August 8, 2003 - IAC Completes Acquisition of LendingTree

IAC/InterActiveCorp (Nasdaq: IACI) today announced the successful completion of its acquisition of LendingTree, LLC. through the merger of a subsidiary of IAC with and into LendingTree. LendingTree, the leading online lending and real estate exchange, will continue operations as an operating business of IAC. This acquisition became effective as of the close of market today.

As a result of the acquisition, LendingTree shareholders will receive 0.6199 of a share of IAC common stock for each share of LendingTree common stock they owned and options to purchase LendingTree common stock were converted into options to purchase shares of IAC common stock. Holders of LendingTree preferred stock will receive shares of common stock of IAC on an as-converted basis in exchange for their preferred shares. In this transaction, IAC will issue to LendingTree shareholders approximately 18.8 million basic shares and 21.1 million shares on a fully diluted, treasury method basis.

Shares of LendingTree common stock, which prior to the merger traded on the Nasdaq National Market under the symbol "TREE," were delisted from trading as of the close of the market on Friday, August 8, 2003.

For information about IAC/InterActiveCorp, please visit www.iac.com.