UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

SCHEDULE 14A

(Rule 14A-101)
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FTD GROUP, Inc.

(Name of Registrant as Specified in Its Charter)

 

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Exhibit 99.1

Contact Information:		FTD Group, Inc.
		Jandy Tomy
		Investor Relations
		(630) 724-6984
		jtomy@ftdi.com

FOR IMMEDIATE RELEASE

FTD Group, Inc. Reports Third Quarter Fiscal Year 2008 Results

DOWNERS GROVE, IL. — Tuesday, May 6, 2008 — FTD Group, Inc. (NYSE: FTD), a leading international provider of floral related products and services, today announced third quarter fiscal year 2008 financial results for the period ended March 31, 2008.

THIRD QUARTER FISCAL YEAR 2008 RESULTS
Third quarter fiscal year 2008 consolidated revenue grew $9.1 million, or 5.0%, to $192.0 million, compared to consolidated revenue of $182.9 million for the same period of fiscal year 2007. The International segment contributed $7.4 million to this revenue growth. The Domestic businesses contributed the remaining $1.7 million to this revenue growth. The increase in the Domestic business revenue was primarily the result of the shift of Easter to the third quarter in fiscal year 2008, whereas it occurred during the fourth quarter of fiscal year 2007.

Resulting net income for the third quarter of fiscal year 2008 was $9.3 million, or $0.31 per diluted share. During the current year third quarter, the Company incurred $3.5 million in unusual expenses, which included $2.0 million of charges related to abandoned acquisition opportunities in light of the pending acquisition by United Online, Inc., $0.9 million of expenses related to the pending acquisition by United Online, Inc. and $0.6 million in advisory costs incurred in conjunction with the resolution of a sales tax audit. Net of tax, these charges amounted to $0.07 per diluted share. This was partially offset by a $0.01 per diluted share reduction to the tax provision during the current year quarter, which was primarily related to the expiration of a tax statute. Fiscal year 2007 third quarter net income was $9.6 million, or $0.32 per diluted share, which included $0.02 per diluted share in expenses related to the Company’s secondary stock offering in the third quarter of fiscal year 2007.

Including the $3.5 million in unusual expenses described above, earnings before interest, taxes, depreciation and amortization (EBITDA) was $22.5 million for the third quarter of fiscal year 2008. Adjusted EBITDA, which excluded the unusual expenses described above and other (income) expense, net, was $26.0 million compared to Adjusted EBITDA (which excluded other (income) expense, net) of $26.1 million for the same period of the prior fiscal year.

A table reconciling net income to EBITDA and Adjusted EBITDA and management’s discussion of the use of non-GAAP measures is included with the attached consolidated financial

3113 Woodcreek Drive • Downers Grove, IL 60515
Main Phone: (630) 719-7800 •www.ftd.com • www.interflora.co.uk

statements. The Company believes EBITDA and Adjusted EBITDA provide useful supplemental information related to the Company’s operations and results.

Domestic Consumer Segment
The Domestic Consumer Segment achieved revenue of $81.7 million in the third quarter of fiscal year 2008, compared to revenue of $80.2 million in the same period of fiscal year 2007, an increase of 1.8%. Revenue in the quarter benefited from the shift of the Easter holiday into the third quarter compared with the prior year when Easter occurred in the fourth quarter. Third quarter operating income in the Domestic Consumer Segment was $4.7 million, or 5.8% of Domestic Consumer Segment revenue, compared to $4.2 million in the prior year quarter, or 5.3% of Domestic Consumer Segment revenue. Operating margin during the period increased due to more efficient technology spending and increased efficiencies in the customer service area.

Domestic Consumer orders during the third quarter of fiscal year 2008 totaled approximately 1,236,000 compared to approximately 1,243,000 orders in the same period of fiscal year 2007. Average order value increased to $64.48 in the current quarter from $63.04 in the prior year’s quarter.

Domestic Florist Segment
The Domestic Florist Segment achieved revenue of $49.3 million in the third quarter of fiscal year 2008, slightly up from the $49.1 million of revenue achieved in the same period of the prior fiscal year. Fiscal year 2008 third quarter operating income for the Domestic Florist Segment was $14.5 million, or 29.4% of Domestic Florist Segment revenue, compared to $16.4 million in the prior year quarter, or 33.3% of Domestic Florist Segment revenue. This decline in operating income is largely related to a shift in timing of advertising expenses related to the Easter holiday and a florist membership event that occurred during the third quarter of the current fiscal year and during the fourth quarter of the prior fiscal year.

