D3, Inc. and Illusion Softworks Announce Licensing Deal for New Intellectual Property Slated to Release in 2008 for PC, Xbox 360™ and PLAYSTATION®3

Deal Marks D3’s First Major European Development Partnership

LOS ANGELES--(BUSINESS WIRE)--D3, Inc. (JASDAQ: 4311), a holding company with entertainment software publishing offices in Japan, England and the United States, and Illusion Softworks, creators and developers of the acclaimed Mafia and Hidden and Dangerous videogame brands, today announced a partnership deal whereby D3 has obtained the exclusive, worldwide licensing rights to publish and distribute a yet-to-be-announced next-generation title based on new intellectual property currently under development at Illusion Softworks’ Czech Republic-based studios. This partnership marks the first major contract for D3 with a European videogame development firm. The title is planned for release in fall of 2008 for PC, the Xbox 360™ video game and entertainment system from Microsoft and PLAYSTATION®3 computer entertainment system.

“D3 is pleased to partner with this talented group in order to provide gaming enthusiasts with a compelling new videogame for 2008.”

“As Illusions Softworks marks their tenth anniversary as a first-class developer this month, they celebrate a reputation for delivering high-scoring, top-quality videogames and consistent success,” said Yoji Takenaka, executive vice president and chief operating officer, D3 Publisher of America. “D3 is pleased to partner with this talented group in order to provide gaming enthusiasts with a compelling new videogame for 2008.”

Illusion Softworks is located in the Czech Republic with offices in Prague and Brno, and was founded by Petr Vochozka and a venture capital investor in 1997. The company is comprised of several development teams in addition to separate Technical Support, Quality Assurance and their own in-house motion capture studio. Their design prowess is evident in their portfolio, with 90-plus rated games such as Mafia, Hidden and Dangerous and Vietcong on the impressive roster.

“We are thrilled to partner with D3 not only because they publish excellent games, but also because they publish a more streamlined portfolio of products, with any new and original intellectual property they commit to becoming the central focus of the company,” said Petr Vochozka, CEO, Illusion Softworks. “The development, marketing and retail resources that D3 wields will be essential assets as this explosive new intellectual property is established in the competitive arena.”

About D3Publisher of America, Inc.

D3Publisher of America, Inc. is a subsidiary of D3, Inc. with headquarters in Tokyo, Japan. D3Publisher of America’s strategic focus is on licensed and original titles from leading third-party developers that appeal to mass-market consumers or gaming enthusiasts. Based in Los Angeles, D3Publisher of America distributes and publishes software for personal computers, major console platforms and handheld systems including Wii™, Nintendo GameCube™, Nintendo DS™, Game Boy® Advance, PlayStation® game console, PlayStation®2 computer entertainment system, PLAYSTATION®3 computer entertainment system, PSP® (PlayStation®Portable) system, the Xbox® video game and entertainment system from Microsoft and the Xbox 360™ video game and entertainment system from Microsoft. For additional information on D3Publisher of America and its products, visit the website at http://www.d3publisher.us.