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June 2007
ServiceMagic.com Announces Opening of Lenexa, Kansas Operations Center
April 2007
Survey Shows Homeowners Take Notice of Sloppy Neighbors
ServiceMagic Launches “Must Have” Directory for Hassle-free Home Improvement
Contractor Referral Service Reaches 50,000 Member Milestone
ServiceMagic.com Warns Consumers About Home Improvement Scams




ServiceMagic.com Announces Opening of Lenexa, Kansas Operations Center
"Open House" for Job Candidates This Week; Company Plans to Employ Hundreds

GOLDEN, Colo. (June 4, 2007) – ServiceMagic.com, the nation's leading website connecting homeowners to prescreened home services professionals, announced today's opening of its Lenexa, Kansas operations center. Area residents are also being invited to one of two "open houses" to be held later this week for those interested in employment with ServiceMagic.com.

"We took a look at several markets," said Michael Beaudoin, co-founder and co-CEO of ServiceMagic, Inc. "We decided Lenexa and the people of the Kansas City metro area are the right fit for ServiceMagic. We look forward to being part of the community and contributing to its economic development."

Beaudoin said the high education level and the work ethic of Kansas City's available workforce were key points in the selection process.

"We're looking for people who want to be a part of and contribute to a growing success story," said Beaudoin. "We have our first training class starting today. But we're holding open houses this week to begin our full hiring effort."

The open houses will be held Friday and Saturday, June 8 & 9 from 10am to 3pm. Anyone interested in employment with ServiceMagic.com is encouraged to come by the operations center during those times to apply and possibly interview. Information can also be obtained by calling (913) 529-2629 or at www.ServiceMagic.com. The Lenexa satellite office will employ an estimated 300 sales and customer management representatives.

"We are excited to welcome ServiceMagic to Kansas," said Steve Kelly, Deputy Secretary for Business Development for the Kansas Department of Commerce. "State and local leaders have worked with the company for quite some time on this project, and our efforts were clearly successful. In the end, ServiceMagic was pleased with our competitive incentives package, our incredible workforce and the Kansas City area in general."

"We feel very fortunate to have ServiceMagic's corporate presence in Kansas City, along with the addition of so many quality, high-paying jobs," said Robert Marcusse, president and CEO, Kansas City Area Development Council. "Without the diligence and passion of our OneKC regional partners like Larry Glaze and Glaze Commercial Real Estate Advisors, ServiceMagic's investment could have easily gone somewhere else."

Similarly, Lenexa Mayor Mike Boehm said "We are pleased that ServiceMagic has selected Lenexa and are excited to welcome another fast growing, progressive company to our business community. Once again, our highly educated, productive work force has been recognized by an industry leader and has resulted in additional capital investment in Lenexa."

ServiceMagic.com is headquartered in the Denver suburb of Golden. Since Beaudoin and co-CEO Rodney Rice began the company in 1999, it has expanded to a current number of more than 800 full time employees.

In Lenexa, ServiceMagic.com is leasing the first floor (30,328 sq. feet) of the Waterside One building, located at 15405 College Boulevard.

Larry Glaze, president and CEO of Glaze Commercial Real Estate Advisors represented ServiceMagic in its search for an office location. "It's exciting to be part of a project that means new growth for our community," he said

Gerry Wienholt, a ServiceMagic Vice-President, recently joined the company to lead the Lenexa expansion site.

"I'm thrilled to join such a well-established, growing company," Wienholt said. "ServiceMagic provides such an exceptional service to homeowners and to home service professionals. I look forward to living among and working with the people of the greater Kansas City area."

ServiceMagic.com connects homeowners across the country to home service professionals who've been prescreened and approved to be a part of the ServiceMagic.com network. To date, the company has made more than six million consumer/professional matches. The ServiceMagic.com network currently consists of more than 51,000 professionals nationwide.

"Our screening process ensures these professionals meet our high standards of membership, including appropriate licensing and insurance coverage. Our goal is to do the background work for the homeowner, which is a free service," Beaudoin said.

By using ServiceMagic.com, homeowners are given the ability to contribute to the company's "verified" ratings and review system. That means that only those who use the service are allowed to post a rating or a comment.

"This protects the integrity of the ratings and reviews, for the benefit of all consumers and the professionals in our network," said Beaudoin.

Many Kansas City residents are already familiar with the benefits of ServiceMagic.com, submitting more than 53,000 requests for a ServiceMagic.com prescreened home services professional since 1999. In 2006 alone, that number was 16,881 – a significant increase over the 10,790 service requests submitted from Kansas City residents in 2005.