International Segment
For the third quarter of fiscal year 2008, the International Segment, primarily comprised of the Interflora U.K. business, achieved revenue of $61.0 million compared to revenue of $53.6 million in the third quarter of the prior fiscal year, representing a 14.0% increase. This increase included $0.9 million, or 1.5%, related to favorable foreign currency movement between the U.S. dollar and the British Pound. The International Segment achieved operating income of $7.3 million, or 12.0% of revenue, in the third quarter of fiscal year 2008 compared to $5.3 million, or 9.9% of revenue, in the third quarter of fiscal year 2007. This increase was largely due to efficiencies across the business.

The International Segment continued to experience strong demand as consumer order volume increased 14.0% to approximately 758,000 for the third quarter of fiscal year 2008, compared to approximately 665,000 orders in the same period of the prior fiscal year. Average order value in the International Segment was $67.39 in the current quarter, a 1.1% increase, attributable to favorable foreign currency movement, compared to $66.68 for the same period of the prior fiscal year. Internet orders increased to 77.9% in the current quarter, from 73.4% for the same period of fiscal year 2007.

BALANCE SHEET AND OTHER HIGHLIGHTS
As of March 31, 2008, the Company’s cash and cash equivalents totaled $34.0 million. The Company’s debt balance totaled $294.1 million, compared to total debt of $302.0 million as of December 31, 2007. As of March 31, 2008, the Company had $72.1 million available under its revolving credit facility.

In addition to the $7.8 million debt repayment made during the third quarter of fiscal year 2008, the Company paid a quarterly cash dividend of $0.1625 per share on April 4, 2008 to shareholders of record on March 21, 2008, in an amount totaling $4.8 million.

OUTLOOK
For fiscal year 2008, the Company is reaffirming its previously announced annual revenue target of approximately $645 million and targeted Adjusted EBITDA (excluding other (income) expense, net and the unusual charges incurred in the third quarter of fiscal year 2008, as described above) of approximately $98 million. Targeted EBITDA, including the $3.5 million of unusual expenses incurred in the third quarter as described above, is expected to be approximately $95 million. These targets exclude any expenses related to the pending acquisition by United Online, Inc. that may be incurred during the fourth quarter. The Company’s targeted Adjusted EBITDA includes approximately $4 million of expense related to stock compensation associated with Statement of Financial Accounting Standards No. 123(R) and a deferred compensation plan at Interflora U.K. The Company expects targeted net income for the fiscal year to be approximately $39 million, or $1.31 per diluted share, a decrease from the previous net income target of $40 million, or $1.35 per diluted share. These new net income and diluted EPS targets reflect the unusual charges described earlier in the release and exclude any additional charges related to the pending acquisition by United Online, Inc. that may be incurred in the last quarter of the year. The above targets are only estimates, which may be exceeded or alternatively may not be achieved.

ACQUISITION OF COMPANY BY UNITED ONLINE, INC.
As announced on April 30, 2008, the Company and United Online, Inc. (Nasdaq: UNTD), a leading provider of consumer Internet and media services entered into a definitive merger agreement providing for the acquisition of FTD Group, Inc. by United Online, Inc. Under the terms of the merger agreement, FTD stockholders will receive $7.34 in cash, 0.4087 of a share of United Online common stock (“United Online Stock”) and $3.31 principal amount of United Online 13% senior secured notes due 2013 (the “Notes”) for each share of FTD common stock in the merger, for a total value of $15.08 per share of FTD common stock based on United Online’s closing stock price of $10.83 on April 29, 2008. The total consideration to FTD stockholders will be approximately $456 million, consisting of $222 million in cash, 12.35 million shares of United Online Stock and $100 million aggregate principal amount of Notes. The remaining purchase price consists of repayment of FTD indebtedness and expenses incurred in connection with the transaction. Upon closing of the transaction, the former FTD stockholders will own approximately 15% of United Online.

