Electronic Arts
chose the UK to locate its European headquarters and then acquired a
major development studio."
The UK influence on this burgeoning market is continually growing.

About Scholastic
Scholastic Corporation (Nasdaq: SCHL) is the world's largest publisher and
distributor of children's books and a leader in educational technology.

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"More
than 22,000 people work in the UK gaming industry - - 6,000 in the
development sector alone." Other innovative games and products of note
include Lionhead Studios + Big Blue Box's "Fable" and Sony's "Eye
Toy," a USB digital camera that makes the player the star of the game
by tracking the player's body movements and integrating them into the
action onscreen.
To underscore the United Kingdom's commitment to the video games
industry, UK Trade + Investment, the Department of Trade + Investment
and the British Council are, for the third consecutive year,
sponsoring the UK State of Play Pavilion and the British Gaming
Village at E3 to showcase some of the nation's hottest developers and
publishers. Our goal is to inform company
decision makers about the unique opportunities that exist in the UK,"
Slater said. It is very much a win-win relationship.

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Business Editors/High-Tech Editors
E3Expo 2005

LOS ANGELES----With the world's
third-largest video game market and Europe's highest concentration of
independent development studios, officials from UK Trade + Investment,
the UK Government's business development agency, will be at E3 to
explain why the UK is the European partner of choice for the US and
international video games industry.
Eidos' "Tomb Raider" series has sold more than 28 million units and
its star, Lara Croft, has spawned two films. -- Interactive Activities and Expert Information to Help
Get Kids Reading This Summer

NEW YORK, Studies show that millions of children in
the United States lose ground in reading skills during the summer when school
is out.com/summerreading offers great online
activities for indoor summer fun. Kids can explore and uncover never-before-
seen information about some of their favorite books including Because of Winn-
Dixie, Holes and the newest edition to the club for summer, Esperanza Rising,
plus participate in interactive message boards and bulletin boards about
books.
As part of the company's commitment to improving children's literacy and
to slowing down the effects of the "summer slide," Scholastic will also
provide special book offers and fun summer-themed national promotions through
its in -school Book Clubs, Book Fairs and at-home continuity Book Clubs.

About Scholastic.com is a leading website for K-8 teachers, students and
families.

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"The leading video game companies have found that the United
Kingdom offers terrific business opportunities, in particular through
collaboration with some of the world's most innovative and creative
games developers and publishers," said David Slater, Her Majesty's
Consul and UK Trade + Investment's Director for the West Coast. Skillset is proactively
tackling the skills needs of the games sector, working with employers
-- including big name publishers like EA, Activision and Eidos and
SMEs like Blitz Games and Kuju -- to shape the future provision of
education and training for the sector," Slater said.

Scholastic.com Launches Special Summer Reading Site to Tackle the 'Summer Slide'

With useful articles, reading tips, activities and
booklists, the Summer Reading mini-site is an interactive experience that
brings reading and books to life online and offline.

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As a government agency, UK Trade + Investment is uniquely
positioned to offer expanding companies access to a growing network of
global business advisors and market entry intelligence and guidance on
operational issues.

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UK
State of Play is in the West Hall at the Los Angeles Convention Center
and the British Gaming Village can be found in Kentia Hall.

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scholastic. The Teacher Store at Scholastic.

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UK Engages Video Game Business at E3; UK Trade + Investment Releases MPEG to Showcase Nation's Attributes and Commitment to Growing the Video Gaming Industry

"
In addition to helping overseas companies develop their business
in the UK, the UK Government is working in close partnership with the
industry to ensure that the UK remains a competitive environment for
developing games. We believe that this initiative is
unique, not only in Europe, but elsewhere . "UK
Trade + Investment serves as a collaborative partner in the business
development process and provides access to all resources that
international businesses need to enter the UK and European market.

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All the major international players -- EA, Activision, THQ, Sega,
Atari, Microsoft Xbox , Sony Computer Entertainment, Codemasters and
Nintendo -- have significant operations in the UK.

com

com.com
Scholastic.

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com has launched, Summer Reading Counts
(http://www.scholastic .

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uktradeinvestusa. In an effort to combat the effects of what is known as the "summer
slide" and encourage children across the nation to keep reading while school
is out, Scholastic.

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UK Trade + Investment also this week released an MPEG, which can
be found at www.uktradeinvestusa. The humorous video, produced by The Cannery in
Hollywood, features a modern-day town crier at a busy urban
intersection announcing some of the best features the UK has to offer
video game companies. "The MPEG highlights that the UK has the talent pool, the
market and infrastructure for US companies to tap into should they
decide to develop their business in the UK."
The video games market has seen huge growth over the last 15 years
as advances in technology have led to the introduction of affordable,
mass -produced games consoles.scholastic.scholastic.

