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Warthog PLC (WHOG)

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Friday 08 June, 2001

Warthog PLC

Heads of Agreement Signed

Warthog PLC
8 June 2001


Friday 8th June 2001

                                PRESS RELEASE

                                 WARTHOG PLC

                          ('Warthog' or 'the Group')

         WARTHOG SIGNS HEADS OF AGREEMENT FOR JOINT VENTURE WITH MMA

Warthog plc, the AIM quoted interactive entertainment software group, has
signed heads of agreement terms for a joint venture with North-West based TV
company Multi Media Arts ('MMA') to pursue opportunities to provide
cross-platform content for both television and games consoles. This agreement
will take advantage of both companies' expertise and intellectual property
rights across various media and represents a further step into new media for
Warthog. Both parties will cooperate to maximise the potential synergy between
television content and computer game content based on the same intellectual
property ('IP').

As well as currently developing its own IP, Warthog has had critical and
commercial success with StarLancer and Star Trek Invasion and has recently
announced contracts to develop games for the X-Men characters, among others.
Warthog also recently announced its deal with publisher Digital Bridges to
develop the prestigious Scott Adams Pirate Adventure games for mobile phones.

MMA is one of the UK's fastest-growing multi-media content providers, founded
in 1997 by two former executive producers at Granada Television. It has
produced over 100 hours of programming for clients including the BBC, ITV,
Channel 4, RTE and Granada Media group. Recent and current productions include
Revealing Secrets (Channel 4); TV's Finest Failures and Toy Patrol (BBC1);
Bodycheck (Granada, LWT, Yorkshire TV, TyneTees) and the Blizzard of Odd
(RTE). MMA has also produced Life on Mars, an internet drama series currently
online at E4.com.

The joint venture is intended to pursue opportunities to take multi-media
content projects and develop interactive programming and games applications.
In particular, the ability to develop characters and other intellectual
property across a wider range of platforms is expected to create new
opportunities for both companies.

Ashley Hall, CEO Warthog plc, said:

'We are delighted at the opportunity to formalise our relationship with the
MMA team, whose credentials within the media industry are impeccable. We are
acutely aware of the accelerating changes in the media and entertainment
industries and this joint venture gives both ourselves and MMA the combined
strength and opportunity to take maximum advantage of these long-term
developments.'

Mark Gorton, Creative Director of MMA, said:

'The opportunities offered by broadband and digital services are ideally
suited to the bringing together of television and games expertise. The future
will be about the creation of entertainments that play simultaneously in
different media. TV people understand the wider audience; games people
understand interactivity. The traditional, passive and shared experience of
television will never vanish, but there will be new and exciting relationships
with the small screen, be it a TV, PC or portable device. Watch the show, play
the game - the show helps you solve mysteries within the game and vice versa,
and all the time you receive regular updates and useful info via your mobile.
Viewers will be immersed in a content experience.'

Enquiries

Ashley Hall                                                     0161 491 5131

CEO Warthog plc


Jonathan Freeman                                                020 7488 4040

Beeson Gregory Limited


David Simonson/ Sadhbh O'Gorman Merlin Financial                0207 606 1244


Background to Warthog

Warthog was established in 1997 in Cheadle, Cheshire, to develop interactive
entertainment software, primarily for the computer games market. The Group's
workforce of over 100 includes 80 permanent full time staff and approximately
50 sub-contracted developers and consultants. It has a highly experienced
development team whose combined experience covers more than 100 games titles
across most major platforms and games genres, and with a wide demographic
spread.

Recent launches have included StarTrek Invasion for PlayStation, Asterix - the
Gallic War for PlayStation and PC, and Tom & Jerry TM for PlayStation and
GameBoy. Warthog is pioneering the use of multi-player game capabilities
across the internet and is best known to date for its development of the
highly acclaimed game Starlancer for publisher Microsoft, and for Sega's
Dreamcast for publisher Crave Entertainment. In July 1999, Warthog broadened
its skill base with the purchase, and subsequent integration, of Sourcery
Developments Ltd, a games developer with particular expertise in children's
games for the PlayStation and GameBoy platforms. As well as now developing for
all the major console platforms, Warthog retains strong relationships with a
wide spread of publishers across the industry, including Microsoft, Crave,
Activision, Psygnosis and Infogrames.

Warthog successfully floated on the Alternative Investment Market of the
London Stock Exchange on 1st February 2001.

Background to MMA

Multi Media Arts was founded in 1997 by Mark Gorton and Mark Spencer, two
executive producers with extensive experience of programme making at the BBC
and Granada Television. The company has produced more than 100 hours of
television for clients including the BBC, ITV, Channel 4, RTE, Granada Media
Group, IPC and EMAP.

Mark Gorton (Creative Director) was formerly head of Entertainment Development
at Granada TV, and has produced some of the most highly rated entertainment
programmes on British television, including the BAFTA-award winning series,
The Mrs Merton Show, Mrs Merton in Las Vegas, You've Been Framed, Cluedo and
the Tonight Show. Mark was also Deputy Editor of the long-running live ITV
series, This Morning.

Mike Spencer (Managing Director) was formerly Head of Regional Programmes at
Granada TV. His programme credits include Brass Tacks, On The Line, Reportage
for the BBC, and Open Eye, World in Action and Hooked for ITV. In 1992 he was
appointed Head of News and Features at Granada, becoming head of regional
programmes the following year. In 1996, he was made Head of Special Projects
with responsibility for Granada's cable and satellite programming in the UK
and abroad.

Katy Jones (Head of Development) has produced more than 20 editions of the
current affairs programme, World In Action (ITV). Her other programme credits
include the BAFTA-award winning Hillsborough, Dockers, and ITV's general
election coverage in 1997.

Matt Howarth (Head of 3D and FX) was formerly Head of 3D at Granada TV. Matt's
credits include Last Train, Stars In Their Eyes and Cold Feet, for which he
received a BAFTA nomination. At MMA, his department recently completed 50
minutes of 3D animation for the Granada/ C4 Schools series, The Virtual Body.



                                                                                
             

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