Microleague enters into licensing agreement with GTE Entertainment for royalties of $300,000 to $1.2 million

Business Wire, June 24, 1996

NEWARK, Del.--(BUSINESS WIRE)--June 24, 1996--Microleague Multimedia Inc. (Nasdaq: MLMI) has entered into a licensing agreement with GTE Entertainment, Carlsbad, Calif., an affiliate of GTE Inc.

Under the terms of the agreement, GTE Interactive has been granted an exclusive license to resell software published under MLMI's MicroLeague, AbleSoft and General Admission brand names to original equipment manufacturers of personal computers.

The agreement also specifies minimum guaranteed royalties payable by GTE Interactive of $300,000 with total potential royalties of $1.2 million.

According to Neil Swartz, chairman and chief executive officer of MLMI, "The inclusion of multimedia software inside PCs as a marketing premium demonstrates a high degree of customer acceptance and demand for interactive products.

"It also demonstrates how software developers are leading PC manufacturers to build high-end hardware capable of supporting cutting edge technology such as Direct X, 3D graphic acceleration and surround sound."

Swartz added that the agreement was unique in that GTE Entertainment licensed all of the products published by MLMI's MicroLeague, AbleSoft and General Admission brand names. "Many times licensees and mass market distributors `cherry pick' among a publisher's product line.

"Accordingly, we are excited that GTE has licensed our entire product portfolio because we feel it validates the quality of our products across the board."

According to Swartz, distribution of MLMI products through GTE Entertainment is scheduled to commence during the third quarter of calendar 1996.

Microleague Multimedia Inc. is a brand-oriented publisher of interactive multimedia computer software for the entertainment, lifestyle and education segments of the personal computer market. The company publishes its software under the MicroLeague, APBA, AbleSoft and General Admission brand names.

CONTACT: Financial Communications, Ardmore, Pa.

David Evanson, 610/649-3604

for

Microleague Multimedia Inc., Newark

Peter Flanagan, 302/368-9990