Under the terms of the merger agreement, United Online may elect to increase the per share cash consideration payable to FTD’s stockholders by $2.81 in full substitution of the Notes, in which case FTD stockholders will receive a total of $10.15 in cash and 0.4087 of a share of United Online Stock in exchange for each share of FTD common stock in the merger, or a total value of $14.58 per share of FTD common stock, based on United Online’s closing stock price of $10.83 on April 29, 2008. In such case, the total consideration to FTD stockholders will be

approximately $440 million, consisting of $307 million in cash and 12.34 million shares of United Online Stock. FTD will notify its stockholders as to the amount of cash, United Online Stock and, if applicable, Notes consideration they will receive for each share of FTD common stock in the merger in the definitive proxy/prospectus materials to be mailed to FTD’s stockholders.

The acquisition is anticipated to close during the third quarter of calendar year 2008. The transaction requires the approval of FTD stockholders and is subject to a financing condition and customary closing conditions. Under the terms of the merger agreement, FTD has agreed to suspend all dividends on its common stock for 180 days after the date of the signing of the merger agreement. After the closing of the acquisition, FTD will continue to operate as a wholly-owned subsidiary of United Online, operating out of FTD’s existing facilities, including its U.S. headquarters in Downers Grove, Illinois and its international headquarters in the United Kingdom.

ADDITIONAL INFORMATION AND WHERE YOU CAN FIND IT
United Online, Inc. (“United”) intends to file with the Securities and Exchange Commission (“SEC”) a Registration Statement on Form S-4, which will include a proxy statement/prospectus of United and the Company and other relevant materials in connection with the proposed transaction. The proxy statement/prospectus will be mailed to the stockholders of the Company. Investors and stockholders are urged to read the proxy statement/prospectus and Registration Statement, and any and all amendments or supplements thereto, when they become available because they will contain important information about the proposed transaction. Investors and stockholders may obtain a free copy of the proxy statement/prospectus and Registration Statement (when available), as well as other documents filed by United and the Company with the SEC, at the SEC’s website at www.sec.gov <file://www.sec.gov>. Investors and stockholders may also obtain a free copy of the proxy statement/prospectus and Registration Statement and the respective filings with the SEC directly from United by directing a request to Erik Randerson at (818) 287-3350 and directly from the Company by directing a request to Jandy Tomy at (630) 724-6984. Investors and stockholders are urged to read the proxy statement/prospectus and the other relevant materials when they become available before making any voting or investment decision with respect to the proposed transaction.

Each of the companies’ directors and executive officers and other persons may be deemed, under SEC rules, to be participating in the solicitation of proxies in connection with the proposed transaction. Information regarding United’s directors and officers can be found in its proxy statement filed with the SEC on April 29, 2008, and information regarding the Company’s directors and officers can be found in its proxy statement filed with the SEC on October 11, 2007. Additional information regarding the participants in the proxy solicitation and a description of their direct and indirect interest in the transaction, by security holdings or otherwise, will be contained in the proxy statement/prospectus and other relevant materials to be filed with the SEC.

ABOUT FTD GROUP, INC.
FTD Group, Inc. is a leading provider of floral related products and services to consumers and retail florists, as well as other retail locations offering floral products, in the U.S., Canada, the U.K. and the Republic of Ireland. The business utilizes the highly recognized FTD and Interflora brands, both supported by the Mercury Man logo, which is displayed in approximately 45,000 floral shops worldwide. The consumer businesses operate primarily through the www.ftd.com

Web site in the U.S. and Canada and the www.interflora.co.uk Web site in the U.K. and are complemented by the florist businesses which provide products and services to the Company’s independent members.

FORWARD-LOOKING STATEMENTS

This press release contains various “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward looking statements may include statements regarding the Company’s outlook, anticipated revenue growth and profitability; anticipated benefits of its acquisition of Interflora Holdings Limited (“Interflora U.K.”), anticipated benefits of investments in new products, programs and offerings and opportunities and trends within both the domestic and international floral businesses, including opportunities to expand these businesses and capitalize on growth opportunities or increase penetration of service offerings. The international business reflects the operations of Interflora U.K. These forward-looking statements are based on management’s current expectations, assumptions, estimates and projections about the Company and the Company’s industry. Investors are cautioned that actual results could differ from those contained in any forward-looking statements as a result of: the Company’s ability to acquire and retain FTD and Interflora U.K. members and continued recognition by members of the value of the Company’s products and services; the acceptance by members of new or modified service offerings recently introduced; the Company’s ability to sell additional products and services to FTD and Interflora U.K. members; the Company’s ability to expand existing marketing partnerships and secure new marketing partners within the domestic and international consumer businesses; the success of the Company’s marketing campaigns; the ability to retain customers and maintain average order value within the domestic and international consumer businesses; the ability to manage foreign currency exchange rate risk; the Company’s performance during key holiday selling seasons such as Christmas, Valentine’s Day and Mother’s Day; the existence of failures in the Company’s computer systems; competition from existing and potential new competitors; levels of discretionary consumer purchases of flowers and specialty gifts; the Company’s ability to manage or reduce its level of expenses within both the domestic and international businesses; actual growth rates for the markets in which the Company competes compared with forecasted growth rates; the Company’s ability to increase capacity and introduce enhancements to its Web sites; and the Company’s ability to integrate Interflora U.K. and additional partners or acquisitions, if any are identified. These factors, along with other potential risks and uncertainties, are discussed in the Company’s reports and other documents filed with the Securities and Exchange Commission. The Company expressly disclaims any obligation to update its forward-looking statements.

