INTAC International Announces Launch of Intac Purun's National 'Family-School Link Communication System' in China * Family-School Link Communication System ("FSLCS") to enhance the communication between parents and schools across China * With a 2.5G license provided by China Mobile and China Unicom, the FSLCS services will be delivered via SMS and IVR services and over Intac Purun's Internet Portal http://www.Joyba.com * Fast adoption and distribution of FSLCS expected through partnering with the Ministry of Education in China and Beijing Huana Xinlong Information and Technology Development Ltd. * Market potential estimated to exceed RMB 2 billion (US$240 million) per month HONG KONG, Dec. 2 /PRNewswire-FirstCall/ -- INTAC International, Inc. (Nasdaq: INTN; FSE: WKN 805768), a provider of a full-range of career development services to students in China through Beijing Intac Purun Educational Development Ltd. ("Intac Purun"), its joint venture with China's Ministry of Education ("MOE"), today announced that Intac Purun has been exclusively selected by the MOE to launch and operate an integrated communication solution for elementary and middle schools across China, the "Family-School Link Communication System" ("FSLCS"), starting in March 2005. FSLCS is a real time communication solution combining Internet and wireless technologies that strives to fulfill the instant and interactive communication needs of teachers and parents. Through FSLCS, parents can receive frequent updates on their children via Short Message Services ("SMS") and Interactive Voice Recognition ("IVR") services on their mobile handsets or over Intac Purun's Internet portal JOYBA (http://www.joyba.com/). At the same time, teachers can exchange questions, comments and feedback with parents instantaneously over the same advanced telecommunication infrastructure. For elementary and middle school education, effective communication between teachers and parents is critical. Traditionally, there are only limited channels through which teachers and parents communicate, e.g. face-to- face meeting by appointment, postal mail or telephone call. Most of the time, students themselves become the only "messenger" between teachers and parents. Such limitations directly result in the lack of effective and timely communication among schools, teachers and parents about students' well-being, academic performance and extracurricular activities. With FSLCS, parents will have instant availability to their children's daily attendance records, exam scores and event announcements, as well as school news. The service, which will be offered by Intac Purun in partnership with China Mobile Communications Corporation ("China Mobile") and China United Communications Corporation ("China Unicom"), China's leading mobile operators, will mainly focus on the elementary and middle school markets in China where the communication is most needed. Intac Purun believes that the target market potential of FSLCS is enormous. According to published statistics, there are more than 500,000 elementary and middle schools in China with a total of over two hundred million students. Based upon the market survey conducted by Intac Purun in selected cities, the FSLCS solution is expected to be welcomed enthusiastically by both parents and teachers. Intac Purun expects revenues from FSLCS to begin in March 2005 and be derived primarily from monthly customer service subscription through China Mobile and China Unicom. It is estimated that the total potential market size for FSLCS is over RMB 2 billion (US$240 million) per month. Besides the full support from the MOE and the strong promotion to Chinese elementary and middle schools, the launch of FSLCS is also strengthened by Intac Purun's strategic partnership with Beijing Huana Xinlong Information and Technology Development Ltd. ("Huana Xinlong"). Huana Xinlong is a leading Chinese developer of management software for educational institution administration with products currently distributed and installed in more than 5,000 elementary and middle schools covering 12 Chinese provinces. With the authorization of the MOE, Huana Xinlong is planning to expand and strengthen its nation-wide market coverage during a distribution campaign starting in January 2005. As Intac Purun's strategic partner, Huana Xinlong will bundle the school-end sub-system of the FSLCS solution with its current software and system products. Leveraging on Huana Xinlong's extensive distribution channel and market coverage, FSLCS has the potential for a faster market adoption and an accelerated sales cycle. "With our National Telecom Value-Added Service license issued by China's Ministry of Information Industry in February 2004 and the 2.5G wireless services license provided by China Mobile and China Unicom, Intac Purun is qualified to provide wireless value-added services to the Chinese mass market," said Wei Zhou, Chairman and CEO of INTAC. "Intac Purun will differentiate itself from other Wireless Value-Added Service providers by focusing on verticals where Intac Purun has strategic core competencies to fulfill these unique communication needs. With the support from the MOE, we believe that the launch of FSLCS is another important step for us to further complement and enhance our existing suite of education related products and services." The Company's annual report on Form 10-KSB for the year ended December 31, 2003 and quarterly report on Form 10-Q for the quarter ended September 30, 2004 may be viewed at the SEC's website http://www.sec.gov/. About INTAC International, Inc. INTAC International, Inc. is focused on the exploitation of strategic business opportunities available in China and the Asia-Pacific Rim. With its joint venture with China's Ministry of Education, Beijing Intac Purun Educational Development Ltd., INTAC provides Chinese students exclusively with a full-range of integrated career development, recruiting and lifestyle services. These services are delivered through the Company's websites, http://www.phrbank.com/ and http://www.joyba.com/, as well as its print formats and its local Career Service Centers across China. Forward-Looking Statements This press release contains certain "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements expressed or implied by such forward-looking statements to differ materially from those projected or implied. Factors that could cause or contribute to such differences include, among other things: changes in general business conditions; the impact of competition in our industry, especially in the Asia- Pacific Rim; the fact that we are an early stage company with an unproven business model; our need for additional working capital, particularly to the extent that we are able to locate a suitable business opportunity; the added expense structure assumed by us as a U.S. public company; political and economic events and conditions in jurisdictions in which we operate; PRC Internet laws and regulations that are unclear and will likely change in the near future; restrictions on foreign investment in the PRC Internet sector that are imposed by the PRC government; the PRC government that may prevent us from distributing; regulation and censorship of information distribution in China which may adversely affect our business; political and economic policies of the PRC government; the risk of the loss of the agreements, or the exclusivity terms, with the Education Management Information Center; the high cost of Internet access that may limit the growth of the Internet in China and impede our growth; advertising and e-commerce customers that have only limited experience using the Internet for advertising or commerce purposes; the acceptance of the Internet as a commerce platform in China which depends on the resolution of problems relating to fulfillment and electronic payment; concerns about security of e-commerce transactions and confidentiality of information on the Internet that may increase our costs, reduce the use of our Internet portal and impede our growth; our network operations that may be vulnerable to hacking, viruses and other disruptions, which may make our products and services less attractive and reliable; changes in interest rates, foreign currency fluctuations and capital market conditions; and other factors including those detailed under the heading "Business Risk Factors" and elsewhere in the Company's annual report on Form 10-KSB for the year ended December 31, 2003 and quarterly report on Form 10-Q for the quarter ended September 30, 2004, as filed with the Securities and Exchange Commission. We disclaim any intention or obligation to revise any forward-looking statements whether as a result of new information, future events or otherwise. INTAC undertakes no obligation to update any forward-looking statements made in this media release. Contact: J. David Darnell, Senior Vice President and Chief Financial Officer, 469-916-9891, for further information. Internet: http://www.intac-international.com/ DATASOURCE: INTAC International, Inc. CONTACT: J. David Darnell, Senior Vice President and Chief Financial Officer of INTAC International, Inc., +1-469-916-9891 Web site: http://www.intac.cn/ http://www.intac-international.com/ http://www.phrbank.com/ http://www.joyba.com/

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