Web Hosting Products Firm, Sitestar, Acquires Comcation Assets

Lynchburg, Virginia - (The Hosting News) - March 5, 2008 - Residential and business Internet access, web hosting products and services firm, Sitestar Corporation, has acquired the customers and assets of Comcation. Sitestar expects a seamless transition to the Company's own infrastructure.

Sitestar is one of the largest privately-held ISPs in the Northwestern United States, where it acquired many subscribers of Idacomm Corporation's Velocitus Internet Services division in 2005.

The transaction is the first of what the Company expects to be a prolific 2008 spurred on by the momentum of Sitestar's landmark purchase of nearly 40,000 subscribers sold and marketed under the Nationwide Internet, InReach Internet and DFW Internet brands that were formerly held by Maryland-based MobilePro Corporation.

Frank R. Erhartic, Jr., CEO for Sitestar remarked, "Comcation's blend of access and hosting customers represents the ideal customer composition that Sitestar is targeting for acquisition. Our strategy is to continue to leverage our economies of scale within the narrowband segment to generate revenue that will drive new growth in opportunistic market segments such as web hosting which, like dial-up, has strong profit margins but, also, the added benefit of customer 'stickiness.''

Mr. Erhartic noted, ''We welcome the former Comcation customers to Sitestar and look forward to providing them with unparalleled service and support.''

Sitestar is an Internet and computer solutions provider that offers narrow-band (dial-up) services and broadband Internet access services (ISDN, DSL, satellite, cable and wireless), web hosting and design, and other value-added services including web acceleration, spam and virus filtering as well as spyware protection. Headquartered in Lynchburg, Virginia, Sitestar maintains multiple sites of operation and provides services to customers throughout the U.S. and Canada, with concentrations of customers in the Mid-Atlantic and Rocky Mountain regions in the U.S. and in Ontario, Canada.

To learn more, please visit: www.sitestar.com.

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