FOR IMMEDIATE RELEASE

Contact: Bob Griffin, Griffin Public Relations & Marketing
(212) 481-3456
Bgriffin@griffinpr.com

SAN CARLOS, CALIFORNIA, March 7, 2000 -- ImaginOn, Inc. (NASDAQ:IMON - www.imaginon.com) today announced that on February 25, 2000 it redeemed the remaining outstanding shares of its Series F convertible preferred stock, plus accrued dividends, for $2,394,000. As of that date, the preferred stock and accrued dividends were convertible into approximately 684,000 shares of ImaginOn common stock, which would have represented 1.5 percent of the shares outstanding on that date. Upon completion of this transaction, the company's capitalization is comprised solely of common stock and warrants.

ImaginOn, Inc. is an information technology company focused on developing and marketing broadband Internet television products. ImOn.comTV, ImaginOn's lead product, is a licensed turnkey package that enables any Website to present an interactive television console within a standard browser window on any suitably connected computer. The ImOn.comTV virtual console offers its users video on demand, viewer directed branching video, automated Web searching, and many additional features customized for individual licensees. The company's objective is to deliver Internet television to anyone and everyone who wants to communicate, entertain, inform, educate or market in a new way for the new era of interactive communications.

Except for the historical information presented herein, the matters set forth in this press release are forward-looking statements within the meaning of the ``safe harbor'' provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially. These risks include acceptance of ImaginOn software by developers and users, the successful development of competitive software to ImaginOn's, competitive pricing pressures for ImaginOn software and services, and the availability of financing to complete management's plans and objectives. In addition, other risks are detailed in the Company's periodic reports and in its Form S-3/A-2 registration statement declared effective by the Securities and Exchange Commission on April 26, 1999. These forward-looking statements speak only as of the date hereof. The Company disclaims any intent or obligation to update these forward-looking statements.