MICROSOFT ANNOUNCES SHIP DELAY FOR DUNGEON SIEGE

August 16, 2001 – Redmond, WA -- Microsoft and Gas Powered Games have made the careful decision not to release Dungeon Siege in the fall of 2001. Both companies remain extremely excited about the game and are committed to completing the title and bringing the highly anticipated game to store shelves in 2002.

“Our decision to delay the release of Dungeon Siege is one of the toughest we’ve had to make, but we firmly believe that this is the right choice given that one of the most critical steps in creating an RPG is the tuning and balancing stage,” said Chris Taylor, Lead Designer, Gas Powered Games. “We’ve made a promise to build a game that delivers an over-the-top experience, and we’ll do whatever it takes to deliver on that promise.”

This new development schedule will deliver the high-quality RPG game that fans demand and expect from Microsoft and Gas Powered Games. Additional updates will be posted on Dungeon Siege’s official website at http://www.microsoft.com/games/dungeonsiege/.