From Russia With Games

Milton Keynes - 505 Games today announced plans to significantly bolster its PC portfolio by signing a new deal with Russian games giant, 1C Company, to exclusively publish its PC games and launch its new label under the 1C Company brand across Europe. The agreement grants 505 Games European co-publishing rights in conjunction with 1C's Western European team, 1C Publishing. 1C's current range of titles falls under this new deal, as well as new games currently in development. The new label aims to reinvigorate the PC market with exciting, high technology titles being developed in Eastern Europe.

Working with the 1C Europe team, 505 Games will launch, promote and build the 1C brand across Europe. 505 Games will manage the marketing, PR, sales and distribution across the 1C Company range, including eagerly anticipated titles including Cyrostasis, NecroVisioN, and Death Track in the first cycle of launches. Over a dozen titles are scheduled for release in 2008.

"We are incredibly excited to be working with 1C Company to bring the fantastic range of top quality titles to a PC-hungry European market," commented Ian Howe, Managing Director of 505 Games. "1C's PC portfolio further enhances our release schedule for 2008 and offers the PC gamer something new and stimulating."

"We are delighted to be working so closely with 505. Not only does our range complement its portfolio perfectly, but its team's long term experience, creative drive and personality matches ours and fits the way we like to operate to a tee," said Darryl Still, 1C's International Marketing Director.

"Having worked closely with the key 505 Games people in the past, we confidently look forward to a long term and successful partnership that will have a real impact on the industry," added Peter King, Managing Director at 1C UK.

The first PC titles from 505 Games and 1C Company are scheduled for a Q1 2008 release. For more information please go to www.1cpublishing,com

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For more information please contact:

Mark Allen

European Communications Manager

505 Games Ltd.

mallen@505games.co.uk

+44 (0)1908 607772

About 505 Games

505 Games, headquartered in Milton Keynes, is dedicated to the publishing and international distribution of full price, mid-range and budget computer and videogames in EMEA (Europe, Middle East and Africa) markets and Australia. The current portfolio includes the best selling games Cooking Mama, ArmA: Armed Assault, Bust-a-Move and Armored Core and covers all gaming platforms, including next generation consoles like Sony PlayStation® 3, Nintendo Wii and Microsoft Xbox 360. For More information on 505 Games and its products please visit www.505games.co.uk

About 1C Company

1C Company specializes in distribution, publishing and development of mass market software. Founded in 1991, 1C has become the leading publisher and distributor of computer games in Eastern and Central Europe. 1C Company is widely acknowledged as a game developer and has several internal studios. Internal developments of 1C include IL-2 Sturmovik, IL-2 Sturmovik: Forgotten Battles, Aces Expansion Pack, Pacific Fighters and Theatre of War. 1C Company works as a publisher and producer with over 30 independent development studios and has produced over 100 projects for PC and consoles.

For more information please visit www.1cpublishing.com