427 home service professionals who operate in the Kansas City area are currently members of the ServiceMagic.com network.

ABOUT SERVICEMAGIC®, INC.
ServiceMagic®, Inc., headquartered in Golden, Colo., is the nation's leading online marketplace connecting homeowners with prescreened and customer-rated home service professionals. Using proprietary technology to match consumer service requests with local service professionals in real time, the company addresses more than 500 different home service needs that range from simple home repairs and maintenance to complete home remodeling projects. In addition, its 50,000 home service professionals are prescreened to help consumers connect with licensed and insured home service professionals. ServiceMagic is an operating business of IAC/InterActiveCorp (NASDAQ: IACI). For more information, visit http://www.servicemagic.com.


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Survey Shows Homeowners Take Notice of Sloppy Neighbors
May is National Home Improvement Month and 63% Have a Neighbor Who Irks Them

GOLDEN, Colo. (April 30, 2007) – In a recent ServiceMagic.com survey, an overwhelming number of homeowners say they have a neighbor on their block who needs to do more to improve the appearance of their home.

“Inevitably, there will be at least one homeowner in a neighborhood who lives in ‘that house’,” said David Lupberger, the Home Improvement Expert for ServiceMagic.com – the nation’s leading website connecting homeowners with thousands of prescreened and customer-rated home service professionals.

“Whether it’s a yard with tall weeds, junk cars in the driveway or on the lawn or just a bad paint job, there seems to always be a house that others say could use some – or a lot of – improvement,” Lupberger said.

More than 900 people responded to the nationwide survey with 63% saying they have or have had a neighbor who makes the neighborhood look bad by not taking care of the outside of their homes. 21% admitted it was probably their own home which was the house that everyone else talked badly about.

When asked if more should be done to crack down on those who are “bringing down the neighborhood” an overwhelming majority – 81% -- answered “Yes”.

“May is National Home Improvement Month,” said Lupberger. “If you know you live in ‘that house’, take advantage of the great weather in May to get some of this work done. It might ease any existing tensions with your neighbors. And you might be surprised at how much enjoyment you get from fixing up your home, especially after the work is done.”

Respondents to the survey indicated there’s often a combination of things their neighbor needs to take care of. Here’s a breakdown of what annoys them:

Take Care of Weeds 64%
Keep their lawn watered/mowed 63%
Haul Junk Away 57%
Paint the Home’s Exterior 42%
Remove Junk Cars 42%
Repair a Visible Defect in the House 39%
Quit Parking on the Street 24%

Snitching?

The ServiceMagic.com survey asked respondents if they’d snitched on their neighbors to the authorities or the Homeowner’s Association. The responses:

No, we just put up with it 41%
Not Yet 23%
Yes 22%
Someone else beat me to it 14%

The Direct Approach

Respondents were also asked if they’d personally confronted their neighbor about their thoughts on the issue.

No 75%
Yes. It created tension and the house still looks bad 18%
Yes. And it really helped 4%
Yes. It created tension, but it was effective 3%

David Lupberger is available for media interviews pertaining to consumer/contractor relationships as well as other home improvement topics and consumer tips. To schedule, please contact the ServiceMagic.com public relations department at (303) 963-8028.

ServiceMagic.com is a free website for consumers to connect to 50,000 home service professionals nationwide. Each contractor, electrician, carpenter, plumber, etc… has been pre-screened for licensing, insurance, recent lawsuits and more. Since 1999, ServiceMagic.com has made more than six million connections between homeowners and pre-screened home service professionals.

ABOUT SERVICEMAGIC®, INC.
ServiceMagic®, Inc., headquartered in Golden, Colo., is the nation's leading online marketplace connecting homeowners with prescreened and customer-rated home service professionals. Using proprietary technology to match consumer service requests with local service professionals in real time, the company addresses more than 500 different home service needs that range from simple home repairs and maintenance to complete home remodeling projects. In addition, its 50,000 home service professionals are prescreened to help consumers connect with licensed and insured home service professionals. ServiceMagic is an operating business of IAC/InterActiveCorp (NASDAQ: IACI). For more information, visit http://www.servicemagic.com.


