BGII BGI Inc (GM)

BGI, Inc. (Pink Sheets:BGII) today announced that the Company has expanded its distribution network in Alabama to take advantage of the recent court decision that clarified the legality of sweepstakes machines to promote product sales. On January 31, 2006 the circuit court of Jefferson County Alabama ruled that the sweepstakes promoting the sale of internet access run by Multimedia Games and the Birmingham Race Course was a lawful sweepstakes promotion permissible under Alabama law. Additionally, several other jurisdictions have passed or are considering local ordinances regulating and taxing sweepstakes machines. As a result of these developments BGI has engaged three statewide distributors to place its machines in Alabama. One existing regional distributor has expanded statewide because of the demand for sweepstakes machines. Also, BGI's largest and most successful distributor has expanded his operation into Alabama to take advantage of the opportunity. The third distributor is new to BGI but has significant experience in the vending and bingo business in Alabama. Bill Schwartz, CEO, commented, "The recent court ruling has presented a great opportunity for BGI to place a large number of sweepstakes machines in the state. We have been working hard to increase our sales and service infrastructure in Alabama to take advantage of the opportunity and wanted to update our shareholders on our progress." Statements that BGI may publish, including those in this announcement that are not strictly historical, are "forward-looking" statements made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are inherently unreliable and actual results may vary. Factors which could cause actual results to differ from these forward-looking statements include but are not limited to changes in the competitive marketplace, changes in the regulatory environment and economic conditions. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. About BGI, Inc. BGI, Inc. (http://www.bgicorp.com) is a gaming company that designs, distributes and markets sweepstakes-driven gaming products. The Company's primary products -- the Charity Station sweepstakes machine and the Lucky Strike Phone card machine -- use a sweepstakes game as an incentive to help non-profit organizations raise funds and sell phone cards, respectively. BGI, Inc. was founded in 1994 and has offices in Austin, Texas. The Company currently trades on the OTC Pink Sheets under the symbol BGII. -0- *T CORPORATE CONTACT Bill Schwartz BGI, Inc. 3211 W. Rundberg, Suite 175 Austin, TX 78758 Phone: 512-335-0065 Fax: 512-335-0078 Web: www.bgicorp.com *T