Analyst/Investors, please contact:
Jim Recob, Iomega Corporation, (801)332-4430 recob@iomega.com

FOR IMMEDIATE RELEASE

Iomega To Unveil New Zip 100MB USB Powered Drive At PC EXPO

USB Powered Drive With Automatic Backup Software Simplifies High-Capacity Storage

ROY, Utah, June 25, 2001 - Iomega Corporation (NYSE: IOM), a global leader in reliable portable data storage, will unveil the new Zip(r) 100MB USB Powered drive this week at PC Expo. The stylish Zip 100MB USB Powered drive is roughly half the size of its predecessor and receives both data and power through a single USB cable. By eliminating the need for a separate power cord, Iomega has made its industry standard Zip drive more portable and easy to use than ever.

Included with the drive is Iomega QuikSync(tm) automatic backup software, a $39.95 value. With QuikSync software, files saved to any protected directory are transparently copied to the Zip 100MB USB Powered drive. Users can also choose between continuous backup or customized scheduling.

"Digital solutions should make life simpler," said Doug Collier, senior vice president, marketing and product management, Iomega Corporation. "Getting the full functionality people expect from a Zip drive is as simple as plugging in one cable, and our QuikSync software is the simple tool that computer users need to keep their important data backed up and safe from viruses, computer crashes and other threats."

In addition to QuikSync software, the new Zip 100MB USB Powered drive includes software for easily copying an entire floppy collection to a single Zip disk, managing digital audio files, editing digital photos, and accomplishing other tasks. The new Zip 100MB USB Powered drive is also hot swappable, meaning that users can easily connect and use the drive without rebooting the computer. The drive is compatible with Windows(r) operating systems 95, 98, 2000, Me, NT 4.0; Linux (Kernel 2.4.0), and Mac(r) OS 8.5.1 through X.

The new Zip 100MB USB Powered drive is expected to be available worldwide in August for a suggested retail price of $99.95. For more information, visit http://www.Iomega.com/zip.

About Iomega
Iomega Corporation (NYSE:IOM) manufactures and markets the award-winning Zip(, Jaz( and PocketZip( drives and disks, the Peerless(tm) drive system, DataSafe(tm) network attached storage servers, the HipZip(tm) digital audio player, the FotoShow(tm) digital image center, LifeWorks(tm) software, and Iomega QuikSync(tm) software; Iomega also markets Iomega CD-RW drives, Iomega CompactFlash(tm) and SmartMedia(tm) memory cards, and Iomega Microdrive(tm) miniature hard drives. Iomega's products help people to save, share, manage and create important information such as Internet downloads, audio files, personal photographs, spreadsheets, and slides, while protecting that content from viruses and hackers. Used in homes, businesses, government and educational facilities and by creative professionals everywhere, Iomega storage solutions are the enabling technologies preferred by millions. The Company can be reached at 1-888-4-IOMEGA (888-446-6342), or on the Web at http://www.iomega.com.

Note: The statements contained in this release regarding development, production and distribution of Zip the new drive, anticipated product pricing and availability, expected product performance and specifications, future applications for the new product and all other statements that are not purely historical, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All such forward-looking statements are based upon information available to Iomega as of the date hereof, and Iomega disclaims any intention or obligation to update any such forward-looking statements. Actual results could differ materially from current expectations. Factors that could cause or contribute to such differences include, but are not limited to, market acceptance of, and demand for, Iomega Zip drives, any difficulties encountered in ramping up production or other manufacturing issues, including component availability and pricing, co-development, production, and distribution issues, product pricing and conformity to specifications, dependence upon third party suppliers, competition, intellectual property rights and other risks and uncertainties identified in the reports filed from time to time by Iomega with the U.S. Securities and Exchange Commission , including Iomega's most recent filings on forms 10-K and 10-Q.

# # #

Iomega, Zip, Jaz, PocketZip, Peerless, DataSafe, HipZip, FotoShow, QuikSync, and LifeWorks are either registered trademarks or trademarks of Iomega Corporation in the United States and/or other countries. Microsoft and Windows are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries. Mac OS is a registered trademark of Apple Computer, Inc., in the United States and/or other countries. Certain other product names, brand names and company names may be trademarks or designations of their respective owners.