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Iomega Announces New USB-Powered External Floppy Drive
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Portable Drive Makes Sharing and Storing Small Data Files Even Easier

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

Portable Drive Makes Sharing and Storing Small Data Files Even Easier

SAN DIEGO, Calif., March 25, 2003 - Iomega Corporation (NYSE: IOM), a global leader in portable data storage, announced today the availability of the new Iomega® Floppy USB-Powered Drive. As floppy drives and disks continue to be used around the world as a universal platform for sharing and distributing small electronic files, the new Iomega® Floppy USB-Powered Drive offers consumers a convenient and easy way to organize, share and store their smaller data files.

With computer manufacturers now taking floppy drives out of new laptop and desktop computer systems, the new Iomega Floppy USB-Powered Drive offers new computer buyers the flexibility to share data on existing 1.44MB floppy disks with owners of legacy computer systems. The slim, lightweight design is also host-powered, making it ideal for mobile users that want maximum portability with their laptop computers. It is also a hassle-free replacement drive for users whose existing internal floppy drive is broken or malfunctioning.

“With millions of floppy disks in the marketplace today and internal floppy drives no longer standard in new personal computers, the Iomega Floppy USB-Powered Drive is another Iomega storage solution that meets a specific storage need of computer users today,” said Sean Burke, vice president, mobile and desktop solutions, Iomega Corporation. “For accessing all of those existing floppy disks, as well as organizing, sharing and storing small files, the new Iomega Floppy USB-Powered Drive combines the convenience of a universal platform with the dependability and quality of the Iomega brand.”

Features
The Iomega® Floppy USB-Powered drive has a simple one-cable connection that allows users to connect to a computer using any USB 1.0/1.1 port, and is host-powered so no additional adapters, batteries or external power supplies are needed. The drive is hot-swappable and cross-platform compatible with Microsoft Windows 98/98SE/2000/ME/XP as well as Mac OS 9.1/9.2.2/10.1 and 10.2. The Iomega Floppy drive will read and write to all standard 3.5” floppy disk formats.

Award-Winning Support
The Iomega® Floppy USB-Powered drive comes with a one-year limited warranty and is backed by Iomega’s world-class customer support and overall corporate commitment to quality.

Pricing and Availability
The new Iomega® Floppy USB-Powered drive will begin shipping to select retail stores and distributors in the US, Latin America, Canada and Asia on March 25th and will be available for purchase online at www.iomega.com for $49.99 (U.S. suggested retail price).

About Iomega
Iomega Corporation provides easy-to-use, high value storage solutions to help people protect, secure, capture and share their digital valuables. 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, Iomega® Mini USB Drives that range in capacity from 64MB to 256MB, Iomega® external CD-RW drives and the new 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 720GB. 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, 2002, and its most recent Quarterly Report on Form 10-Q.

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Copyright© 2003 Iomega Corporation. All rights reserved. Iomega, Zip, Predator, HotBurn and Active Disk are either registered trademarks or trademarks of Iomega Corporation in the United States and/or other countries. Microsoft and Windows are registered trademarks of Microsoft 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.