Bidnow Moving Ahead With Planned Spin-Off

As part of it's restructuring, Bidnow.com, Inc. and Bidnow's attorneys have entered into discussions with Northern Appraisers Inc. to finalize a definitive agreement regarding a spin-off of Bidnow.com's online auction website and all related auction website assets in exchange for the elimination of existing outstanding debt owed by Bidnow to Northern Appraisers.

The planned spin-off will result in the formation of a new public company with Bidnow shareholders receiving significant ownership shares in the new company. Management and the board of directors of Bidnow believe that this will be an important development for the Bidnow shareholders, as it will increase their shareholder value through the diversification that will be accomplished with the spin-off. Additionally, Bidnow will retain a small ownership shareholder position in the new public company, which will further enhance Bidnow shareholder value.

Northern Appraisers is a successful auction company in the traditional auction business model and the spin-off with Northern Appraisers, with Northern Appraisers becoming a significant owner in the new company, will allow Northern Appraisers to expand its business model in the Internet business sector. The new public company created by the spin-off will have experienced management and business development expertise supplied by Northern Appraisers.

This news release contains forward-looking statements. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance and underlying assumptions and other statements, which are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and service demand and acceptance, changes in technology, economic conditions, the impact of competition and pricing, and government regulation and approvals. All such forward-looking statements, whether written or oral, and whether made by, or on behalf of Bidnow.com, Inc., are expressly qualified by these cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, Bidnow.com, Inc. disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.

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