STAMPS.COM AND HOTOFFICE FORM STRATEGIC ALLIANCE TO BRING INTERNET POSTAGE TO SMALL BUSINESSES

Santa Monica, Calif. – October 6, 1999 – Stamps.com™ (Nasdaq: STMP), the leader in Internet Postage™, and HotOffice Technologies, an Application Service Provider (ASP), today announced a strategic alliance which will distribute Stamps.com’s free software through the HotOffice Web-Based Intranet Service. In addition, Stamps.com will include HotOffice on its partner Web page, as well as the customer perks page, which features special offers and promotions from partners.

Stamps.com harnesses the power of the Internet to allow consumers to print postage any time of the day or night using only a computer, printer and Internet connection. With Stamps.com’s convenient, secure and cost-effective service, customers will never have to wait in line at the post office again.

“This partnership with HotOffice continues to expand easy access to the Stamps.com service to millions of small business owners,” said CEO John Payne of Stamps.com. “Together with HotOffice, we are leading the way in demonstrating how small businesses can leverage technology to increase their productivity and efficiency, and grow their business.”

“Stamps.com is a perfect example of how going online can make a small business more productive, which is why we at HotOffice are very pleased to be delivering Internet Postage to our customers,” said R. Michael Franz, chairman and CEO of HotOffice Technologies. “Business travellers will also be able to take advantage of Stamps.com’s service while using HotOffice on the road, which means postage is one less thing they’ll have to worry about.”

About Stamps.com

Founded in 1996, Santa Monica-based Stamps.com is the only commercially approved true Internet Postage service. The company’s innovative technology eliminates the need for specialized hardware by giving customers the flexibility to print postage over the Internet – securely, accurately and fast. Through partnerships with major companies like 3M, America Online, Microsoft, Office Depot and Quicken.com, Stamps.com has tremendous reach into the small office/home office and consumer markets. More information about the company can be found at sdcmainprod.wpengine.com.

About HotOffice Technologies, Inc.

HotOffice is an award-winning Application Service Provider (ASP) that pioneered the development of Web-based collaboration and productivity tools for small businesses. The Company leverages cutting-edge technology to provide tools that allow small businesses to level the playing field and communicate effectively through an affordable, private office on the Web. The same suite of applications is available in both free (advertising supported) and subscription-based versions. HotOffice received the PC Magazine Editors’ Choice Award for 1998 and 1999; was designated by Windows Magazine as one of the Best Business Sites on the Internet and by PC Computing as the Top Business Technology Service on the Internet; and was listed as the Best Small Office Internet Solution in the Gadget Guru’s Guide to the Best (syndicated columnist and NBC Today Show Correspondent). HotOffice Technologies, Inc., founded in 1995, is a privately held company based in Boca Raton, Florida and is funded in part by Intel Corporation, Staples, Inc. and TBG Information Investors, a partnership of Blumenstein/Thorne Information Partners and GS Capital Partners II, an affiliate of Goldman Sachs Group.

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“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: This release may contain forward-looking statements that involve risks and uncertainties. Important factors, which could cause actual results to differ materially from those in the forward-looking statements are detailed in filings with the Securities and Exchange Commission, made from time to time by Stamps.com, including its Form 10-Q for the quarter ended June 30, 1999, and Stamps.com’s prospectus, related to its initial public offering, that was filed with the SEC on June 25, 1999.

Internet Postage, Stamps.com and the Stamps.com logo are trademarks of Stamps.com Inc. All other brands and names are property of their respective owners.