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ServiceMagic Launches “Must Have” Directory for Hassle-free Home Improvement
100k Atlanta Residents to Receive Complimentary Copy of “Contractor Files”

GOLDEN, Colo. (April 20, 2007) – ServiceMagic.com announced today it is shipping 100,000 copies of its new publication, Contractor Files, to residents of Atlanta and the surrounding area – starting today.

Contractor Files is a 68-page publication featuring a directory of Atlanta’s most highly rated home service professionals as well as helpful, seasonal home improvement tips, hot trends and other useful information. Recipients can find profiles on highly rated pros across more than 30 common home improvement related categories and access the complete rating and review history of a business at ServiceMagic.com.

“We want homeowners to know who the best home service professionals are in Atlanta,” said Rodney Rice, co-CEO and cofounder of ServiceMagic.com. “Contractor Files is designed to be the next generation directory for homeowners in need of a professional for any home improvement related project. The best contractors in the ServiceMagic network earn their way into the Contractor Files publication. All of the pros found within Contractor Files have received verified ratings from multiple ServiceMagic homeowners and must have an average score of at least 4 stars (out of 5 possible). Hats off to these pros who consistently go above and beyond to take care of our ServiceMagic family of homeowners.”

Norcross-based ProSouth Contracting Group is featured on the inaugural cover, along with the company’s average consumer rating, years in business, expertise, and general liability insurance information. Consumers will find similar information on each of the 154 listed professionals.

“It’s a big thing for us," said ProSouth’s Justin Abshire. “We appreciate the fact that we’re a part of Contractor Files. I think it shows the value that we put on making sure that our customers are happy. We’re really proud of this.”

“Homeowners often have many questions about home improvement projects. The first and the biggest is – where do I go to find someone?” said David Lupberger, ServiceMagic.com’s Home Improvement Expert.

“Who you hire is the most critical part of any project,” said Lupberger. “Contractor Files is a way to narrow the field in that respect.”

Copies of Contractor Files should be arriving in mailboxes in the Atlanta and Denver metro areas within the next few days. The quarterly publication will expand to include additional cities in its next production cycle.

Homeowners who do not receive a copy can obtain one for no charge by e-mailing their name and address to contractorfiles@servicemagic.com.

David Lupberger is available for media interviews pertaining to consumer/contractor relationships as well as other home improvement topics and consumer tips. To schedule, please contact the ServiceMagic.com public relations department at (303) 963-8028.

ServiceMagic.com is a free website for consumers to connect to 50,000 home service professionals nationwide. Each contractor, electrician, carpenter, plumber, etc… has been pre-screened for licensing, insurance, recent lawsuits and more. Since 1999, ServiceMagic.com has made more than six million connections between homeowners and pre-screened home service professionals.

ABOUT SERVICEMAGIC®, INC.
ServiceMagic®, Inc., headquartered in Golden, Colo., is the nation's leading online marketplace connecting homeowners with prescreened and customer-rated home service professionals. Using proprietary technology to match consumer service requests with local service professionals in real time, the company addresses more than 500 different home service needs that range from simple home repairs and maintenance to complete home remodeling projects. In addition, its 50,000 home service professionals are prescreened to help consumers connect with licensed and insured home service professionals. ServiceMagic is an operating business of IAC/InterActiveCorp (NASDAQ: IACI). For more information, visit http://www.servicemagic.com.


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Contractor Referral Service Reaches 50,000 Member Milestone

GOLDEN, Colo. (April 20, 2007) – ServiceMagic.com, the nation’s leading website connecting homeowners to residential contractors and home service professionals, announced today that its nationwide network of prescreened home service professionals has reached the 50,000 member mark.

“We’re very proud of the ServiceMagic network of service professionals that provide great solutions for our homeowner customers,” said Michael Beaudoin, co-CEO and co-founder of ServiceMagic.com. “Building the network to 50,000 validates the work we’re doing for the service professionals who’ve joined our network. The benefits they get from ServiceMagic are helping them grow and manage their businesses in a more efficient manner.”

More than 300,000 consumers are now coming to ServiceMagic.com each month looking for a reliable home service professional. Since 1999, ServiceMagic.com has made more than six million matches between homeowners and members of its prescreened network.

“Without question, more home service professionals are seeing the value and the benefits of being part of a network that’s getting such a vast amount of consumer interest,” Beaudoin said. “Even though we’re at 50,000 nationally, we must continue to grow to meet consumer demand for a ServiceMagic service professional.”

After joining ServiceMagic, service professionals are connected with potential clients who are specifically looking for the work done by that professional

Howard Molen, a general contractor in New York City, joined the ServiceMagic.com network in 2003. Molen says since joining, his company – HFM Company, Inc. – has seen large increases in his operating territory and his client base.