Financial statements follow...

FTD GROUP, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In thousands)

		Three Months Ended								Nine Months Ended
		March 31,								March 31,
		2008				2007				2008				2007
Revenues:
Consumer segment		$	81,686			$	80,216			$	192,040			$	197,084
Florist segment			49,264				49,123				136,686				137,522
International segment			61,037				53,560				142,495				108,604
Total revenues			191,987				182,899				471,221				443,210
Costs of goods sold and services provided:
Consumer segment			58,314				56,980				135,763				140,467
Florist segment			17,483				16,639				46,811				44,167
International segment			42,730				37,491				98,130				75,203
Corporate			514				493				1,467				1,507
Total costs of goods sold and services provided			119,041				111,603				282,171				261,344
Gross profit:
Consumer segment			23,372				23,236				56,277				56,617
Florist segment			31,781				32,484				89,875				93,355
International segment			18,307				16,069				44,365				33,401
Corporate			(514	)			(493	)			(1,467	)			(1,507	)
Total gross profit			72,946				71,296				189,050				181,866
Advertising and selling:
Consumer segment			11,681				11,346				23,915				25,087
Florist segment			12,539				11,793				32,902				35,042
International segment			5,355				4,209				12,346				8,638
Total advertising and selling			29,575				27,348				69,163				68,767
General and administrative:
Consumer segment			5,637				6,525				14,515				16,750
Florist segment			2,292				2,052				6,570				6,348
International segment			5,611				6,547				17,590				15,549
Corporate			10,372				6,374				24,740				19,615
Total general and administrative			23,912				21,498				63,415				58,262
Operating income (loss) before corporate allocations:
Consumer segment			6,054				5,365				17,847				14,780
Florist segment			16,950				18,639				50,403				51,965
International segment			7,341				5,313				14,429				9,214
Corporate			(10,886	)			(6,867	)			(26,207	)			(21,122	)
Total operating income before corporate allocations			19,459				22,450				56,472				54,837
Corporate Allocations:
Consumer segment			1,311				1,151				3,339				3,021
Florist segment			2,479				2,284				8,039				7,007
International segment			—				—				—				—
Corporate			(3,790	)			(3,435	)			(11,378	)			(10,028	)
Total corporate allocations			—				—				—				—
Income (loss) from operations:
Consumer segment			4,743				4,214				14,508				11,759
Florist segment			14,471				16,355				42,364				44,958
International segment			7,341				5,313				14,429				9,214
Corporate			(7,096	)			(3,432	)			(14,829	)			(11,094	)
Total income from operations			19,459				22,450				56,472				54,837
Other income and expenses:
Interest income			(399	)			(489	)			(1,020	)			(1,126	)
Interest expense			5,456				6,444				17,998				21,679
Other (income) expense, net			23				570				(325	)			(725	)
Total other income and expenses			5,080				6,525				16,653				19,828
Income before income tax			14,379				15,925				39,819				35,009
Income tax expense			5,086				6,310				13,404				13,844
Net income		$	9,293			$	9,615			$	26,415			$	21,165
Net income per common share — basic		$	0.31			$	0.34			$	0.90			$	0.75
Net income per common share — diluted		$	0.31			$	0.32			$	0.89			$	0.72
Weighted average common shares outstanding — basic			29,520				28,462				29,365				28,343
Weighted average common shares outstanding — diluted			29,755				29,827				29,698				29,510

FTD GROUP, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)

