Viewpoints of Changyou's 2011Q2 Earnings Conference

August 2, 2011

Changyou.com Limited (“Changyou” or the “Company”) (NASDAQ: CYOU), a leading online game developer and operator in China, yesterday announced its unaudited financial results for the second quarter ended June 30, 2011. Changyou's CEO Tao Wang and CFO Jie He attended the conference and below are the viewpoints of Changyou's recent situation:

New games to be released in China:

2011:During Q3 and Q4 of 2011, Battle Field OL, Tian Long Ba Bu 3(“TLBB 3″) and Ba Zhe Wu Shuan will be released;

2012:two or three original games and some agent games will be released in 2012, and San Jie Qi Yuan is one of them.

The current performance of Duke of Mount Deer:

1. The main strategy and goal of the game is to enlarge user base and making profits comes second;

2. The number of users has increased 20% compared to the first day of open beta testing and it is still increasing;

3. The first expansion pack of the game will be released in September, and then four expansion packs and one larger game version will be released every year to increase its user base;

4. The game now has 110 servers and its capacity is the same to TLBB;

5. The users who have played Duke of Mount Deer represent only 4% of Changyou's TLBB users, which shows Duke of Mount Deer has little influence on the latter.

Financial situation and forecast:

1. 2011Q4's marketing fee will decrease and the new games will contribute less to the revenues than expected;

2. Profit margin of 2011Q4 will remain normal at 40% to 50%;

3. As of June 30, 2011, Changyou had a net cash balance of nearly US$400 million, they have the ability to purchase other companies but they haven't found proper targets.

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