"David brings a truly unique combination of live event as well as interactive media and e-commerce experience to both Youbet and the advanced deposit wagering (ADW) space," said Michael Brodsky, President and Chief Executive Officer of Youbet.com. "That experience, coupled with his business development and operations skills, positions him well to be a leader on the Youbet team. I expect David to hit the ground running, taking a key role in internal operations and corporate strategy, as well as working with our content partners to expand our relationships in a mutually beneficial way beyond the traditional ADW/track model."

Prior to rejoining Ticketmaster in 2003, Goldberg served as Executive Vice President of Corporate Development for Sportvision, a sports technology and marketing company. He was also a co-founder and Executive Vice President of Tunes.com, and had worked as a Talent Buyer and Vice President of Business Development at JAM Productions, one of the nation's largest presenters of live entertainment. He currently serves as Chairman of the Board of Pacific Edison, a solar project developer exclusively focused on entertainment venues and attractions.

Youbet.com is a provider of technology and pari-mutuel horse racing content for consumers through Internet and telephone platforms and is a supplier of totalizator systems, terminals and other pari-mutuel wagering services and systems to the pari-mutuel industry through its United Tote subsidiary.

((Comments on this story may be sent to newsdesk@closeupmedia.com))

((Distributed via M2 Communications Ltd - http://www.m2.com))

http://www.10meters.com

Comments on this story may be sent to newsdesk@closeupmedia.com

The conference call number is (866) 271-0675 or (617) 213-8892 (international callers). The passcode for the call is 23581791. Please call ten minutes in advance to ensure that you are connected prior to the presentation.

Interested parties may also access the live call on the Internet at investor.midway.com or at earnings.com. Please log-on fifteen minutes in advance to ensure that you are connected prior to the call's initiation. Following its completion, a replay of the call can be accessed until November 17 by dialing (888) 286-8010 or (617) 801-6888 (international callers). The passcode for the replay is 37635497.

Additionally, a replay of the call will be available for twelve months on the Internet via investor.midway.com.

Midway Games is a developer and publisher of interactive entertainment software for videogame systems and personal computers.

((Comments on this story may be sent to newsdesk@closeupmedia.com))

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http://www.10meters.com

Comments on this story may be sent to newsdesk@closeupmedia.com

"David brings a truly unique combination of live event as well as interactive media and e-commerce experience to both Youbet and the advanced deposit wagering (ADW) space," said Michael Brodsky, President and Chief Executive Officer of Youbet.com. "That experience, coupled with his business development and operations skills, positions him well to be a leader on the Youbet team. I expect David to hit the ground running, taking a key role in internal operations and corporate strategy, as well as working with our content partners to expand our relationships in a mutually beneficial way beyond the traditional ADW/track model."

Prior to rejoining Ticketmaster in 2003, Mr. Goldberg served as Executive Vice President of Corporate Development for Sportvision, a sports technology and marketing company. He was also a co-founder and Executive Vice President of Tunes.com, and had worked as a Talent Buyer and Vice President of Business Development at JAM Productions, one of the nation's largest presenters of live entertainment. He currently serves as Chairman of the Board of Pacific Edison, a solar project developer exclusively focused on entertainment venues and attractions. Mr. Goldberg earned his MBA from the Graduate School of Business at the University of Chicago and his Bachelor of Arts degree in Economics from Northwestern University.

"I am thrilled to become part of the Youbet.com team," said Mr. Goldberg. "The company has taken large strides over the past year to shore up its core Youbet.com business and is now poised to leverage this platform in the ADW market and in new interactive initiatives. I am looking forward to play a key role in implementing the strategies and actions to reach that goal."

About Youbet.com, Inc.

Youbet.com is a diversified provider of technology and pari-mutuel horse racing content for consumers through Internet and telephone platforms and is a leading supplier of totalizator systems, terminals and other pari-mutuel wagering services and systems to the pari-mutuel industry through its United Tote subsidiary. Youbet.com's website offers members the ability to watch and, in most states, wager on the widest variety of horse racing content available worldwide. Through this platform, Youbet offers members commingled track pools, live audio/video, up-to-the-minute track information, real-time wagering information, phone wagering, race replays, simultaneous multi-race viewing and value-added handicapping products.

