HFTP Investments and its Investment Manager, Promethean Attempts to Assert Rights in Series A Convertible Stock.

Business/Technology Editors

PROVIDENCE, R.I.--(BUSINESS WIRE)--June 21, 2001

Log On America, Inc. (Nasdaq: LOAX) today announced that one of its preferred shareholders, HFTP Investment, LLC, ("HFTP") has filed an action seeking to compel Log On America, Inc. to redeem its shares of Series A Convertible preferred stock.

Log On America previously sued HFTP and other holders of the company's preferred stock on August 22, 2000 in the Southern District of New York, for violations of Federal securities laws. That action is still pending. HFTP filed its action on June 12, 2001 in the Chancery Court of Delaware. The suit, filed nearly 10 months after the action commenced by Log On America, seeks to enforce HFTP's redemption demand for its preferred shares and payment of $5,852,775.

Log On America strenuously disputes HFTP's claims and will continue to prosecute its New York action against HFTP and will vigorously defend the suit filed in Delaware on the grounds that the claims asserted in the Delaware action are already the subject of the New York court proceedings.

About Log On America

Log On America is a solutions-centric Integrated Network Services Provider (INSP), offering digital IP transport and integrated network solutions to businesses throughout New England. Log On America's core products include IT/Telecom/PBX managed services, high-speed Internet access, web and data hosting, security management application services, any distance dial-tone and call management features utilizing a wide range of system integration, broadband access, ASP technologies and partnerships.

Forward-looking Statements

Statements made in this news release may contain forward-looking statements concerning the business and products of the company. Actual results may differ materially depending on a number of risk factors including, but not limited to, the following: general economic and business conditions, development, shipment, market acceptance, and additional competition from existing and new competitors, changes in technology, and various other factors beyond our control. Other risks inherent in the business of the company are described in Securities and Exchange Commission filings, including the company's most recently filed forms 10KSB and 10QSB. The company undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.