May 31, 2011

Mad Catz® Announces the Formation of ThunderHawk Studios™
Internal Game Development Studio to Focus on Flight Simulation Games

SAN DIEGO--(BUSINESS WIRE)--Mad Catz Interactive, Inc. (“Mad Catz”) (AMEX/TSX: MCZ) announced today the formation of ThunderHawk Studios located in San Diego, California. ThunderHawk Studios will focus on developing a series of MMO (massive multiplayer online) flight simulation games with the first game expected to launch in 2012.

“The formation of ThunderHawk Studios is an important milestone as we pursue our longer term goal of expanding our participation in developing, publishing and distributing games.”

“The addition of flight simulation games should leverage the market share leadership and global distribution enjoyed by our flight simulation hardware products,” said Darren Richardson, the President and Chief Executive Officer of Mad Catz Interactive, Inc. “The formation of ThunderHawk Studios is an important milestone as we pursue our longer term goal of expanding our participation in developing, publishing and distributing games.”

About Mad Catz

Mad Catz Interactive, Inc. (AMEX/TSX: MCZ) is a global provider of innovative interactive entertainment products marketed primarily under its Mad Catz® (casual gaming), Cyborg™ (pro gaming), Tritton® (gaming audio), Saitek® (simulation), and Eclipse™ (home and office) brands. Mad Catz also develops flight simulation software through its internal ThunderHawk Studios™; operates flight simulation centers under its Saitek brand; operates a videogame content website under its GameShark® brand; publishes games under its Mad Catz brand; and distributes games and videogame products for third parties. Mad Catz distributes its products through most leading retailers offering interactive entertainment products and has offices in North America, Europe and Asia. For additional information please go to www.madcatz.com.

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Safe Harbor

This press release contains forward-looking statements about the Company's business prospects that involve substantial risks and uncertainties. The Company assumes no obligation to update the forward-looking statements contained in this press release as a result of new information or future events or developments. You can identify these statements by the fact that they use words such as "anticipate," "estimate," "expect," "project," "intend," "should," "plan," "goal," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Among the factors that could cause actual results to differ materially are the following: the ability to maintain or renew the Company's licenses; competitive developments affecting the Company's current products; first party price reductions; the ability to successfully market both new and existing products domestically and internationally; difficulties or delays in manufacturing; or a downturn in the market or industry. A further list and description of these risks, uncertainties and other matters can be found in the Company's reports filed with the Securities and Exchange Commission and the Canadian Securities Administrators.

Contacts

Mad Catz Communications:
Alex Verrey, +44 (0) 1908 336 538
Global PR and Communications Manager
averrey@madcatz.com
or
Investor Relations:
Jaffoni & Collins Incorporated
Joseph Jaffoni, Norberto Aja, Jim Leahy
+1 (212) 835 8500
mcz@jcir.com

©2011 Mad Catz, Inc.