-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Wye1VlNCfHvqOvgON8oX6nhsOFGa6cjl9xFQGZMfNKa/DniFpFtYVB5WkfzZlE7z YO7tr/LvXyS4E+Z7FnyOfw== 0000902664-08-000046.txt : 20080109 0000902664-08-000046.hdr.sgml : 20080109 20080109165308 ACCESSION NUMBER: 0000902664-08-000046 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 2 FILED AS OF DATE: 20080109 DATE AS OF CHANGE: 20080109 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: CNET NETWORKS INC CENTRAL INDEX KEY: 0001015577 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-BUSINESS SERVICES, NEC [7389] IRS NUMBER: 133696170 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-46767 FILM NUMBER: 08521004 BUSINESS ADDRESS: STREET 1: 235 SECOND STREET CITY: SAN FRANCISCO STATE: CA ZIP: 94105 BUSINESS PHONE: 4153442000 MAIL ADDRESS: STREET 1: 235 SECOND STREET CITY: SAN FRANCISCO STATE: CA ZIP: 94105 FORMER COMPANY: FORMER CONFORMED NAME: CNET INC /DE DATE OF NAME CHANGE: 19970506 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: JANA PARTNERS LLC CENTRAL INDEX KEY: 0001159159 IRS NUMBER: 000000000 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: JANA PARTNERS LLC STREET 2: 200 PARK AVENUE, SUITE 3300 CITY: NEW YORK STATE: NY ZIP: 10166 BUSINESS PHONE: 2126927645 MAIL ADDRESS: STREET 1: 200 PARK AVENUE, SUITE 3300 CITY: NEW YORK STATE: NY ZIP: 10166 SC 13D/A 1 p08-0027sc13da.txt CNET NETWORKS, INC. SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ------------- SCHEDULE 13D/A* (Rule 13d-101) INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT TO RULE 13d-1(a) AND AMENDMENTS THERETO FILED PURSUANT TO RULE 13d-2(a) Under the Securities Exchange Act of 1934 (Amendment No. 1) CNET Networks, Inc. ------------------------------------------------------------------------------- (Name of Issuer) Common Stock, par value $0.0001 per share ------------------------------------------------------------------------------- (Title of Class of Securities) 12613R104 ------------------------------------------------------------------------------- (CUSIP Number) Marc Weingarten, Esq. Schulte Roth & Zabel LLP 919 Third Avenue New York, New York 10022 (212) 756-2000 ------------------------------------------------------------------------------- (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) January 7, 2008 ------------------------------------------------------------------------------- (Date of Event which Requires Filing of This Statement) If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check the following box. [ ] NOTE: Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See Rule 13d-7 for other parties to whom copies are to be sent. (Continued on following pages) (Page 1 of 10 Pages) - -------------------------- The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes) - ------------------------------ --------------------- CUSIP NO. 12613R104 SCHEDULE 13D PAGE 2 OF 10 PAGES - ------------------------------ --------------------- - ------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) JANA PARTNERS LLC - ------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X] (b) [ ] - ------------------------------------------------------------------------------- 3 SEC USE ONLY - ------------------------------------------------------------------------------- 4 SOURCE OF FUNDS* AF - ------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDING IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e) [ ] - ------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware - ------------------------------------------------------------------------------- 7 SOLE VOTING POWER 12,446,177 --------------------------------------------------------- NUMBER OF 8 SHARED VOTING POWER SHARES BENEFICIALLY 3,713,178 OWNED BY --------------------------------------------------------- EACH 9 SOLE DISPOSITIVE POWER REPORTING PERSON WITH 12,446,177 --------------------------------------------------------- 10 SHARED DISPOSITIVE POWER 3,713,178 - ------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON 16,159,355 - ------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES* [X] - ------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 10.6% - ------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON* IA - ------------------------------------------------------------------------------- * SEE INSTRUCTIONS BEFORE FILLING OUT! - ------------------------------ --------------------- CUSIP NO. 12613R104 SCHEDULE 13D PAGE 3 OF 10 PAGES - ------------------------------ --------------------- - ------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) SPARK MANAGEMENT