SOURCE: Youbet.com

Youbet.com, Inc. 
Jeffrey Grosman, 818-668-2384 
or 
Investors: 
Integrated Corporate Relations 
William Schmitt, 203-682-8200

(1) Gross profit is total revenues less track fees, licensing fees,
contract costs, equipment costs and network operations, each as
calculated in accordance with accounting principles generally
accepted in the United States (GAAP) and as presented on the
condensed consolidated statements of operations included with this
release.
(2) Bruen Productions and International Racing Group (IRG) are
reported as discontinued operations.

Youbet Chief Executive Officer Michael Brodsky commented: "We are pleased to report a third consecutive quarter of profitability. By aligning our expense structure with our business model, we are confident that Youbet.com will be able to enjoy continued profitable growth. Going forward, we remain focused on growing our handle and -- equally important -- our net track revenue at Youbet Express as well as maximizing our margins at United Tote."

Segment Results

                                            Youbet Express                                United Tote
                                            Three months ended September 30,              Three months ended September 30,
(in 000's)                                  2008             2007             % Change    2008            2007            % Change
Revenue (1)                                 $23,365          $26,617          (12.2%)     $6,297          $7,167          (12.1%)
Gross profit (2)                            8,956            8,381            6.9%        2,231           2,720           (18.0%)
Operating expenses                          4,863            6,032            (19.4%)     917             1,408           (34.9%)
Depreciation and amortization               405              986              (58.9%)     1,792           1,834           (2.3%)
Income (loss) from continuing operations    $3,688           $1,363           170.6%      ($478)          ($522)          NM
Gross profit margin                         38.3%            31.5%                        35.4%           38.0%

(1) Revenues exclude intersegment eliminations of $0.3 million and
$0.4 million for 2008 and 2007, respectively.
(2) Gross profit for Youbet Express is commissions and other
revenues less track fees, licensing fees, and network operations.
Gross profit for United Tote is total contract revenues and
equipment sales less contract costs and equipment costs. Each line
item is calculated in accordance with GAAP and presented on the
condensed consolidated statements of operations data included with
this release.

Total revenue at Youbet Express for the three-month period ended September 30, 2008 fell 12% year-over-year to $23.4 million. Despite the decline in revenue, gross profit increased 7% from the same period in 2007 as a result of the company's efforts to shift handle to higher-yielding content as well as a reduction in licensing costs. The improvement in gross profit, along with reduced operating expenses, resulted in income from continuing operations of $3.7 million.

For the third quarter of 2008, total revenue at United Tote declined 12%, primarily as a result of a track closing, contract losses and lower handle on existing contracts. The decrease in revenues was mitigated by a year-over-year decrease in operating expenses. United Tote's loss from operations for the third quarter of 2008 was $0.5 million, which was essentially flat with the loss from operations in the third quarter of 2007.

The reduction in depreciation and amortization for Youbet Express in the third quarter primarily related to the write-off of $0.5 million in capitalized costs in the comparable 2007 three-month period.

Third Quarter 2008 Operating Results

The following table summarizes the key Youbet Express components of revenue in the three-month periods ended September 30, 2008 and 2007.

                                                        Three Months Ended September 30,
                                                                 2008                   2007              Change
                                                        (in thousands, except for Yield)
Youbet Express
         Total Wagers (Handle)                          $        121,674                $      133,336    (8.7%)
         Commissions from Handle                                 22,570                        25,656     (12.0%)
         Other Revenue                                           795                           961        (17.3%)
         Total Revenue                                           23,365                        26,617     (12.2%)
         Net Track Revenue (1)                          $        9,488                  $      8,891      6.7%
         Yield (2)                                               7.8%                          6.7%       110 bps
                                                        Handle
Handle Detail                                           (in thousands)
         3Q07 Handle                                    $        133,336
         3Q07 Lost Track Content and lost states (3)             (12,538  )
         3Q07 Same-track and same-state                          120,798
         3Q08 Primarily same-track change                        (3,901   )
         3Q08 New Content                                        4,777
         3Q08 Handle                                    $        121,674

(1)    Net track revenue is calculated as commission revenue less track
       and licensing fees, each as calculated in accordance with GAAP and
       presented in the condensed consolidated statements of operations
       information attached to this release and is used to calculate
       yield.
(2)    Yield is defined as net track revenue as a percentage of handle.
       The increase in Youbet Express yield for the three-month period
       ended September 30, 2008 compared to the prior-year period was due
       to contract terms, a change in track mix, and adjustments to
       player incentive programs. Management believes that yield is
       useful to evaluate profitability. Yield should not be considered
       an alternative to operating income or net income as indicators of
       financial performance, and may not be comparable to similarly
       titled measures used by other companies.
(3)    Represents handle wagered in the third quarter of 2007 on tracks
       that were not available on the Youbet Express platform and from
       states where Youbet Express did not accept wagers in the third
       quarter of 2008.

