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Houghton Mifflin Co. News Release - 01/29/03

Great Source Announces Distribution Agreement with Knowledge Adventure

New Deal Grants Great Source North American Distribution Rights for Full Line of Knowledge Adventure School Products

BOSTON, Mass. - January 29, 2003 - Great Source Education Group, a division of Houghton Mifflin Company, today announced a new partnership with educational software leader Knowledge Adventure®, a studio of Vivendi Universal Games, for exclusive North American distribution rights to all of Knowledge Adventure's school products. Vivendi Universal Games will continue to handle distribution of Knowledge Adventure's consumer products.

Knowledge Adventure's software includes the best-selling JumpStart™, Reading Blaster™ and Math Blaster® products, as well as many other popular CD-ROM titles such as Curious George® Reading and Phonics, Math for the Real World, Kid Keys and Kid Phonics.

"This new partnership represents an opportunity for Great Source to significantly expand our technology presence in the education market, with some of the best software titles available today," said Great Source President Edward Kennedy. "Working with Knowledge Adventure, we will enhance our ability to provide multiple solutions to meet customer needs."

Great Source and Knowledge Adventure have also agreed to work together to develop new CD-ROM titles based on Great Source printed materials.

Leslie House, Vice President of Knowledge Adventure said, "We are very pleased to team up with Great Source to deliver our educational software to the school market. Our comprehensive scope of product offerings provides teachers with superior educational resources to reinforce classroom curriculum and engage their students in constructive interactive learning."

About Houghton Mifflin
Boston-based Houghton Mifflin Company is one of the leading educational publishers in the United States, with over $1 billion in sales. Houghton Mifflin publishes textbooks, instructional technology, assessments and other educational materials for elementary and secondary schools and colleges. The Company also publishes an extensive line of reference works and award-winning fiction and non-fiction for adults and young readers. Additionally, Houghton Mifflin offers computer-administered testing programs and services for the professional and certification markets. With its origins dating back to 1832, Houghton Mifflin today combines its tradition of excellence with a commitment to innovation. The Company's web site can be found at www.hmco.com.

CONTACT:
Collin Earnst
Vice President, Communications
Houghton Mifflin Company
617-351-5113
collin_earnst@hmco.com


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