Acquisition History

1

• Acquisition History
• 1996 Ocean Software, United Kingdom (Publishing)
  
• 1997 Philips Media, Netherlands (Distribution)
• 1998 ABS Multimedia, Portugal (Distribution)
• 1998 Arcadia, Spain (Distribution)
• 1998 Gremlin, United Kingdom (Development and
  Publishing)
• 1998 Game City, Switzerland (Distribution)
• 1998 Psygnosis, France (Development)
• 1999 Accolade, United States (Development and
  Publishing)
• 1999 Beam Software, Autsralia (Development)
• 1999 Ozisoft, Australia (Distribution)
• 1999 GT Interactive, United States
  (Development/Publishing/Distribution)
• 1999 Den-O-Tech, Canada (Development)
• 2000 Hasbro Interactive, United States
  (Publishing)
• 2000 Paradigm Entertainment, United States
  (Development)
• 2002 Shiny Entertainment

• Notes
• No.1 publisher in Europe, No.2 worldwide
• The 1 publisher of Children's Entertainment
  games
• Aggressive MS led to a deterioration in balance
  sheet
• Focus is now on improving product mix and quality
  of games
• 15 year licensing agreement with Hasbro

Brands / Franchises Driver Superman
Monopoly Alone in the Dark LeMans 24 Hours
NASCAR V-Rally Dagon Ball Z Terminator Unreal
Tournament Twisted Metal Tintin Test Drive Blues
Clues Smurfs Roller Coaster Tycoon Deer Hunter
Lucky Luke Splash Down Survivor Digimon Mission
Impossible Civilization Asterix Men In Black
Looney Toons Freddi Fish Backyard Sports Major
League Baseball Independence War Big Price
Oddworld Pajama Sam Putt Putt
Publisher Analsys 2002 Mataio Gardi
2

• Brands
• Activision O2
• Cabellas
• Disney
• Marvel
• Classic
• Quake
• Star Trek
• Total War
• Value
• Wolfenstein

• Notes
• No.2 publisher in US
• Highly established licensing franchise
• 75-80 of revenue based on franchise making
  future growth preductiable
• Slated to release 65 titles in 2003 with 2/3
  being developed in-house
• Extreme sports represetns 37 of slaes

Brands / Franchises Kelly Slater's Pro Surfer
Dark Reign 2 Jackie Chan Toy Story 2 Mat
Hoffman's Pro BMX Heavy Gear II The Weakest Link
Spider-Man Shaun Palmer's Pro Snowboarder
Wolfenstein SIN X-Men Tony Hawk's Pro Skater
Stuart Little Soldiers of Fortune Quake Cabela's
Bloody Roar Orphen Star Trek A Bug's Life Sky
Odyssey Supercar Street Challenge Asteroids Buzz
Lightyear of Star Command Tenchu Wreckless Space
Invaders Tarzan Vigilante Battlezone II
Publisher Analsys 2002 Mataio Gardi
3

• Acquisition History
• Take-Two has an almost even split of publishing
  and distribution business
• .
• The publishing business increased
• from 18 of revenues in 1997 to 54 of revenues
  for the fiscal year ended October 31, 2001.
• The company has a robust line up of products for
  the rest of the year including brand extensions

• Notes
• Take 2 has 4 sub-publishers within
• Gathering of Developers
• Take Two Games
• Rockstar Games
• Talonsoft
• Published the best selling game of 2001, Grand
  Theft Auto 3

Brands / Franchises State of Emergency Mortal
Kombat Rampage Puzzle Attack Grand Theft Auto NHL
Hitz NHL Duke Nukem Defender Destruction Derby
Raw Mafia Dr. Muto CART Fury Serious Sam Freaky
Flyers Formula One Austin Powers NBA Basketball
Ready to Rumble Boxing Age of Wonder Shadow
Hearts Smuggler's Run Hidden Dangerous Cruis'n
Velocity MTV Celebrity Deathmatch Midnight Club
Spec Ops Family Feud
Publisher Analsys 2002 Mataio Gardi
4

• External Dev. Arrangements
• THQ contracts with independent software
  developers to conceptualize and develop games
  under their supervision.
• Agreements with software developers are usually
  entered into on a game-by-game basis and
  generally provide for the payment of the greater
  of a fixed amount orcompensation based on actual
  sales.
• The compensation is based on a percentage of net
  sales ranging from 4 to 20 for some
• developers, while others are based on a fixed
  amount per unit sold and range from .50 to 5.00
  per unit.
• THQ generally paysexternal developers
  installments of the fixed fee based on specific
  development milestones.
• THQ generally obtains ownership of the software
  code and related documentation.
• THQ may make strategic investments in third party
  developers for the purpose of securing access to
  proprietary software and talented developers.

