CAPCOM® and circle ANNOUNCE WITHOUT WARNING™ FOR THE PLAYSTATION(R)2 COMPUTER ENTERTAINMENT SYSTEM AND XBOX™

Circle | Las vegas - February 4, 2005 - Capcom^® today announced a global publishing agreement with UK developer CiRCLE Studio, a development house founded by the creators of the world renowned Tomb Raider series. Capcom will publish the studio's first title, Without Warning^TM, for the PlayStation^®2 computer entertainment system and the Xbox^TM video game system from Microsoft^®. Without Warning is a highly charged action shooter set against the backdrop of a brutal terrorist siege of a U.S. based chemical plant. The story takes place over a 12 hour period, during which players will experience the events from the vantage point of six characters that are caught up in the crisis situation. Capcom plans to release the game across all PAL territories this autumn.

"We are delighted to be working with Capcom on the release of such a significant title," commented Jeremy Heath-Smith, managing director of CiRCLE Studio. "Without Warning is CiRCLE Studio's flagship product and partnering with such a respected publisher will be invaluable toward its success."

CiRCLE Studio Ltd is an independent UK games developer that was founded in 2003 by Jeremy Heath-Smith and Adrian Smith. The Smith brothers share more than 39 years of collective experience in the gaming industry. They are the original founders of Core Design and responsible for numerous software hits, including the Tomb Raider series and one of the world's most successful video game icons, Lara Croft. The development studio is largely comprised of former Core Design staff.

"This global deal marks the first time Capcom has published a title from a European developer," said Hiroshi Tobisawa, president of Capcom Entertainment, Inc. and president, CE Europe. "As CiRCLE Studio's first title, Without Warning is momentous for both parties and compliments Capcom's own internally developed product line. The staff at CiRCLE Studio has a successful track record and will deliver again with a new title that provides an innovative and intense gameplay experience."

In Without Warning, a radical terrorist group has targeted and seized the Peterson-Daniels Chemical Facility, a vulnerable location that jeopardizes millions of people from the devastating ecological hazard it imposes if destroyed. Pleas are useless and any direct military assault would be too great a risk. As terrified hostages fear for their lives, their only hope lies with a covert operations team, whose goal is to infiltrate the plant and eliminate the merciless enemy.

The harrowing events unfold over a 12 hour period, featuring a unique gameplay dynamic which enables the six central characters to experience events across the same timeline but from their own distinct viewpoints. The player controls each character individually, with the focus automatically shifting to a new character at key moments which are unfolded through cut scenes. By switching between the characters, their individual tales are woven together to create an overall picture of the events that happened during the crisis. The player will also retrospectively view events through the eyes of another character and is therefore not only a participant in the events, but a spectator as well. Furthermore, actions performed as one character affect the progress of others and players must successfully utilize the strengths of each in order to advance.

Without Warning includes the following features:

CE Europe Ltd, headquartered in London, England, is a wholly owned subsidiary of Capcom, Co., Ltd. of Japan. A leading force in the multi-billion dollar interactive entertainment industry, Capcom's legacy spans more than 22 years of entertaining video gamers. Capcom develops, markets, and distributes home video games for the PlayStation^® game console, PlayStation^®2 computer entertainment system, Nintendo^® GameCube and the Xbox^TM game consoles, Game Boy^® Advance and Game Boy^® Color Systems, personal computers, and coin-operated games. Worldwide recognizable product lines include the Resident Evil, Street Fighter, Mega Man, Breath of Fire, and Onimusha series. World headquarters in Osaka, Japan, the company also has offices in Tokyo, Hong Kong, London, Germany and Sunnyvale, California. The company is publicly traded on the Tokyo Stock Exchange code number 9697.

Capcom, Street Fighter and Resident Evil are registered trademarks of Capcom Co., Ltd. Onimusha, Mega Man and Breath of Fire are trademarks of Capcom Co., Ltd. "PlayStation" and the "PS" Family logo are registered trademarks of Sony Computer Entertainment Inc. Nintendo, Game Cube, Game Boy and Game Boy Advance are trademarks of Nintendo. Xbox and Microsoft are trademarks of Microsoft Corp. All rights reserved. All other marks are the property of their respective holders.