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Atari Adventures Into Luc Besson's Animated World Of "Arthur and the Minimoys"

Upcoming Video Game Inspired by the Universe Created by Luc Besson will Coincide with the Film's Theatrical Release in North America

NEW YORK, NY, May 9, 2006 - Atari, Inc. (NASDAQ: ATAR) continues to explore new worlds with the upcoming action-adventure game Arthur and the Minimoys. Directly inspired by world famous film director and writer Luc Besson's upcoming animated film of the same name, the Arthur and the Minimoys game will follow the film's storyline and feature eye-popping graphics and technical innovations. Set to time with the theatrical release of the movie in North America, Arthur and the Minimoys game is currently in development for PlayStation®2 computer entertainment system, PSP (PlayStation®Portable) system, Nintendo DS, Game Boy® Advance, and the Windows platform.

"We are pleased and proud to take part in this international adventure and 'Arthur and the Minimoys' is sure to be an animation blockbuster. Technology will really bring out the sensitivity and energy of the world Luc Besson has created. By working with the film crew from day one, not only have we stayed extremely faithful to the film, but we have also developed parallel adventures specifically for the game, which should be popular with gamers and fans alike," said Atari, Inc. Chief Executive Officer Bruno Bonnell.

The game allows players to relive the fantastic adventure of young Arthur and his two pals, princess Selenia and her brother Bétamèche, in their mission to save the Minimoys' world from destruction. As they move through the various Minimoy lands, players will encounter extraordinary adventures, menacing enemies, rich environments and varying gameplay elements including driving, fighting, flying and puzzle solving. The game offers an intense enactment of Besson's magnificent adventure while incorporating the all of the richness and extraordinary visuals of the film.

"When you make a children's film, your primary intent is to introduce kids to a new world that is both fantastic and exciting. Atari's video game will keep the film's adventure alive by allowing players to step into the characters' shoes to explore and try to save the world of the Minimoys," said Luc Besson, Chairman of EuropaCorp.

Arthur and the Minimoys' unique and innovative structure revolves around the supportive co-op teamwork of the three characters, Arthur, Selenia and Bétamèche. Players can only progress by cleverly combining the three characters' skills - Arthur is an acrobat, Selenia a warrior and Bétamèche a marksman. In solving mysteries and overcoming obstacles, players will realize that anything is possible when you work together.

The PlayStation 2, PSP system and PC versions of the game are being produced by the Lyon-and Paris-based Etranges Libellules, creator of several successful animated games, including Asterix XXL and Kirikou. The Nintendo DS game is developed by Dreamon, and the Nintendo Game Boy Advance version by Mistic.

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About Luc Besson
Writer, director and producer Luc Besson was seduced by the inner workings of the French cinema industry at the age of 17. Following a steady climb through the ranks, during which time he continued to write, he eventually directed his first short film starring an actor he had earlier befriended, Jean Reno. The film, "L'avant Dernier", was the genesis of his first full length feature entitled "Le Dernier Combat". The film, a silent French science fiction movie shot entirely in black and white, was lauded at the Avoriaz Festival in 1983 winning the jury Grand Prize and critics prize, proving to be the start of a major career. A string of hit films followed, with Besson taking the role of writer, director, and sometimes producer, on movies including "Subway" (1985), "The Big Blue" (1988), "Nikita" (1990), "Leon" (1995), "Nil by Mouth" (Producer, 1997), "The Fifth Element" (1997), "Taxi" (1998), "Joan of Arc" (1999), and "Kiss of the Dragon" (2000) amongst numerous others. In 2001 Besson co-founded a new independent European film studio, EuropaCorp with an impressive remit. In 2002 Besson completed and published the first book in the "Arthur and the Minimoys" series in France generating sales in excess of 200,000. Successful sequels followed with the books now available across the globe. The animated feature film of the same name is currently in production and represents the first European-made 3D animated feature film produced with a Hollywood budget for global release.

About EuropaCorp
EuropaCorp develops, produces and co-produces movies in France and internationally. It handles distribution and publishing in all forms according to a single vertical model. With more than 40 movie productions and coproductions since 2000, EuropaCorp posted consolidated sales of about 100 million in the financial year ended 31 March 2005.

About BUF
The "Buf" company, leaded by his managing directing Pierre Buffin, has been part of the TOP 10 of the best CGI effects creators for motion pictures in the last ten years. Luc Besson and Pierre Buffin collaborated on several commercials and music videos, especially "LOVE PROFUSION" for Madonna. Buf had developed a revolutionary animation programme more than five years ago, which enchanted Luc Besson. And no later than 2001, Buf and EuropaCorp joined forces on this fabulous adventure of ARTHUR AND THE MINIMOYS, which might be the first chapter before ARTHUR 2 and ARTHUR 3, adapted from the already published series of books.

About Etranges Libellules
Established in 1994 and based in Lyon, France, video game development studio Etranges Libellules specialises in the adaptation of existing characters to the world of video games. The high quality of its engineers and the exceptional creativity of its designers and graphic artists has led to the development of successful games based on the universes of Kirikou, Pink Panther and Asterix. By proposing fun, intuitive and innovative gameplay, enhanced by a production process which allows for extreme fine tuning of the products, Etranges Libellules is creating games that have all the ingredients to reach the top of the sales charts. The company recently completed the latest Asterix game, Asterix & Obelix XXL2, which is based on captivating gameplay and a highly original scenario. Etranges Libellules has been chosen by Luc Besson to produce the video game based on his forthcoming animated feature film. The team has been installed within the film studio where "Arthur and the Minimoys" is being shot in order to work hand in hand with the movie team. Never before have a game and a movie been developed in such close collaboration.

About Infogrames Entertainment and Atari
Infogrames Entertainment (IESA), the parent company of the Atari Group, is listed on the Paris Euronext stock exchange (ISIN code: FR-0000052573) and has two principal subsidiaries: Atari Europe, a privately-held company, and Atari, Inc., a United States corporation listed on NASDAQ (ATAR). The Atari Group is a major international producer, publisher and distributor of interactive entertainment software for all market segments and in all existing game formats (Microsoft, Nintendo and Sony) and on CD-ROM for PC. Its games are sold in more than 60 countries. The Atari Group's extensive catalogue of popular games is based on original franchises (Driver, Alone in the Dark, V-Rally, Test Drive, Roller Coaster Tycoon, etc.) and international licenses (Matrix, Dragon Ball Z, Dungeons & Dragons, etc.). For more information: http://www.atari.com

Safe Harbor Statement
With the exception of the historical information contained in this release, the matters described herein contain certain "forward-looking statements" that are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this release are not promises or guarantees and are subject to risks and uncertainties that could cause our actual results to differ materially from those anticipated. These statements are based on management's current expectations and assumptions and are naturally subject to uncertainty and changes in circumstances. We caution you not to place undue reliance upon any such forward-looking statements. Actual results may vary materially from those expressed or implied by the statements herein. Some of the factors which could cause our results to differ materially include the following: the loss of key customers, such as Wal-Mart, Best Buy, Target, GameStop and EB Games; delays in product development and related product release schedules; inability to secure capital; loss of our credit facility; adapting to the rapidly changing industry technology, including new console technology; maintaining relationships with leading independent video game software developers; maintaining or acquiring licenses to intellectual property; fluctuations in the Company's quarterly net revenues and results of operations based on the seasonality of our industry; the termination or modification of our agreements with hardware manufacturers; and other factors described in our SEC filings, including our Annual Report on Form 10-K for the year ended March 31, 2005 and our quarterly reports on Form 10-Q, as amended.

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