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Revolutionary New Digital Audio Player Shows Its Stuff in 18-City Fall Demo Tour

The HipZip(TM) Player Demo Tour rolls out in customized tour vans that will spend several days in each of 18 cities, visiting malls, college and university campuses, sports events, and major consumer electronics retailers. At each venue, tour team members will set up display kiosks inviting consumers to try out the new HipZip digital audio player for themselves. The kiosks will give consumers a chance to play with HipZip players, download music to the HipZip player's PocketZip(TM) disks, and see other products in Iomega's product lines. Visitors to the kiosks will also be eligible for on-site prizes and be able to enter a weekly sweepstakes for a HipZip player, or they may enter on-line at www.iomega.com.

The HipZip(TM) Player Demo Tour begins on Thursday, October 5, 2000, in Boston and Seattle. From Seattle, the Western tour travels to Portland, Sacramento, San Francisco, Las Vegas, Los Angeles, San Diego, and Phoenix, wrapping up for Christmas in Salt Lake City on December 21st. The Eastern tour starts in Boston and travels to New York, Philadelphia, Baltimore, Washington, Richmond, Raleigh, and Atlanta before its final stop in Orlando on December 20th.

For more information on tour dates and locations, please see our Web site at www.iomega.com.

The HipZip(TM) player and PocketZip(TM) media

The Iomega® HipZip(TM) digital audio player is compatible with today's most popular digital audio formats, including MP3 and Microsoft® Windows Media(TM) Format (WMA), and is software upgradeable to additional audio formats. It also offers anti-skip playback, a large backlit display, customizable equalizer settings, fast USB downloads, and up to 12 hours of continuous operation on its rechargeable lithium ion battery. Computers also recognize the HipZip player as an external drive, allowing the HipZip player to double as a portable storage device for computer users on the go.

The HipZip(TM) player's 40MB PocketZip(TM) disks break the price barrier for digital audio storage. At a cost of about $10 per disk when purchased in a 10-pack, PocketZip disks are the affordable new alternative to flash memory cards which typically cost $80 or more for 32MB of storage. PocketZip disks are approximately one-quarter the size of CD audio discs, are encased in a metal shell for better durability than a CD, store more minutes of music than an audio CD using the Microsoft Windows Media(TM) Format, and are serialized to enable the digital rights management (DRM) of licensed content. Owners of the HipZip player can use Windows Media(TM) Player 7, with Microsoft Windows Media(TM) Rights Manager, for secure music downloads to the player's PocketZip(TM) disk media, providing an affordable, portable solution for digital music e-commerce.

The HipZip(TM) player is available now at Best Buy stores and at www.iomegadirect.com, and is shipping to other major retailers nationwide.

About Iomega

Iomega Corporation (NYSE: IOM) manufactures and markets the award-winning Zip®, Jaz® and PocketZip(TM) drives and disks and HipZip(TM) digital audio player, and markets the Iomega CD-RW drives and discs. Iomega's products help people to save, share, manage and create important information such as Internet downloads, audio files, personal photographs, spreadsheets, and slides, while protecting that content from viruses and hackers. Used in homes, businesses, government and educational facilities and by creative professionals everywhere, Iomega storage solutions are the enabling technologies preferred by millions. The Company can be reached at 1-888-4-IOMEGA (888-446-6342), or on the Web at http://www.iomega.com.

Copyright (C) 2000 Iomega Corporation. Iomega, Zip, HipZip and PocketZip are either registered trademarks or trademarks of Iomega Corporation in the United States and/or other countries. Microsoft, Windows, and Windows Media are either registered trademarks or trademarks of Microsoft Corporation in the United States and/or other countries. Mac is either a registered trademark or trademark of Apple Computer, Inc., in the United States and/or other countries. Certain other product names, brand names and company names may be trademarks or designations of their respective owners.

For more information, please contact: Media, Chris Romoser of Iomega Corporation, 801-332-3678, romoser@iomega.com; Media, Paul Wood of Paine & Associates, 714-427-3122, pwood@painepr.com, for Iomega Corporation; or Investors/Analysts, James Recob of Iomega Corporation, 801-332-4430, recob@iomega.com

SOURCE: Iomega Corporation