FOR IMMEDIATE RELEASE

LIVEDEAL.COM, ONE OF THE LEADING FREE LOCAL ONLINE CLASSIFIEDS PROVIDERS, SECURES $4.85 MILLION IN SERIES B FUNDING

Canadian Media Company Torstar Takes Minority Stake, Venture Firm Draper Richards Joins Round; Investment to Support Company’s Rapid Domestic and International Expansion

SANTA CLARA , Calif. , October 25, 2005 -- LiveDeal.com (www.livedeal.com), one of the nation’s leading free local online classifieds sites, today announced the company has secured $4.85 million in Series B funding. The round was led by one of Canada’s major media companies, Torstar Corporation, which took a minority stake in LiveDeal.com. Also investing in the round was venture capital firm Draper Richards, which is managed by Silicon Valley venture capital luminary Bill Draper, an early investor in Skype, Hotmail and GoTo.com (Overture) among others. In addition, the round included seasoned individual investors from eBay, HP and the real estate industry. The funding will be used to further accelerate LiveDeal’s strong market acceptance and expand LiveDeal’s free local online classifieds platform both domestically and internationally.

“Millions of people from all walks of life are embracing the benefits of LiveDeal’s free local online classifieds,” said Rajesh Navar, LiveDeal’s founder and CEO. “This investment by Torstar and one of Silicon Valley’s most successful VC firms, is further validation of the strength of our technology platform and our value proposition to make local buying and selling easy and affordable.”

In a separate announcement today, LiveDeal.com also announced the formation of a new joint venture with Torstar to deliver a free online classifieds site in Canada later this year. This partnership is the first step of LiveDeal’s international expansion strategy.

“As one of the most-respected media companies in Canada, Torstar is an incredible partner and we look forward to strong growth as we embrace the Canadian online classifieds opportunity,” said Steve Harmon, VP corporate development for LiveDeal.

LiveDeal.com was founded in 2003 by Navar, an original member of the engineering and management teams at eBay and other successful Internet companies. Navar has assembled a senior management team that brings a depth of expertise across the Internet, ecommerce and media industries, and who have previously helped grow successful start-ups and create innovative technologies.

More than one million unique users visit LiveDeal.com each month to buy and sell items across a variety of categories. The company recently relocated to new headquarters in Santa Clara, Calif. to accommodate its continued rapid expansion and additional personnel requirements. LiveDeal is hiring across a number of critical functions, including engineering, product management and marketing to support the company’s explosive growth. Revenues are also keeping pace with LiveDeal’s growth, up 10 times over 2004 levels.

About Torstar

Torstar Corporation is a broadly based media company listed on the Toronto Stock Exchange (TS.nv.b). Its businesses include newspapers led by the Toronto Star, Canada's largest daily newspaper; CityMedia Group, publishers of daily and community newspapers in Southwestern Ontario ; Metroland Printing, Publishing & Distributing, publishers of more than 90 community newspapers in Southern Ontario; and Harlequin Enterprises, a leading global publisher of women's fiction. Torstar's news releases are available on the Internet at www.torstar.com

About Draper Richards L.P.

Draper Richards L.P. is a leading venture capital firm investing in seed-and early-stage technology companies. Since 1996, the firm has funded entrepreneurs with the energy, vision, experience, and desire to build great companies. Draper Richards’ experienced management team, headed by veteran venture capitalist William H. Draper, III, is dedicated to helping entrepreneurs achieve their maximum potential through contacts, advice, and support. Draper Richards L.P. is located in San Francisco, California. For more information on Draper Richards L.P., visit www.draperrichards.com.

About LiveDeal

With a management team hailing from eBay, FordDirect.com and other pioneering Internet companies, LiveDeal is one of the leaders in online local classifieds with more than $3 billion worth of goods listed for sale, attracting more than 1 million users per month. With its free listings and broad selection, LiveDeal.com is ideal for trading hard-to-ship items such as automobiles, furniture, pets, appliances, real estate and other “try before you buy” items, eliminating shipping costs and reducing fraud. Buyers can browse or search for items using LiveDeal’s easy-to-use web interface, seeing what’s available locally first then nationwide second. LiveDeal also serves the national market for sellers looking for a more cost-effective marketplace to list multiple items for sale in a single click and without the burden of listing fees. For more information, visit www.livedeal.com.