Hi,

Wanted to let all of you know about this press release to us from DOW and Alliance Distributors. They are going exclusive like Wizkids did. I was skeptical about it when Wizkids did it, but our sales of Heroclix did increase and their tournament support from them has been great.

We will continue to carry the majority of the DOW product line, so I'll be optomistic that this will be good for now.

"Days of Wonder announces exclusive hobby games distribution agreement with Alliance Game Distributors and Diamond Comic Distributors!

Los Altos, CA ­ July 1, 2008. Days of Wonder, the publisher of top-quality board and card games, announced today an exclusive distribution agreement with Alliance Game Distributors and its parent company Diamond Comic Distributors. Effective immediately, Alliance and Diamond become the sole distributor of Days of Wonder's English language games to hobby retailers in North and South America. In addition they will also provide distribution to retailers and sub-distributors in the Pacific Rim region. Days of Wonder's European subsidiary will continue to work directly with its current distribution partners in Europe, and these relationships remain unaffected by this agreement.

"This exclusive distribution agreement was the obvious next step for us in today's economic environment. We expect the industry's on-going consolidation to accelerate, and would rather lead than follow. More importantly, we believe this move will allow us to progressively deliver significant new benefits to our retail customers, in the form of Organized Play events and new instore support and promotions." says Days of Wonder CEO, Eric Hautemont. "By using Alliance's expertise to manage all of our logistics and leveraging their sales reach to nearly every hobby game retailer, we can focus on the things we do best - developing games that consumers want and retailers find easy to sell. Just as importantly, for the first time, we now have real-time data on how all our products are doing in the marketplace. This will enable us to develop and deliver vastly better marketing and sales tools for our retailers, and will ensure we can manage our inventory better to prevent product shortages."

Upcoming marketing programs to be detailed later this summer include Days of Wonder's first active Organized Play program; a more comprehensive demo and marketing materials program; and access to the nationwide group of Days of Wonder demo volunteers.

About Days of Wonder:

Days of Wonder publishes top-quality, family-oriented board and card games that are easy to learn and fun to play. Founded in 2002, Days of Wonder has a global presence, with offices in the US and Europe, and distribution in 25 countries. To date, the company has sold over 1.4 million games and hosted over 12 million games online. In June 2004, Days of Wonder became the youngest publisher ever to win Germany¹s prestigious Spiel des Jahres, the world¹s most coveted game prize.

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Days of Wonder/Alliance Game Distributors & Diamond Comic Distributors Exclusive Distribution Agreement FAQ for Resellers

Days of Wonder has announced an exclusive distribution agreement with Alliance Game Distributors & Diamond Comic Distributors, effective July 1, 2008. Alliance and Diamond are now the sole distributors for Days of Wonder¹s English language games to the retail hobby market in the Americas and Pacific Rim.

Q: Why did Days of Wonder decide to go exclusive with Alliance?

A: We want to be very upfrontŠ reducing costs was one of the primary factors in considering an exclusive distribution arrangement. In recent years the costs of storage, shipping and order processing have all skyrocketed, making a consolidation of our warehousing and shipping operations under a single roof increasingly attractive. In addition, the management of these processes took more and more resources away from the things we do best: developing great games. By consolidating our North American distribution with Alliance, we can now focus 100% of our energies on developing games that consumers want and retailers find easy to sell. Beyond cost savings, this exclusive agreement also gives us additional insights into who our best retail customers are. Effective immediately, we have a direct connection to real-time sales data, including specific, detailed information on what games and programs are successful in a certain region, type of store, or even a specific retail account. This will help us develop more effective marketing and sales tools By being able to accurately track the products we have in the channel, we should also be able to do a better job of managing inventory and preventing shortages on our most popular games. This will help us make a focused effort on our marketing, event and sales programs for retailers. A single distributor allows us to cut back on duplicate marketing and demo materials and gives us the opportunity to create and promote programs that previously would have been impossible to implement.

Q: Couldn¹t you have figured out how to do this so I could continue to buy from my current favorite distributor? Couldn¹t other distributors share this information with you?

A: In a word: no. The elevated costs would have remained, and in a multi-distributor environment, everyone is understandably hesitant to share customer data. By selecting Diamond/Alliance, who has by far the broadest reach of any distributor into the hobby channel and the most sophisticated information systems, we believe we will be uniquely positioned to continue delivering great games and to develop organized play and marketing programs that will benefit our resellers and customers alike. No other distributor could offer the combination of resources and access to the market.

Q: Can you give me an example of what marketing programs you will now be able to provide?

A: We will finally be able to create and manage a much more active organized play program. Our first Organized Play events will begin later this summer, so stay tuned! Beyond this, we will also expand our demo programs for retailers in a variety of ways. You will see some new demo tools and we will be able to leverage our extensive list of Days of Wonder Game Guides - a nationwide group of demo volunteers who can help you run demo events of Days of Wonder games.

Q: How is this new distribution arrangement better for me?

A: In addition to the marketing programs mentioned above, one of the most important benefits will be better communication. You'll find out about new products sooner and be able to get immediate status on inventory availability. The Alliance sales team will have instant access to all Days of Wonder product information for both new and backcatalog games. We will also have a much better information channel to get in-depth feedback from you on how products and promotions are working in the retail channel. Having a single source will help us bring you more consistent product availability If a DOW game is available, Alliance warehouses will have it. You won't have to make 4 or 5 phone calls to hunt down our products or promotional materials.

Q: I have pre-orders with other distributors for some upcoming Days of Wonder products. Will I still be able to get this product through them?

A: This transition was scheduled after our major spring release, Ticket to Ride - The Card Game, to make sure that you were able to get your pre-orders without interruption. The smaller expansions we have announced for this summer such as the Memoir '44 Campaign Bag and Merlin's Company will only be available through Diamond/Alliance.

Q: How will this effect pricing on Days of Wonder products? Is my net price going to change?

A: Early this year, we raised the MSRP on many of our games. Despite our upcoming investments in new reseller marketing programs, we have no plans to make further pricing increases, and neither we nor Alliance foresee any changes in the pricing structure to retailers for the Days of Wonder products.

Q: Will you make any changes in availability of Days of Wonder products to internet-only retailers?

A: No. While we understand and share the concern over deeply discounted products, it is not our policy to dictate where and how end users purchase our games. We will continue to allow legitimate hobby game businesses (as defined by Alliance
policies)

Q: Is there anything you will do to help brick and mortar retailers?

A: We will continue to offer additional benefits and programs to those retailers who can support our products through events, organized play and customer demonstrations. For the BattleLore launch we provided the promotional Hill Giant figures only to storefronts who took preorders. As mentioned above, later this summer we will introduce new Organized Play programs for stores that have space for events and demos."

Game Cafe


Tom