Media please contact:
Chris Romoser, Iomega Corporation, (858) 314-7148 romoser@iomega.com

Analyst/Investors, please contact:
Barry Zwarenstein, Iomega Corporation, (858) 314-7190

For Immediate Release

“Touch-Free” Backups Assure the Safety of Important Files

SAN DIEGO, May 17, 2004 - Iomega Corporation (NYSE: IOM), a global leader in data storage, today announced that its new Iomega® HDD 160GB USB 2.0 Desktop Hard Drive is now shipping. Designed for the desktop with fast 7200 RPM performance and “touch-free” backup software, the new external HDD 160GB* Desktop Hard Drive gives users a simple and complete solution for managing music, photos, video and other data files.

Iomega will be showing the new Iomega HDD 160GB USB 2.0 Desktop Hard Drive at next week’s CeBIT America tradeshow in New York City, May 25-27, 2004.

“Digital photography, downloadable music, and digital video camcorders, as well as an endless variety of data files, continue to create increased demand for desktop storage,” said Jennifer Burl, senior product manager, Iomega Corporation. “The new HDD 160GB Desktop Hard Drive not only gives users what they want—more space—but also what they need—more security. Automatic backup of all their important files is the safety net that can protect them from data disasters.”

Touch-Free Backups
Iomega’s latest external USB 2.0 drive comes in a slim new enclosure (7.25 x 4.5 x 1.25 inches) and includes a full version of the award-winning Iomega Automatic Backup software for advanced real-time backup. With Iomega Automatic Backup software, backups are automatic and “touch-free”—users do not have to count on remembering to push a button or run a program. They simply select the files and folders to protect, set the backup schedule, and let Iomega Automatic Backup software do the rest. And restoring data is easy—just drag and drop.

Iomega Automatic Backup software includes these advanced features:

• Enables touch-free backups whenever a file changes
• Allows personalized backup schedules
• Supports multiple backup locations
• Saves multiple file revisions (user selectable)
• Supports DVD, CD, hard drives, network drives, and solid-state memory cards
• Caches backup data when backup media is unavailable
• Simplifies file restoration with drag and drop convenience

• Fast 7200 RPM drives
• USB 2.0 interface (compatible with USB 1.1)
• 25 MB/sec. transfer rate (USB 2.0)
• 9 ms. average seek time
• Hot plug & play (can connect to a running computer)

Availability and Requirements
The Iomega HDD 160GB Desktop Drive is shipping now for availability at retail, catalog, and online at www.iomega.com, for $199.95 (U.S. suggested retail). Iomega Automatic Backup software is compatible with Mac® OS 8.6 or above and Microsoft® Windows® 98, 98SE, 2000, Me and XP. Symantec Norton Ghost™ is compatible with Windows 98, 98SE, 2000, Me, and XP.

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 new Iomega REV™ 35GB Drive, popular Zip® 100MB, 250MB and 750MB Drives; high-performance Iomega HDD External Hard Drives in desktop and portable configurations; Iomega Mini USB Drives and Micro Mini™ USB Drives; Iomega external CD-RW Drives; Iomega Super DVD Drives and the QuikTouch™ Video Burner; and Iomega Floppy USB-Powered Drives. 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 160GB to 2TB. 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, 2003, and its most recent Quarterly Report on Form 10-Q.

* 1 GB = 1,000,000,000 bytes

Copyright© 2004 Iomega Corporation. All rights reserved. Iomega, Zip, REV, Active Disk, iStorage, HotBurn and QuikTouch 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.