“It’s opened up new worlds of opportunity,” Molen said. “It’s become a wonderful and welcome part of my business plan. Many new opportunities have arisen from being part of the ServiceMagic.com network.”

Before being allowed to join the network, each home service professional must pass ServiceMagic.com’s screening process, which checks for things such as appropriate licensing, general liability insurance, legal judgments, identity verification and more.

ABOUT SERVICEMAGIC®, INC.
ServiceMagic®, Inc., headquartered in Golden, Colo., is the nation's leading online marketplace connecting homeowners with prescreened and customer-rated home service professionals. Using proprietary technology to match consumer service requests with local service professionals in real time, the company addresses more than 500 different home service needs that range from simple home repairs and maintenance to complete home remodeling projects. In addition, its 50,000 home service professionals are prescreened to help consumers connect with licensed and insured home service professionals. ServiceMagic is an operating business of IAC/InterActiveCorp (NASDAQ: IACI). For more information, visit http://www.servicemagic.com.


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ServiceMagic.com Warns Consumers About Home Improvement Scams
Warmer Weather Means More People Posing as Home Improvement Contractors

GOLDEN, Colo. (April 3, 2007) – ServiceMagic.com’s Home Improvement Expert issued a nationwide warning to homeowners today – don’t hire or pay someone for home improvement unless you know their background and experience.

“Warm weather always brings out the phonies, the con-artists,” said David Lupberger of ServiceMagic.com – the nation’s leading website matching millions of homeowners to prescreened and customer-rated and reviewed home improvement professionals across the country. The service is free to consumers.

“These people target our most vulnerable citizens, looking to steal as much as they can get away with. It’s very easy to fall prey to a smooth-talker who just happens to have the perfect (and cheaper) solution to your problem,” Lupberger said.

Lupberger said these scams take on all forms, but one of the most frequent comes from the “traveling handyman”. A person knocks on a door, saying they’re doing other work in the neighborhood or they have leftover supplies from a different job. They offer to do some work, take the money in advance and are never seen again. Another version of this scam is to complete the work and present a much higher bill than the agreed-upon price.

“Don’t ever hire someone unless you know, without question, their permanent business address,” Lupberger said. “And that’s only the first question you should ask. Reputable business people will have no problem answering your questions and supplying proof of who they are, their licensing and their expertise.”

Lupberger, a former professional contractor, offers these tips for homeowners trying to protect themselves:
  1. Scrutinize anyone who might perform home improvement services for you – especially those who knock on your door and just happen to be in the neighborhood.
  2. Always demand to see proof of their permanent business address, proper identification and appropriate licensing and insurance BEFORE letting anyone into your home.
  3. Work out the details of the amount of the payment, the payment schedule and the scope of work (the details of what work is to be completed) before any money is exchanged and before work begins.
  4. Get everything in writing. Asking for a written estimate might discourage a con-artist. Any reputable home improvement professional will understand they are competing for your business and should be happy to give you a written estimate. This is a great way to judge the differences in professionalism and cost.
  5. Don’t allow yourself to be rushed. Do your research. Through using the free resources at your disposal – internet screening services like ServiceMagic.com, neighbors and references -- you should be able to collect a great deal of information on your potential hires.
David Lupberger is available for media interviews pertaining to consumer/contractor relationships as well as other home improvement topics and consumer tips. To schedule, please contact the ServiceMagic.com public relations department at (303) 963-8028.

ServiceMagic.com is a free website for consumers to connect to 49,000 home service professionals nationwide. Each contractor, electrician, carpenter, plumber, etc... has been prescreened for licensing, insurance and more. Since 1999, ServiceMagic.com has made more than six million connections between homeowners and prescreened home service professionals.

ABOUT SERVICEMAGIC®, INC.
ServiceMagic®, Inc., headquartered in Golden, Colo., is the nation's leading online marketplace connecting homeowners with prescreened and customer-rated home service professionals. Using proprietary technology to match consumer service requests with local service professionals in real time, the company addresses more than 500 different home service needs that range from simple home repairs and maintenance to complete home remodeling projects. In addition, its 49,000 home service professionals are prescreened to help consumers connect with licensed and insured home service professionals. ServiceMagic is an operating business of IAC/InterActiveCorp (NASDAQ: IACI). For more information, visit http://www.servicemagic.com.


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