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Playlogic Acquires "Age of Pirates"

Innovative RPG title added to Playlogic line-up

Amsterdam/Leipzig, Aug. 17, 2005 - Playlogic Entertainment, Inc. today announced the acquisition of "Age of Pirates," a highly anticipated role-playing game from Russian developer Akella, which also created the successful pirate titles "Sea Dogs," Age of Sail 2," and "Pirates of the Caribbean."

Based on the next generation sea engine STORM 2.5, "Age of Pirates" provides an incredible graphic experience. The game was produced in cooperation with leading Eastern European games publisher 1C and is scheduled to be released in the fourth quarter.

The world of "Age of Pirates" exists on 16 islands and the endless seas of the Caribbean. The two main characters each have their own spectacular story. Over 16 types of ships are at the player's disposal. Features include hiring officers to improve sailing capabilities and fighters to help boarding and melee encounters. The players must also fight foreign ships, capture slaves and attack forts to conquer colonies and develop their own colonies. "Age of Pirates" embodies the freedom of sailing, trading, fighting, colonization and the unlimited exploration of the real Caribbean.

According to Stefan Layer, COO/VP of Playlogic, "Age of Pirates" is a very innovative original IP with open-ended gameplay. I have been following the development of this project for a long time and am impressed by its quality. The title further broadens Playlogic's diverse line-up for 2005 and 2006. We are proud to present the game, playable at our booth at the Leipzig Games Convention until Sunday, Aug. 21."

"We are very excited about signing this contract with Playlogic, as I think that Playlogic is a very promising publisher that is going to become a major player in the games business very soon," said Nikolay Baryshnikov, International Sales Director of 1C Company. ""Age of Pirates" should be a great contribution to Playlogic's portfolio."

Dmitry Arkhipov, VP Development of Akella, said, "This is our third RPG pirates game. Because of the experience in development and the feedback from the numerous fans of the previous titles, we have been able to create a high-quality game that the vast pirate games community is eagerly awaiting. I am glad that Playlogic will present "Age of Pirates" to the worldwide market and am confident that it will be highly successful."

About Akella

Akella is a leading developer of entertainment PC and console software, and also publishes and distributes computer games in Russia and the CIS. The company was founded in 1993 by a group of professionals and has since achieved a stable and successful position in the Video Game Industry. In addition to creating worldwide-famous gaming projects, Akella is taking extremely important steps to grow and develop the Russian multimedia market. Akella continues to build itself as a powerful independent member of the Video Gaming Industry and aspires to be a reliable partner for Russian and international companies.

About 1C

Founded in 1991, 1C Company has become the leading Russian company publishing and distributing computer games in Russia and in the former USSR. 1C publishes games of all leading Russian independent development studios and distribute titles of international publishers such as Activision, Atari, Bethesda, Codemasters, Take 2, THQ, Ubisoft, Vivendi and others. 1C has a strong in-house game development team that created "IL-2 Sturmovik," "IL-2 Sturmovik: Forgotten Battles" and "Pacific Fighters," the award-winning WWII combat flight simulator worldwide publisher Ubisoft Entertainment. 1C has produced over 50 projects for PC and console from over 20 independent development studios. Additional information about the company can be found at http://int.games.1c.ru

ABOUT PLAYLOGIC

Playlogic Entertainment, Inc. is an independent publisher of entertainment software for consoles, PCs, handhelds, mobile devices, and other digital media. Playlogic, established in early 2002, publishes game concepts across various genres. The company distributes its products worldwide through all available channels, online and offline.

Playlogic is listed on the OTC BB under the symbol "PLGC" and is headquartered in New York and Amsterdam.

Playlogic's portfolio includes games that are being developed by several teams at Playlogic Game Factory, Playlogic's in-house development studio based in Breda, The Netherlands, as well as games developed by a number of studios throughout the world. Currently, 10 games on 19 platforms are under development, including "World Racing 2," "Knights of the Temple 2," "Gene Troopers," "Xyanide," and "Age of Pirates," to be release in the third and fourth quarters.

Playlogic is always looking for additional, high-quality games and acquires products that can be exploited in the complete value chain of digital entertainment products from games at retail to mobile games and digital TV.

FOR MORE INFORMATION

Playlogic Entertainment, Inc.

Esther Berger, Corporate Communication & IR Manager

T: +31 20 676 03 04

M: +31 6 51 874 971

E: eberger@playlogicint.com

Or

Beco Mulderij, Marketing Manager

T: +31 20 676 03 04

M: +31 6 22 55 59 14

E: bmulderij@playlogicint.com

For further information about Playlogic, the games it publishes and develops, artwork and press information, please visit our press section at www.playlogicgames.com.

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