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SEGA Partners With Bizarre Creations To Create Next-Generation Franchise

Developer of Project Gotham Racing to Drive SEGA Growth

FOR IMMEDIATE RELEASE

SAN FRANCISCO & LONDON (September 15, 2005) - SEGA Europe Ltd. and SEGA of America, Inc. today announced a partnership to create a next-generation franchise with Bizarre Creations, the renowned UK-based developer responsible for such hugely recognizable titles as Project Gotham Racing 1&2 (Xbox), Project Gotham Racing 3 (Xbox 360), Formula 1 (PlayStation), and Metropolis Street Racer (Dreamcast). The partnership adds more next-generation content to SEGA's expanding lineup of titles developed specifically for Western audiences.

Under the terms of the worldwide exclusive deal, SEGA will manage all marketing and distribution activities and work with Bizarre in the ongoing production of the Developer's latest innovative design. This agreement further underscores SEGA's emphasis on Western markets as evidenced by recent SEGA deals with external developers Silicon Knights, Petroglyph, Secret Level, Pseudo Interactive, Sports Interactive, and Monolith.

"We are actively seeking partnerships with the world's best developers to create brand new franchises and re-create new games from existing SEGA IP," said Naoya Tsurumi, CEO of SEGA America and SEGA Europe. "We could not be happier that Bizarre Creations, a world-leader in successfully combining gameplay and technology, chose SEGA as their publishing partner to create a multi-platform blockbuster for the next-generation."

"We are privileged to be working with SEGA again," said Martyn Chudley, Managing Director of Bizarre Creations. "With their passion for games and forward-thinking approach, they are the ideal partner to make the most of our new concept."

SEGA and Bizarre Creations have decided not to release product, platform, or release details at this time.

About Bizarre Creations:

Bizarre Creations Ltd. is an Independent Software Developer, based in Liverpool, UK. Established in 1994 by Martyn Chudley, the Company is famed for such high profile franchises as Formula 1, Fur Fighters and Project Gotham Racing. Bizarre remains a multi-platform developer, who prides itself on providing high-quality gaming experiences that excel in gameplay, graphics, audio and technology. Their websites are located at www.bizarrecreations.com and www.bizarreonline.net.

About SEGA® Europe:

SEGA Europe Ltd. is the European Publishing arm of Tokyo, Japan-based SEGA Corporation, and a worldwide leader in interactive entertainment both inside and outside the home. The company develops, publishes and distributes interactive entertainment software products for a variety of hardware platforms including PC, wireless devices, and those manufactured by Nintendo, Microsoft and Sony Computer Entertainment Europe. SEGA Europe's web site is located at www.sega-europe.com.

About SEGA® of America:

SEGA of America is the American Publishing arm of Tokyo, Japan-based SEGA Corporation, a worldwide leader in interactive entertainment both inside and outside the home. The company develops, publishes and distributes interactive entertainment software products for a variety of hardware platforms including PC, wireless devices, and those manufactured by Nintendo, Microsoft and Sony Computer Entertainment. SEGA of America's web site is located at www.sega.com/usa .

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