; jewelry and gemstones; photos and electronics; pottery and glass;
sports memorabilia; and toys.

About AutoTrader.com

AutoTrader.com (www.autotrader.com), the world's largest used car marketplace, fundamentally improves the way people buy
and sell cars by providing a comprehensive source of credible information and a selection of more than 1.5 million used
vehicles for sale. AutoTrader.com is the exclusive online distributor of the automotive listings contained in the Auto Trader®
and AutoMart® print magazines published by Trader Publishing Company. These magazines are distributed in more than
136,000 retail outlets with an estimated weekly circulation of 2.5 million copies. AutoTrader.com is also the exclusive online
distributor of used car listings data collected by Manheim Auctions, Inc. and the Dealer Services Group of Automatic Data
Processing, Inc. (NYSE: AUD). AutoTrader.com's investors include Cox Enterprises, Inc., Manheim Auctions, Inc., Landmark
Communications, Inc., the Dealer Services Group of Automatic Data Processing, Inc., Kleiner Perkins Caufield & Byers, and

Forward Looking Statements

Statements in this press release that relate to future plans, objectives, expectations, performance, events, and the like are
"forward looking statements" within the meaning of the PRIVATE SECURITIRES LIGITATION REFORM ACT OF 1995 and the
SECURITIES EXCHANGE ACT OF 1934. Future events, risks, and uncertainties, individually and in the aggregate, could cause
actual results to differ materially from those expressed or implied in these statements. The factors include: buying and selling
behavior of eBay users; speed and success of the development and integration efforts, effects of the "Y2K" problem, the
Internet in general and the economy; general economic conditions; and other factors discussed in the "Forward Looking
Information" or "Risk Factors" sections included in the company's prospectuses, quarterly reports on Form 10-Q, and annual
reports on Form 10-K.


EDITOR'S NOTE: (www.ebay-autotrader.com) visuals, including executive photos, are available at

1 J.D. Power & Associates Research, March 1999
2 Forrester Research "Car Shoppers Love the Net," May 1999

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