iMergent in Discussions with Texas Attorney General; Company Confident

    Business Editors/High-Tech Writers

    OREM, Utah--(BUSINESS WIRE)--Feb. 25, 2005--iMergent, Inc., (AMEX:IIG) a leading provider of eCommerce and software for small businesses and entrepreneurs, announced it has reviewed the petition filed by the Attorney General of Texas and management categorically denies the alleged and unsubstantiated claims about iMergent's business practices.
    Jeffery Korn, general counsel of iMergent, stated, "On February 14th, immediately upon being notified by the Texas Attorney General who filed the petition, I contacted their office proactively initiating attempts to resolve this matter. I am continuing those discussions and I am quite confident we will resolve this issue amicably in the near term."
    Referring to the petition, Don Danks, chairman and chief executive officer, stated, "A few similar situations have occurred in the past, but because we fully comply will all applicable laws and statutes, all have been resolved amicably."
    Danks continued, "We demand each of our employees scrupulously follow every law and regulation and treat fairly and with respect the people we expect to see in calendar 2005 including over 200,000 people in Preview Sessions and over 55,000 people at Full-day Workshops. We are also confident that our world-class customer service organization will effectively support the anticipated 20,000 new StoresOnline(R) merchants."

    About iMergent

    iMergent provides eCommerce solutions to entrepreneurs and small businesses enabling them to market and sell their business product or idea via the Internet. Headquartered in Orem, Utah the company sells its proprietary StoresOnline software and training services, helping users build a successful Internet strategy to market products, accept online orders, analyze marketing performance, and manage pricing and customers. In addition to software, iMergent offers site development, web hosting, marketing and mentoring products. iMergent typically reaches its target audience through a concentrated direct marketing effort to fill Preview Sessions, in which a StoresOnline expert reviews the product opportunities and costs. These sessions lead to a follow-up Workshop Conference, where product and technology experts train potential users on the software and encourage them to make purchases.

    iMergent, Inc. and StoresOnline are trademarks of iMergent, Inc.

    Statements made in this press release that are not historical in nature constitute forward-looking statements within the meaning of the Safe Harbor Provision of the Private Securities Litigation Reform Act of 1995. Such statements are based on the current expectations and beliefs of the management of iMergent and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Such risks and uncertainties include, without limitation, the company's resolution of the pending proceeding; employees complying with company policy and laws; attracting 200,000 people to Preview Sessions and over 55,000 people to Full-day Workshops in 2005; securing 20,000 new StoresOnline merchants in 2005. For a more detailed discussion of factors that affect iMergent's operating results, please refer to its SEC reports including its most recent Form 10-K and Form 10-Q. The company undertakes no obligation to update this forward-looking information.

--30--LO/sf*

CONTACT: iMergent, Inc. Rob Lewis, 801-431-4695 investor_relations@imergentinc.com or Lippert/Heilshorn & Assoc. David Barnard, 415-433-3777 (Investor Relations) David@lhai-sf.com Kirsten Chapman, 415-433-3777 (Investor Relations) Chenoa Taitt, 212-838-3777 (Media) ctaitt@lhai.com

KEYWORD: UTAH TEXAS INDUSTRY KEYWORD: ADVERTISING/MARKETING SOFTWARE INTERNET E-COMMERCE SOURCE: iMergent, Inc.

Copyright Business Wire 2005