FLAGSHIP STUDIOS ANNOUNCES NEW SUBSIDIARY DEVELOPMENT STUDIO – FLAGSHIP SEATTLE

Newly Formed Flagship Seattle to release casual RPG Mythos in 2007

SAN FRANCISCO, CA (December 14th, 2006) -- Flagship Studios today announced that it has expanded operations with the formation of a new development studio: Flagship Seattle. Flagship Studios is already one of the most respected independent video game developers in North America. The creation of Flagship Seattle plays an integral part in the company's development plans.

The studio is led by Travis Baldree, Project Director. Baldree previously worked at Wild Tangent as the Lead Designer on the popular free-to-play role-playing game Fate. Flagship Seattle has a diverse history of game development. Other team members have worked on titles including Total Annihilation, Dungeon Siege and SWAT 3.

Flagship Seattle is currently working on Mythos, an online role-playing game that will be used to test the networking technology behind the multiplayer component of the highly-anticipated action role-playing game Hellgate: London. Mythos will be digitally distributed by Flagship Studios subsidiary Ping0, LLC in North America and Europe in 2007. HanbitSoft, Flagship Studios’ partner in Ping0, will be responsible for distributing Mythos in Asia.

“We were very impressed with the work of Travis from when we were first shown Wild Tangent's Fate at E3 2005", said Phil Shenk, Creative Director of Mythos and founding member of Flagship Studios. “Both he and the Flagship Seattle team have an exceptional pedigree in games development. Their skills and expertise make them real assets."

“To be involved in the formation of Flagship Seattle is an honor“, said Travis Baldree, Project Director of Flagship Seattle. “We are sure that Mythos will put Flagship Seattle on the map, and in turn will become an integral part of the Flagship Studios experience”.

About Flagship Studios
Flagship Studios is a creator of innovative entertainment software, designing games that focus on ease of play, replayability, and fun. The studio was formed in 2003 by former executives and developers from Blizzard North® and represents the creators of the worldwide, best-selling Diablo® franchise. With members that are renowned within the gaming industry, Flagship Studios and Flagship Seattle embody a team that has worked together for over a decade and have numerous #1-selling games and multiple Game of the Year awards to their credit. For more information about Flagship Studios log onto www.flagshipstudios.com or contact Tricia Gray at tgray@flagshipstudios.com, (415)-489-1419.

About Ping0, LLC
Ping0 is a company dedicated to connecting online gamers worldwide. By combining proprietary software solutions with innovative hardware and service partnerships, Ping0 provides a unique and powerful online infrastructure. Founded in 2006 by Flagship Studios and HanbitSoft, Inc., Ping0 offers a unique combination of talents and experience in the realms of online video game services and publishing.