White Pine Announces $20 Million Private Placement

White Pine Software (http://www.wpine.com) announced that it received $20 million in late December 1999 from private placements with an affiliate of GE Capital and three other investors.

White Pine makes videoconferencing software like CU-SeeMe and recently unveiled its CU-SeeMe Web (http://www.cuseemeworld.com), a multipoint video communication site. It also makes MeetingPoint and ClassPoint software used to allow multiple users to participate simultaneously in conferences over the Internet.

White Pine says they'll use most of the money to build the infrastructure required to support its visual communications services to its customers. The rest will be used for working capital andother general corporate purposes.

"Since the launch of our CU-Web client last quarter, White Pine has beeninvesting in positioning itself as the leading Internet visual communicationsprovider," commented Christine J. Cox, White Pine's CFO and VP Finance. "Withthe expanding availability of broadband, we are finding ourselves ideallypositioned to leverage our technological lead by investing in theinfrastructure and resources necessary to enable ISPs, portals, and businessesto enhance their own businesses with integrated visual communications overintranets and the Internet, in such applications as videochat, videomessaging, call centers and help desks."

In the private placements, White Pine sold 325,521 shares of common stockto each of CFE, Inc., an affiliate of GE Capital; Altamira Management Ltd., onbehalf of three mutual funds for which it acts as investment advisor; PrivateEquity Holding (Cayman) Ltd., an investment company managed by the VontobelGroup; and the Special Situations Funds. The shares were sold at a price of$15.36 per share, which was the 30-day weighted average closing price of thecommon stock at the date the terms of the financings were negotiated.