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Settlement of the Patent Litigation against Mad Catz, Inc.

November 1, 2006

KONAMI CORPORATION

Konami Corporation, which was the developer of the Dance Dance RevolutionR video dance game, and MadCatz, Inc., developer of MC Groovz Dance Craze, today have announced the mutual settlement of the litigation between the parties which has been pending in the U.S. District Court in the Eastern District of Texas since July 2005, entering into the settlement agreement. Under the terms of the settlement, MadCatz agreed to respect Konami's intellectual property rights.

*Konami expands scope of its litigation against dance game developers and distributors in the U.S. (July 6, 2005)