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SEGA UFO CATCHER

Test Results are Out-of-this-Orbit

Elk Grove Village, IL July 10, 2006 — Sega Amusements USA, Inc. (SAU) reports impressive test earnings for SEGA UFO CATCHER, an exceptional two-player crane game scheduled to release this summer.

During a six week test conducted at a Midwest travel center in May and June, SEGA UFO CATCHER earned numbers that are unique to most crane operations. The game on test earned approximately $2,300 over the span of four weeks, which was a significant increase in comparison to the location's previous prize machines. In the first test week, the two-player machine brought in $624 at one dollar per play and carried that success through the last week of June where SEGA UFO CATCHER earned $685. Even more impressive is the location's competing prize dispensing machine is bringing in much less than half of SEGA UFO CATCHER's weekly earnings.

Week 1	Week 2	Week 3	Week 4	Week 5	Week 6
$624	$516	$518	$685	$566	$531

The operator of this location is thrilled with the cashbox results and recognizes the profitable differences between SEGA UFO CATCHER and competing games. The operator stated, First Derby Owners Club, now this; SEGA is on a roll. For years we have operated traditional cranes and done well; with Sega's encouragement we decided to try a UFO crane. It has grossed between 2.5 to 3 times, over a month period, what a normal' crane generated in the same location. We are looking at adding a second one as quickly as we can. It is a fresh piece of equipment in a market starving for some ingenuity and creative applications. GREAT JOB SEGA.

Sega is definitely on a roll. Its upcoming roll out of Disney plush and toys will accompany every SEGA UFO CATCHER machine sold. Crane operators can look forward to fresh and new collectible series' each month, featuring creative styles and colors. Sega is also extending its Automatic Plush Shipment Plan to operators, where cases are automatically sent each month, thus taking out the guesswork and pressure associated with having to order enough merchandise month to month.

ABOUT SEGA UFO CATCHER
SEGA UFO CATCHER is Sega's first installment of the franchise that reaps success in Japan. The game, known as UFO Catcher 7 overseas, is an advanced crane game made for the player and operator both. SEGA UFO CATCHER is a two player crane machine with dual-shoveled claw heads that also model the look of a retro UFO. The machine comes with 3 uniquely sized arms and 3 types of shovels (hooks) to accommodate almost any prize. Sega is offering additional options such as a 20" Media Player with Flash ROM to run customized advertisements or a fun instructional video, Plexiglass Risers to best display prizes, Dollar Bill Acceptor and a Security Bar.

ABOUT SEGA'S DISNEY COLLECTION - SERIES 1
Sega Amusements Merchandise Division will be releasing its first of twelve series of Disney plush and toys before the end of the summer. Series 1 will include several sizes of merchandise from Jumbo 13"-15", Medium 6"-9" and Key Chains. Sega's Disney plush are unique and exclusive to the SEGA UFO CATCHER game. In this series, operators can feature colorful and attractive pieces such as 1920s Mickey, Japanese-style Mickey and Minnie, Chocolate (brown colored) Mickey and Minnie, Astronaut Mickey and Minnie, Monochrome Mickey and Minnie, as well as 2 styles in Stitch and 4 Villains Characters, including Ursula the Sea Witch.

Contact your Sega Representative for more information on
SEGA UFO CATCHER or our Disney line of merchandise.

About Sega Amusements USA, Inc.
Serving the North and South American markets, Sega Amusements USA, Inc. is a wholly owned subsidiary of Sega Corporation, Japan. Sega Amusements USA, Inc. is an industry leader in creating state-of-the-art interactive video, self contained merchandising, and redemption game play experiences through the utilization of complementary technologies and devices to enhance player enjoyment and loyalty. Products include single-player upright video games, self-contained merchandisers, and multi-player attendant operated simulators.