Erik Blachford CEO, IAC Travel

1. Pacific Crest Technology Forum August 10, 2004 Erik Blachford CEO, IAC Travel

2. Safe Harbor Statement Under The Private Securities Litigation Reform Act Of 1995 This presentation contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, particularly statements anticipating future growth in revenues and operating income before amortization. Words such as “believes,” “could,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “projects,” “seeks,” or similar expressions used in connection with any discussion of future operating or financial performance identify forward-looking statements. These forward-looking statements are necessarily estimates reflecting the best judgment of IAC’s senior management and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. These risks and uncertainties are described in IAC’s filings with the U.S. Securities and Exchange Commission (the “SEC”), including its Annual Report on Form 10-K for the fiscal year ended 2003, especially in the business and the Management’s Discussion and Analysis sections, its Quarterly Reports on Form 10-Q and its Current Reports on Form 8-K. Other unknown or unpredictable factors also could have material adverse effects on IAC’s future results, performance or achievements. In light of these risks and uncertainties, the forward-looking events discussed in this presentation may not occur. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date stated, or if no date is stated, as of the date of this presentation. IAC is not under any obligation and does not intend to make publicly available any update or other revisions to any of the forward-looking statements contained in this presentation to reflect circumstances existing after the date of this presentation or to reflect the occurrence of future events even if experience or future events make it clear that any expected results expressed or implied by those forward-looking statements will not be realized. Important Investor Information

3. IACT Key Trends in Q2 IACT Q2 2004 Operating income Before Amortization of $170.6 mm = operating income of $129.3 mm, less amortization and merger costs of $41.2 mm. Also excluded from above Operating income Before Amortization of $165 mm is $6.4 mm in expense reversal.

4. Online Penetration of U.S. Leisure and Unmanaged Business Travel Total Market Size: 2003: $150B 2010: $209B 75% - $156B 24% or$35BOnline in 2003 IACTExpectation Online as % of Total Market 50% - $104B Source: Jupiter and IACT estimates. Market size is represented by gross bookings.

5. Conversion Trend Expedia.com Merchant Hotel Reservations/Unique User 2003 2004 2002

6. U.S. Hotel Occupancy Rates Peak times Low times: hotels need help Source: Smith Travel Research

7. Online Penetration of European Travel Market Total Market Size: 2003: $350B 2010: $450B 50% - $225B 4% or$14BOnline in 2003 Online as % of Total Market IACTExpectation 30% - $135B Source: Jupiter and IACT estimates. Market size is represented by gross bookings.

8. Europe Tracking US Growth Trends Expedia.com Gross Bookings Jan. ’98 – Dec. ’00 IACT Online Europe Gross Bookings Jan. ’02 – Jun. ’04