Web Hosting Provider Merger for Internet America, Keyon, Terminated

March 12th, 2009 By:

Houston, Texas – (The Hosting News) – March 12, 2009 – Internet service and web hosting provider, Internet America, Inc. has terminated the proposed merger of last November, with KeyOn Communications Holdings, Inc.

The Company, KeyOn and a wholly owned subsidiary of the Company had entered into an Agreement and Plan of Merger under which KeyOn would have become a wholly-owned subsidiary of Internet America and the shareholders of KeyOn would have received shares of Internet America common stock in the merger.

The Merger Agreement was terminated due to KeyOn’s inability to materially comply with certain of the covenants and conditions to closing required to be performed or satisfied by it under the Merger Agreement. Internet America is pursuing its right to the termination fee and expenses due it under the Merger Agreement.

Internet America is a leading Internet service provider serving the Texas market. Based in Houston, Internet America offers businesses and individuals a wide array of Internet services including broadband Internet delivered wirelessly and over DSL, dedicated high-speed access, web hosting, and dial-up Internet access. Internet America provides customers a wide range of related value-added services, including Fax-2-Email, online backup and storage solutions, parental control software, and global roaming solutions. Internet America focuses on the speed and quality of its Internet services and its commitment to providing excellent customer care.

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

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