		March 31, 2008				June 30, 2007
		(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents		$	33,997			$	25,462
Accounts receivable, less allowance for doubtful accounts of $6,736 at March 31, 2008 and $5,431 at June 30, 2007			38,958				32,416
Inventories, net			4,356				3,694
Other current assets			11,844				9,500
Total current assets			89,155				71,072
Property and equipment:
Property and equipment			36,931				35,791
Less accumulated depreciation			14,425				11,018
Property and equipment, net			22,506				24,773
Other assets:
Computer software, net			12,674				12,699
Other noncurrent assets			23,228				21,085
Other intangible assets, less accumulated amortization of $11,548 at March 31, 2008 and $9,154 at June 30, 2007			11,052				13,454
Trademarks			187,525				187,816
Goodwill			417,645				418,001
Total other assets			652,124				653,055
Total assets		$	763,785			$	748,900
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	70,547			$	52,009
Other accrued liabilities			29,856				28,511
Current maturities of long-term debt			1,242				8,475
Dividends payable			4,801				4,707
Total current liabilities			106,446				93,702
Senior secured credit facility			121,079				133,418
Senior subordinated notes			170,117				170,117
Post-retirement benefits, accrued pension obligations and other liabilities			5,319				4,535
Deferred income taxes			80,072				85,350
Stockholders’ equity:
Common stock: $0.01 par value, 75,000 shares authorized; 29,832 shares issued as of March 31, 2008 and 29,482 shares issued as of June 30, 2007			298				295
Additional paid-in capital			237,142				235,589
Retained earnings			33,657				20,952
Accumulated other comprehensive income			9,655				9,933
Treasury stock, at cost, 519 shares as of June 30, 2007			—				(4,991	)
Total stockholders’ equity			280,752				261,778
Total liabilities and stockholders’ equity		$	763,785			$	748,900

FTD GROUP, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(In thousands)

		Nine Months Ended
		March 31,
		2008				2007
Cash flows from operating activities:
Net income		$	26,415			$	21,165
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			9,463				10,890
Stock-based compensation expense			1,947				1,451
Amortization and write-off of deferred financing costs			742				2,512
Provision for doubtful accounts			2,504				2,088
Deferred income taxes			(5,817	)			2,706
Excess tax benefit from stock-based compensation			(2,421	)			(1,904	)
(Decrease) increase due to changes in operating assets and liabilities, net of acquisition:
Accounts receivable			(8,963	)			(9,743	)
Inventories			(663	)			(341	)
Other current assets			(1,007	)			1,058
Other noncurrent assets			(3,160	)			283
Accounts payable			17,849				2,444
Other accrued liabilities			5,365				4,784
Net cash provided by operating activities			42,254				37,393
Cash flows from investing activities:
Capital expenditures			(4,795	)			(6,027	)
Dividends received			48				—
Acquisition of business, net of cash acquired			—				(96,717	)
Net cash used in investing activities			(4,747	)			(102,744	)
Cash flows from financing activities:
Repayments of long-term debt			(19,572	)			(57,750	)
Dividends paid			(14,366	)			—
Proceeds from exercise of stock options			2,187				2,315
Excess tax benefit from stock-based compensation			2,421				1,904
Proceeds from issuance of common stock			6				—
Proceeds from issuance of long-term debt, net of financing costs			—				148,536
Net cash (used in) provided by financing activities			(29,324	)			95,005
Effect of foreign exchange rate changes on cash			352				771
Net increase in cash and cash equivalents			8,535				30,425
Cash and cash equivalents at beginning of period			25,462				10,954
Cash and cash equivalents at end of period		$	33,997			$	41,379

FTD GROUP, INC.
SEGMENT INFORMATION
(Unaudited)
(In thousands)

