Sitestar Posts Second Quarter 2009 Earnings

LYNCHBURG, VA--(Marketwire - August 17, 2009) - Sitestar Corporation (PINKSHEETS: SYTE), a
provider of residential, business and wholesale Internet access, web
hosting and value-added products and services, today announced financial
results for the quarter ended June 30, 2009. Overall revenue remained
in-line with the Company's recent quarterly trends, while net income
increased sharply due to recognition of an income tax benefit based upon
Sitestar's profitable financial operations and ability to take advantage of
prior tax losses. Highlights for the quarter include:

-- Total Revenue for the six (6) months ended June 30, 2009 was
$4,832,611, a decrease of $326,633 or 6.3 percent from $5,159,244 for the
same period in 2008.

-- Net Income for the six (6) months ended June 30, 2009 was $823,220, an
increase of $280,873 or 51.8 percent from $542,347 for the same period in
2008.

-- EBITDA (Earnings Before Interest, Taxes, Depreciation and
Amortization) for the six (6) months ended June 30, 2009 was $1,569,562, a
decrease of $728,121 or 31.7 percent from $2,297,683 for the same period in
2008.

"Sitestar continues to be profitable even given the current economic
environment facing many businesses and individuals," said Frank R.
Erhartic, Jr., CEO for Sitestar. "Although our narrowband business is
declining, we are increasing our business in areas like broadband and
wholesale services where we can keep customers longer. This is giving us
new opportunities to consolidate costs and increase efficiencies which we
haven't yet fully realized but have been working on for many months.

"Early this year we were delisted from the Over-The-Counter (OTC) Stock
Exchange due to a typographical error that caused a financial filing to be
late," added Erhartic. "We have been diligently working on restoring our
OTC status. We have made significant progress and we believe that we will
soon be relisted. With this behind us, we will be able to be aggressive on
new acquisitions to increase our revenues."

Safe Harbor for Forward-Looking Statements

This press release contains forward-looking statements that are based on
management's expectations, estimates, projections and assumptions. The
Company assumes no obligation except as required by law to update the
forward-looking statements contained in this press release as a result of
new information or future events or developments. These forward-looking
statements generally can be identified by words such as "believes,"
"expects," "projects," "anticipates," "foresees," "forecasts," "estimates,"
"should" or other words or phrases of similar import. Forward-looking
statements are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995, as amended. These statements are
not guarantees of future performance and involve certain risks and
uncertainties, which are difficult to predict. Therefore, actual future
results and trends may differ materially from what is forecast in
forward-looking statements due to a variety of factors, including and
without limitation, as found in the Company's reports filed with the
Securities and Exchange Commission.

About Sitestar

Sitestar is an Internet solutions provider that offers consumer and
business-grade Internet access, wholesale managed modem services for
downstream ISPs and Web hosting. Headquartered in Lynchburg, Virginia,
Sitestar maintains multiple sites of operation and provides services to
customers throughout the U.S. and Canada. With a focus on competitive
pricing, reliability, service and speed, Sitestar delivers customer value.
For more information, visit www.sitestar.com.