ELECTRONIC ARTS SIGNS MULTI-YEAR PACT WITH SEGA ENTERPRISES LTD.
ELECTRONIC ARTS SIGNS MULTI-YEAR PACT WITH SEGA ENTERPRISES LTD. SAN MATEO, Calif., July 20 /PRNewswire/ -- Electronic Arts (NASDAQ: ERTS) and Sega Enterprises Ltd. have signed a new multi-year worldwide licensing agreement, the companies announced today. Under the agreement, which is effective immediately, Electronic Arts will continue to publish game cartridges for the Sega Genesis (TM), and will publish software for the new Sega CD (TM), which will be introduced in the United States in November. Electronic Arts has been a licensed developer and publisher of video game cartridges for the Sega Genesis system since June, 1990, and has become the leading independent third-party publisher of Sega Genesis titles. Under the terms of the multi-year agreement, Electronic Arts will continue to develop and publish cartridges for the Sega Genesis on a worldwide basis. In addition, under the new agreement, Electronic Arts is licensed to produce software for the Sega CD, a peripheral for the Sega Genesis that allows consumers to take advantage of the improved video sound and enhanced graphics available through CD technology. Sega expects a strong sell-in of Sega CDs during the initial launch this holiday season and positive growth in the coming year. "Electronic Arts is pleased to expand our strategic worldwide relationship with Sega," said Larry Probst, president and chief executive officer for Electronic Arts. "They have proven to be excellent hardware marketers and strong international distribution partners, with an increasingly valuable licensee support program. "We are looking forward to the challenge of leading the 'fourth generation' of Genesis software, as the system continues to demonstrate strong growth. We believe we can continue to deliver software that helps Genesis become a broadly accepted entertainment format," said Probst. "With new kinds of software, and Sega's hard-working marketing support, the Sega CD has a chance to become the first successful CD peripheral for interactive entertainment, and enhance 16-bit market growth for several more years," said Probst. Sega will continue to be Electronic Arts' exclusive distributor of Genesis cartridge software in Europe. Tom Kalinske, president and chief executive officer of Sega of America Inc., noted Electronic Arts has played "an important role in our success to date. "As the leading third-party software company on the Genesis, Electronic Arts has set a strong example of excellence for our growing family of licensees," said Kalinske. "As we continue our relationship in the United States and abroad, Sega and Electronic Arts will undoubtedly drive the standard of video game entertainment upward. We will work together to make Sega Genesis a household name, and the interactive entertainment video game system of choice." Electronic Arts is a worldwide leader in developing, publishing and distributing entertainment software for video games and computers. Sega of America Inc. is a wholly owned subsidiary of $1.6 billion Sega Enterprises Ltd., Japan. Sega is a worldwide leader in arcade and home video entertainment systems. -0- 7/20/92 /CONTACT: Holly Hartz of Electronic Arts, 415-513-7510; or Ellen Beth Van Buskirk of Sega of America, 415-802-1436/ (ERTS) CO: Electronic Arts; Sega Enterprises Ltd. ST: California IN: CPR SU: LIC
MM-MC -- SF002 -- 0541 07/20/92 07:59 EDT
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|Date:||Jul 20, 1992|
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