White Plains, N.Y. May 20, 2008 - IAC Consumer Applications & Portals, Inc. (IAC CAP), today announced the acquisition of Israeli-based StarNet Interactive, producers of GirlSense.com, a virtual community that offers teen girls a place to develop social networks around fashion. Terms of the transaction were not disclosed.

Already a leader in the teen market with Zwinky^TM, one of the largest teen virtual worlds with more than 6 Million unique users in March (comScore), IAC CAP will expand and strengthen its focus on the teen and tween girl market with the addition of the GirlSense site.

IAC CAP is one of the fastest growing divisions of IAC with a product portfolio that centers on properties that enhance online communication and social networking through self-expression. In addition to Zwinky, the company features such successful teen-targeted properties as SmileyCentral, a popular consumer application that features more than 12,000 emoticons primarily used for email and instant messages; and Webfetti, a social network profile customizer that attracted more than 5.2 Million users in March.

"Part of our growth strategy includes acquisition of products and companies that complement our core competencies," said John Park, president and CEO of IAC Consumer Applications & Portals, Inc. "Adding Girlsense.com to our existing teen targeted product portfolio provides us with broader teen mindshare, as well as access to the coveted tween demographic."

GirlSense® offers highly customizable tools that allow girls to create their own virtual fashion boutiques. Since its inception, Girlsense has primarily grown its audience of 13 Million registered users through word-of-mouth and viral networking. The site was spun-off from Gteko in November 2006 after the company was acquired by Microsoft Corp.

"We are excited to join IAC CAP, a leader in Internet products and services, and to mutually benefit from the synergies of being a part of their consumer platform," said Cathy Glazer, CEO and founder of GirlSense. "We believe that the experience, scale and market share IAC brings will help expand and enrich the GirlSense community."

GirlSense.com blends social networking with an artistic, inspired, virtual fashion world. Members can design their own fashions, sell them in their own virtual boutique that they have created, advertise them throughout the site, and schedule them for live auctions. Bidders have an opportunity to see the virtual fashions up for auction, view current bids and place their own, chat safely with other bidders in the auction room and see when the item has been sold.

About IAC Consumer Applications & Portals, Inc. ("IAC CAP")

IAC CAP, a wholly owned business of IAC (Nasdaq: IACI - News), is a leading web developer of consumer applications and portals which enable users to creatively and visually express themselves online. IAC CAP brands include Zwinky^TM, Smiley Central®, Webfetti^TM, IWON®, Popular Screensavers^TM, MyFunCards^TM, Cursor Mania^TM, as well as the Excite® and MyWay^TM portals.

About StarNet Interactive:

StarNet Interactive produces GirlSense and strives to provide members with on-line experiences that are safe, unique, innovative and fun. GirlSense is COPPA compliant requiring site operators to maintain the confidentiality, security and integrity of all members' personal information 12-years-old or younger.

StarNet Interactive was spun off from Gteko Ltd., which was acquired by Microsoft Corp. in November 2006, with funding led by Leo Capital holdings, LLC and additional funding by such investors as Pitango Venture Capital.