Total revenue from continuing operations was $29.3 million, a decrease of 12% from the prior-year period.

Youbet Express revenue was $23.4 million, down 12% from third quarter 2007 based on handle of $121.7 million, a decrease of 9% from the prior-year period. Youbet Express yield in the third quarter of 2008 was 7.8%, an improvement of 110 basis points from the prior-year period primarily due to a shift in handle from lower-yielding TrackNet and TVG-exclusive content to higher-yielding tracks.

The decline in handle was primarily attributable to the loss of TrackNet content, as well as handle associated with our previously announced decision to cease accepting wagers from certain states. Total handle from these sources and on other tracks in the Youbet Express platform in the third quarter of 2007 that were unavailable in the third quarter of 2008 was $12.5 million.

Youbet Express same-track and same-state handle decreased $3.9 million, or 3.2%, from the third quarter of 2007. Youbet Express handle attributable to new content was $4.8 million.

For the third quarter of 2008, contract revenue at United Tote of $5.6 million was down 14% from the prior-year period, while equipment sales were up slightly compared with 2007. Contract costs decreased 8% compared to the prior-year period to $3.9 million. This decrease was attributable to lower costs as a result of restructuring initiated during the second half of 2007. Gross profit for the third quarter of 2008 decreased 18% over the prior-year period to $2.2 million, while gross profit margin decreased to 35.4% from 38.0% as a result of the decline in revenue.

Total operating expenses associated with continuing operations for the three months ended September 30, 2008 were $8.0 million, a decrease of $2.3 million from the prior-year period. Research and development costs of $0.8 million were down $0.1 million from the same period in 2007. Sales and marketing costs of $1.4 million were down $0.8 million, or 38%, from 2007 levels due to management's implementation of a more targeted marketing strategy. General and administrative expense, which includes payroll-related costs, transaction processing fees and professional consulting fees, was $3.6 million, a decrease of $0.7 million, or 16%, in the third quarter of 2008 compared to the third quarter of 2007. The decrease is attributable to reduced payroll costs and lower accounting-related expenses due to the company's improved internal control environment. Depreciation and amortization was $2.2 million, a decrease of $0.6 million, or 22%, compared to the third quarter of 2007, primarily as a result of lower depreciation at Youbet Express.

For the third quarter of 2008, the company's net income from continuing operations, which includes Youbet Express and United Tote, was $2.8 million, or $0.07 per diluted share, compared to net income from continuing operations of $0.7 million, or $0.02 per diluted share, in the prior-year quarter. Net income for total operations, including discontinued operations, for the third quarter 2008 was $0.06 per diluted share compared to flat earnings in the prior-year quarter.

Nine Months 2008 Operating Results

Total revenue for the nine months ended September 30, 2008 declined 13% to $83.1 million from $95.3 million in the prior-year period.

Youbet Express revenue for the nine months ended September 30, 2008 decreased 14% from the prior-year period to $65.2 million, based on handle of $330.9 million -- a 12% drop from the comparable period in 2007. Youbet Express yield for the nine months ended September 30, 2008 was 8.1%, an improvement of 100 basis points from the prior-year period.

The decline in handle at Youbet Express was primarily attributable to the loss of TrackNet content as well as the decisions to cease accepting wagers from players in certain states.

Contract revenue and equipment sales at United Tote for the nine months ended September 30, 2008 declined by 6% to $17.9 million from $19.1 million in the prior-year period, largely due to the year-over-year revenue declines in the second and third quarters of 2008.

For the nine months ended September 30, 2008, total cost of revenue was $50.6 million, a decrease of 19% compared to the prior-year period. Track fees, licensing fees and network costs experienced favorable year-over-year percentage change reductions of 6%, 55% and 18%, respectively. Contract costs for the nine months ended September 30, 2008 decreased to $11.3 million from $12.3 million in the comparable prior-year period. Gross profit for the nine months ended September 30, 2008 declined slightly to $32.4 million compared to $32.5 million in the prior year.

