NEW YORK, February 11, 2003 - TheStreet.com, Inc. (Nasdaq:TSCM), a leading multimedia provider of financial commentary, analysis, research and news, today announced its financial results for the fourth quarter and fiscal year ended 2002, which included a year-over-year revenue increase of 37 percent and the seventh consecutive quarter of subscription revenue growth.

Net revenue was $6.0 million in the fourth quarter 2002. This was an increase of 55 percent over the fourth quarter 2001 and a 12 percent increase from third quarter 2002. Net revenue for the year was $20.8 million, a 37 percent increase from $15.3 million in 2001. Net loss under generally accepted accounting principles was ($1.2) million or ($0.05) per share for the quarter, which was an improvement of 81 percent over the same period last year of ($6.2) million or ($0.26) per share, and a 37 percent improvement from the third quarter of ($1.8) million or ($0.8) per share. Net loss under generally accepted accounting principles was ($8.7) million for the year, a 70 percent improvement over ($29.2) million in 2001, equating to ($0.37) per share for 2002 versus ($1.12) per share in 2001.

Total cash burn in the fourth quarter 2002 was $814,764. This was an improvement of 87 percent over the cash burn of fourth quarter 2001 of $6.1 million and a 24 percent increase from the third quarter 2002. The quarter-over-quarter increase is a result of costs incurred in the creation of Independent Research Group LLC (IRG), a wholly owned subsidiary of TheStreet.com that intends to offer proprietary equity research to institutional clients. For the full year 2002, the Company's cash burn totaled $4.7 million, which is an 88 percent improvement over the 2001 cash burn of $38.4 million.

Total expenses were $7.2 million in the fourth quarter 2002, an improvement of 32 percent over the $10.7 million in the same period last year and an improvement of 4 percent from the $7.5 million in the third quarter 2002. Total expenses of $30.6 million for 2002 were a 35 percent improvement over the 2001 level of $47.1 million.

"We are proud to be one of the few companies in our sector to report a significant increase in annual revenue during 2002," said Thomas J. Clarke Jr., Chairman and Chief Executive Officer of TheStreet.com. "In 2002, we were able to increase our revenue by 37 percent, while at the same time further reducing our expenditures by 35 percent. Net revenue in the fourth quarter increased 12 percent -- a strong indication of our product acceptance within the market. Further evidence that we are demonstrating solid and consistent results is the 88 percent reduction in our annual cash burn, which we achieved while continuing to invest in our growing business. We believe our strong cash position of $29 million will enable us to continue reinvesting in our business and developing new revenue opportunities, as evidenced by the formation of IRG."

Subscription
Subscription revenue for the fourth quarter 2002 rose to $4.3 million, an increase of 64 percent over the same period last year and an increase of 7 percent from the third quarter 2002. This is the highest quarterly subscription revenue in the Company's history. Subscription revenue for the year totaled $14.9 million, a 64 percent increase over the $9.1 million in 2001. Subscription bookings for the fourth quarter totaled $4.2 million, an increase of 90 percent over the same period last year and a 5 percent increase from the third quarter 2002. For the full year 2002, subscription bookings totaled $17.6 million, a 108 percent improvement from $8.5 million booked in 2001.

"Our seventh consecutive period of quarterly subscription revenue growth further validates our belief that customers will pay for value-added proprietary content," Clarke added. "We are cognizant that one size does not fit all on the Web, and that the different levels of subscription products we offer to various audiences enable us to meet the needs of a larger sector of the investing public."

Advertising
Advertising revenue was $1.4 million for the fourth quarter 2002, an increase of 30 percent over the same period last year and an increase of 29 percent from third quarter 2002. Advertising revenue for the year totaled $4.4 million, a 13 percent decrease from $5.0 million in 2001.

"Advertising sales activity has increased and it remains a strong contributor to the Company's overall revenue," commented Clarke. "Fourth quarter 2002 advertising sales were the strongest since the first quarter of 2001, resulting from a slight upturn in the advertising market, strong renewals, efficient and positive advertiser performance and an aggressive advertising sales strategy. Our strong subscriber, visitor and database demographics continue to allow us to provide competitive advertising buys for companies and ad agencies in the financial, technology, luxury goods and other relevant categories."

Operating Results Improve
The Company's gross margin was 69 percent in the fourth quarter 2002, comparing favorably with 56 percent in the same period last year, while remaining flat from the third quarter 2002. The Company has improved its gross margin in six of the last seven quarters. Gross margin for the year was 66 percent, a 24 percent improvement from the 42 percent achieved in 2001.

Operating expenses for the fourth quarter totaled $5.4 million, an improvement of 40 percent over the same period last year and a 7 percent improvement from the third quarter 2002. Operating expenses for the year were $23.5 million, a 39 percent improvement from $38.3 million in 2001. Cash burn for the quarter was $814,764, an 87 percent improvement over the same period last year of $6.1 million. Cash, restricted cash and investments as of Dec. 31, 2002, decreased 3 percent from the previous quarter and stands at $29 million. Cash burn for the full year was $4.7 million, an 88 percent improvement from $38.4 million in 2001.

"We are pleased to have increased our gross margin and reduce both the cash burn and total expenses for 2002, while simultaneously investing in new products and business lines," said Clarke. "Our financial results are strong and reflect our unwavering commitment to driving the business towards profitability."

2002 Business Highlights
Some of the Company's major accomplishments include:

• The launch of six new subscription products including RealMoney Pro (currently known as Street Insight), RealMoney Pro Advisor, Telecom Connection, The Daily Swing Trade, The Turnaround Report and The Trading Reports.
• The development of TheStreet.com's Professional Markets Group to serve the needs of the institutional market
• An agreement between the Company and the WOR Radio Network to produce and syndicate Jim Cramer's RealMoney radio program.
• The formation of Independent Research Group LLC, a new proprietary research company and wholly owned subsidiary of TheStreet.com. IRG was formed to meet institutional clients' needs for more rigorous and insightful analysis, unencumbered by the conflicts associated with traditional Wall Street research. Former JP Morgan H&Q managing director and senior analyst Paul W. Noglows was appointed director of research.

  TheStreet.com will conduct a conference call today, February 11, 2003, at 11:00 a.m. EST to discuss these results. The Company welcomes all interested parties to listen to the Web cast of its call.

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