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Iomega Introduces New Entry Level
NAS Servers For Small Businesses
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Iomega Updates Mid-Range NAS P400 Series
To Complete New NAS Product Lineup

Media please contact:
Chris Romoser, Iomega Corporation, (858) 795-7148 romoser@iomega.com

Analyst/Investors, please contact:
Barry Zwarenstein, Iomega Corporation, (858) 795-7190

For Immediate Release

SAN DIEGO, May 27, 2003 - Iomega Corporation (NYSE: IOM), a global leader in data storage, today announced two new entry level network attached storage (NAS) servers that deliver superior performance and value for small businesses and workgroups: the Iomega NAS A205m and the A305m servers. Also announced today is the complete refresh of the Iomega P400 series of mid-range NAS servers. Iomega is now offering small and medium-sized businesses a complete line of NAS products for storing, backing up, and recovering critical business data.

Entry-Level NAS: The A205m
The Iomega® NAS A205m server breaks the $1000 price barrier with a Windows® powered NAS server offering 160 GB of usable capacity, RAID 1 (disk mirroring) capability, 10/100 Fast Ethernet, and Iomega Automatic Backup client software. It puts reliable file serving and backup functions within reach of even the smallest IT budgets. This product can be a member of Active Directory™ services, which enables global management of users, servers, and policies. It is also simple to install and manage, thanks to Microsoft Management Console (MCC), Terminal Services and services like Distributed File System service (DFS), which transparently incorporates the NAS server into existing networks.

Value and Performance: The A305m
The Iomega® NAS A305m server builds on the core features of the A205m. It increases usable storage capacity to 240 GB and adds mid-range features like RAID 5 (disk striping with parity) capability and a Gigabit Ethernet (GbE) network connection.

Mid-Range Powerhouses: The P435m, P440m, and P445m
The new Iomega® NAS P435m, P440m, and P445m servers refresh the midrange Iomega NAS lineup with new features that include a Pentium® 4 processor, high-speed error-correction code memory, dual Gigabit Ethernet (GbE) (Cu) ports, and a standard SCSI port for tape backup. Designed to be easy to manage and maintain, the P400 series NAS servers also feature four hot-swappable hard drives in a 1U rack-mount enclosure.

"Iomega's new entry level NAS products are designed specifically for small business users that need to manage their critical data with a dependable, economical solution," said Werner Heid, president and CEO, Iomega Corporation. "Our upgraded NAS 400 series servers are now more powerful and flexible, and in the Iomega tradition they continue to be value and price leaders in their category."

Windows-Powered NAS Solutions
The Iomega® NAS A205m, A305m, P435m, P440m and P445m servers come standard with key Microsoft® Windows® 2000 advanced Server technologies for ease of management:

  • Distributed file system service (DFS), for seamlessly linking additional Iomega NAS servers to the network;
  • Active Directory™ services (ADS), for managing users, servers and policies;
  • Persistent Storage Manager (PSM), for creating space-efficient snapshots of network data and recovering lost, damaged, or accidentally deleted files. (not with A205m/A305m)
  • File Replication service (FRS), for replicating system policies and login scripts among Windows 2000 servers;
  • Storage Resource Manager (SRM), for allocating storage, filtering files, and reporting on file usage; SRM provides intelligent information on how the storage is being used with two levels of policy. (not with A205m/A305m)
"Microsoft is pleased to be working with Iomega to expand the availability of Windows Powered NAS solutions," said Zane Adam, director of product management and marketing, Microsoft Enterprise Storage Division. "By integrating Microsoft Windows 2000 technologies across its line of NAS products, Iomega is delivering the easy-to-use, dependable storage solutions that small and medium-sized companies need in today's data-rich marketplace."

Iomega recently introduced the new Iomega® NAS P800m and P850m servers, which provide up to 1440 GB (gigabytes) of storage capacity with virtually 100 percent uptime, thanks to hot-swappable power supplies, fans and drives. Today, Iomega’s full line of NAS products ranges in capacity from 160GB to 1.4TB.

“The addition of these powerful new entry level products, the enhancements to the P400 line and the recently announced P800 Series positions Iomega with the best suite of solutions for the small and medium-sized business user, as well as corporate workgroups and departments,” said Wayne Arvidson, director of marketing, network storage solutions, Iomega Corporation.

Price and Availability
The Iomega NAS A205m will begin shipping June 2 for $999; the A305m will begin shipping the first week of July for $1,599. Now shipping are the Iomega NAS P445M for $5,999, the Iomega NAS P440m for $4,399, and the Iomega NAS P435m for $3,399. (All prices are U.S. suggested retail.)

About Iomega
Iomega Corporation provides easy-to-use, high value storage solutions to help people protect, secure, capture and share their valuable digital information. Iomega’s award-winning storage products include the popular Zip® 100MB, 250MB and 750MB drives, high-performance Iomega® HDD Portable Hard Drives that feature capacities from 20GB to 60GB, Iomega® HDD Desktop Hard Drives that offer capacities from 40GB to 120GB, the new Iomega® Mini USB Drive in 64MB, 128MB and 256MB capacity sizes, Iomega® external CD-RW drives and the Iomega® Floppy USB-Powered Drive. Iomega simplifies data protection and sharing at home and in the workplace with Iomega® Automatic Backup software, Iomega® Sync software, HotBurn® CD-recording software, and Active Disk™ technology. For networks, Iomega® NAS servers offer capacities of 120GB to 1.4TB. For unlimited capacity and anytime, anywhere access, Iomega offers iStorage™ secure online storage. Iomega also offers businesses and consumers a comprehensive data recovery services solution for recovering lost data due to hardware failure, file corruption or media damage. The Company can be reached at 1-888-4-IOMEGA (888-446-6342), or on the Web at www.iomega.com.

NOTE: The statements contained in this release regarding development, production and distribution of the Iomega product, 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, the successful completion of product development and testing, market acceptance of, and demand for, the Iomega product, 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 Annual Report on Form 10 K for the year ended December 31, 2001, and its most recent Quarterly Report on Form 10-Q.

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Copyright© 2003 Iomega Corporation. All rights reserved. Iomega, Zip, Peerless, Predator, DataSafe, QuikSync, HotBurn and LifeWorks are either registered trademarks or trademarks of Iomega Corporation 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.