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Atari Announces Company's First PSP(TM) System Title: Dragon Ball Z(R): Shin Budokai

Intense Wireless Multiplayer Battles in the First Ever Dragon Ball Z Game for the PSP(TM) System

NEW YORK, Feb. 3: Atari, Inc. (Nasdaq: ATAR) today announced the upcoming release of Dragon Ball Z®: Shin Budokai for the PSPTM (PlayStation® Portable) system. Dragon Ball Z: Shin Budokai is the first game from the hugely successful global franchise to be released for the PSP system, with wireless multiplayer sending the furious combat rocketing into a new dimension. Dragon Ball Z: Shin Budokai is being developed by Dimps, the creative team behind past Dragon Ball Z® hits including Budokai, Budokai 2, and Budokai 3 for PlayStation® 2 computer entertainment system. Atari will launch Dragon Ball Z: Shin Budokai for the PSP system in March 2006.

In Dragon Ball Z: Shin Budokai, players can take on their friends in intense wireless multiplayer battles employing all the most exhilarating aspects of Dragon Ball Z combat, including counter-attacks, super high-speed bouts, flight and Ki (energy) management, all via an enhanced version of the renowned Saiyan Overdrive Fighting System. In single-player mode, players will be able to challenge some of the most evil characters ever seen in a comic-based video game, or select multiplayer and play as the bad guys themselves, becoming the most feared and powerful warriors in the universe.

"The Dragon Ball Z high-speed, high-energy fighting experience is a perfect fit for the wireless multiplayer capabilities of the PSP," said Matt Collins, Director, Global Brand Management, Atari, Inc. "For the first time ever, players will be able to challenge one another wirelessly and create virtual Budokai tournaments just about anywhere they go."

Alongside the breathtaking high-speed wireless multiplayer combat, other features include a choice of 18 playable characters including prize fighter Pikkon, the ability to perform in-game transformations to more powerful forms, an all-new stage from the Janemba movie, and a total of seven game modes including a compelling story mode.

Dragon Ball Z® continues to be one of the hottest brands in the video game industry with more than nine million units sold since May 2002.

About FUNimation Entertainment

FUNimation® Entertainment, a wholly-owned subsidiary of Navarre Corporation (Nasdaq: NAVR), is a brand management company and one of the nation's leading independent home video entertainment companies. The company's most recent initiative is the FUNimation Channel(SM), a new 24-hour digital network featuring programming from the top anime brands in the United States. FUNimation has a proven formula for launching and advancing brands, and manages a full spectrum of rights for most of its brands including broadcasting, licensing, production, internet, and home video sales and distribution. For images, or more information on FUNimation Entertainment, the FUNimation Channel, or any of FUNimation's properties, contact Jeff Dronen at 817-788-0627, ext. 251 or jeff.dronen@funimation.com.

About Atari

New York-based Atari, Inc. (Nasdaq: ATAR) develops interactive games for all platforms and is one of the largest third-party publishers of interactive entertainment software in the U.S. The Company's 1,000+ titles include hard-core, genre-defining franchises such as DRIVERTM, The MatrixTM (Enter The Matrix and The Matrix: Path of Neo), StuntmanTM and Test Drive®; and mass-market and children's franchises such as Nickelodeon's Blue's CluesTM and Dora the ExplorerTM, and Dragon Ball Z®. Atari, Inc. is a majority-owned subsidiary of France-based Infogrames Entertainment SA (Euronext -- ISIN: FR-0000052573), the largest interactive games publisher in Europe. For more information, visit 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.

The Company undertakes no duty to update any forward-looking statements to conform the statement to actual results or changes in the Company's expectations.

2006, Atari, Inc. All rights reserved. ATARI, the ATARI logo, and classic Atari game titles and logos are trademarks or registered trademarks of Atari Interactive, Inc. or its affiliates.

1989 Bird Studio/Shueisha Toei Animation

"PSP" is a trademark and "PlayStation" and the "PS" Family logo are registered trademarks of Sony Computer Entertainment Inc. Memory Stick DuoTM may be required (sold separately).

All other trademarks are the property of their respective owners.

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