Internet Commerce Corporation Releases Preliminary Guidance for Fiscal Fourth Quarter and Fiscal Year End 2005

Norcross, GA - August 18, 2005 – Internet Commerce Corporation (ICC) (NasdaqSC: ICCA), a leader in the use of the Internet for business-to-business e-commerce solutions, today released preliminary results for fiscal fourth quarter 2005, ended July 31, 2005, and fiscal year end 2005. 

ICC’s preliminary results for fourth quarter are as follows:

• Revenue of approximately $4.8 million, up approximately $500,000 from fiscal third quarter of 2005.
• Net Income of approximately $400,000, up approximately $100,000 from fiscal third quarter of 2005.

ICC’s preliminary results for fiscal year 2005 are as follows:

• Revenue of approximately $16.5 million, up approximately $4.8 million from fiscal year 2004.
• Net Income of approximately $100,000, versus a Net Loss of $4.1 million from fiscal year 2004.

"The final results for fiscal 2005, to be announced in late September, will define a historic year for Internet Commerce Corporation, culminating in record revenue growth on the core business lines and positive Net Income of approximately $100,000," said Thomas J. Stallings, chief executive officer of Internet Commerce Corporation.  “2005 will prove to be the turning point for Internet Commerce Corporation and provide the framework for continued growth and profitability in fiscal year 2006.”

Forward-Looking and Cautionary Statements

Except for the historical information and discussion contained herein, statements contained in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  These statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially, as discussed in the company’s filings with the U.S. Securities and Exchange Commission (SEC).

About Internet Commerce Corporation (ICC)
Internet Commerce Corporation (NasdaqCM: ICCA), headquartered in Norcross, Georgia, is a leader in providing business-to-business e-commerce solutions. Thousands of customers rely on ICC's comprehensive line of solutions, in-depth expertise, and unmatched customer service to help balance cost, fit, and function required to meet unique requirements for trading partner compliance, coordination, and collaboration.  With its software solutions, network services, hosted web applications, managed services, and consulting services, ICC is the trusted provider of e-commerce solutions for businesses, regardless of size and level of technical sophistication, to connect them with their trading communities.  For more information, visit www.icc.net.

Except for the historical information contained herein, this press release includes forward looking statements which are subject to a number of risks and uncertainties, including the risks and uncertainties associated with rapidly changing technologies such as the Internet, the risks of technology development and the risks of competition. Actual results could differ materially. For more information about these risks and uncertainties, see the SEC filings of Internet Commerce Corporation.