REDWOOD CITY, Calif., April 1, 2005 -- Electronic Arts (NASDAQ: ERTS), the world's leading interactive entertainment software company today announced the completion of negotiations with Bethesda Softworks® LLC, ending month long talks over the acquisition of the multi-million dollar The Elder Scrolls® brand and all associated technologies and materials.

First released in 1994, The Elder Scrolls® is widely recognized as a catalyst for the open role playing genre. Since its inception, the franchise has been one of the industry’s best-selling RPG series on both Windows® PC and Xbox®. "We couldn't be happier" said Mark Kelly, EA Senior Vice President and General Manager. "This is a very important move for us, The Elder Scrolls IV Oblivion™ is one of the most anticipated releases on any format - its acquisition will allow us to penetrate into more advanced areas of the PC and console role playing markets".

This agreement reinforces EA's commitment to bring quality interactive entertainment to the broadest possible audience "it will now be possible for us to re-write and scale back the existing technology to better suit a more general audience, allowing it to run on the greatest number of platforms" said John Spinner, President and Chief Operating Officer at Electronic Arts "we will now release on Playstation®2, with ports on Windows® PC and Xbox® to follow shortly thereafter", "we also plan to add several new games to the franchise such as Vivec Street™ 2006 and Cyrodiil Street™ 2006 to further bolster our sports line up this fall".

About Electronic Arts
Electronic Arts Inc. (EA), headquartered in Redwood City, California, is the world's leading interactive entertainment software company. Founded in 1982, Electronic Arts posted revenues of $2.5 billion for fiscal 2003. The company develops, publishes and distributes interactive software worldwide for video game systems, personal computers and the Internet. Electronic Arts markets its products under three brand names: EA SPORTSâ„¢, EA GAMESâ„¢, and EA SPORTS BIGâ„¢. 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.

About Bethesda Softworks®
Headquartered in Rockville, Maryland, Bethesda Softworks LLC is a premier developer and publisher of interactive entertainment software and has produced numerous award-winning titles, most recently with the 2002 PC and Xbox® Game of the Year and RPG of the Year, The Elder Scrolls III: Morrrowind®. Among Bethesda’s more popular franchises are The Elder Scrolls® series, Fallout®, and the IHRA Drag Racing series, as well as its licensed property, Pirates of the Caribbean™. Its product line spans the sports, racing, RPG, strategy, and action genres. Bethesda Softworks is a subsidiary of ZeniMax Media Inc. For more information on Bethesda Softworks’ products visit
http://www.bethsoft.com/.

There have also been reports of fans in some cities in the UK going into game stores and burning EA products, no doubt IMO the first of a long backlash against EA for what they will do to Oblivion. One angry 22 year old from Yeovil, UK said "I've seen the leaked screenshots of EA's Oblivion they've wrecked it - Daggerfall looks nice in comparison".

Also in an interview earlier this afternoon Mark Kelly is quoted as saying in reply to some questions of the quality of leaked screenshots (being far far worse then that of Morrowind) "We as a company always try to put the consumer first, we believe by allowing more consumers to enjoy this product we will ensure the continuing success of the Elder Scrolls brand".