MIDWAY ANNOUNCES DEVELOPMENT OF L.A. RUSH

Tradewest :

FOR IMMEDIATE RELEASE

London, August 26, 2004 - Midway Games Inc. (NYSE: MWY) today announced the development of L.A. Rush^TM, an innovative racing videogame based on the sport of competitive street racing and the fanatical, ruthless lifestyles of those involved. A reinvention of the classic Midway Rush^TM franchise, L.A. Rush is scheduled for release in spring 2005 on the PlayStation^®2 computer entertainment system and the Xbox^® video game system from Microsoft.

Based on entirely new technology that recreates a living, breathing go anywhere Los Angeles with highly destructible environments, players will be able to explore Los Angeles by day or by night from Compton, to LAX, Hollywood, Beverly Hills, and the beaches of Santa Monica. The unique story mode of L.A. Rush, enriched by the creative design assistance from the game's exclusive content partners, Rides magazine and West Coast Customs, presents a powerful lifestyle adventure in a fully free-roaming city. Pure racing skills are on the line as the world's best street racers gather in L.A. and the player's self-respect is up for grabs in a variety of non-racing driving missions. Cop chases, gridlock, cross-traffic, high-flying jumps, and the death-defying shortcuts that the Rush franchise is known for take L.A. Rush beyond the standard tuner-car simulation game. Featuring a number of gameplay modes and unique objectives, L.A. Rush will feature more than 50 licensed and concept cars, classic muscle cars, SUVs and import tuners, customizable part manufacturers and designs (including several exclusive West Coast Customs vehicle concepts), celebrity talent, music and much more. More details on L.A. Rush will be unveiled in early 2005.

About Midway

Midway Games Inc. is a leading developer, publisher and marketer of interactive entertainment software. Midway videogames are available for play on all major videogame platforms including the PlayStation^®2 computer entertainment system, Xbox^®, Nintendo GameCube^TM and Game Boy^® Advance.

For more information about Midway Games visit www.midway.com.

About Harris Publications

Harris Publications, Inc., is one of the nation's largest special-interest magazine publishers. In addition to RIDES, the definitive automotive lifestyle magazine, they publish XXL, the hottest hip-hop magazine in the world with a circulation over 300,000. They also publish KING, the original urban men's lifestyle magazine, as well as SCRATCH, the first hip-hop DJ/Producer magazine and they founded and continue to operate SLAM, the world's authority on basketball.

L.A. Rush is a trademark of Midway Home Entertainment Inc. Midway is a registered trademark of Midway Amusement Games, LLC. "PlayStation" and the "PS" Family logo are registered trademarks of Sony Computer Entertainment Inc. Xbox is a registered trademark of Microsoft Corporation in the United States and/or other countries. All other trademarks are the property of their respective companies.

"This press release contains forward-looking statements concerning future business conditions and the outlook for Midway Games Inc. (the "Company") based on currently available information that involve risks and uncertainties. The Company's actual results could differ materially from those anticipated in the forward-looking statements as a result of these risks and uncertainties, including, without limitation, the financial strength of the interactive entertainment industry, dependence on new product introductions and the ability to maintain the scheduling of such introductions, technological changes, dependence on major platform manufacturers and other risks more fully described under "Item 1. Business - Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2003, and in the other more recent filings made by the Company with the Securities and Exchange Commission."

For More Information Contact:

Phil Robinson

PR Manager

Midway Games Ltd

+44 207 382 7720

[email protected]

Mathew Huband

European Product Manager

Midway Games Ltd

+44 207 382 7720

[email protected]

James Beaven

Non-specialist Media

Indigo Pearl

+44 208 964 4545

[email protected]