Lerach Coughlin Stoia Geller Rudman & Robbins LLP Files Class Action Suit Against Autobytel Inc.

SAN DIEGO--Nov. 8, 2004--Lerach Coughlin Stoia Geller Rudman & Robbins LLP ("Lerach Coughlin") today announced that a class action has been commenced in the United States District Court for the Central District of California on behalf of purchasers of Autobytel Inc. ("Autobytel") common stock during the period between July 24, 2003 and October 21, 2004 (the "Class Period").

If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from October 29, 2004. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel, William Lerach or Darren Robbins of Lerach Coughlin at 800/449-4900 or via e-mail at wsl@lerachlaw.com. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.lerachlaw.com/cases/autobytel/. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.

The complaint charges Autobytel and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Autobytel is an automotive marketing services company that helps dealers and manufacturers through its marketing, advertising and customer relationship management tools and programs, primarily through the Internet.

The Complaint alleges that during the Class Period defendants disseminated materially false and misleading statements concerning the Company's results and operations. The true facts, which were known by each of the defendants but concealed from the investing public during the Class Period, were as follows: (a) that the Company inappropriately recorded revenue/income associated with its dealer sales credits; (b) that as a result of this, the Company's financial results were materially inflated; (c) that the Company's financial results were in violation of Generally Accepted Accounting Principles; (d) that the Company lacked adequate internal controls to issue earnings or projection reports; (e) that the Company was experiencing weaker than claimed customer relationship management ("CRM") revenues and zero growth in its dealer network size; and (f) that as a result of the above, the Company's financial results were materially inflated at all relevant times.

On October 21, 2004, the Company revealed its third quarter 2004 financial results would be rescheduled because the Audit Committee and Board of Directors of the Company were directing an internal review of the accounting treatment of certain credits that were recognized as revenue during the preceding quarters. This news shocked the market. Upon the revelation of these illegal acts, the Company's shares fell to $6.88 from $8.81, a drop of over 28%.

Plaintiff seeks to recover damages on behalf of all purchasers of Autobytel common stock during the Class Period (the "Class"). The plaintiff is represented by Lerach Coughlin, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.

Lerach Coughlin, a 140-lawyer firm with offices in San Diego, San Francisco, Los Angeles, New York, Boca Raton, Washington, D.C., Houston, Philadelphia and Seattle, is active in major litigations pending in federal and state courts throughout the United States and has taken a leading role in many important actions on behalf of defrauded investors, consumers, and companies, as well as victims of human rights violations. Lerach Coughlin lawyers have been responsible for more than $20 billion in aggregate recoveries. The Lerach Coughlin Web site (http://www.lerachlaw.com) has more information about the firm.