MGAM’s financial and operational deterioration almost complete.

Multimedia Games, Inc. (NASDAQ: MGAM, $14.25) reported net income of $7.2 million in its fiscal fourth quarter ended September 30, 2004. This amounts to just $277,000 more than Multimedia Games’ reported net income of $6.9 million in its peak quarter ended March 31, 2002. Multimedia Games’ total assets in the fourth quarter were $217.4 million or 3.2 times the total assets in its peak quarter of $68.3 million. The total player stations in the fourth quarter were 16,987 or twice Multimedia Games’ install base of 8,322 during its peak quarter. Table I attached presents these facts.

Asensio & Company, Inc. reports are published and distributed solely and exclusively to registered subscribers who have read and agreed to the Mandatory User Agreement located at /?page_id=25. This Mandatory User Agreement is included herein in its entirety by reference thereto and by notice of its availability.