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Playlogic signs Publishing agreement for State of Emergency 2™

Amsterdam/Leipzig, Aug. 18, 2005 - Playlogic Entertainment, Inc. and DC Studios today announced the signing of a worldwide publishing agreement for "State of Emergency 2TM" on PlayStation 2, planned for release in the fourth quarter. "SOE2" is the sequel to the number one hit, which sold 1.6 million copies.

"State of Emergency 2TM" takes place 10 years after the original and has SpankyTM, Bull and MacNeill again up against the Corporation. This time, they not only have access to guns but also - for the first time - helicopters, speedboats, Tanks and APCs and new team members.

"State of Emergency 2TM" is a true sequel that takes the premise of large active crowds a step further, adding a full story-based single-player game to the challenge modes and split-screen multiplayer modes.

The game starts with Freedom discovering that the Corporation has fed the population a mind control drug with their fast food to subdue them. Freedom regroups in order to yet again rid society of the brutal Corporation and to return society to the realm of democracy.

Escape the gas chamber, infiltrate the drug baron's lair, destroy the drug stores and generally cause mayhem to win the day. Many new game-play elements such as a reputation system, gang control, interrogation, driving and flying vehicles add to the fun.

A state of the art shooter, "SOE2" features vast numbers of enemies on screen, great weapons, guts and gore and a great story. "State of Emergency 2TM": the sure-fire hit for this year.

Mark Greenshields, CEO DC Studios, said, "I am very pleased to have agreed to publish "State of Emergency 2TM" with Playlogic. Their ambition and plans for the game fit exactly where we want it to go and I am confident that with them behind "SOE2," it will be a huge success."

According to Rogier Smit, Executive VP of Playlogic, "'State of Emergency 2' is a great addition to our portfolio. Together with DC Studios, we are committed to re-establishing this franchise successfully with new products on several platforms. The game is another example of Playlogic's line-up diversification and follows our strategy of seeking high-quality games and known IP."

"State of Emergency 2TM" will be released in the fourth quarter on PlayStation 2.

About DC Studios

DC Studios is one of the most successful games developers in the world today, with offices in Montreal, Canada; Glasgow, Scotland; Bristol, England; and soon Dublin, Ireland. Consistently profitable, DC is entering the next stage of its growth.

The company has worked with clients such as Konami, Ubisoft, Disney, ABC, Breakthrough films, Mobilescope, THQ, Majesco and many others across all current games platforms, including the PC, PlayStation, PlayStation 2, Xbox, Gamecube, Game Boy Advance and mobile phone handsets.

DC Studios is at the forefront of the interactive entertainment industry. Since it was founded in 1999 the company has shipped over 60 titles, including the best selling Rayman for Nintendo DS, Bratz dancing games for Ubisoft, Tour de France Centenary Edition for Konami and Majesco's GBA Video range. In addition to the products DC creates for other clients, it is moving into the original content space with its "Total Control Football TM", "Fear Factor Unleashed®" and now "State of Emergency 2TM".

Online: www.dc-studios.com

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 released 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.

MEDIA CONTACT

Chris Clarke

Kohnke Communications

(415) 777 4000

chris@kohnkecomm.com

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