		Three Months Ended												Three Months Ended
		March 31, 2008												March 31, 2007
		Gross Segment				Eliminations				Consolidated				Gross Segment				Eliminations				Consolidated
Revenues:
Consumer segment		$	85,082			$	(3,396	)		$	81,686			$	83,244			$	(3,028	)		$	80,216
Florist segment			49,385				(121	)			49,264				49,221				(98	)			49,123
International segment			60,940				97				61,037				53,476				84				53,560
Total			195,407				(3,420	)			191,987				185,941				(3,042	)			182,899
Costs of Goods Sold and Services Provided:
Consumer segment			58,435				(121	)			58,314				57,078				(98	)			56,980
Florist segment			17,483				—				17,483				16,639				—				16,639
International segment			42,761				(31	)			42,730				37,528				(37	)			37,491
Corporate			514				—				514				493				—				493
Total			119,193				(152	)			119,041				111,738				(135	)			111,603
Gross Profit:
Consumer segment			26,647				(3,275	)			23,372				26,166				(2,930	)			23,236
Florist segment			31,902				(121	)			31,781				32,582				(98	)			32,484
International segment			18,179				128				18,307				15,948				121				16,069
Corporate			(514	)			—				(514	)			(493	)			—				(493	)
Total			76,214				(3,268	)			72,946				74,203				(2,907	)			71,296
Advertising and Selling:
Consumer segment			11,681				—				11,681				11,346				—				11,346
Florist segment			15,935				(3,396	)			12,539				14,821				(3,028	)			11,793
International segment			5,324				31				5,355				4,292				(83	)			4,209
Total			32,940				(3,365	)			29,575				30,459				(3,111	)			27,348
General and Administrative:
Consumer segment			5,637				—				5,637				6,525				—				6,525
Florist segment			2,292				—				2,292				2,052				—				2,052
International segment			5,637				(26	)			5,611				6,486				61				6,547
Corporate			10,372				—				10,372				6,374				—				6,374
Total			23,938				(26	)			23,912				21,437				61				21,498
Operating Income (Loss) before Corporate Allocations:
Consumer segment			9,329				(3,275	)			6,054				8,295				(2,930	)			5,365
Florist segment			13,675				3,275				16,950				15,709				2,930				18,639
International segment			7,218				123				7,341				5,170				143				5,313
Corporate			(10,886	)			—				(10,886	)			(6,867	)			—				(6,867	)
Total			19,336				123				19,459				22,307				143				22,450
Corporate Allocations:
Consumer segment			1,311				—				1,311				1,151				—				1,151
Florist segment			2,479				—				2,479				2,284				—				2,284
International segment			—				—				—				—				—				—
Corporate			(3,790	)			—				(3,790	)			(3,435	)			—				(3,435	)
Total			—				—				—				—				—				—
Operating Income (Loss):
Consumer segment			8,018				(3,275	)			4,743				7,144				(2,930	)			4,214
Florist segment			11,196				3,275				14,471				13,425				2,930				16,355
International segment			7,218				123				7,341				5,170				143				5,313
Corporate			(7,096	)			—				(7,096	)			(3,432	)			—				(3,432	)
Total		$	19,336			$	123			$	19,459			$	22,307			$	143			$	22,450
Depreciation and Amortization:
Consumer segment		$	877			$	—			$	877			$	950			$	—			$	950
Florist segment			660				—				660				799				—				799
International segment			851				—				851				1,078				—				1,078
Corporate			656				—				656				862				—				862
Total		$	3,044			$	—			$	3,044			$	3,689			$	—			$	3,689

FTD GROUP, INC.
SEGMENT INFORMATION
(Unaudited)
(In thousands)

