Georgia Entertainment Incentives Attract $22 Million Investment to Atlanta Game Development Company

ATLANTA, February 11, 2010 — Entertainment Arts Research, Inc., headquartered in Atlanta, has signed an unprecedented deal to develop a virtual world and console video games for China's Shaolin Temple. The joint venture will create 50 jobs over the next two years and represents a $22 million investment. 'This remarkable agreement between Georgia's own Entertainment Arts Research, Inc and China's Shaolin Temple is a direct result of our competitive incentives,' said Bill Thompson, deputy commissioner of the Film, Music & Digital Entertainment Division of the Georgia Department of Economic Development.  'Innovative companies in our state compete with the best in the nation, and Georgia is well-positioned to support the growing digital entertainment industry.' The Shaolin Temple, founded in the 5th century and located in Henan Province, has a longtime association with the Chinese martial arts, particularly with Kung Fu. This license agreement represents its first foray into virtual media and game development.  Entertainment Arts Research, Inc. (EARI) will produce no fewer than four new products for the Shaolin Temple over the next 12 years. EARI begins production on the first virtual game of the Shaolin Temple on March 1 and it is scheduled to be released in December 2010. With exclusive world distribution rights with the exception of certain Asian countries, EARI will produce all Shaolin digital games, including those games resulting from related media such as Shaolin-produced movies. Joseph Saulter, CEO and founder of Entertainment Arts Research, Inc.; Jonathan Eubanks, the company's president; Mr. Fu Min, managing general manager of the Shaolin Temple; and Dr. Fred DiUlus, CEO and founder of Global Academy Online, acting director of the venture, signed the agreement at the Shaolin Temple in China on Monday, February 8, 2010. 'We're very excited about collaborating with the famed Shaolin Temple on this ground-breaking project,' said Mr. Saulter. 'This is a project that could have gone to many other places, so I'm glad the availability of the state's incentives gave us a competitive edge, and that EARI and Georgia will be a part of the Temple's continuing contributions to global culture.' During fiscal year 2009 (July 2008 through June 2009), 41 video game productions were produced in Georgia. Currently, more than 60 video game businesses operate around the state. Georgia's video game workforce is estimated at over 1,600 workers, and 15 of the state colleges and universities offer video game development courses or curriculums, including some graduate degree programs. Several international game development companies have recently located in Georgia, including Metaboli from France and CCP Games from Iceland. Under the Georgia Entertainment Industry Investment Act, Georgia offers the most aggressive incentives in the nation for video game development. Projects that qualify for the incentives under the legislation may receive an income tax credit of 20 percent to qualified productions. An additional 10 percent tax credit is awarded to approved projects that embed a Georgia promotional logo in the titles or credits of a production. Eligible productions include both traditional motion picture projects such as feature films, television series, commercials and music videos, and innovative industries like game development and animation. About FMDE The Film, Music and Digital Entertainment Division, formerly known as the Film, Video and Music Office, conducts extensive business development, sales, marketing and promotional activities in order to attract entertainment projects and businesses to the state. The division's team also assists the local, national and international entertainment industries with information, expertise and resources. It is a division of the Georgia Department of Economic Development (GDEcD), the sales and marketing arm of the State of Georgia. For more information, please visit www.georgia.org.