Total operating expenses associated with continuing operations for the nine months ended September 30, 2008 decreased $5.8 million to $25.1 million, a 19% decline from the prior-year period. This includes a sales and marketing cost decrease of $4.2 million, or 53%, from 2007 levels due to management's implementation of a more targeted marketing strategy. Total general and administrative expense for the nine months ended September 30, 2008, which includes payroll-related costs, transaction processing fees and professional consulting fees, was $12.8 million, a decrease of $1.0 million, or 7%, compared to the prior-year period. The decrease is attributable to a reduction in payroll costs and lower accounting-related expenses due to the company's improved internal control environment, which more than offset a $0.2 million increase in non-cash compensation expense and a $0.8 million severance charge related to the departure of the company's former interim CEO taken in the second quarter of 2008. Total non-cash compensation expense for the nine months ended September 30, 2008 was $0.9 million compared to $0.7 million in the prior-year period. Excluding the one-time severance cost of approximately $0.8 million, general and administrative costs were $12.0 million in the first nine months of 2008, representing a 12% year-over-year decline.

For the nine months ended September 30, 2008, the company's net income from continuing operations, which includes Youbet Express and United Tote, was $6.2 million, or $0.15 per diluted share, compared to net income from continuing operations of $1.1 million, or $0.03 per diluted share, in the prior-year period. Net income for total operations, including discontinued operations, for the nine months ended September 30, 2008 was $0.13 per diluted share compared to $0.03 per diluted share in the prior-year quarter.

Liquidity and Capital Resources

As of September 30, 2008, the company had negative net working capital of $7.9million, compared to negative working capital of $14.3million at December31, 2007. As of September 30, 2008, we had $12.5million in unrestricted cash and cash equivalents, $4.7million in restricted cash and $9.8 million in total debt. Net cash provided by operating activities for the nine months of 2008 was $17.3 million, an $11.9 million increase over the prior year due to improved operating performance and favorable working capital movement. Net cash used in investing activities for the nine months of 2008 was $1.0 million, an improvement of $9.1 million from the prior year due mainly to payments made in 2007 to United Tote's former owners and for an IRG earn-out. Net cash used in financing activities was $6.1 million and was attributable to the repayment of debt.

We have a credit agreement that provides for a revolving credit facility and under which we have a term loan. Our credit agreement, as amended, matures on January 31, 2009. We do not have any borrowings outstanding under the revolving credit facility, and we do not expect to borrow under that facility before January 31, 2009. Management is in discussions with various lenders regarding refinancing the term loan and extending a revolving credit facility. There can be no assurance that a lender will refinance all or any portion of the term loan or provide us with a revolving credit facility on terms acceptable to us or at all. However, management believes that unrestricted cash on hand and cash generated by operating activities will be sufficient to pay scheduled payments on the term loan and the remaining $4.2 million balance expected to be owed at maturity.

Youbet has in place a $10 million repurchase program that allows the company to repurchase up to two million common shares in total by March 2009. During the third quarter, the company did not repurchase any shares. As of September 30, 2008, the company had repurchased a total of 586,766 shares for approximately $1 million.

As previously disclosed, we accrued $4.3 million for a potential final earn-out payment that was due to be paid to the former owners of IRG on August 31, 2008, although the precise payment, if any, is subject to reduction for any claims related to such payment. Prior to the payment due date, we informed the former owners of IRG that, pursuant to the agreements entered into in connection with the purchase of IRG, we were holding back the payment until we could determine the extent of such claims.

Conference Call Information

The company will host a conference call and webcast on Thursday, November 6 at 9:00 a.m. Eastern time. Both the call and webcast are open to the general public.

The conference call number is 888-710-4015. Please call ten minutes in advance to ensure that you are connected prior to the presentation. Interested parties may also access the live call on the Internet at http://www.youbet.com (select About Youbet.com). Please log-on 15 minutes in advance to ensure that you are connected prior to the call's initiation. Questions and answers will be reserved for call-in analysts and investors. Following its completion, a replay of the call can be accessed for 30 days on the Internet at the above link.

