Cybergames Acquires Five Interactive Casino Operations

5 October 1998

BOCA RATON, Fla. -- Cybergames Inc. (OTC BB: CYGA) announced October 5 that it has acquired all of the assets, title rights and interests that Atlantic International Ltd. (OTC BB: AIEE) and independent operators had in five virtual casino operations for $3,147,000 U.S. and Cybergames Inc. common stock.

Cybergames will maintain all the current operations at sites in Dominica, Antigua and Costa Rica. The company plans to implement a comprehensive marketing plan and budget to fully capitalize on targeted vertical markets as well as implementing its Powerball Bingo product.

"This acquisition is the second step by Cybergames toward becoming the largest integrated interactive gaming operation in the world," Cybergames President Mori Aaron Schweitzer said. "The company's infrastructure of operations will now extend from the Americas to Europe and Asia. It is our intention to offer our products to different markets through a vertical integration of sites and strategic marketing."

"With each of the operations utilizing Atlantic's proven gaming system we will be able to offer new products and services on a more timely and cost-effective level than other competitive gaming operators," he said. "Cybergames is uniquely positioned to become the leading gaming company, fully integrating interactive gaming sites with land-based venues."

Atlantic's President & CEO Richard A. Iamunno said, "Cybergames will be the first gaming company that has implemented a strategy incorporating a network of land-based and virtual gaming sites. Atlantic will work closely with Cybergames to develop new products and services for their growing gaming infrastructure."

Cybergames will now own and operate three hotel-based casinos in Costa Rica and seven international gaming operations. It will also commence operating, under the auspices of the Costa Rican Red Cross, a year-long Powerball Bingo and related games, culminating in a major drawing celebrating the end of the century, live, on December 31, 1999. The jackpot is expected to be in excess of $250 million U.S.

Upon completion of Cybergames' annual audit for its year ending September 30, 1998, the company believes that it will meet all the criteria and qualifications necessary to be a fully reporting company and will apply for a full listing on Nasdaq.