ARKONA Board of Directors Welcomes Two New Members

SALT LAKE CITY--Jan. 6, 2005--ARKONA Inc. (OTCBB: ARKN), the emerging company of choice in dealer management solutions for new and independent automobile dealerships, announced today that ARKONA shareholders have approved the addition of two new board members to the ARKONA board of directors. At the annual shareholder meeting, ARKONA shareholders approved Paul Henriod, president of eReinsure, and Kent A. Misener, treasurer and CIO of Deseret Mutual Benefit Administrators, to serve as new board members.

"Paul and Kent bring more than 50 years of financial industry experience to ARKONA," said Alan Rudd, chairman and CEO of ARKONA. "Their entrepreneurial spirit and management expertise will extend the breadth of knowledge on the board. We intend to immediately leverage the skills of these industry veterans."

Henriod is currently the president of eReinsure, the leading provider of Web-hosted technologies for the reinsurance industry. With offices in New York City and Salt Lake City, eReinsure is a pioneer in developing Web-hosted applications for the reinsurance market by leveraging new Internet technologies in application architecture, network communications and information delivery. Prior to joining eReinsure in 2000, Henriod held several management positions with industry giant AON Insurance including managing director of Aon Technology Group, president of Aon Risk Services of Utah, and president of Aon Risk Services of Colorado. Prior to Aon, Henriod owned and managed ITA Insurance, one of the nation's leading insurance firms dedicated to the technology industry.

Since 1983, Misener has been the treasurer and CIO of Deseret Mutual Benefit Administrators, which currently has approximately $4 billion in assets under management. Misener is also a member of the board of directors of Deseret First Federal Credit Union CUSO and a member of the investment committees of various nonprofit corporations, including Intermountain Healthcare. Misener is a CFA Charterholder and a member of the Salt Lake City Society of Financial Analysts. He earned Bachelor of Science degrees in finance and economics and a master's degree in business administration from Utah State University.

About ARKONA Inc.

Founded in 1996, ARKONA is a public company and a leader in automotive management solutions. ARKONA's Dealer Management System also leads the market in technologically superior e-business solutions for automotive dealers that fully integrate back office systems with a retail Web presence. In this market ARKONA is the premier Application Service Provider (ASP). For more information, visit the ARKONA Web site at www.arkona.com.

This release may contain forward-looking statements as well as historical information. Forward-looking statements, which are included in accordance with the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, may involve known or unknown risks, uncertainties and other factors that may cause the company's actual results and performance in future periods to be materially different from any future results or performance suggested by the forward-looking statements in this release. Such forward-looking statements speak only as of the date of this release. The company expressly disclaims any obligation to update or revise any forward-looking statements found herein to reflect any changes in company expectations or results or any change in events.