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"A highlight is our co-operation on Skillset, the Sector Skills
Council for the Audio-Visual Industries. For
more information visit: http://www .com gives parents the easy and
useful resources they need to ensure their child's summer is filled with
books, activities, and lots of fun. Visit http://www.

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com/summerreading ), a unique and interactive online
resource for families.
Parents can view the online "Be a Reading Coach" video that shows parents how
to help a child learn to read, and can take a virtual tour of a reading
friendly home environment.
School Book Fairs nationwide will be distributing free book lists, summer
reading journals and colorful rubber reading bracelets to students who commit
to reading eight books over the summer. The Family Area on the site facilitates home-to-school connections
with robust resources including rich content and The Scholastic Store Online,
which offers a broad mix of merchandise carefully selected for its
developmental appropriateness and kid appeal, with learning benefits endorsed
by a panel of early childhood experts.

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With its government connections, in-depth
knowledge of UK regional business, ties to leading institutions, and
science and technology resources, as well as its global network, UK
Trade + Investment is a unique strategic resource for companies that
want to operate in the number one business location in Europe.
"With summer approaching, parents need to be thinking of ways to
incorporate learning and reading into their children's lives over the long
vacation months," said Sylvia Barsotti, Editor-in-Chief of Scholastic.
"The new summer reading site on Scholastic .
For kids, http://www.

For sites about the Harry Potter trading card game offered by Wizards of the Coast.

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For educators, The Teacher Area offers free, standards-based
content, online activities and teacher tools that span reading, language arts,
math social studies, and science.com
features an extensive, relevant selection of classroom and professional
development materials at preferred teacher pricing. Most recently special
interest areas including a Librarian Area and Administrator Area have been
created to provide resources and meet the needs for various educational
fields . The Kids Area offers game and
activities featuring children's favorite Scholastic characters, including
Clifford the Big Red Dog(TM), Harry Potter(TM), Maya + Miguel(TM) and Captain
Underpants(TM).

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"We wanted an edgy and industry-targeted device to get the
attention of the video gaming industry . The integrated
services offered by UK Trade + Investment bring together a network of
business sector specialists and support teams in British embassies and
Foreign and Commonwealth Office (FCO ) posts overseas, as well as key
experts in government departments across the UK. For summer, Scholastic Trade Books
has launched After Words(TM), a new collection of Scholastic children's
paperback novels with bonus content including author interviews, and
Scholastic Readers and Scholastic Bookshelf picture books in paperback for
younger readers.com .

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"Skillset is also
working towards a new games industry accreditation program for UK
higher education to ensure that graduates emerge with the optimum mix
of skills required by employers. In addition, the site offers targeted grade level
reading lists, tips on how to use public libraries to get the most out of the
experience and activities for reluctant, beginner and advanced readers.scholastic.

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Among the other
best-selling games conceived and developed in the United Kingdom were:
Rockstar Games' "Grand Theft Auto," EA's "Harry Potter " series and
Team Soho's "The Getaway.com/summerreading focuses on getting
children excited about reading with informative articles, age-appropriate
booklists, detailed advice and suggestions compiled by education experts. Kids can download fun bookmarks featuring
their favorite characters including Maya + Miguel(TM) and Captain Underpants,
and join Flashlight Readers(TM), an interactive online reading club that
brings children's books to life.

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This special area devoted to summer reading features interactive and fun
activities for children, in addition to expert advice and information for
parents/caregivers.com for information.
Scholastic creates quality educational and entertaining materials and products
for use in school and at home, including children's books, magazines,
technology -based products, teacher materials, television programming, film,
videos and toys. The Company distributes its products and services through a
variety of channels, including proprietary school-based book clubs, school-
based book fairs, and school-based and direct-to-home continuity programs;
retail stores, schools, libraries and television networks; and the Company's
Internet site, http://www.

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The exhibition platforms are also sponsored by the
Entertainment + Leisure Software Publishers Association (ELSPA), the
trade group for publishers, and The Independent Games Association
(TIGA), the trade group for the nation's developers. In that time, the United Kingdom has
become the world's third -largest market for video games -- behind the
United States and enough for every household
to own one."
For families, http://www.

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More than 30
UK-based developers and publishers are exhibiting at E3 this year.
"Ultimately, we want US companies to take full advantage of the
opportunities in the UK and maximize their profits," Slater said."

About UK Trade + Investment

UK Trade + Investment is the government organization that both
supports companies in the UK doing business internationally and
overseas enterprises seeking to locate in the UK.

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com/e3, to inform the video gaming
industry and media that cover it about the benefits of expanding in
the United Kingdom .
Equally important, we want to introduce UK companies to the US market
and assist them to invest , maximize profits and create wealth in the
US.