Emergent Game Technologies Reports 2009 Financial Results; Growth Exceeds Expectations and CEO Affirms Strong 2010 Outlook

CALABASAS, CA--(Marketwire - February 2, 2010) - Emergent Game Technologies, a worldwide leader in 3D videogame engines, today reported a 35% increase in revenues year over year and a 58% increase in profitability for the year ending 2009. Strong licensing deals and reduced expenses led the fourth quarter, ending the year with over 120 deals closed. Growth was strongest in North America, Japan and China, with Emergent™'s Gamebryo LightSpeed gaining rapid adoption and driving the strong 2009 results.

"Emergent has made changes to weather the tough economic climate and is poised to become stronger than ever as a result of those changes," says Scott M. Johnson, Emergent's CEO. "While the Asian market and the US visual simulation market never slowed for us, we are now seeing signs that game development is starting to pick up in North America and Europe. Our core message of reducing redundancies by using Gamebryo LightSpeed is resonating with publishers and developers."

Based in Calabasas, CA, Emergent creates technologies that are driving professional videogame development. Emergent's revolutionary game engine, Gamebryo LightSpeed, was released in May 2009 and provides both established and newly emerging studios with a flexible engine that continues to expand and grow with their evolving development needs. LightSpeed empowers developers to create their games in any genre and continues Emergent's dedication to providing a one-stop cross-platform toolset for PlayStation®3 computer entertainment system, Xbox®360, Wii™ and PC.

Fourth Quarter Fiscal 2009 and Recent Highlights:

-- Growth was in large part attributed to multi-SKU, multi-year commitments from licensees in six countries, driving market share for Emergent.

-- Larian Studios commits to Emergent's technology for developing diverse titles, including Divinity II - Ego Draconis (Xbox 360/PC) released Jan 5th 2010 and educational PC title Monkey Labs.

-- Cyanide Studios launches Blood Bowl for Windows PC and Xbox 360 in January 2010, powered by Emergent's engine technology.

-- Emergent signs master licensing agreement with Interactive Believe (InbeEdu) at Chongqing University in China and launched the Gamebryo Engineer Certification Training Program with Gamebryo integrated directly into the curriculum, and with all InbeEdu videogame engineering students now trained using LightSpeed.

-- IPKeys, an emerging strategic partner in the government defense sector, selected Emergent's LightSpeed to create counter-IED simulations for U.S. Forces, specifically with the Joint Improvised Explosive Device Defeat Organization's Technical Gaming Team (JIEDDO TGT).

-- Emergent and Scaleform® Corporation co-developed an out-of-the-box integration that combines Scaleform GFx™ with LightSpeed, extending LightSpeed's rapid iteration benefits to make it faster and easier than ever for developers to create cutting-edge user interfaces (UIs) and video using Scaleform and the Adobe® Creative Suite® and Flash® tools.

-- Three additional development technology providers joined more than 20 members of Emergent's partner program in creating integrations; Evolver's easy-to-use web interface for building and customizing 3D character models and avatars, Pixelux' Digital Molecular Matter and Sundog's SilverLining™ for physically realistic skies, clouds, lighting, and precipitation effects.

Emergent's game development products have been used for more than 300 successful projects. For more information, please visit www.emergent.net.

About Emergent

Best known for its industry-leading 3D game engines, Gamebryo and Gamebryo LightSpeed, Emergent's technologies have been selected by studios around the globe to bring nearly 300 titles across more than 15 genres to market, including Game of the Year award-winning titles like The Elder Scrolls IV: Oblivion, as well as critically acclaimed titles like Warhammer Online: Age of Reckoning, Civilization Revolution and Bully. Emergent's videogame technology is allowing studios to focus on innovative gameplay by enabling rapid prototyping, rapid iteration and rapid production with real-time on-target updates for Xbox 360, PlayStation 3, Wii and PC. As part of the international development community, Emergent provides world class support and technologies evolved from deep relationships with its developer partners.

Emergent is headquartered in Calabasas, California, and has offices in Chapel Hill, NC; London; Tokyo; China and Korea. To learn more, please visit www.emergent.net.

Emergent, LightSpeed, Gamebryo and related logos are trademarks or registered trademarks of Emergent Game Technologies, Inc., or its affiliates in the U.S. and other countries. Other names may be trademarks of their respective owners. Copyright © 2010 Emergent Game Technologies, Inc.

Contact Information: Emergent Media Contact: Tracie Snitker Reverb Communications (209) 586-1495 x104 Tracie@reverbinc.com