Raleigh, NC, May 21, 2002 - Epic Games announces its industry-leading 'Unreal Engine*', has been licensed by the U.S. Army to power the revolutionary "America's Army" PC game. The game and game details will be revealed to the computer and video games industry at the upcoming Electronic Entertainment Expo from May 22-25 in Los Angeles (Booth 2350 in the West Hall/Meeting room 153C in the Concourse Hall).

"It's an honor to be working with the U.S. Army and to have our engine selected as the technology solution for the game's development. Our mission is to constantly improve the gaming experience, and with our latest engine, both traditional and non-traditional players in the industry can join us on this crusade." said Mark Rein, vice president of Epic Games. "The development team on this has been top notch, and we can't wait to see everyone's reaction at E3."

"Our selection of the next generation Unreal Engine was the most important decision we made when charting our development path for 'America's Army'. The Unreal engine has allowed us push our graphics and realism beyond the state-of-the-art," said LTC Casey Wardynski, originator of the "America's Army" concept and manager of the development program.

Dr. Michael Capps, development team lead, said, "Our team was certainly excited about working with the Unreal technology - but the support and feedback Epic's team has given us, from the early design stages to last-minute optimization, has been truly invaluable."

Epic's award-winning Unreal Engine has already been licensed by many of the recognized leaders in PC gaming such as Electronic Arts (Undying, Adventure Pinball), Infogrames (Epic's own Unreal Tournament), and Eidos (Deus Ex, Deus Ex 2, Thief 3). The Unreal Engine is viewed as the game industry's most advanced and widely used engine.

About the Unreal Engine: The Unreal Engine, originally created for Epic's revolutionary 3D first-person Unreal computer game and continually updated to be state-of-the-art, provides programmers with a complete solution for software development -- from design and Artificial Intelligence (AI) to texture mapping and networking. Many programmers and artists both inside and outside of the gaming industry are drawn to the Unreal engine's advanced toolset, scripting possibilities and flexibility, which makes it extremely beneficial and easy to use for numerous applications, including architectural and historical recreations. The engine is constantly being improved to provide developers with tools for creating more detailed and expansive environments. For more information about the latest Unreal Engine features please visit <http://www.epicgames.com/unrealenginenews.html>

About Epic Games: Epic Games Inc, based in Raleigh, NC and established in 1991, is a developer of cutting-edge computer and video games. The company is best known as the creator of hit PC 3D action games Unreal and Unreal Tournament both award-winning blockbuster hits having each sold more than 1 million copies. Unreal Tournament has been recognized as the Game of the Year by many leading gaming media outlets including Computer Gaming World, the #1 PC games magazine, and has appeared on PC, Macintosh, Linux, Sony PlayStation® 2 and Sega Dreamcast. Epic's Unreal engine has been licensed to several top game developers for games in a variety of genres on multiple platforms including the PC, Apple Macintosh, Linux, Microsoft XboxTM and Sony PlayStation 2. Eidos' Deus Ex, which was PC Gamer magazine's 2000 Game of the Year, and Electronic Arts' critically acclaimed Undying are among the many shipping titles built using the Unreal engine. Prior to their 3D success, Epic Games was well known for the hit shareware games Jill of the Jungle, Jazz Jackrabbit and Epic Pinball. Most recently, Epic Games was listed on the 2002 Red Herring 100 as one of the top 50 private companies in the country recognized for innovation and business strategy. Additional information can be obtained through Epic's Web site at www.epicgames.com.