INCX Interchange

Interchange Corp. (NASDAQ:INCX), owner of Local.com, a leading local-search engine, today announced that it has retained investment banking firm Merriman Curhan Ford & Co. to assist in reviewing strategic alternatives available to the company in connection with its National Search business. Merriman Curhan Ford & Co. will help the board analyze options including, but not limited to, the combination, sale or merger of the National Search business with another entity. "The management and board of directors of Interchange believe that the launch of the Local.com has been a success, with considerable gains in traffic, market share and revenue achieved thus far. Two primary goals are to become number one in local search and to achieve profitability," said Heath Clarke, chairman and chief executive officer of Interchange. "We believe that becoming a pure-play local-search business will enable us to focus all of our human, technical, and financial resources on local search. We further believe that shareholder value will be created to the extent that we achieve our objectives in local search." The company stated that there can be no guarantee that this initiative will result in a transaction, or that we will receive any suitable terms or timing for such a transaction. The company may not provide updates with respect to this initiative until such time as the board of directors has approved a definitive course of action. About Interchange Interchange Corp. (NASDAQ:INCX) owns Local.com (www.local.com), a leading local-search engine that has grown to over 8 million visitors per month and is powered by the company's proprietary Keyword DNA(TM) and local-web indexing technologies. The company serves local and national Internet, wireless and operator-assisted local-search markets in the United States and Europe. Interchange generates revenue principally from paid-search advertising. The company recently launched a 60,000-strong domain syndication network in the United States, and has also announced plans to launch Local.com in various markets during 2006. The company has headquarters in Irvine, with European headquarters in Stockholm, Sweden. For more information on Interchange, please visit: www.interchangeusa.com. Forward-Looking Statements: All statements other than statements of historical fact included in this document regarding our anticipated financial position, business strategy and plans and objectives of our management for future operations, are forward-looking statements. When used in this report, words such as "anticipate," "believe," "estimate," "plans," "expect," "intend" and similar expressions, as they relate to Interchange or our management, identify forward-looking statements. Any forward-looking statements are based on the beliefs of our management as well as assumptions made by and information currently available to our management. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors, including, but not limited to, our ability to stabilize our national paid-search advertising business, our ability to operate, grow and monetize our local-search engine, Local.com, and incorporate our local-search technologies, market the Local.com domain as a destination for consumers seeking local-search results, grow our business by enhancing our local-search services, improve our filtering technologies expand our Advertiser and Distribution Networks, expand internationally, integrate the operations and effectively utilize the technology of Inspire, a Swedish Internet and wireless local-search technology company, which we recently acquired, integrate the operations and effectively utilize the technology of Inspire, develop our products and sales, marketing, finance and administrative functions and successfully integrate our expanded infrastructure, as well as our dependence on major advertisers, competitive factors and pricing pressures, changes in legal and regulatory requirements, and general economic conditions. Any forward-looking statements reflect our current views with respect to future events and are subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. All subsequent written and oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by this paragraph. Our Annual Report on Form 10-KSB, subsequent Quarterly Reports on Form 10-QSB, recent Current Reports on Form 8-K, and other Securities and Exchange Commission filings discuss the foregoing risks as well as other important risk factors that could contribute to such differences or otherwise affect our business, results of operations and financial condition. The forward-looking statements in this release speak only as if the date they are made. We undertake no obligation to revise or update publicly any forward-looking statement for any reason.