The "Dreams
Are Real" campaign , kicks-off a season-long 50th anniversary celebration of
Story Book Forest and offers individuals , families, and businesses the
opportunity to purchase personalized commemorative bricks to be installed in a
new section of the attraction.

iParty Corp. Reports Q1 2005 Financial Results

iPARTY CORP.

celebration spring

Earlier this month we extended our line of credit to $10 million from
our previous $7. Supplementing our new store opening program, we recently entered
into new marketing agreements with the Boston Red Sox and Brigham's
Ice Cream, two of New England 's most venerable and popular
institutions, which we believe will help us reach new customers and
meet our goal of further establishing the iParty brand.
Therefore, actual outcomes and results may differ materially from what
is expressed in such forward-looking statements, and such statements
should not be relied upon as representing iParty's expectations or
beliefs as of any date subsequent to the date of this press release.

halloween celebration

Today, Story Book Forest is the
only one of its kind in Pennsylvania and one of just a few remaining in
America if not the world.idlewild. (AMEX: IPT)
is a party goods retailer that operates 45 iParty retail stores and
licenses the operation of an Internet site for party goods and party
planning at www. The statements contained in this
release are not guarantees of future performance and involve certain
risks, uncertainties and assumptions that are difficult to predict.

holiday 300

"For 50 years, Story Book Forest has been the place where children's
dreams are fulfilled, with real story book friends," said Jeff Croushore,
public relations manager.idlewild .04
per basic and diluted share, in the first quarter of 2004.5% during the first quarter in Florida where inclement
weather was not a factor. The decline in our gross profit margin was
due to lower merchandise margins and higher occupancy costs as a
percentage of sales.

bring ring

com) is the oldest amusement park in
Pennsylvania, third-oldest in America and is rated the second best kid's park
in the world by Amusement Today magazine (http://www. Seasonal operations run from May 25 to
Labor Day and "Hallowboo ," a Halloween-themed event, takes place in October.idlewild.3% increase in sales, we are
disappointed with our 0.5 million limit.

happenings broken

----iParty Corp. General
and administrative expenses were higher than last year due to
professional fees, primarily for the Sarbanes-Oxley compliance work
that we undertook this quarter. This work will continue throughout the
remainder of 2005.

webring assortment

Consolidated net loss was $1."

About iParty Corp.iparty.

occasion april

Commemorative brick purchase information for the "Dreams Are Real"
campaign can be found on the Idlewild + SoakZone website (http://www.com.

celebrate assortment

Macdonald, former owner of Idlewild Park, the
attraction became one of several theme areas of Idlewild after Kennywood
Entertainment purchased the park in 1983.

celebration fall

iParty's aim is to make throwing a
successful event both stress-free and fun.
CONSOLIDATED STATEMENTS OF OPERATIONS

For the three months
ended
----------------------- -
Mar 26, Mar 27,
2005 2004
------- -----------------
Revenues $13,159,763 $12,036,066
Operating costs:
Cost of goods sold and occupancy costs 8,165,569 7,017,645
Marketing and sales 4,835,847 4,298,590
General and administrative 1 ,800,950 1,574,906
------------------------

Operating Loss (1,642,603) (855,075)

Interest income 172 180
Interest expense (102,348) (27,426)
------------------------

Loss before income taxes (1,744,779) (882,321)

Income taxes - -
-------------- ----------

Net Loss $(1,744,779) $(882,321)
========================

Basic and diluted net loss per share $(0.

ring assortment

Originally designed by Arthur Jennings and
opened in 1956 by C.

About Idlewild + SoakZone
Founded in 1878 as a simple picnic ground along the Ligonier Valley Rail
Road, Idlewild + SoakZone (http://www.0% for the first quarter
compared to a margin of 41 . We are in the process of adjusting our prices to reflect our
new costs.com. Please visit our site at
www.
For a discussion of these and other risks and uncertainties which
could cause actual results to differ from those contained in the
forward-looking statements, see "Cautionary Statements and Risk
Factors" in iParty's most recently filed Annual Report on Form 10-K
and "Factors That May Affect Future Results" in iParty's most recently
filed Quarterly Report on Form 10-Q.

occasion holiday

7% for the same period in 2004. Comparable sales in
our New England stores were down 1."
"Looking ahead, we are on track to open at least six new stores
during 2005.

Headquartered in Dedham, Massachusetts , iParty Corp.

celebrate spring

7% decrease in comparable store sales.

join rings

Story Book Forest brick campaign kicks off its 50th anniversary celebration

LIGONIER, Pa.2 million, a 9.0 million for the first quarter of 2004.
Consolidated gross profit margin was 38.08 per basic and diluted
share, compared to a consolidated net loss of $0.

webrings happy

com)
Family owned and operated by Kennywood Entertainment (http://www .3%
increase compared to $12.

assortment seasonal

"Many of these children have grown and now return
with their own children and even grandchildren. Additional plans for the Story Book Forest's 50th
Anniversary celebration will be released later this spring., commented,
"While we are pleased to report a 9.

300 seasonal

com) amusement park today announced a commemorative brick
campaign that gives park guests the chance to preserve their family memories
of summer fun and help fund the park's "Idlewild Cares" program.
In the spirit of making dreams real, one ticket for each brick purchased
this year will be donated to "Idlewild Cares: Children's Charities Tickets" -
a program that provides free tickets to non-profit organizations, benefiting
disadvantaged children and/or children with disabilities. Our merchandise margins were adversely affected
by increases in our product costs charged to us by certain key
vendors . Additionally, during the quarter we took more aggressive
markdowns to increase the sell through of seasonal merchandise. Increasing our line of credit will
help finance our present operations and this year's store expansion
plan.

