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

FOR IMMEDIATE RELEASE

Iomega Announces North America Workforce Reduction

SAN DIEGO, California, December 18, 2001 - Iomega Corporation (NYSE: IOM), the global leader in reliable portable data storage, today announced a reduction in force of 80 employees at the Company's offices in the U.S. and Canada. The reduction represents approximately 10 percent of Iomega's North American workforce.

"We are adjusting our staffing to align Iomega's organization with our refined business focus," said Werner Heid, president and CEO, Iomega Corporation. "This workforce reduction will serve to improve our operational efficiencies and positions Iomega with the appropriate resources and skill sets to successfully execute our 2002 strategic business plan."

The reduction in force, effective today, includes employees in Roy, Utah, Nacogdoches, Texas, and Toronto. The majority of the eliminated positions are in Iomega's operations group. All of the employees affected by the workforce reduction will be paid through the end of this calendar year, and will also receive separation packages.

About Iomega
Iomega Corporation (NYSE:IOM) manufactures and markets the award-winning Zip®, Jaz®, PocketZip™ and Peerless™ drives and disks, the HipZip™ digital audio player, the FotoShow™ digital image center, LifeWorks™ software, and Iomega QuikSync™ software; Iomega also markets Iomega CD-RW drives, CompactFlash™ and SmartMedia™ memory cards, DataSafe™ network attached storage (NAS) servers and the Iomega Microdrive™ miniature hard drive. 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 the Company's workforce reduction, improvements in operating efficiencies, the positioning of the Company with respect to its 2002 strategic business plan, 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, difficulties by management in successfully executing on the workforce reduction and unforeseen liabilities arising therefrom, continued need for additional restructuring actions, continued outsourcing of business operations resulting in additional restructuring or other charges, worldwide economic conditions, continued decline in the company's Zip business, continued decline in the Company's revenue, the successful completion of new product development and testing, market acceptance of, and demand for, new products, manufacturing issues, including component availability and pricing, 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 Annual Report on Form 10-K for the year ended December 31, 2000, and its most recent Quarterly Report on Form 10-Q.

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Copyright© 2001 Iomega Corporation. All rights reserved. Iomega, Zip, Jaz, PocketZip, Peerless, HipZip, FotoShow, Predator, QuikSync, DataSafe and LifeWorks are either registered trademarks or trademarks of Iomega Corporation in the United States and/or other countries. Microdrive is a trademark of IBM Corporation and is used with permission. Certain other product names, brand names and company names may be trademarks or designations of their respective owners.