Mad Catz
AMEX : MCZ

Mad Catx
TSX : MCZ.TO

June 29, 2005 16:10 ET

Mad Catz Interactive, Inc. Provides Update on Financial Statement Filings

SAN DIEGO--(CCNMatthews - Jun 29, 2005) -

Mad Catz Interactive, Inc. (AMEX/TSX: MCZ) announced today that it will delay the filing of its annual financial statements (including the MD&A) for the fiscal year ended March 31, 2005 (the "2005 Statements"). The Company does not believe that the delay will result in any change to its fiscal 2005 financial results that were released on June 9, 2005.

As previously reported, during the fourth quarter of fiscal 2005, the Company determined that it no longer met the criteria to continue filing as a foreign private issuer in the United States and will file as a U.S. domestic issuer. Accordingly, with the release of its fiscal 2005 fourth quarter and full year results, the Company began preparing its financial statements and reporting its results in accordance with U.S. GAAP (as opposed to Canadian GAAP which was previously followed). As such, commencing with the March 31, 2005 fiscal year-end financial statements, the Company will file its Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.

As a result of the change in filing status Mad Catz was unable to complete and file its 2005 Statements by the June 29, 2005 deadline (90 days after Mad Catz's fiscal year end), as required by applicable securities laws, without unreasonable effort and expense because additional time is required to finalize and audit Mad Catz's consolidated financial statements. Mad Catz expects to file the 2005 Statements by July 14, 2005 and in any event by August 29, 2005. Mad Catz will also delay the filing of its Annual Information Form in Form 10-K for the year ended March 31, 2005 until such time as its 2005 Statements are filed. Mad Catz is issuing this news release to comply with the requirements of Policy 57-603 of the Ontario Securities Commission.

The Ontario Securities Commission has indicated that in accordance with its Policy 57-603, should Mad Catz fail to file the 2005 Statements by August 29, 2005, a cease trade order may be imposed by the applicable securities commissions, requiring that all trading of securities of Mad Catz cease for such periods specified in the order. It is anticipated that during the period of time that the 2005 Financial Statements remain outstanding, the directors and senior officers of Mad Catz will be subject to the cease trade order of the Ontario Securities Commission prohibiting such persons from trading in the Company's securities. Mad Catz intends to satisfy the provisions of the alternate information guidelines of Policy 57-603 for as long as it remains in default of the financial statements filing requirements of applicable securities laws.

About Mad Catz

Mad Catz is a worldwide leader of innovative peripherals in the interactive entertainment industry. Mad Catz designs and markets a full range of accessories for video game systems and publishes video game software, including the industry leading GameShark brand of video game enhancements. Mad Catz has distribution through most leading retailers offering interactive entertainment products. Mad Catz has its operating headquarters in San Diego, California and offices in Canada, Europe and Asia. For additional information go to www.madcatz.com.

Safe Harbor for Forward Looking Statements:

This press release contains forward-looking statements about the Company's business prospects that involve substantial risks and uncertainties. The Company assumes no obligation to update the forward-looking statements contained in this press release as a result of new information or future events or developments. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "should," "plan," "goal," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: the ability to maintain or renew the Company's licenses; competitive developments affecting the Company's current products; first party price reductions; the ability to successfully market both new and existing products domestically and internationally; difficulties or delays in manufacturing; delays in the Company's ability to obtain products from its manufacturers in China as a result of the current slow-down at the shipping ports in Southern California; market and general economic conditions. A further list and description of these risks, uncertainties and other matters can be found in the Company's reports filed with the Securities and Exchange Commission and the Canadian Securities Administrators.

Contact Information

  • Mad Catz Interactive, Inc.
    Cy Talbot, 619/683-9830
    or
    Jaffoni & Collins Incorporated
    Joseph Jaffoni, Carol Young
    212/835-8500
    mcz@jcir.com