Sites listed in this category serve as homepages for holiday web rings.

bring april

idlewild. The
increase in occupancy costs is largely attributable to our new stores,
which , as we have previously reported, operate at a higher occupancy
to sales ratio until they reach maturity . However, we continue to
believe that our investment in growth and new stores will yield
longer -term increases in profitability.08) $(0.

happy themes

Business Editors/Financial Editors

DEDHAM , Mass. The
decrease in comparable store sales was primarily due to severe weather
that impacted our New England stores throughout the quarter, partly
offset by the earlier-than-normal Easter season .com

Safe harbor statement under the Private Securities Litigation
Reform Act of 1995: This release contains forward-looking statements
that are based on our current expectations, beliefs, assumptions,
estimates, forecasts and projections, including those about future
store openings , future expectations of profitability and the industry
and markets in which iParty operates.

300 ring

For the quarter consolidated revenues were $13.3%, whereas our comparable sales
increased by 7.

april fall

Idlewild + SoakZone Creates Dreams for Deserving Children

, Idlewild + SoakZone
(http://www."
A life-size re-creation of scenes from classic childhood stories and
nursery rhymes, Story Book Forest features many favorite characters that come
alive in a shady sylvan setting.9 million, or $0.
Sal Perisano, Chief Executive Officer of iParty Corp.
iParty offers reliable, time-tested knowledge of party-perfect trends,
and superior customer service to ensure convenient and comprehensive
merchandise selections for every occasion.
Important factors that may affect future operating results include the
effects of adverse changes in overall economic conditions, the success
or failure of iParty 's efforts to implement its business strategy;
iParty's inability to obtain additional financing, if required;
third-party suppliers' failure to fulfill their obligations to iParty;
unseasonable weather; intense competition; the availability of retail
store space on reasonable lease terms; the failure of iParty's systems
or those of its third-party suppliers; general economic and other
developments affecting consumer confidence or spending patterns,
particularly in the New England region; compliance with evolving
federal securities, accounting, and stock exchange rules and
regulations applicable to publicly-traded companies listed on the
American Stock Exchange; and government regulation of the Internet.

broken webring

kennywood.238.
(AMEX: IPT), a party goods retailer that operates 45 iParty retail
stores , today reported financial results for its first quarter of
fiscal year 2005, which ended on March 26, 2005.7 million, or $0.7% decrease in comparable store sales.iparty.
CONSOLIDATED BALANCE SHEETS

Mar 26, Dec 25,
2005 2004
------------------------
ASSETS
Current assets:
Cash and cash equivalents $1,270,319 $1,757,157
Restricted cash 581,101 561,407
Accounts receivable 603,192 700,961
Inventory, net 11,543,180 11,400,971
Prepaid expenses and other assets 352,176 476,046
--------- ---------------
Total current assets 14,349,968 14,896,542
Property and equipment, net 4,598,904 4,483,705
Other assets 92,643 99,690
---------------- --------
Total assets $19,041,515 $19,479,937
========================

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $4,117,059 $3,421,195
Accrued expenses 2,012,304 2,615,835
Current portion of capital lease obligations 374,251 365,674
Borrowings under line of credit 6,497,214 5,257,690
------------------------
Total current liabilities 13,000,828 11,660,394

Long-term liabilities:
Capital lease obligations , net of current
portion 691,668 796,693
Other liabilities 514,207 471,759
------------------------
Total long-term liabilities 1,205,875 1 ,268,452

Commitments and contingencies

Stockholders' equity:
Convertible preferred stock 14,281,962 14,308,002
Common stock 22,115 22,093
Additional paid-in capital 50,502,618 50,448,100
Accumulated deficit (59,971,883)(58,227,104)
------------------------
Total stockholders' equity 4,834,812 6,551 ,091
------------------------

Total liabilities and stockholders' equity $19,041,515 $19,479,937
========================

rings happenings

Since 1992, the
three Kennywood Entertainment parks owned and operated in western Pennsylvania
- Kennywood, Idlewild + SoakZone, and Sandcastle - have donated nearly 200,000
tickets of fun to youngsters.C.com).
For more information, call 724.3666 or visit http://www. With over 20,000 party
supplies and costumes and an online party magazine and party-related
content, iParty offers consumers a sophisticated, yet fun and
easy-to-use, resource with a definitive assortment of products to
customize any party, including birthday bashes, Easter get-togethers,
graduation parties, summer barbecues, and, of course, Halloween.

webring almost

This commemorative brick
campaign gives our Guests the chance to pay tribute to their own family
memories while giving a deserving child a summer fun memory that will last
forever.amusementtoday.

broken celebration

The commemorative brick portion of Story Book Forest will be unveiled when the
park opens on May 25.com), the
largest provider of summer fun in western Pennsylvania, Idlewild features
seven fun theme areas such as SoakZone Waterpark, Story Book Forest and Mister
Rogers' Neighborhood of Make-Believe. The
increase in first quarter revenues was due to sales from seven new
stores that opened since the end of the first quarter of 2004,
partially offset by a 0. Our marketing and sales costs
rose as a percentage of sales, largely due to higher depreciation
costs associated with the acquisition of fixed assets for our new
stores and the new point-of-sale system for all of our stores. One of these new stores opened in the first quarter , in
East Hartford, Connecticut, where we recently celebrated its grand
opening with a display of the Boston Red Sox' World Series trophy.
Leases have been signed for five additional new stores scheduled to
open in our third quarter, in time for our important Halloween season.04)
========================

Weighted-average shares outstanding:
Basic and diluted 22,107,567 20,227,671
========================

iPARTY CORP.