PARTNERS, L.L.C. - ------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X] (b) [ ] - ------------------------------------------------------------------------------- 3 SEC USE ONLY - ------------------------------------------------------------------------------- 4 SOURCE OF FUNDS* AF - ------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - ------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - ------------------------------------------------------------------------------- 7 SOLE VOTING POWER - 0 - --------------------------------------------------------- NUMBER OF 8 SHARED VOTING POWER SHARES BENEFICIALLY 2,583,979 OWNED BY --------------------------------------------------------- EACH 9 SOLE DISPOSITIVE POWER REPORTING PERSON WITH - 0 - --------------------------------------------------------- 10 SHARED DISPOSITIVE POWER 2,583,979 - ------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON 2,583,979 - ------------------------------------------------------------------------------- 12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES* [X] - ------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 1.7% - ------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON* OO - ------------------------------------------------------------------------------- * SEE INSTRUCTIONS BEFORE FILLING OUT! - ------------------------------ --------------------- CUSIP NO. 12613R104 SCHEDULE 13D PAGE 4 OF 10 PAGES - ------------------------------ --------------------- - ------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) VELOCITY INTERACTIVE MANAGEMENT, LLC - ------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X] (b) [ ] - ------------------------------------------------------------------------------- 3 SEC USE ONLY - ------------------------------------------------------------------------------- 4 SOURCE OF FUNDS* AF - ------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - ------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - ------------------------------------------------------------------------------- 7 SOLE VOTING POWER - 0 - --------------------------------------------------------- NUMBER OF 8 SHARED VOTING POWER SHARES BENEFICIALLY 1,000,000 OWNED BY --------------------------------------------------------- EACH 9 SOLE DISPOSITIVE POWER REPORTING PERSON WITH - 0 - --------------------------------------------------------- 10 SHARED DISPOSITIVE POWER 1,000,000 - ------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON 1,000,000 - ------------------------------------------------------------------------------- 12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES* [X] - ------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.7% - ------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON* OO - ------------------------------------------------------------------------------- * SEE INSTRUCTIONS BEFORE FILLING OUT! - ------------------------------ --------------------- CUSIP NO. 12613R104 SCHEDULE 13D PAGE 5 OF 10 PAGES - ------------------------------ --------------------- - ------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) ALEX INTERACTIVE MEDIA, LLC - ------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X] (b) [ ] - ------------------------------------------------------------------------------- 3 SEC USE ONLY - ------------------------------------------------------------------------------- 4 SOURCE OF FUNDS* WC - ------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - ------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - ------------------------------------------------------------------------------- 7 SOLE VOTING POWER -0- --------------------------------------------------------- NUMBER OF 8 SHARED VOTING POWER SHARES BENEFICIALLY 129,199 OWNED BY --------------------------------------------------------- EACH 9 SOLE DISPOSITIVE POWER REPORTING PERSON WITH -0- --------------------------------------------------------- 10 SHARED DISPOSITIVE POWER 129,199 - ------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON 129,199 - ------------------------------------------------------------------------------- 12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES* [X] - ------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) less than 0.1% - ------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON* OO - ------------------------------------------------------------------------------- * SEE INSTRUCTIONS BEFORE FILLING OUT! - ------------------------------ --------------------- CUSIP NO. 12613R104 SCHEDULE 13D PAGE 6 OF 10 PAGES - ------------------------------ --------------------- The Schedule 13D filed on January 7, 2008 (the "Schedule 13D") by JANA Partners LLC, a Delaware limited liability company, Spark Management Partners, L.L.C., a Delaware limited liability company, Velocity Interactive Management, LLC, a Delaware limited liability company, and Alex Interactive Media, LLC, a Delaware limited liability company (together, the "Reporting Persons") relating to the shares ("Shares") of common stock, par value $0.0001 per share, of CNET Networks, Inc. (the "Issuer"), is hereby amended as set forth below by this Amendment No.1 to the Schedule 13D. Item 2. Identity and Background Paragraph (a) of Item 2 of the Schedule 13D is hereby supplemented as follows: Any disclosures made herein with respect to persons or entities other than the Reporting Persons, the JANA Principals, the Spark Principals, the Velocity Principals and Gardi are made on information and belief after making inquiry to the appropriate party. By virtue of the Agreement, dated January 4, 2008 between JANA and Sandell Asset Management Corp. ("Sandell"), as more fully described in Item 6 of the Schedule 13D, the Reporting Persons may be deemed to be a "group" with Sandell and its affiliates for purposes of the Act. The securities reported herein as being beneficially owned by each of the Reporting Persons do not include any securities held by Sandell or any other person or entity other than the various accounts under each Reporting Person's management and control. Item 3. Source and Amount of Funds or Other Consideration. The first sentence of Item 3 of the Schedule 13D is hereby amended as follows: The 16,159,355 Shares reported herein as being beneficially owned by JANA were acquired at an aggregate purchase price of approximately $137,681,536.37. Item 4. Purpose of Transaction. Item 4 of the Schedule 13D is hereby supplemented as follows: On January 9, 2008, JANA issued a press release (the "JANA January 9 Press Release") (i) announcing an increase in the number of Shares beneficial owned by JANA and Sandell and (ii) addressing statements made by the Issuer regarding JANA's nomination of seven individuals to the Board. A copy of the JANA January 9 Press Release is filed as Exhibit 12 to the Schedule 13D and is incorporated herein by reference. Item 5. Interest in Securities of the Company. Paragraph (a), the first sentence of paragraph (b) and paragraph(c) of Item 5 of the Schedule 13D are hereby amended as follows: (a) The aggregate percentage of Shares reported to be beneficially owned by the Reporting Persons is based upon 151,973,545 Shares outstanding, which is the total number of Shares outstanding as of October 31, 2007 as reported in the Issuer's Quarterly Report on Form 10-Q filed on November 5, 2007 for the period ended September 30, 2007. As of the close of business on January 9, 2008; (i) JANA may be deemed to beneficially own 16,159,355 Shares, constituting approximately 10.6% of the Shares outstanding, (ii) Spark may be deemed to beneficially own 2,583,979 Shares, constituting approximately 1.7% of the Shares outstanding, (iii) Velocity may be deemed to beneficially own 1,000,000 Shares, constituting approximately 0.7% of the Shares outstanding, and (iv) AIM may be deemed to beneficially own 129,199 Shares, constituting less than 0.1% of the Shares outstanding. Spark and AIM beneficially own their respective Shares by virtue of the Amended and Restated Agreement described in Item 6 of the Schedule 13D. Velocity beneficially owns its Shares by virtue of the Option Agreement described in Item 6 of the Schedule 13D. By virtue of (i) the Amended and Restated Agreement, (ii) the Option Agreement, and (iii) the Sandell Group Agreement, the Reporting Persons and Sandell may be deemed to have formed a "group" within the meaning of Section 13(d)(3) of the Securities Act of 1934 and may be deemed to beneficially own 18,359,355 - ------------------------------ --------------------- CUSIP NO. 12613R104 SCHEDULE 13D PAGE 7 OF 10 PAGES - ------------------------------ --------------------- Shares, constituting approximately 12% of the Shares outstanding. However, each of the Reporting Persons expressly disclaims beneficial ownership of the Shares beneficially owned by the other Reporting Persons and Sandell. Sandell will be filing a separate Schedule 13D with respect to its interest. (b) JANA has sole voting and dispositive powers over 12,446,177 Shares, which powers are exercised by the JANA Principals, and (i) by virtue of the Option Agreement, shared voting and dispositive power over 1,000,000 Shares, which power is