Dynabazaar Inc., formerly known as FairMarket Inc. has received notice from The Nasdaq Stock Market that the company has failed to comply with the minimum bid price requirement for continued listing and that its common stock is therefore subject to delisting from The Nasdaq National Market.

The letter provides Dynabazaar until June 14, 2004 to regain compliance with the rule. The letter states that if the bid price of Dynabazaar's common stock closes at $1.00 per share or more for a minimum of 10 consecutive trading days prior to June 14,2004, Nasdaq will notify Dynabazaar that it is in compliance with the rule.

Through September 3, 2003, Dynabazaar, operating as FairMarket, provided services to companies who wanted to use eBay as a promotions tool. The company signed up major brands like Kellogg and Dr Pepper/Seven Up.

On September 4, 2003, FairMarket sold substantially all of its operating assets to eBay for $4.5 million. The assets sold included all of its intellectual property and technology, all rights under certain transferred customer contracts and under certain intellectual property license agreements, and accounts receivable relating to services performed after the date of the closing of the asset sale with respect to the transferred customer contracts. Of the total consideration, $2.5 million in cash was paid to Dynabazaar at closing and $2 million was placed in escrow for a period of two years following the closing.