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Hip Interactive Europe gives an update on its situation

Marseilles, France. August 8th 2005.

Following the announcement of Hip Interactive Corp. (Canada), going into receivership, Hip Interactive Europe wishes to update its situation.

Hip Interactive Europe confirms the continuation of its publishing and distribution businesses across Europe.

Hip Interactive is currently reviewing its publishing portfolio and will continue to support its key titles.

Hip Interactive Europe will not be involved anymore in the game formerly known as "George A. Romero's City of The Dead", indeed Hip Interactive Europe had concerns over the quality of the development. Hip Interactive Europe intends to focus only on the highest potential games.

Hip Interactive Europe confirms the upcoming releases, this Fall, of its line-up with titles such as Rugby Challenge 2006, and Garfield "Saving Arlene".

Hip Interactive Europe, which was recently awarded the MCV Award for Best Industry Newcomer, will maintain its full support to its key products, clients and partners.

Hip Interactive Europe

300, Avenue du Prado

13008 Marseille

France

Press contact

derek@hip-europe.com

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