shared with Velocity and (ii) by virtue of the Amended and Restated Agreement, shared voting and dispositive power over 129,199 Shares and 2,583,979 Shares, which power is shared with AIM and Spark, respectively. (c) Information concerning transactions in the Shares effected by the Reporting Persons since the filing of the Schedule 13D is set forth in Appendix A hereto and is incorporated herein by reference. Item 6. Contracts, Arrangements Understandings or Relationships with Respect to Securities of the Company The first, second and third sentences of the fifth paragraph of Item 6 are hereby amended as follows: JANA currently has contractual agreements with two credit counterparties: Jefferies & Company, Inc. and Lehman Brothers Inc., with regard to cash-settled equity swaps (the "JANA Swaps") that reference Shares. The JANA Swaps constitute economic exposure to approximately 9,221,648 Shares, or 6.0% of the Shares outstanding. The JANA Swaps have reference prices ranging from $7.29 to $8.07 and expiration dates ranging from July 2008 to January 2009. Item 7. Material to be Filed as Exhibits. Item 7 of the Schedule 13D is hereby supplemented as follows: Exhibit 12 JANA January 9 Press Release. - ------------------------------ --------------------- CUSIP NO. 12613R104 SCHEDULE 13D PAGE 8 OF 10 PAGES - ------------------------------ --------------------- SIGNATURES After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. Dated: January 9, 2008 JANA PARTNERS LLC By: /s/ Barry Rosenstein ---------------------------- Name: Barry Rosenstein Title: Managing Partner By: /s/ Gary Claar ---------------------------- Name: Gary Claar Title: General Partner SPARK MANAGEMENT PARTNERS, L.L.C. By: /s/ Santo Politi ---------------------------- Name: Santo Politi Title: Managing Member VELOCITY INTERACTIVE MANAGEMENT, LLC By: /s/ Jonathan Miller ---------------------------- Name: Jonathan Miller Title: Authorized Signatory - ------------------------------ --------------------- CUSIP NO. 12613R104 SCHEDULE 13D PAGE 9 OF 10 PAGES - ------------------------------ --------------------- ALEX INTERACTIVE MEDIA, LLC By: /s/ Paul Gardi ---------------------------- Name: Paul Gardi Title: Managing Member - ------------------------------ --------------------- CUSIP NO. 12613R104 SCHEDULE 13D PAGE 10 OF 10 PAGES - ------------------------------ --------------------- APPENDIX A TRANSACTIONS IN THE SHARES EFFECTED BY THE REPORTING PERSONS SINCE THE FILING OF THE SCHEDULE 13D (UNLESS OTHERWISE STATED, ALL TRANSACTIONS WERE EFFECTED IN THE OPEN MARKET) JANA Date of Trade Shares Purchased (Sold) Price per Share - ------------- ----------------------- --------------- 1/7/2008 972,700 8.49 59,800 8.76 290,200 8.63 1/8/2008 1,161,803 8.43 293,197 8.48 45,000 8.45 1/9/2008 997,400 8.20 20,078 8.26 8,309 8.31 10,695 8.33 EX-99 2 p08-0027exhibit_12.txt EXHIBIT 12 JANA GROUP INCREASES CNET VOTING STAKE ADDRESSES CNET'S ATTEMPT TO CURTAIL SHAREHOLDER RIGHTS NEW YORK, January 9, 2008 - JANA Partners LLC ("JANA") today disclosed that it has increased its voting stake in CNET Networks, Inc. (Nasdaq: CNET). JANA now holds approximately 10.5% of CNET's voting stock and maintains a separate approximately 6% non-voting economic interest. In addition, Sandell Asset Management Corp. ("Sandell") now holds an approximately 1.5% voting interest and maintains a separate approximately 3.5% non-voting economic interest in CNET. JANA has joined with Sandell, Paul Gardi of Alex Interactive Media, Spark Capital and Velocity Interactive Group in seeking to elect two individuals to replace the board members who are up for re-election at CNET's 2008 stockholders meeting and to expand CNET's board by five members and nominate individuals to fill those vacancies. JANA also denied CNET's misrepresentation that JANA was attempting to gain "control of the Company without offering sufficient value to all stockholders." JANA Managing Partner Barry Rosenstein noted that the group's plan is to add highly-qualified Board members who will focus on creating long-term value for all stockholders and that no offer for the company had been made by the group. Rosenstein said, "Not surprisingly, CNET has mischaracterized our objectives. We have not made an offer to buy the company without paying a premium. In fact, it is CNET's own underperformance that makes it more vulnerable to an opportunistic acquirer looking to acquire it cheaply and create value for its own benefit rather than the benefit of all shareholders. We are seeking to address this underperformance and will benefit only to the extent all