• Notes
• No.3 publisher in USA
• THQIs international sales have continued to
  increase as a percentage of sales over the last
  four years.
• Has established licensing deals with Disney,
  Nickelodeon and WWF,
• THQ has been experiencing heavy product slipage
• Current business strategies include emphasis on
  expanding international development market

Brands / Franchises Croc 2 Action Man Sonic
Advance Indiana Jones Battle Bots Scooby Doo!
Puyo Pup Power Rangers Jimmy Neutron Aidyn
Chronicles MotoGP Red Faction Tetris
World SpongeBob Squarepants Baseball Advance
Disney's Atlantis B.A.S.S. Strike The Simpsons
Britney's Dance Beat WWF The Wild Thornberrys MTV
Sports Pinball of the Dead Bob the Builder Rocket
Power Aliens Hey Arnold Hot Wheels Rugrats Evil
Dead Wrestlemania X8 Smash Pack
Pride Championship Motocross Star Wars Episode I
Blues Clues
Publisher Analsys 2002 Mataio Gardi
5
EA Investment Notes Product development
schedules are frequently unreliable, particularly
for products for new platforms, and make
predicting quarterly results dif.cult. Electronic
Arts is well-positioned to grow at or above
overall industry growth

• Notes
• No.1 3rd party publisher worldwide
• Tremendous library of franchises with key
  dominance in sports
• studios in California, Canada, the United
  Kingdom, Florida, Texas, Japan, Washington,
  Maryland and Nevada.
• Employs over 3000 development artists
• Large online in house game play through EA Pogo

Brands / Franchises Madden NFL Knockout Kings
Tiger Woods Battlefield 1942 FIFA NCAA Football
NHL Black White NASCAR Medal of Honor Shogun
Command and Conquer NBA The Simpsons LEGO Aliens
Colonial Marines PGA Tour Buffy the Vampire
Slayer Formula One Earth and Beyond Sammy Sosa
CelDamage SSX Tricky Football Association Premier
League The Sims Global Ops Harry Potter World
Championship Wrestling James Bond (007) Pirates
Legend of Black Kat Harry Potter
Publisher Analsys 2002 Mataio Gardi
6
hold
Acquisition History

• Notes
• Making large shift from coin-op to console gaming
• Develops 2/3 of games internally
• Experiencing finacial difficluties due to
  slippage
• Looking to restructure both financial and
  production models

Brands / Franchises NFL Blitz Mortal Kombat
Rampage Puzzle Attack Gauntlet Dark Legacy NHL
Hitz NHL SpyHunter Defender Destruction Derby
Raw Fireblade Dr. Muto CART Fury Gravity Games
BMX Freaky Flyers Formula One Legion Legend of
Excalibur Shadow Hearts Ready to Rumble
Boxing MLB Slugfest Cruis'n Velocity Traveller's
Tales Red Card Soccer
Publisher Analsys 2002 Mataio Gardi
7

• 24 percent of Acclaims revenue in 2001 came
  from games developed in-house.
• a significant decline from 57 in 2000 due to the
  companys focus on internally developing its key
  titles.
• As part of its expense reduction plan, the
  company also unified its six development studios
  to streamline costs and share technology and
  tools.
• From the implementation of its plan for reduction
  in operating expense in 2000 and 2001, the
  company has been able to lower overhead and
  operating expense by 39 YOY and marketing and
  selling expenses by 51.

All-Star Baseball HBO Boxing NFL Quarterback Club
Paris Dakar NBA Jam Vanishing Point Dave Mira
Freestyle BMX Ducati Jeremy McGrath Supercross
Turok Big Wave Surfing Shadowman Extreme
Championship Wrestling Fur Fighters Mary-Kate
Ashley Vexx Legends of Wrestling Burnout 18
Wheeler Crazy Taxi
Publisher Analsys 2002 Mataio Gardi
8

• Notes
• Massive in-house development
• 64 of products developed 1st party
• Expected to lower license fees by 50 to
  encourage more 3rd party development
• Is expected to control 30 of next gen colsole
  market by 2005
• Considered to retain the largest installed based
  of video games consoles worldwide (including GBA)

• Brands / Franchises
• Mario Zelda pokemon
• Turok Banjo Kazoo
• Tetris Donkey Kong
• F Zero Kyojin shinduo
• Pilot Wings Killer Instinct
• Yoshi Wario World

Publisher Analsys 2002 Mataio Gardi
9

• Notes
• Sony has a large large internal development
  program
• , Sony is the leading software developer in the
  US, with 20 market share in 2000 and 25

Brands / Franchises Driver Superman
Monopoly Alone in the Dark LeMans 24 Hours
NASCAR V-Rally Dagon Ball Z Terminator Unreal
Tournament Twisted Metal Tintin Test Drive Blues
Clues Smurfs Roller Coaster Tycoon Deer Hunter
Lucky Luke Splash Down Survivor Digimon Mission
Impossible Civilization Asterix Men In Black
Looney Toons Freddi Fish Backyard Sports Major
League Baseball Independence War Big Price
Oddworld Pajama Sam Putt Putt
Publisher Analsys 2002 Mataio Gardi