eGames, Inc., Formerly RomTech, Inc., Launches New Web Site; Begins Trading Under New Ticker Symbol 'EGAM'
LANGHORNE, Pa., March 1 /PRNewswire/ -- eGames, Inc. (Nasdaq: EGAM - news), today launched its Family Friendly web site ''eGames.com'' in conjunction with the official adoption of its new company name and ticker symbol. The Company formerly operated under the name RomTech, Inc. (Nasdaq: ROMT - news).
The Company's new web site emphasizes its commitment to the PC and Apple computer gaming market and offers consumers an extensive selection of dynamic, multi-level demos and affordable, easy-to-download games.
According to Bill Acheson, Vice President of Sales and Marketing, ''We have created an incredible system for distributing our software and we are inviting the public to view our online selections. The site is dedicated to providing 24 hours a day, 7 days a week access to one of the best collections of PC games available. Our future plans for the web site involve expanding our offerings to include the best Family Friendly collection of games available for the Apple computer as well.''
On January 14, 1999, the Company announced a distribution and marketing agreement with Digital River (Nasdaq: DRIV - news), the leader in electronic software delivery (ESD). This new partnership will enable the eGames web site to offer hundreds of Family Friendly titles for sale, in addition to its own top- selling Family Friendly titles in time for this year's Christmas selling season.
According to Mr. Acheson, ''We continue to have a fantastic selection of games available through our traditional retail channels. While we expect that more than 90% of our 1999 sales will be generated through retail, our Internet initiative enables us to offer virtually an unlimited selection of titles to consumers online, something that is impossible in any single retail store. In addition, as gaming sites are among the most often visited on the World Wide Web, our expanded e-commerce strategy empowers us to capitalize on the Internet revolution.
''The eGames.com web site complements our retail strategy. To this end, in addition to being an additional source of revenues, it serves as an excellent marketing and market research tool. We can share the online success stories with our retailers so they will know in advance what is hot, what is not and what to stock.''
The site will also offer games for exclusive digital delivery through eGames.com, including 'Lexicon', a popular new word game. Since launching its Digital River supported electronic shopping cart in December, the Company's on-line sales have more than tripled to $500 per day. Over half of the sales on the web site have been downloaded directly to the customer's PC versus the physical delivery of CDroms.
''Electronic delivery is fast, easy and convenient,'' said Mr. acheson. ''Within minutes of beginning a transaction, the user has the software up and running on their PC and is enjoying their new game.''
According to Jerry Klein, CEO of eGames, Inc., ''As PC prices have fallen, we have seen our sales grow as consumers seek out affordable, fun software games. Our goal is to achieve market leadership in the value-priced niche of the PC gaming market. We believe that our commitment to our business plan, Internet marketing and sales, our name change and our new eGames.com web site will help us achieve that goal.''
In addition to the many new games and demos available at eGames.com, the site will feature a new interface, a Family Friendly portal page including a Family Friendly search engine, Shockwave content for online gaming and a customizable home page. The site will also offer value-added opportunities for existing customers such as additional tiles sets and backgrounds for the popular MahJongg releases from the Game Master series.
eGames, Inc. is headquartered in Langhorne, Pa. In addition to software games, the Company publishes a diversified line of PC software for small business and home office applications. The Company is best known for its Galaxy of Games(TM), Galaxy of Home Office Help(TM), Game Master Series(TM) and Galaxy of Arcade(TM) brand names (''Galaxy Software''). Under the Galaxy brand banner, the Company strives to differentiate its products in the marketplace, generate customer and retailer loyalty and encourage repeat purchases. eGames reported a 39% increase in sales for the first six months of fiscal 1999.
This press release contains certain forward-looking statements, including without limitation, statements regarding future sales, eGames' business strategy relating to internet marketing and its name change and the success of eGames' Galaxy branding strategy and Game Master Series products. The actual results achieved by eGames, and the factors that could cause actual results to differ materially from those indicated by the forward-looking statements, are in many ways beyond eGames' control. eGames cautions readers that the following important factors, among others, could cause eGames' actual results to differ materially from those expressed in this press release: eGames' ability to implement its Internet strategy; the allocation of adequate shelf space for eGames' products in major chain retail stores; successful sell-through results for eGames' products at retail stores; downward pricing pressure; the timeliness and success of developing and selling products; the acceptance by the market of the Game Master and other Galaxy products; access to and control over distribution channels; consumers' continuing demand for value-priced software; competition; the ability to create successful strategic partnerships; and various other factors, many of which are beyond eGames' control, described in the Company's reports, including Form 10-KSB, dated June 30, 1998, filed by the Company with the Securities and Exchange Commission.
biz.yahoo.com
I'm not as certain that EGAM is being hit by shorting as others seem to be but making sure it is in a cash account cannot hurt.
Game software stores often take a downturn after the holiday season. I took the time to check Electronic Arts to see how this leader in the software games industry was doing and it is a long way off it's high:
quote.yahoo.com
It might take a while for EGAM to turn but it still looks like a long term winner to me.
Regards, Jeff
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