April 25, 2005
For Immediate Release
Address: 26-1 Sakuragaoka-cho , Shibuya-ku, Tokyo
Company name: Global Media Online Inc.
Code No.9449
Company representative: Masatoshi Kumagai , Representative Director and President
Contact person: Masashi Yasuda , Executive Director
TEL: 03-5456-2555 (switchboard)
FAX: 03-3780-2611
URL: http://www.gmo.jp

GMO Launches New Company
Global Media Online Inc. (GMO) is pleased to announce that it has set up a new company incollaboration with ValueCommerce Co., Ltd. The new company will operate in the affiliate service
business.

1. Profile of the New Company(1)Company name

(2)

Date

: GMO Affiliate, Inc.
of : April 21, 2005

establishment(3)

Head office location: 26-1 Sakuragaoka-cho, Shibuya-ku, Tokyo(4)

Representative: Shojiro Inoue, responsible for the affiliate business development
project, Global Media Online Inc.

(5)

Capital: 10 million yen(6)

Ownership structure: Global Media Online Inc.

(51.0%): ValueCommerce Co., Ltd.

(49.0%)(7)

Line of business: Affiliate service business

2. Objective of establishment
An affiliate service is a system in which advertisers on a website or an email magazine pay acommission to the service provider in proportion to the sales earned. When a user guided to an advertiser'swebsite (e-commerce website) by the online advertisement makes a purchase or asks for information, theadvertiser pays a commission in proportion to the purchased amount or other criteria to the website
operator. With the advantage of making it easy to reach latent customers interested in products, the affiliate
service has been rapidly attracting attention in Japan in recent years as a new marketing approach thatenables highly cost-effective advertisements to be placed and sales channels very likely to reach intended
customers to be created.
ValueCommerce Co., Ltd. boasts Japan's largest network and substantial experience in the affiliate
service business.
Meanwhile, GMO operates several media, including blog services such as yaplog!, JUGEM andAutoPage.
Thus, an affiliate service giant with Japan's largest client base will join forces with GMO, which owns
multiple media, to create a new business foundation.

3. Profile of ValueCommerce Co., Ltd.
Company name:

ValueCommerce Co., Ltd.

President & CEO:Brian Nelson

Location:

3-32-7 Hongo, Bunkyo-ku, Tokyo

Dateof :March 1996

establishment
Capital:

645 million yen

Line of business:Internet sales channel consulting and development
Affiliate marketing
Internet advertising, distribution and maintenanceInternet marketing and consulting
Search and directory services
Professional services
OEM hosting service[For queries]
C o n t a c t : IimuraTE

L: 03-3817-8995

FA

X: 03-3813-4051

E - m a i l : press@valuecommerce.co.jp

4. Impact on Future Business Results
This business is designed to bolster the value of the GMO Group's Internet media. Although it isexpected to be a future pillar of the Company, for the time being it is likely to have a minor impact on
business performance. Consequently, the consolidated business forecasts for the term ending December
2005 have not been revised. The launch of this new company will also a minor impact on the Company'snet total assets.

End