redCity Search Company Inc.
TSX VENTURE : RDC

redCity Search Company Inc.

March 26, 2007 08:30 ET

redCity Search Company Inc. Announces Share Consolidation and Commencement of Trading as ZipLocal Inc.

TORONTO, ONTARIO--(CCNMatthews - March 26, 2007) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE DISTRIBUTION SERVICES

redCity Search Company Inc. (TSX VENTURE:RDC)("redCity"), the leading Canadian local business directory, is pleased to announce that it has received all required regulatory and shareholder approvals to change its name and consolidate its outstanding shares. As of the commencement of trading on March 26, 2007, redCity will be trading on a post-consolidation basis as ZipLocal Inc. ("ZipLocal") under the symbol "ZIP" on the TSX Venture Exchange Inc. ("TSXV").

As announced in its press release of December 29, 2006, redCity held a meeting of its shareholders on January 30, 2007 to, among other things, obtain shareholder approval to its proposed name change, the proposed consolidation of its common shares and a reduction in its stated capital by $12,701,947. All shareholder approvals were received at the meeting. Upon consolidation, shareholders of redCity will receive one new common share for every five common shares outstanding.

In addition, redCity received shareholder approval at the meeting to increase the number of common shares reserved for issuance under the redCity employee stock option plan (the "Plan") to 52,092,332. Shareholders also ratified grants for a total of 2,711,058 options, exercisable at $0.10 per share. Since January 30, 2007, the directors of redCity have granted a total of 4,687,156 options, all exercisable at $0.10 per share and expiring on February 26, 2012. The number of common shares reserved for issuance under the Plan will be 13,555,290 and the number of outstanding options and the exercise prices thereof will be adjusted accordingly. After giving effect to the share consolidation, the number of common shares reserved for issuance under the Plan will be 2,711,058 and the number of outstanding options and the exercise prices thereof will be adjusted accordingly.

About ZipLocal Inc.

ZipLocal Inc. (www.ziplocal.com)(TSX VENTURE:ZIP) is a local business directory that connects buyers and sellers through an intuitive and user-defined interface. It collects and maintains a database of more than 1 million Canadian businesses and attracts on average more than 1 million visitors per month.

The TSX Venture Exchange has neither approved nor disapproved the contents of this press release.

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