Critical Path Gets Nasdaq Stay

SAN FRANCISCO -- Critical Path, Inc. (Nasdaq:CPTH), a global leader in digital communications software and services, today announced that, to allow for developments in the Nasdaq rulemaking process, it has received a further extension, until June 25, 2003, to re-establish compliance with the Nasdaq National Market's continued listing standards. Depending upon the adoption of certain other rule changes recently proposed by the Nasdaq stock market, the Company may be eligible for an additional extension until Sept. 15, 2003. Nasdaq announced earlier this year that its Board of Directors had proposed certain modifications to the bid price rules. Pursuant to the proposal, Nasdaq has reserved the right to extend, terminate or otherwise modify the extension and exemption of these proposed rules, based on further developments in the rule making process or otherwise. On Jan. 27, 2003, Critical Path filed a preliminary proxy seeking shareholder approval on a reverse stock split designed to remedy its non-compliance with the Nasdaq National Market minimum bid price requirement. The unamended preliminary proxy will remain on file pending resolution of the proposed rule modifications or until the Company re-establishes compliance. Critical Path Inc.