		Nine Months Ended												Nine Months Ended
		March 31, 2008												March 31, 2007
		Gross Segment				Eliminations				Consolidated				Gross Segment				Eliminations				Consolidated
Revenues:
Consumer segment		$	200,459			$	(8,419	)		$	192,040			$	205,437			$	(8,353	)		$	197,084
Florist segment			137,037				(351	)			136,686				137,834				(312	)			137,522
International segment			142,197				298				142,495				108,422				182				108,604
Total			479,693				(8,472	)			471,221				451,693				(8,483	)			443,210
Costs of Goods Sold and Services Provided:
Consumer segment			136,114				(351	)			135,763				140,779				(312	)			140,467
Florist segment			46,811				—				46,811				44,167				—				44,167
International segment			98,229				(99	)			98,130				75,280				(77	)			75,203
Corporate			1,467				—				1,467				1,507				—				1,507
Total			282,621				(450	)			282,171				261,733				(389	)			261,344
Gross Profit:
Consumer segment			64,345				(8,068	)			56,277				64,658				(8,041	)			56,617
Florist segment			90,226				(351	)			89,875				93,667				(312	)			93,355
International segment			43,968				397				44,365				33,142				259				33,401
Corporate			(1,467	)			—				(1,467	)			(1,507	)			—				(1,507	)
Total			197,072				(8,022	)			189,050				189,960				(8,094	)			181,866
Advertising and Selling:
Consumer segment			23,915				—				23,915				25,087				—				25,087
Florist segment			41,321				(8,419	)			32,902				43,395				(8,353	)			35,042
International segment			12,280				66				12,346				8,834				(196	)			8,638
Total			77,516				(8,353	)			69,163				77,316				(8,549	)			68,767
General and Administrative:
Consumer segment			14,515				—				14,515				16,750				—				16,750
Florist segment			6,570				—				6,570				6,348				—				6,348
International segment			17,584				6				17,590				15,231				318				15,549
Corporate			24,740				—				24,740				19,615				—				19,615
Total			63,409				6				63,415				57,944				318				58,262
Operating Income (Loss) before Corporate Allocations:
Consumer segment			25,915				(8,068	)			17,847				22,821				(8,041	)			14,780
Florist segment			42,335				8,068				50,403				43,924				8,041				51,965
International segment			14,104				325				14,429				9,077				137				9,214
Corporate			(26,207	)			—				(26,207	)			(21,122	)			—				(21,122	)
Total			56,147				325				56,472				54,700				137				54,837
Corporate Allocations:
Consumer segment			3,339				—				3,339				3,021				—				3,021
Florist segment			8,039				—				8,039				7,007				—				7,007
International segment			—				—				—				—				—				—
Corporate			(11,378	)			—				(11,378	)			(10,028	)			—				(10,028	)
Total			—				—				—				—				—				—
Operating Income (Loss):
Consumer segment			22,576				(8,068	)			14,508				19,800				(8,041	)			11,759
Florist segment			34,296				8,068				42,364				36,917				8,041				44,958
International segment			14,104				325				14,429				9,077				137				9,214
Corporate			(14,829	)			—				(14,829	)			(11,094	)			—				(11,094	)
Total		$	56,147			$	325			$	56,472			$	54,700			$	137			$	54,837
Depreciation and Amortization:
Consumer segment		$	2,645			$	—			$	2,645			$	2,883			$	—			$	2,883
Florist segment			1,970				—				1,970				2,430				—				2,430
International segment			2,882				—				2,882				2,783				—				2,783
Corporate			1,966				—				1,966				2,794				—				2,794
Total		$	9,463			$	—			$	9,463			$	10,890			$	—			$	10,890

FTD GROUP, INC.
NON-GAAP FINANCIAL MEASURES
EBITDA, Adjusted EBITDA and Targeted EBITDA
(Unaudited)
(In thousands)

Reconciliation of certain financial measures reported in accordance with Generally Accepted Accounting Principles (“GAAP”) to those presented on the basis of methodologies other than in accordance with GAAP (“non-GAAP”).

The Company defines EBITDA as net income before net interest expense, income tax expense, depreciation and amortization. The Company defines Adjusted EBITDA as EBITDA plus expenses and minus income items that are not considered reflective of the Company’s core operations. EBITDA and Adjusted EBITDA are calculated as follows for the periods presented:

		Three Months Ended								Nine Months Ended
		March 31,								March 31,
		2008				2007				2008				2007
Net income, as reported (GAAP basis)		$	9,293			$	9,615			$	26,415			$	21,165
plus: Interest expense, net			5,057				5,955				16,978				20,553
plus: Depreciation and amortization			3,044				3,689				9,463				10,890
plus: Income tax expense			5,086				6,310				13,404				13,844
EBITDA (1)			22,480				25,569				66,260				66,452
less: Other (income) expense, net			23				570				(325	)			(725	)
Items not reflective of core operations (2)			3,462				—				3,462				—
Adjusted EBITDA (1)		$	25,965			$	26,139			$	69,397			$	65,727

Targeted Adjusted EBITDA is calculated below for the year ending June 30, 2008. The other (income) expense, net presented below reflects the Company’s actual other (income) expense, net for the nine-month period ended March 31, 2008. The Company is not projecting any additional other (income) expense, net or other items not reflective of core operations for the year ending June 30, 2008. Targeted EBITDA includes approximately $4 million of expense related to stock compensation associated with SFAS No. 123(R) and a deferred compensation plan related to Interflora.

		Forecasted Targets
		Year Ending
		June 30, 2008
Net income (GAAP basis)		$	39,100
plus: Interest expense, net			22,000
plus: Depreciation and amortization			12,600
plus: Income tax expense			21,200
EBITDA (1)		$	94,900
less: Other (income) expense, net			(325	)
Items not reflective of core operations (2)			3,462
Adjusted EBITDA (1)		$	98,037