YOUBET.COM, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share amounts)
                                                                                                                  September 30,                  December 31,
                                                                                                                         2008                           2007
ASSETS                                                                                                            (unaudited)
              Current assets
                                     Cash and cash equivalents                                                    $      12,532                  $      6,551
                                     Current portion of restricted cash                                                  4,741                          8,635
                                     Accounts receivable, net                                                            3,512                          7,314
                                     Inventories                                                                         1,951                          2,085
                                     Prepaid expenses and other current assets                                           1,140                          1,417
                                                                                                                         23,876                         26,002
              Property and equipment, net                                                                                20,992                         24,664
              Intangibles assets other than goodwill, net                                                                5,949                          6,505
              Goodwill                                                                                                   6,859                          6,859
              Other assets                                                                                               651                            1,020
                                                                                                                  $      58,327                  $      65,050
LIABILITIES AND STOCKHOLDERS' EQUITY
              Current liabilities
                                     Current portion of long-term debt                                            $      9,561                   $      10,390
                                     Trade payables                                                                      6,069                          10,028
                                     Accrued expenses                                                                    11,320                         11,346
                                     Customer deposits                                                                   4,599                          8,326
                                     Deferred revenues                                                                   208                            212
                                                                                                                         31,757                         40,302
              Long-term debt, net of current portion                                                                     262                            4,767
                                                                                                                         32,019                         45,069
              Stockholders' equity
                                     Preferred stock, $0.001 par value, authorized 1,000,000 shares, none
                                     outstanding
                                     Common stock, $0.001 par value, authorized 100,000,000 shares,
                                     42,562,805 and 42,562,805 shares issued                                             43                             43
                                     Additional paid-in capital                                                          135,199                        134,286
                                     Accumulated other comprehensive loss                                                (114      )                    (56       )
                                     Deficit                                                                             (106,501  )                    (111,973  )
                                     Less treasury stock, 1,043,781 shares at cost                                       (2,319    )                    (2,319    )
                                                                                                                         26,308                         19,981
                                                                                                                  $      58,327                  $      65,050
Disclosures necessary to conform to GAAP and SEC Regulation S-X
have been omitted

YOUBET.COM, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
(in thousands, except per share amounts)
                                                                                                      Three Months Ended                                    Nine Months Ended
                                                                                                      September 30,                                         September 30,
                                                                                                           2008                       2007                       2008                       2007
Revenues
                                 Commissions                                                          $    22,570                $    25,656                $    62,784                $    73,331
                                 Contract revenues                                                         5,613                      6,488                      17,076                     18,279
                                 Equipment sales                                                           340                        287                        837                        801
                                 Other                                                                     795                        961                        2,371                      2,847
                                                                                                           29,318                     33,392                     83,068                     95,258
Costs and expenses
                                 Track fees                                                                10,599                     9,774                      29,075                     31,052
                                 Licensing fees                                                            2,482                      6,991                      6,958                      15,431
                                 Network costs                                                             985                        1,079                      2,893                      3,516
                                 Contract costs                                                            3,906                      4,258                      11,302                     12,323
                                 Equipment costs                                                           159                        189                        389                        398
                                                                                                           18,131                     22,291                     50,617                     62,720
Gross profit                                                                                               11,187                     11,101                     32,451                     32,538
Operating expenses
                                 General and administrative                                                3,633                      4,342                      12,813                     13,775
                                 Sales and marketing                                                       1,351                      2,173                      3,753                      7,913
                                 Research and development                                                  796                        925                        2,592                      2,616
                                 Depreciation and amortization, including intangibles                      2,197                      2,820                      5,975                      6,587
                                                                                                           7,977                      10,260                     25,133                     30,891
Income from continuing operations before other income (expense)                                            3,210                      841                        7,318                      1,647
and income tax (benefit)
Other income (expense)
                                 Interest income                                                           52                         168                        169                        552
                                 Interest expense                                                          (275        )              (391        )              (947        )              (1,410      )
                                 Other                                                                     101                        30                         37                         49
Income from continuing operations before income tax (benefit)                                              3,088                      648                        6,577                      838
                                 Income tax (benefit)                                                      286                        (59         )              362                        (307        )
Net income from continuing operations                                                                      2,802                      707                        6,215                      1,145
Discontinued operations
                                 Income (loss) from discontinued operations, without tax effect            (120        )              (640        )              (743        )              150
Net income                                                                                            $    2,682                 $    67                    $    5,472                 $    1,295
Basic income (loss) per share
                                 Income from continuing operations                                    $    0.07                  $    0.02                  $    0.15                  $    0.03
                                 Income (loss) from discontinued operations                                (0.01       )              (0.02       )              (0.02       )              0.00
                                 Net income per common share                                               0.06                       0.00                       0.13                       0.03
Diluted income (loss) per share
                                 Income from continuing operations                                    $    0.07                  $    0.02                  $    0.15                  $    0.03
                                 Income (loss) from discontinued operations                                (0.01       )              (0.02       )              (0.02       )              0.00
                                 Net income per common share                                               0.06                       0.00                       0.13                       0.03
Weighted average shares outstanding
                                 Basic                                                                     41,519,024                 41,897,638                 41,519,024                 41,882,566
                                 Diluted                                                                   42,405,151                 42,529,450                 42,171,337                 42,805,805
Disclosures necessary to conform to GAAP and SEC Regulation S-X
have been omitted

