GM Deal Sends NetZero Shares Soaring

By Karen Kaplan

Jan. 14, 2000 12 AM PT

Shares of NetZero, the free Internet service provider, leaped 25% after the Westlake Village company said it had struck a strategic alliance with General Motors. The auto maker will buy up to $68 million in advertising from NetZero over a four-year period. GM also will distribute 20 million discs with the ISP’s software and receive a warrant to purchase up to 575,000 shares of NetZero common stock at $28.71 per share. GM will also provide automotive content to NetZero’s 3 million Web customers. NetZero shares soared $7.13 on Nasdaq to $32.06.

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Karen Kaplan

Karen Kaplan covers science and medical research for the Los Angeles Times. She has been a member of the science team since 2005, including 13 years as an editor. Her first decade at The Times was spent covering technology in the Business section as both a reporter and editor. She grew up in San Diego and is a graduate of MIT and Columbia University.

GM Deal Sends NetZero Shares Soaring

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