stockholders benefit. This is why we have taken the unique step of partnering with a venture capital fund and experienced operators and managers, all of whom have a history of focusing on creating long-term, sustainable value for stockholders." JANA also addressed CNET's contention that JANA's nomination of candidates for CNET's board is "improper" under CNET's bylaws. Rosenstein said, "CNET does not have the right to pick and choose which stockholders have a `legitimate interest', whether under Delaware law or broader principles of a board's duty to stockholders. We have proposed highly qualified Board nominees with significant operating and board experience and who have substantive proposals to address CNET's ongoing underperformance. We find it outrageous that CNET's response is to hide behind a clearly invalid interpretation of the bylaws to prevent stockholders from exercising their legitimate rights, which we believe will be futile." JANA has been advised that CNET's interpretation of its bylaws, which would permit only stockholders who have held $1,000 worth of stock for a year to propose business and nominees and would allow only the board's nominating committee to nominate directors, is clearly flawed. Moreover, CNET's interpretation conflicts with clearly established principles of Delaware law, including the principles that bylaws must be reasonable and cannot interfere with stockholder voting rights absent a proper purpose, such as providing for an orderly meeting of shareholders, and that a company cannot use its bylaws to treat holders of the same class of stock unequally with respect to their voting rights. An affiliate of JANA filed suit earlier this week in Delaware Chancery Court seeking to enjoin CNET's attempt to prevent it from nominating directors and bringing other business at the 2008 stockholders meeting. BACKGROUND JANA PARTNERS LLC is a multi-billion dollar investment management firm founded in 2001 by Barry Rosenstein. JANA has on numerous occasions, alone or with other shareholders, challenged management to focus on creating shareholder value, including with respect to Kerr-McGee Corporation, Time Warner, Titan International, TD Ameritrade and The Houston Exploration Company. ALEX INTERACTIVE MEDIA, LLC ("AIM") is a private company focused on leveraging its domain expertise in digital media and related industries. SPARK CAPITAL is a venture capital fund focused on building businesses that transform the distribution, management and monetization of media and content, with experience in identifying and actively building market-leading companies in sectors including infrastructure (Qtera, RiverDelta, Aether Systems, Broadbus and BigBand), networks (College Sports Television, TVONE and XCOM) and services (Akamai and the Platform). Spark Capital has over $600 million under management, and is based in Boston, Massachusetts. VELOCITY INTERACTIVE GROUP, LLC is an investment firm that focuses on digital media and communications. Velocity Interactive Group has offices in Palo Alto, Los Angeles and New York. SANDELL ASSET MANAGEMENT CORP., is a multi-billion dollar global investment management firm, founded by Thomas E. Sandell, that focuses on global corporate events and restructurings throughout North America, Continental Europe, the United Kingdom, Latin America and the Asia-Pacific theatres. Sandell frequently will take an "active involvement" in facilitating financial or organization improvements accruing to the benefit of investors. ALL STOCKHOLDERS OF CNET ARE ADVISED TO READ THE DEFINITIVE PROXY STATEMENT AND OTHER DOCUMENTS RELATED TO THE SOLICITATION OF PROXIES BY THE INVESTORS AND NOMINEES NAMED ABOVE (THE "POTENTIAL PARTICIPANTS") FROM THE STOCKHOLDERS OF CNET FOR USE AT THE 2008 ANNUAL MEETING OF STOCKHOLDERS OF CNET WHEN AND IF THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. WHEN AND IF COMPLETED, THE DEFINITIVE PROXY STATEMENT AND FORM OF PROXY WILL BE MAILED TO STOCKHOLDERS OF CNET AND WILL, ALONG WITH OTHER RELEVANT DOCUMENTS, BE AVAILABLE AT NO CHARGE ON THE SEC'S WEB SITE AT HTTP://WWW.SEC.GOV. IN ADDITION, THE POTENTIAL PARTICIPANTS IN THE PROXY SOLICITATION WILL PROVIDE COPIES OF THE DEFINITIVE PROXY STATEMENT WITHOUT CHARGE UPON REQUEST. INFORMATION RELATING TO THE POTENTIAL PARTICIPANTS IS CONTAINED IN EXHIBIT 2 TO THE SCHEDULE 14A FILED BY THE POTENTIAL PARTICIPANTS WITH THE SEC ON JANUARY 9, 2008. CONTACTS: Sard Verbinnen & Co George Sard 212-687-8080 or Paul Kranhold or Andrew Cole, 415-618-8750 or JANA Partners LLC Charles Penner, 212-692-7696 ### -----END PRIVACY-ENHANCED MESSAGE-----