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Republik Games Hits Funding Snag; Company to Suspend Production on Spend the Night Game

HOLLYWOOD-March 31, 2006 - Republik Games announced today that the company had not completed an anticipated round of equity financing and as a result, would be suspending production on its flagship game, Spend the Night. The company had previously raised an undisclosed sum in two funding rounds and was well into production of the erotically-charged game.

"The past few weeks have been a rollercoaster for the company" said CEO, Robert Coshland. "We had a single day record of 1.8 million hits on our website, we're being included in a documentary on the future of video games, and we have over 100 people join our mailing list everyday. Unfortunately game development is expensive and attention doesn't translate into operational funds. " Coshland indicated that 12 people were affected by the shut down. "Republik Games intends to focus on raising new capital. It's not just an incredible product-it's a solid business proposition and we have the research, the materials, and the numbers to back it up."

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