SEGA ANNOUNCES EXPANSIVE MULTIMILLION DOLLAR FALL MARKETING CAMPAIGN FOR SEGA SPORTS GAMES

Reinforcing its Commitment to SEGA Sports, Company Increases Spend by 75 Percent

NEW YORK - SEGA Sports Summit - (September 5, 2002) - SEGA(R) of America, Inc. today reinforced its commitment to the SEGA Sports(TM) brand by announcing an expansive $35 million marketing campaign for the SEGA Sports 2K3 line-up of sports video games. Increasing its marketing spend by 75 percent this year, the aggressive SEGA Sports 2002 fall marketing program includes a massive advertising campaign, major sports sponsorships and national promotions with partner ESPN, the worldwide leader in sports. The campaign will support all SEGA Sports titles across all next-generation video game consoles including PlayStation (R) 2 computer entertainment system, the Xbox(TM) video game system from Microsoft(R) and the Nintendo GameCube(TM).

"SEGA Sports understands gamers' needs and continues to produce products that redefine the boundaries of realism within the sports simulation genre," said Tom Nichols, vice president of sports marketing, SEGA of America, Inc. "Our fall marketing initiatives are only the beginning of the major marketing muscle we will be placing behind these groundbreaking SEGA Sports games, as SEGA is fully committed to delivering compelling sports video gaming on all key platforms."

This year, the SEGA Sports line up delivers a truly emotional sports gaming experience with features that push the envelope of competition such as online gameplay, new ESPN presentation style graphics, the SEGA Sports Challenge and a fresh new Franchise mode. The competitive spirit will be evident throughout the entire 2K3 roster, especially in the national advertising program planned for this sports gaming season.

Below are highlights from the SEGA Sports 2002 fall marketing campaign:

Advertising

Created by Leagas Delaney, San Francisco, SEGA Sports will kick off its television advertising season with the debut of five new and compelling spots for "SEGA Sports(TM) NFL 2K3," focusing on the spirit of competition and the preparation for athletic battle. Three 15-second ads have already hit the airwaves and the 30-second spots will launch tonight during the New York Giants and San Francisco 49ers season opener on ESPN. The spots which will run on many national networks, and feature NFL greats such as Chicago Bears standout linebacker and "SEGA Sports NFL 2K3" cover athlete Brian Urlacher, Tennessee Titans star Jevon Kearse and Tampa Bay Buccaneers Warren Sapp. These ads will convey to consumers the intensity of the NFL and how to get prepared for the highest level of competition. In addition, a hard-hitting print campaign will run in key publications that reach the SEGA Sports consumer and beyond. With an aggressive media buy, SEGA Sports will be everywhere, including peak times on ABC Monday Night Football, ESPN national broadcasts and other major networks such as CBS, MTV and Fox.

Leveraging the ESPN Partnership

Because of its partnership with ESPN, SEGA has the unique opportunity to deliver the most realistic sports video games on the market in terms of gameplay, while at the same time leveraging unique new venues for reaching out to sports fans. This includes, integration of SEGA Sports video game gameplay within ESPN programming. SEGA Sports/ESPN co-marketing campaigns include the ESPN National College Tailgate Tour which will feature "SEGA Sports NFL 2K3" and "SEGA Sports(TM) NCAA(R) College Football 2K3" in one of the biggest college tours in the country. From early September through November, college students will be able to try SEGA Sports video games before and after key collegiate match ups. Another SEGA Sports/ESPN co-marketing venture is the ESPN National NFL Truck Tour, where a mobile vehicle that contains attractions such as a replica SportsCenter desk lets fans play sports anchor and take home their very own "Keep It Reel" audition tape. The tour will also showcase "SEGA Sports NFL 2K3," as the truck travels the nation from the NFL season opener to the Super Bowl, following key NFL match ups and NFL Flag Football youth tournaments.

Promotions and Events

Finally, SEGA Sports will have sponsorships at a number of key events this year. This includes the return of the SEGA Sports Las Vegas Bowl, which will air on ESPN on Christmas Day. This sponsorship gives SEGA Sports significant television inventory and recognition as the title sponsor, as well as on-site exposure via signage, program advertising, VIP/hospitality packages and other in-game promotional elements. In addition, SEGA will also have a strong presence at key sporting events this year including the Super Bowl and NBA All-Star Game where SEGA Sports will host the third annual SEGA Sports NBA All-Star Celebrity Challenge.

The SEGA Sports Challenge

To give gamers a closer look inside the SEGA Sports brand, SEGA re-launched the Segasports.com website in August. This innovative site is both sports and community focused, with in-depth information on all SEGA Sports titles, as well as photos and details on special SEGA Sports events. Brand new on Segasports.com is the SEGA Sports Challenge, which lets players measure how they "stack up" against other gamers through a newly-formed online community that posts individual gamers' rankings accumulated in offline games. Top gamers will be awarded with great SEGA Sports prizes.

As part of its commitment to delivering all key sports to all key platforms, SEGA Sports is shipping a compelling roster of new sports titles such as "SEGA Sports NFL 2K3," "SEGA Sports(TM) NBA 2K3," "SEGA Sports(TM) NHL(R) 2K3," "SEGA Sports NCAA College Football 2K3," and hoops newcomer "SEGA

Sports(TM) NCAA(R) College Basketball 2K3." These video games are playable on PlayStation 2, Xbox and Nintendo GameCube. In addition, "SEGA Sports NFL 2K3," "SEGA Sports NBA 2K3" and "SEGA Sports NCAA College Basketball 2K3" will be playable online on Xbox and PlayStation 2, and "SEGA Sports NHL 2K3" will be online for Xbox.

About ESPN Based in Bristol, Ct., ESPN, Inc., "The Worldwide Leader In Sports," is 80 percent owned by ABC, Inc., which is an indirect subsidiary of The Walt Disney Company. The Hearst Corporation holds a 20 percent interest in ESPN. ESPN, Inc. includes six domestic television networks (ESPN, ESPN2, ESPN Classic, ESPNEWS, ESPN Now and ESPN Today), ESPN International (24 international networks and syndication), ESPN Radio, ESPN.com, ESPN The Magazine, ESPN Regional Television, SportsTicker, and ESPN Enterprises, overseeing brand extensions such as the ESPN Zone, an interactive sports-themed dining and entertainment experience.

"PlayStation" and the "PS" Family logo are registered trademarks of Sony Computer Entertainment Inc. (TM), (R) and the Nintendo GameCube logo are trademarks of Nintendo. Xbox is a trademark of Microsoft Corporation in the United States and/or other countries. ESPN and Sportscenter are registered trademarks of ESPN, Inc. ESPN branded elements (c) Disney. All other trademarks are the property of their respective owners.

NHL and the NHL Shield are registered trademarks of the National Hockey League. All NHL logos and marks and team logos and marks depicted herein are the property of the NHL and the respective teams and may not be reproduced without the prior written consent of NHL Enterprises, L.P. (c) 2002. All rights reserved. Officially Licensed Product of the National Hockey League.

(c) NHLPA. NHL 2K3 is an Officially Licensed Product of the NHLPA. NHLPA, National Hockey League Players' Association and the NHLPA logo are trademarks of the NHLPA and are used under license by Sega of America, Inc.

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