FORT LAUDERDALE, Fla., Feb. 1 /PRNewswire-FirstCall/ -- theglobe.com (OTC Bulletin Board: TGLO) announced today that it has entered into a letter of intent to sell substantially all of the business and net assets of its Tralliance Corporation subsidiary, and to issue approximately 269 million shares of its common stock, to The Registry Management Company LLC, a privately held entity controlled by Michael S. Egan, theglobe.com's Chairman, CEO and controlling investor (the "Transaction").

As part of the purchase consideration for the Transaction, Mr. Egan and certain of his affiliates will exchange and surrender all of their right, title and interest to secured convertible promissory notes in the aggregate principal amount of approximately $4.7 million, accrued and unpaid interest thereon, as well as outstanding rent and miscellaneous fees due and unpaid to Mr. Egan's affiliates, which amounts collectively equal approximately $6.0 million.

In addition, The Registry Management Company will pay an earn-out to theglobe.com equal to 10% (subject to certain minimums) of The Registry Management Company's net revenue derived from ".travel" names registered by the Company through May 5, 2015. The net present value of the minimum guaranteed earn-out payments is estimated to be approximately $1.3 million, bringing the total consideration to approximately $7.3 million.

The Transaction is subject to the negotiation and closing of a definitive purchase agreement, receipt of an independent fairness opinion, and shareholder approval. The Transaction is expected to close no earlier than the second quarter of 2008.

Safe Harbor -- this press release includes forward-looking statements related to theglobe.com, inc. that involve risks and uncertainties, including, but not limited to, risks and uncertainties relating to whether or not the proposed Transaction will be consummated. No definitive agreement has been entered into between theglobe and The Registry Management Company, and even if one is executed in the future, the anticipated conditions to closing of such an agreement, some of which are specified above, may not be satisfied. Our ability to curtail or reduce expenses also involves many risks and uncertainties. These forward-looking statements are made in reliance on the "Safe Harbor" provisions of the Private Securities Litigation Reform Act of 1995. For further information about these and other factors that could affect theglobe.com's future results and business plans, please see the Company's filings with the Securities and Exchange Commission, including in particular our Annual Report on Form 10-K for the year ended December 31, 2006 and our Quarterly Report on Form 10-Q for the quarter ended September 30, 2007. Copies of these filings are available online at http://www.sec.gov. Prospective investors are cautioned that forward-looking statements are not guarantees of performance. Actual results may differ materially and adversely from management expectations.




    Contact:
    Edward Cespedes
    954-769-5948
    edc@corp.theglobe.com

SOURCE theglobe.com