Electronic Arts Acquires Playfish

* Reuters is not responsible for the content in this press release.

Mon Nov 9, 2009 9:49am EST

Brings New Brands, Resources To Social Gaming


REDWOOD CITY, Calif.--(Business Wire)--
Electronic Arts Inc. (NASDAQ: ERTS) today announced it has acquired Playfish, a
leading creator of social network games. The acquisition accelerates EA`s
position in social entertainment and strengthens its focus on the transition to
digital and social gaming. Playfish will operate within EA Interactive, a
division of EA focused on the web and on wireless. 

EA has acquired Playfish for approximately US$275 million in cash and
approximately $US25 million in equity retention arrangements. In addition, the
sellers are entitled to additional variable cash consideration, up to a maximum
of US$100 million, contingent upon the achievement of certain performance
milestones through December 31, 2011. 

"Social gaming, with its emphasis on friends and community, is seeing tremendous
growth and this is the right time to invest to strengthen our participation in
this space," said Barry Cottle, Senior Vice President and General Manager of EA
Interactive. "EAi has been successfully leading the charge for EA, and with the
addition of proven expertise from Playfish, their broad consumer base and strong
game brands, we`re moving ahead aggressively in our plans to lead in the
category of cross-platform social entertainment." 

"The industry is undergoing dramatic transformation and joining EA is the ideal
opportunity for us to push forward our goals to lead in the social entertainment
evolution on a faster and much larger scale," said Kristian Segerstrale, CEO and
Co-founder of Playfish. "EAi`s vision and entrepreneurial culture are consistent
with our own, and together, we are in position to be the company that defines
new and innovative connected experiences that will change the way people play
games." 

Playfish is one of the world`s largest and most respected social gaming
companies with more than 150 million games installed and played worldwide on
platforms such as Facebook, MySpace, Google, Bebo, iPhone and Android. Playfish
currently has over 60 million monthly active players across its ten titles -
including Facebook hits Pet Society, Restaurant City, and Country Story -
driving more than 1 billion game play sessions every month. 

EAi is a division of EA focused on digital business, including EA Mobile, Pogo
and social gaming. Pogo is the #1 casual gaming destination in audience
engagement across North America and Europe. And EA Mobile is the world's #1
mobile games publisher with 34% market share in the U.S., and the leading games
publisher on Apple's App Store with such Top Paid Apps as Rock Band, Madden
NFL10, The Sims, and Tetris. 

About Electronic Arts

Electronic Arts Inc. (EA), headquartered in Redwood City, California, is a
leading global interactive entertainment software company. Founded in 1982, the
Company develops, publishes, and distributes interactive software worldwide for
video game systems, personal computers, wireless devices and the Internet.
Electronic Arts markets its products under four brand names: EA SPORTSTM, EATM,
EA MobileTM and POGOTM. In fiscal 2009, EA posted GAAP net revenue of $4.2
billion and had 31 titles that sold more than one million copies. EA's homepage
and online game site is www.ea.com. More information about EA's products and
full text of press releases can be found on the Internet at http://info.ea.com. 

EA, EA SPORTS, EA Mobile, Pogo and The Sims are trademarks or registered
trademarks of Electronic Arts Inc. in the U.S. and/or other countries. Rock Band
is a trademark or registered trademark of Harmonix Music Systems, Inc., an MTV
Networks company. Tetris is a registered trademark of Tetris Holding LLC. All
other trademarks are the property of their respective owners. 

About Playfish

Playfish leads the social gaming industry in innovation and creativity with
award-winning, category-defining games designed for friends to play together.
The company has changed the way people play games by creating more social and
connected experiences. To date, more than 150 million Playfish games have been
installed and played by millions of people worldwide on platforms such as
Facebook, MySpace, Google, Bebo, iPhone and Android. The company`s games are
amongst the most acclaimed and popular online, including Pet Society, Restaurant
City, Country Story and Who Has The Biggest Brain? Playfish has development
studios in London, San Francisco, Beijing and Tromso, Norway. Playfish is backed
by Accel Partners, Index Ventures and Stanhope Capital. 

Safe Harbor for Forward-Looking Statements

Some statements set forth in this press release regarding EA`s acquisition of
Playfish Limited and the expected impact of the acquisition on EA`s strategic
and operational plans, contain forward-looking statements that are subject to
change. These forward-looking statements are subject to risks and uncertainties
that could cause actual events or actual future results to differ materially
from the expectations set forth in the forward-looking statements. Some of the
factors which could cause results to differ materially from the expectations
expressed in these forward-looking statements include the following: the effect
of the announcement of the acquisition on EA`s and Playfish`s strategic
relationships, operating results and business generally, including the ability
to retain key employees; EA`s ability to successfully integrate Playfish`s
operations and employees; general economic conditions; and other factors
described in EA`s SEC filings (including EA`s Annual Report on Form 10-K for the
year ended March 31, 2009 and Quarterly Report on Form 10-Q for the quarter
ended June 30, 2009). If any of these risks or uncertainties materializes, the
potential benefits of the acquisition may not be realized, EA`s and/or
Playfish`s operating results and financial performance could suffer, and actual
results could differ materially from the expectations described in these
forward-looking statements. These forward-looking statements speak only as of
the date of this press release. EA assumes no obligation to update these
forward-looking statements.

EA Corporate Communications
Tiffany Steckler, +41 22 316 1322
tsteckler@europe.ea.com
Jeff Brown, +1 650 628 7922
jbrown@ea.com
or
EA Investor Relations
Mary Vegh, +1-650-628-3916
mvegh@ea.com
or
Director of Communications Playfish
Tom Sarris, +1-415-578-3194 (direct)
415-272-2174 (mobile)
tom.sarris@playfish.com



Copyright Business Wire 2009

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