Liquidation World Inc. (LQW - TSE; LIQWF – NASDAQ) is pleased to announce that it has entered into a strategic alliance with iSolve.com, a new business-to-business ("B2B") internet marketplace provider of surplus and like new inventory, underutilized assets and excess manufacturing and services capacity.

The alliance provides Liquidation World with greater exposure to the U.S. marketplace, and enhanced supply sources for surplus, U.S. origin, market sensitive, consumer inventories that will be destined for Liquidation World’s extensive network of Canadian retail stores. The alliance provides iSolve’s on-line sellers with a secure distribution channel that protects their existing distribution networks in the U.S.

Liquidation World is pleased to be joining other strategic iSolve partners including Icon International and the Thomas Publishing Company, publisher of Thomas Register of American Manufacturers and its award-winning business-to-business web sites with over 22 million page views per month.

Under the terms of the agreement, Liquidation World will support iSolve’s end-to-end on-line transaction services by providing reverse logistics services to buyers and sellers on the iSolve.com site. Liquidation World will provide to iSolve’s customers its extensive experience in remarketing new and like new inventories acquired through bankruptcies, receiverships, close-outs, manufacturers’ overruns and buy-backs. Liquidation World will also provide iSolve’s customers with appraisal services for inventories. iSolve will position Liquidation World on its web site and in its extensive upcoming marketing efforts as a secure export channel for surplus market sensitive consumer inventories.

"We are delighted that we have completed an alliance with iSolve", said Dale Gillespie, President and CEO of Liquidation World. "Our unique corporate policy of not advertising the brand names of surplus consumer merchandise in traditional media venues or on-line has constrained our ability to pursue an effective business-to-consumer web initiative. We have spent the last year reviewing B2B web initiatives with many other potential partners. After a thorough review of our options, we chose iSolve because of their sponsor’s extensive experience in the surplus marketplace. They understand our business and the unique opportunity that we represent as one of North America’s most secure retail channels for surplus market sensitive, brand name consumer inventories. They are well financed by companies that are experienced in investing in reputable on-line service providers. We are confident that their own experience in the surplus marketplace, and the diverse menu of services that they have assembled on-line, including those of our company, will quickly set them apart from other less experienced and less integrated on-line surplus sites".

Lance Lundburg, Chairman of iSolve, remarked "Liquidation World’s successful retail network gives our sellers a new market with channel protection through export markets. And Liquidation World brings a vast global network of logistical services our customers can leverage to help balance their bottom lines, and create value from merchandise with diminishing returns that must be disposed of in export markets."

About iSolve Incorporated

Headquartered in Stamford, Connecticut, iSolve Incorporated is scheduled to launch its comprehensive web site services through iSolve.com during the first quarter of 2000. iSolve.com actively engages and supports buyers and sellers of excess assets and idle capacity on-line throughout the world 24 hours a day, seven days a week. iSolve offers sellers the opportunity to leverage iSolve’s extensive vertical and merchant expertise by creating value from unproductive balance sheet assets while offering buyers worldwide access to a wide range of well priced goods. While there are numerous born-on-the-web surplus-listing sites, only iSolve.com will offer the vast range of end-to-end merchandising, settlement and logistic and distribution management services.

iSolve.com’s management team is headed by President Jan Denson, a 15 year business leader with Internet start-up experience, including Advisor Tech, a web site for Japanese investors. She is joined by Executive Vice President of Marketing Barbara Cerf, an award-winning veteran of IBM where she served as Director of Marketing for Corporate Internet Programs and Chief Financial Officer John Owen, who previously served as the chief financial officer at Ameriscribe, Lambert Communications and Pandick, Inc.

About Liquidation World

Liquidation World is a retail liquidator of consumer merchandise through 85 outlets across North America. The Company conducts Auctions of a diverse range of merchandise and equipment in the Calgary and Edmonton, Alberta markets and through on-site auctions across North America. Liquidation World solves inventory problems, in a professional manner, for banks, receivers, insurance companies, manufacturers and other organizations, and is committed to providing its customers with outstanding value over a broad range of merchandise. Liquidation World opened its first outlet in 1986 and is now the largest liquidator in Canada, with more than 1600 employees in outlets across Canada and the U.S.

About the Surplus Market

According to estimates and figures compiled by the Association of Certified Liquidators and Donaldson Lufkin & Jenrette, the worldwide market for excess inventory alone totals more than $400 billion.

Examples include new inventory with rapidly diminishing value and with ongoing warehousing and maintenance overhead. These are products and services which can no longer be sold at wholesale prices such as new goods resulting from purchasing mistakes, cancelled orders and production overruns, like-new relabeled or repackaged goods, seasonal returns, Web returns and idle production capacity.

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For more information, please contact:
Mr. Dale Gillespie, President & C.E.O.
Mr. Andrew Searby, CA, Chief Financial Officer
E-mail: investorinfo@liquidationworld.com
Website: www.liquidationworld.com
Telephone: (403) 250-1222
Fax: (403) 291-1306