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SEGA DELIVERS MACABRE THRILLS WITH THE HOUSE OF THE DEAD III EXCLUSIVELY FOR XBOX

SAN FRANCISCO - (October 22, 2002) - SEGA(R) of America, Inc. today announced the release of "The House of the Dead(TM) III" exclusively for the Xbox(TM) video game system from Microsoft(R). "The House of the Dead III" delivers a monster movie inspired storyline and tons of non-stop over-the-top zombie blasting action.

In the game, players take on the role of government agents "G" and "Lisa Rogan" as they search for a team of agents who vanished while infiltrating a mysterious genetic research facility that has become overrun with the undead. A series of branching paths allow gamers to experience the game at their own pace, making critical choices about which areas to investigate next.

"With intense comic-book style action, an over-the-top plot and enough action to satisfy the most hardcore gamer, 'The House of the Dead III' is the ultimate adults-only Halloween party game," said Mike Fischer, vice president entertainment marketing, SEGA of America, Inc.

SEGA has also recently announced a deal with Mindfire Entertainment to create a movie based on the "The House of the Dead" franchise. The film recently wrapped production and will hit theaters in 2003. A preview trailer for "The House of the Dead" movie is featured on the game disc.

"The House of the Dead III" can be played with the standard Xbox controller, using a revamped first-person-style user interface. It is also the first Xbox game to support a light gun peripheral. The first light gun on the market will be the "Mad Catz Blaster" from Mad Catz Interactive.

"The House of the Dead III" is rated "M" for Mature and is available at retailers nationwide for an MSRP of $49.99.

About SEGA

SEGA(R) of America, Inc. is the American arm of Tokyo, Japan-based SEGA Corporation, a $3.5 billion corporation by market capitalization, recognized as a worldwide leader in interactive entertainment both inside and outside the home. The company develops, publishes and distributes interactive entertainment software products for a variety of hardware platforms including PC, wireless devices, and those manufactured by Nintendo, Microsoft and Sony Computer Entertainment Inc. SEGA of America's Web site is located at www.sega.com.

About Xbox

Xbox (http://www.xbox.com/) is Microsoft's future-generation video game system that delivers the most powerful games experiences ever. Xbox empowers game artists by giving them the technology to fulfill their creative visions as never before, creating games that blur the lines between fantasy and reality. Xbox is now available in North America, Japan, Europe and Australia.

Xbox is a trademark of Microsoft Corporation in the United States and/or other countries.



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