AOL, drkoop.com Sign Four-Year Pact

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Online healthcare information provider drkoop.com Inc. and America Online Inc. yesterday announced a four-year agreement in which AOL will post healthcare information and other services for consumers from drkoop.com on all the AOL Internet properties, starting this fall.


In exchange, drkoop.com will pay AOL $89 million during the next four years, and AOL also will receive warrants to purchase shares of drkoop.com. The healthcare site, which is led by former U.S. Surgeon General Dr. C. Everett Koop, also will use technology obtained through the alliance between Sun Microsystems and AOL's Netscape division.


In addition, drkoop.com will leverage AOL's sales force to generate advertising and e-commerce opportunities and to roll out new products and services throughout the four-year agreement.


"The close relationship drkoop.com is building with America Online will put the power of information back in the hands of millions of Americans," said Koop, the chairman of the company, in a prepared statement.


AOL's brands include America Online, Compuserve, AOL.com, Netscape center and Digital City.

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