Delayed hardware releases mean bad news for electronic games industry

Euler Hermes UK, part of Allianz, has launched a Sector Focus Report looking at the latest developments in the Electronic Games Industry (EGI) and giving an insight into the impact of recent delays to hardware releases.

According to the Euler Hermes UK report - 'Game on?' September 2006 - the EGI has undergone a transformation from what was once a small niche industry into one of the most dominant sectors in media and entertainment and one of the UK's fastest growing industries.

Exploring the impact on the value chain of technological advances and consistently missed launch dates, the report focuses on console video games, personal computer games and interactive entertainment hardware and software. It covers the structure of the industry, the rivalries and risks and the strategies for staying ahead, including next generation consoles, network and mobile gaming. Assessing the current phase, the report suggests that growth is assured but the cyclical nature of the industry and interdependency of the supply chain mean inevitable financial volatility.

For a copy of the report, please contact Helen Taylor at Euler Hermes UK by e-mailing helen.taylor@eulerhermes.com

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NOTES TO EDITORS

As a company of Euler Hermes and rated AA- by Standard & Poor's, Euler Hermes UK is the UK's leading credit insurer. It protects businesses against insured trade credit risk whenever and wherever it occurs. Companies, whatever their size and sphere of operation, face financial risks when trading on credit terms in home or overseas markets.

Euler Hermes is the world-wide leader in credit insurance and one of the leaders in bonding and guarantees. With 5,400 employees in 45 countries, Euler Hermes offers a complete range of services for the management of customer receivables. Euler Hermes, subsidiary of AGF and a member of Allianz is listed on Euronext Paris. The group and its principal credit insurance subsidiaries are rated AA- by Standard & Poor's.

®2006 Euler Hermes UK Plc. ("EHUK"). All rights reserved. The content of this release and the report ("Documents") is merely for guidance and reflects only our opinion. We make no warranty or representation concerning the accuracy or content of the Documents and you must use your own due diligence and / or seek independent advice as appropriate before taking any action.

FURTHER INFORMATION

For further information contact:

Helen Taylor at Euler Hermes UK (Tel: 0207 860 2546, email: helen.taylor@eulerhermes.com) or

Sean Feast at AGA Public Relations (Tel: 0207 330 8888, email: sfeast@aga.co.uk).

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