euro adhoc: bwin Interactive Entertainment AG / other / Settlement agreement with sellers of Ongame frees bwin from payment of purchase price of EUR 79.9 million including interest

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Disclosure announcement transmitted by euro adhoc. The issuer is responsible
for the content of this announcement.
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08.11.2007

Settlement agreement with sellers of Ongame frees bwin from payment
of purchase price of EUR 79.9 million including interest

In connection with the bwin Games transaction (formerly Ongame
Group), bwin and the sellers agreed on a deferred consideration with
a potential value of EUR 83.0 million including interest as of
settlement date.

The introduction of the so-called "Safe Port Act", which also
contained several provisions of the "Unlawful Internet Gambling
Enforcement Act of 2006", effectively prohibited payment transactions
in connection with online gaming in the United States. In response to
this law, bwin suspended its real-money gaming operations for US
customers in the autumn of 2006. In spring this year, bwin entered
into negotiations with the former majority shareholders of bwin
Games, who sold 96.3% of the company´s shares. bwin has now reached
agreement with this group of sellers to the effect that they will
waive the purchase price owed amounting to EUR 79.9 million including
interest. bwin also intends to enter into talks with the other
sellers with respect to the remaining amount of the deferred
consideration of EUR 3.1 million.

In return for waiving this claim, this group of sellers will receive
28.89% of the net gaming revenues generated with US customers over a
period of five years should bwin reintroduce real-money gaming
products for US customers, albeit capped to EUR 79.9 million. Net
gaming revenues are defined as the balance of betting stakes and
customer winnings less all expenses, such as marketing costs, taxes
and duties, commissions to third-party software providers for gaming
applications and payment transaction costs, including chargebacks by
US customers. Furthermore, the buyers will be released from all
remaining lock-up obligations on the sale of the bwin shares which
they received as part of the purchase price.

This agreement fully settles the bwin Games transaction with this
group of sellers.

The bwin Group has over 11 million registered customers (including 7
million "play money" customers) in over 20 core target markets.
Operating under international and regional licences in countries like
Gibraltar, Kahnawake (Canada), Germany, Italy, Mexico, Argentina and
Austria, the Group is the number one address for sports betting,
games and entertainment via digital distribution channels. The Group
offers sports betting, poker, casino games, soft and skill games, as
well as audio and video streams on top sporting events such as the
German Bundesliga. The parent company, bwin Interactive Entertainment
AG, has been listed on the Vienna Stock Exchange since March 2000 (ID
code "BWIN", Reuters ID code "BWIN.VI"). All details about the
company can be found on its investor relations website at
www.bwin.ag.

end of announcement euro adhoc 09.11.2007 07:30:00
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ots Originaltext: bwin Interactive Entertainment AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:
Investoren:
Konrad Sveceny, Investor Relations
bwin Interactive Entertainment AG
Boersegasse 11, 1010 Vienna, Austria
Tel.: +43 (0) 50 858-20017
E-mail:investorrelations@bwin.ag
http://www.bwin.ag

Presse:
Karin Klein, Corporate Communications
bwin Interactive Entertainment AG
Boersegasse 11, 1010 Vienna, Austria
Tel.: +43 (0) 50 858-20008
E-mail:press@bwin.org
http://www.bwin.ag

Branche: Casinos & Gambling
ISIN: AT0000767553
WKN: 936172
Index: ATX, Prime.market
Börsen: Wiener Börse AG / official dealing