Lightspan Adds 70 More Schools to New York City Internet Contract

February 23, 2001

SAN DIEGO — Lightspan Inc. (Nasdaq:LSPN – news), the nation’s premier provider of quality curriculum-based educational software and Internet products and services used in schools and homes, announced today that 70 new schools have been added to a major contract with the New York City School District.

Under terms of the partnership, Lightspan has customized content and correlated it to New York City standards in reading, language arts, and mathematics, providing teachers with a new tool for delivering standards-based instruction.

“This reflects remarkable progress on the part of the New York City public school system,” said John Kernan, CEO of Lightspan. “The school district’s ability to get over 550 schools up and running so quickly, and the fact that 70 more schools have asked to be added to this education initiative, is a major vote of confidence in this partnership between New York City Schools and Lightspan.”

Kernan added, “The agreement covers more than 620 schools in New York City, a figure representing approximately half of the City’s schools. Once implemented, over half a million children and approximately 40,000 teachers will benefit from Lightspan’s proven technology.”

According to Sandy Cooper, director of Instructional Technology for New York City’s Community School District 27 in Queens, training for thousands of teachers, district technology directors, and instructional support staff involved in the K-8 project began in August.

“The incredible pace of implementation and training has been driven by the enthusiasm from people who have been involved at all levels,” said Cooper. “The staff involved in initial training felt an immediate ownership since they in turn helped train the thousands of other teachers, instructional technology support staff, and key district personnel. Parents were excited to see how The Lightspan Network opened up new lines of communication between home and school, increasing the involvement and understanding of their child’s school activities and learning.” Cooper also said it was encouraging to see a strong turnout for parent workshops, which were held on weekends and were available in English and Spanish.

Training sessions are scheduled to continue throughout the district this school year, involving school district teachers and staff, students, and parents.

About Lightspan Inc.

Lightspan Inc. provides curriculum-based educational software and Internet products and services used in schools and homes. Lightspan’s technology, delivery systems, and content help increase student interest in learning, parental involvement in their children’s education, and productive interaction among teachers, parents, and students. Lightspan’s products include Lightspan Achieve Now, an interactive curriculum program for K-8 students; The Lightspan Network (TLN), a subscription-based service offering standards-based, online curriculum and resources for K-8 classrooms; curriculum programs for college students offered through Academic Systems Corporation, Lightspan’s higher-education group; Academic.com, a Web-based product offering a complete eLearning solution for online general education courses across many disciplines; Internet-based educational testing and assessment products offered through eduTest; and an integrated family of pre-K-12 Internet products and services offered through Lightspan’s Web site, Lightspan.com.

“Safe Harbor” statement under the Private Securities Litigation Reform Act of 1995: This release contains forward looking statements that are subject to risks and uncertainties, including, but not limited to, changes in economic conditions in the Company’s market areas; changes in policies by regulatory agencies and educational organizations; the volatility of the Company’s expenses and operating results; market acceptance of the Company’s curriculum based software and Internet products; management of rapid growth; risks associated with expanding the Company’s Internet business; changes in funding for public schools; technological advances and risks related thereto and other risks detailed from time to time in the Company’s filings with the Securities and Exchange Commission. The Company cautions readers not to place undue reliance on any forward-looking statements. The Company does not undertake, and specifically disclaims any obligation, to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements. These risks could cause the Company’s actual results for 2001 and beyond to differ materially from those expressed in any forward looking statements by, or on behalf of, the Company.