Press Release: March 29, 2001

WR Hambrecht + Co Initiates Coverage of Digex (DIGX) with a Buy Rating and a Price Target of $17

San Francisco, CA, March 29, 2001—WR Hambrecht + Co today initiated research coverage on Digex (DIGX) with a Buy rating and a price target of $17. WR Hambrecht’s eServices analyst Greg Gore cites Digex’s strong brand, captive client base, scalable model and strong strategic relationships as key reasons for the recommendations. WR Hambrecht + Co offers all its research reports free and real-time at www.wrhambrecht.com.

“Digex is in a power position over the long-term as Internet infrastructure outsourcing proliferates among corporations across the globe. In addition, the company’s position as the pre-eminent managed services pure play limits downside in the stock,” Gore said.

Gore estimates Digex will post revenue of $280.32 million in revenues in 2001 and $466.8 million in 2002, an increase from $174.7 in 2000.

Digex, Incorporated is a provider of managed Web hosting services to businesses operating mission-critical, multi-functional Web sites.