Conspiracy Entertainment (CPYE.OB) today announced that an agreement has been reached with SWING! Media AG to eliminate $2,630,000.53 in debt currently on its balance sheet.

In addition to the elimination of debt, Conspiracy Entertainment shall receive the US and European publishing rights for a game to be announced in the near future.

"We have spent the last 12 months negotiating to have this debt removed from our balance sheet and were also able to obtain rights to a game that we spent considerable time, money and effort in developing. This is a huge deal for Conspiracy." said Sirus Ahmadi, President and CEO of Conspiracy.

"In the past few months we have removed over $3.8 million in debt from our books and our balance sheet is now in order. We are now poised and ready to concentrate in generating revenues for the remainder of 2004" commented Conspiracy CFO Keith Tanaka.

Additional terms and conditions of the agreement will be included in the forthcoming quarterly report from the company.

About Conspiracy Entertainment Corporation

Based in Santa Monica, CA, Conspiracy Entertainment Corporation is a developer, publisher and marketer of entertainment software in North America and Western Europe. The company develops and licenses properties from several sources, including global entertainment and media companies, and publishes software for DVD media, wireless devices, personal computers and videogame consoles including those manufactured by Nintendo, Sony Computer Entertainment, and Microsoft Corporation. For more information, please visit our website at www.conspiracygames.com.