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VICIOUS CYCLE TO UNVEIL VICIOUS ENGINE 2 WITH NEXT-GEN CONSOLE SUPPORT

New Version of Game Development Engine Offers Enhanced Lighting Support, Animation Blending, and an Innovative Shader Production Interface

CHAPEL HILL, NC - February 7, 2008 - Vicious Cycle Software Inc., a premier developer of interactive entertainment and a subsidiary of D3Publisher of America, announced a new version of its highly acclaimed game development engine, Vicious Engine 2 (V^e2).

V^e2 will offer a suite of new and improved features on Xbox 360 TM video game and entertainment system from Microsoft and PLAYSTATION ® 3 computer entertainment system. For the first time, the toolset will include an updated lighting engine, an animation blending component, and modern pixel shader technology that is optimized for next-gen platforms. The unique texture and shader production interface gives developers and artists unprecedented control over the visual aspects of in-game objects, thanks to its easy to use node-based graphical interface.

"As both game and engine developer, Vicious Cycle is committed to making our customers' lives easier in any way we can," said Eric Peterson, president and CEO of Vicious Cycle Software. "Whether that means finding new and intuitive ways to change elements within the game, creating tools that are accessible to all members of a software development team - from artists, to designers, to engineers, or going above and beyond to offer obsessive customer support, we're there."

Vicious Cycle will be exhibiting in booth 6039 North Hall at the Game Developers Conference in San Francisco on February 18th to 22nd. In addition to the new lighting, animation and shader technology, the developer will be showing off additional Ve2 improvements like ragdoll physics, full scene effects, AI features, and more.

About Vicious Cycle Software

Vicious Cycle Software, Inc., based in Chapel Hill, NC, is a premier developer of interactive entertainment software for "PlayStation ® 2" and "PLAYSTATION ® 3" computer entertainment systems, "PSP TM " (PlayStation ® Portable), Xbox ® and Xbox 360 TM video game and entertainment systems from Microsoft, Wii TM from Nintendo, Nintendo GameCube TM , Nintendo DS TM , and the PC. The company, founded in 2000, blazed onto the gaming scene with its debut title Robotech: Battlecry and continues to create titles for all age groups based on both licensed and original IP. Vicious Cycle Software, Inc. is also the developer of the Vicious Engine, a comprehensive and fully portable middleware solution for consoles, handhelds, and the PC. For more information, visit the company's web sites at www.viciouscycleinc.com, www.monkeybargames.com, and www.viciousengine.com.

CONTACT:

Rannie Yoo

Kohnke Communications

415-955-8500

rannie@kohnkecomm.com

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