Infogrames Entertainment SA Reports Fourth Quarter and Year-end 1999/2000 Revenues; Revenue Increase of 67% Confirms Position as Major International Player.

Business Editors

LYON, France--(BUSINESS WIRE)--July 31, 2000

Infogrames Entertainment (Paris Bourse: SICOVAM 5257), today announced consolidated annual revenues of $500.5 million as of June 30, 2000, an increase of 67% over the previous fiscal year.

  In Millions of US $    1999/2000  1998/1999
  First quarter           45.5        56.5
   Second quarter        219.0       104.7
  Third quarter          118.8        52.7
   Fourth quarter        104.8        78.6   + 33 %
  TOTAL                  488.1       292.5   + 67 %

(All figures converted at EUR/USD closing rate as of June 30,2000:
0.95560)

These figures integrate the revenues generated by Infogrames, Inc. (formerly known as GT Interactive Software, NASDAQ: GTIS) consolidated over a seven-month period and representing $151 million, or 30% of the global revenue. Annual organic growth is 16%.

The fourth quarter was significantly affected by particularly difficult market conditions because of the announcement of the anticipated arrival of new console platforms (Playstation 2, X-Box, Nintendo Dolphin and Game Boy Advanced). This has led to a slow-down in sales industry-wide.

The figures for Infogrames Entertainment, which is experiencing its third technological transition since its start in 1983, show that maintaining its multi-product, multi-format global strategy has allowed it to sustain its continued growth.

PROSPECTS FOR THE YEAR 2000/2001 :

The launch of the Sony Playstation 2, expected in the fall of 2000, is set to give a boost to the interactive games market worldwide. Over the financial year, Infogrames expects to produce eight titles for this new platform alone worldwide, some of which include for the US:

- Motor Mayhem

- Oddworld: Munch's Odyssee

- Unreal Tournament - the international hit which will be a

launch title on PlayStation 2 and will appear on other

next-generation consoles as well.

The 2000/2001 range of products includes approximately 80 titles in all formats and combines the established franchises, including Driver 2, Deer Hunter 4 and Looney Tunes and original products, thus taking full advantage of the technological capabilities offered by the new platforms.

Infogrames Entertainment will also produce its new titles for Game Boy Advanced, which will be available at the new console's launch. The games will be based on the group's successful licences such as Looney Tunes, Harley Davidson and Ronaldo.

The year 2001 will also see the launch of the first of Infogrames' online games :

- Beetle Online

- Desperados 

- Le Mans Online

This strategy, combined with Infogrames' international distribution network, means that the group can look forward to the year 2000/2001 with confidence, as it will take full advantage of the revival forecast for next year.

About Infogrames

Infogrames Entertainment SA (Paris Bourse: SICOVAM 5257) is a worldwide leader in the interactive entertainment software industry. Headquartered in France, the company develops and publishes award-winning computer and video games for the PlayStation(R) game console, PlayStation(R) 2 computer entertainment system, Nintendo(R) 64, Nintendo(R) Game Boy(R) Color, Sega(R) Dreamcast(tm), Macintosh(R), and personal computer platforms. Founded in 1983 by chairman and CEO Bruno Bonnell, Infogrames has published many award-winning franchises in its 17-year history, such as Alone In The Dark(tm), Test Drive(R), Driver(tm), Deer Hunter(tm), Oddworld(tm), Unreal, Independence War(tm), and V-Rally(tm). The company is also known for its best-selling and award-winning line of children's entertainment software from Humongous Entertainment starring Putt-Putt(R), Freddi Fish(tm), Pajama Sam(R) and SPY Fox(tm), as well as its successful Macintosh publishing label, Macsoft, the number one publisher of Macintosh entertainment software. In addition, Infogrames has a number of key strategic licenses including Warner Bros. Looney Tunes(tm), Nickelodeon's Blue's Clues(tm), Le Mans 24 Hours(R), AM General Hummer(R), Harley-Davidson(R), and Dodge(R) Viper. For more information, visit Infogrames' US Web site at www.us.infogrames.com.

Certain statements contained in this release are forward-looking statements (rather than historical facts) that are subject to risks and uncertainties that could cause actual results to differ materially from those described. With respect to such forward-looking statements, the company seeks the protection afforded by the Private Securities Litigation Reform Act of 1995 and other enabling legislation. Statements contained herein with regard to the company's business outlook and prospective operating and financial results are based upon management's expectations regarding various factors, which may be beyond the company's control. This statement is not intended to identify each and every risk and uncertainty inherent in the company's business, and should be read in conjunction with the company's cautionary statements contained in its most recent filings with U.S. and foreign regulatory authorities.