INVESTOR RELATIONS

News Releases

FOR IMMEDIATE RELEASE

Contact:

Sandra Lee TheStreet.com 212.321.5493

NEW YORK, July 17, 2002 - TheStreet.com, Inc (Nasdaq: TSCM ), a leading multimedia provider of financial commentary, analysis and news, today announced its financial results for the quarter ended June 30, 2002, which included its fifth consecutive quarter of subscription revenue growth.

Net revenue was $5.5 million in the second quarter 2002, an increase of 54% over the same period last year and the Company's highest net revenue since the fourth quarter 2000. Net loss and net loss per share under generally accepted accounting principles were ($2.0) million, or ($0.08) per share for the quarter, comparing favorably with ($3.7) million, or ($0.16) per share for the first quarter 2002.

Total cash burn in the second quarter 2002 was $666,000, including the purchase of an additional 0.3% of the Company's outstanding shares. This was a decrease of 74% from the total cash burn of last quarter's $2.6 million and a decrease of 91% over the same period of last year's $7.8 million. This represents the lowest cash burn in the company's public history.

"These solid across-the-board results validate our conviction that multiple revenue streams will continue to provide the foundation for our continued success," said Thomas J. Clarke, Chairman and Chief Executive Officer of TheStreet.com. "In addition to a total revenue increase of 35% over last quarter, we achieved our fifth consecutive subscription revenue increase. Furthermore, by effectively utilizing our operating leverage, we were able to increase our gross profit by 152% over the second quarter last year. Over the same time period, we achieved a 14% reduction in cost of revenues, demonstrating our ability to produce more products at lower cost. Going forward, we will continue to focus our business on supplying proprietary, value-added products for both the professional and consumer investment markets."

Subscription

Subscription revenue for the second quarter 2002 rose to $3.7 million, an increase of 22% from the first quarter 2002 and an increase of 74% over the same period last year. This is the highest quarterly subscription revenue in the Company's existence. Furthermore, during a period of significant subscription revenue growth, our cost of revenues was effectively flat, leading to an 11% improvement in gross margin. Subscription bookings totaled $4.4 million, an increase of 117% over the same period last year. Deferred revenue increased by $464,000 to $5.7 million, due to a higher demand for the company's subscription products. This is the company's highest deferred revenue balance ever achieved.

Advertising

Advertising revenue was $1.2 million for the second quarter 2002, an increase of 74% from the first quarter 2002, and an increase of 11% over the same period last year.

Clarke added, "In addition to our solid subscription revenue growth, we are delighted to see that some of our internal initiatives are paying off with increased advertising revenue. This quarter, we were able to obtain a diverse base of advertising clients as a result of our strong demographics and continued product innovation."

Operating Results Improve

Operating expenses totaled $5.8 million, a decrease of 9% from the first quarter 2002 and a decrease of 35% over the same period last year. During the quarter, the Company purchased an additional 0.3% of its outstanding shares, bringing to 19.2% the amount of stock repurchased under its previously announced stock buyback program.

"The Company will continue to be an active buyer of its shares as long as we feel that there is a discrepancy between our intrinsic value and the stock price, and that it makes good business sense for us," Clarke continued.

Cash burn decreased significantly during the second quarter, down 74% from the first quarter of this year and 91% over the same period last year. Cash, restricted cash and investments as of June 30, 2002 remained essentially flat at approximately $31 million.

"We are proud that we were able to decrease our cash burn while we continued to launch new products," Clarke continued. "Much effort has gone into improving our product development and editorial operating efficiencies. This has allowed us to use less cash as we continue to drive the business toward our goal of profitability."

Business Highlights

• The Company announced the formation of the Professional Markets Group, a division focused on providing trading/research products exclusively to market professionals, notably hedge fund managers, brokers, financial planners, traders, and money managers. In addition to its existing products RealMoney Pro and TheStreet(TM)View the Company has launched two products under the newly created group:
• RealMoney Pro Advisor - a financial website created specifically for the needs of stockbrokers, financial planners, and financial consultants.
• The Company continued to diversify its product offerings for the consumer investment community with the following launch:
• The Turnaround Report, a subscription email service by money manager Arne Alsin. The Turnaround Report, which comes out once every two weeks, identifies value stock plays, an essential tool in the current volatile market.
• The Company recently held the first of a series of investment conferences for the professional marketplace. The two-day conference called, "Advanced Disciplines & Strategies for Running Hedge Funds," was an example of how the Company can successfully leverage its expanding presence in the professional marketplace.
• The Company continued to expand its stable of leading investment professionals with the addition of Scott Reamer, a principal at Denver-based hedge fund Union Tree Capital and a former SG Cowen securities analyst, who writes a daily market diary on RealMoney Pro; and Jeff Cooper, a renowned trader and financial author who writes a daily column on RealMoney.
• RealMoney with Jim Cramer, a daily financial radio program nationally syndicated by Premiere Radio Networks, continues to attract a greater listener base. The program currently airs on 48 stations nationwide, including six of the top-ten radio markets -- New York, Los Angeles, San Francisco, Boston, Washington D.C., and Philadelphia

TheStreet.com will conduct a conference call today, July 17, 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 at: http://www.thestreet.com/tsc/ir/conferencecalls.html.

About TheStreet.com, Inc.

TheStreet.com, Inc. (Nasdaq: TSCM) is a leading multimedia provider of original, timely, insightful and trustworthy financial commentary, analysis and news. TheStreet.com brand is built on our best-in-class editorial team of experienced financial commentators and journalists. On the Internet, our free, flagship web site, TheStreet.com, is accompanied by our premium, subscription-based site, RealMoney.com, and our professionally-oriented subscription sites called RealMoneyPro and RealMoney Pro Advisor. In addition, our content is available across diverse media platforms, including print, radio and conferences, giving us more opportunities to generate revenue from the content we produce. Our strategic relationships with leading companies in the media, technology and financial services sectors help us create brand awareness and increase subscription and advertising revenues.

Statements contained in this news release not related to historical facts may be deemed forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties (described in the Company's SEC filings) which could cause actual results to differ.