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LUCAS LEARNING® REDEFINES COMPANY DIRECTION

New Focus Exclusively on Education Market

San Rafael, Calif. - June 7, 2001 -- Lucas Learning Ltd., a George Lucas company focused on educational software products, today announced a new direction that will shift the company's focus away from consumer products to direct-to-school curriculum products. The new company will create, produce and market a suite of curriculum-based products targeted directly to schools, grades K-12.

This new direction takes Lucas Learning out of the consumer marketplace, where it has been focused for the past five (5) years. Since its inception in 1996, Lucas Learning has created eight (8) award-winning educational software titles based on the popular Star Wars license. The Star Wars software library includes topics such as math, early learning skills, ecology and logic and offers a range of products suitable to children ages 4 and up. In April 2001, Lucas Learning also launched their first console title, Star Wars Super Bombad Racing™ for the PlayStation® 2 computer entertainment system. The company will continue to market their existing titles, but will no longer produce new ones for the consumer marketplace.

"We are very excited about this new beginning for Lucas Learning," said Jane Boston, general manager of Lucas Learning Ltd. "Our ability to focus exclusively on the educational market is a wonderful opportunity to bring George Lucas' vision - to make learning engaging and inspiring - to life. We are very confident that the quality of our products, our commitment to education and the unique advantage we have being part of the Lucas family will enable us to deliver an innovative and universally appealing product to schools, while meeting the need for outstanding core curriculum."

About Lucas Learning
Lucas Learning develops and publishes engaging multimedia learning products for use in K-12 schools. Based in San Rafael, California, as well as on the Internet at www.lucaslearning.com, Lucas Learning is one of six companies in the Lucas group, which includes Lucasfilm Ltd., Lucas Digital Ltd., Lucas Licensing Ltd., Lucas Online, and LucasArts Entertainment Company LLC.

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