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Activision Acquires Best-Selling Japanese Wrestling Title

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Critically Acclaimed 3-D Wrestling Game to be Adapted for Worldwide Distribution

Los Angeles, CA - August 2, 1996 - Activision, Inc. (Nasdaq: ATVI) has signed an agreement with Tomy Company, Ltd. to acquire the worldwide rights, excluding Japan, for Toukon Retsuden - the number one wrestling game which according to Tomy has shipped approximately 220,000 units for the Sony PlayStation in Japan. Under the terms of the agreement, Activision will work closely with Tomy to enhance and adapt the title for the international market. The announcement was made today by Bobby Kotick, Chairman and C.E.O., Activision, Inc.

"This agreement underscores Activision's commitment to aggressively seek out next-generation console games and bring them to a global market," said Kotick. "Any fan of wrestling and high-energy spectator sports will appreciate the action, attention to detail and entertainment value of this extraordinary PlayStation game."

A realistic wrestling game, Toukon Retsuden thrusts players into one of four professional wrestling arenas complete with cheering crowds, eye-catching backgrounds, ring art and a booming announcer. The game features 12 high polygon count 3-D wrestlers, each with a unique repertoire of authentic motion-captured moves including reversals, pile drivers, body slams, combos, neck breakers, hammers, rope flings, thumb breakers and scores of others. The combatants visibly pant, grimace and choke as they struggle in hand-to-hand grappling both on center stage and at ringside.

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Activision, Inc. is a publicly held developer and publisher of interactive entertainment software for Microsoft Windows and MS-DOS-compatible, Macintosh and other computers, as well as Nintendo, Sega, and Sony PlayStation game systems. Headquartered in Los Angeles with offices in London, Tokyo and Sydney, the company sells and markets products under the Activision and Infocom trade names.

The statements contained in this release that are not historical facts are "forward-looking statements." The company cautions readers of this press release that a number of important factors could cause Activision's actual future results to differ materially from those expressed in any such forward-looking statements. These important factors, and other factors that could affect Activision, are described in the Company's Annual Report on Form 10-K for the fiscal year ended March 31, 1996. Readers of this press release are referred to such filings.

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