YOUBET.COM, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(in thousands)
                                                                                                                                       Nine Months Ended
                                                                                                                                       September 30,
                                                                                                                                             2008                      2007
Operating activities
            Net income                                                                                                                 $     5,472               $     1,295
            Income (loss) from discontinued operations                                                                                       (743    )                 150
            Income from continuing operations                                                                                                6,215                     1,145
                        Adjustments to reconcile income from continuing operations to net
                        cash provided by operating activities, continuing operations
                                                                      Depreciation and amortization of property and equipment                5,419                     5,960
                                                                      Amortization of intangibles                                            556                       627
                                                                      Stock-based compensation                                               913                       660
                                                                      Provision for doubtful accounts receivables                            477                       1,105
                                                                      Increase in operating (assets) and liabilities                         3,673                     (4,156   )
                                                                      Net cash provided by operating activities,
                                                                      continuing operations                                                  17,253                    5,341
Investing activities
                                                                      Purchase of property and equipment                                     (1,098  )                 (2,452   )
                                                                      Cash paid for United Tote Company (make-whole)                                                   (4,473   )
                                                                      Increase in restricted cash (other than Players Trust SM)              (5      )                 (168     )
                                                                      Cash paid for IRG acquisition earn-out                                                           (3,106   )
                                                                      Other                                                                  34
                                                                      Net cash used in investing activities                                  (1,069  )                 (10,199  )
Financing activities
                                                                      Proceeds from exercise of stock options and warrants                                             352
                                                                      Proceeds from debt                                                     630                       2,894
                                                                      Repayment of debt                                                      (6,743  )                 (8,512   )
                                                                      Proceeds from sale-leaseback transaction                                                         1,065
                                                                      Repurchase of common stock                                                                       (1,002   )
                                                                      Other                                                                                            (88      )
                                                                      Net cash used in financing activities                                  (6,113  )                 (5,291   )
Net cash provided by (used in) operating activities,                                                                                         (4,032  )                 213
discontinued operations
Foreign currency translation adjustments                                                                                                     (58     )                 31
Net increase (decrease) in cash and cash equivalents                                                                                         5,981                     (9,905   )
Cash and cash equivalents at the beginning of period                                                                                         6,551                     21,051
Cash and cash equivalents at the end of period                                                                                         $     12,532              $     11,146
Disclosures necessary to conform to GAAP and SEC Regulation S-X
have been omitted

About Youbet.com, Inc.

Youbet.com is a diversified provider of technology and pari-mutuel horse racing content for consumers through Internet and telephone platforms and is a leading supplier of totalizator systems, terminals and other pari-mutuel wagering services and systems to the pari-mutuel industry through its United Tote subsidiary. Youbet.com's website offers members the ability to watch and, in most states, wager on the widest variety of horse racing content available worldwide. Through this platform, Youbet offers members commingled track pools, live audio/video, up-to-the-minute track information, real-time wagering information, phone wagering, race replays, simultaneous multi-race viewing and value-added handicapping products.

Forward-Looking Statements

This press release contains certain forward-looking statements. These forward-looking statements, which are included in accordance with Section 21E of the Securities Exchange Act of 1934, as amended, may involve known and unknown risks, uncertainties and other factors that may cause Youbet's actual results and performance in future periods to be materially different from any future results or performance suggested by the forward-looking statements in this press release. Although Youbet believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that actual results will not differ materially from these expectations. These risks, uncertainties and other factors include our ability to successfully manage expenses and execute on revenue enhancements, wagering ceasing to be legal in jurisdictions where we currently operate, and the limitation, conditioning or suspension of any of our licenses. Other risks are discussed in Youbet's Form 10-K for the year ended December 31, 2007, and in Youbet's other filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this press release. Youbet does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions that may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.

SOURCE: Youbet.com, Inc.

Youbet.com, Inc. 
Jeffrey Grosman 
818-668-2384 
or 
Integrated Corporate Relations 
William Schmitt (Investors) 
203-682-8200