Exhibit 99.1

DREAMWORKS ANIMATION REPORTS FIRST QUARTER 2011

FINANCIAL RESULTS

Glendale, California – April 26, 2011 – DreamWorks Animation SKG, Inc. (Nasdaq: DWA) today announced financial results for its first quarter ended March 31, 2011. For the quarter, the Company reported total revenue of $108.0 million and net income of $8.8 million, or $0.10 per share on a fully diluted basis.

“DreamWorks Animation’s first quarter of 2011 was driven primarily by our 2010 films, including Megamind, which had a solid performance following its February 25^th release into the home entertainment market,” said Jeffrey Katzenberg, CEO of DreamWorks Animation. “We now look forward to kick-starting the summer movie-going season with Kung Fu Panda 2 on May 26^th, as family entertainment – and CG animation in particular – has performed at the top of the box office charts so far this year.”

Megamind, which was released on November 5, 2010, contributed $18.1 million of revenue in the quarter, driven primarily by its domestic home video release. The film reached an estimated 2.9 million home entertainment units sold worldwide through the end of the quarter, net of actual and estimated future returns.

Shrek Forever After, which was released on May 21, 2010, contributed $19.9 million of revenue in the quarter, driven primarily by home entertainment. The film reached an estimated 8.2 million home entertainment units sold worldwide through the end of the quarter, net of actual and estimated future returns.

How to Train Your Dragon, which was released on March 26, 2010, contributed $8.7 million of revenue in the quarter, driven primarily by home entertainment. The film reached an estimated 8.3 million home entertainment units sold worldwide through the end of the quarter, net of actual and estimated future returns.

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Kung Fu Panda contributed $12.1 million of revenue to the quarter, primarily from international free television, and Madagascar 2 contributed revenue of $19.1 million, primarily from domestic and international free television.

Library and other items, including non-film businesses, contributed approximately $30.1 million of revenue to the quarter.

Costs of revenue for the quarter equaled $72.0 million. Selling, general and administrative expenses totaled $30.1 million, including approximately $6.7 million of stock-based compensation expense.

The Company’s determination during the current quarter of its ability to claim certain tax deductions related to prior years resulted in a benefit of $4.6 million recorded in our first quarter income statement as a decrease in income tax benefit payable to former stockholder. Combining this benefit with the Company’s income tax provision of $3.7 million resulted in a first quarter net tax benefit of approximately $0.9 million. The Company currently expects that its 2011 combined effective tax rate (its actual tax rate coupled with the effect of our tax sharing agreement with a former stockholder) will be approximately 30%.

The Company also provided an update to its share repurchase program. Year to date, the Company has repurchased approximately 0.9 million shares for $25 million. The Company has $125 million remaining under its current authorization.

The Company’s second quarter and full year results are expected to be driven by Kung Fu Panda 2, which is scheduled to be released on May 26, 2011. Television revenue for Madagascar 2, How to Train Your Dragon and Shrek Forever After is also expected to contribute to the Company’s second quarter results.

Items related to the earnings press release for the first quarter of 2011 will be discussed in more detail on the Company’s earnings conference call later today.

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Conference Call Information

DreamWorks Animation will host a conference call and webcast to discuss the results on Tuesday, April 26, 2011, at 4:30 p.m. (ET). Investors can access the call by dialing (800) 230-1074 in the U.S. and (612) 288-0340 internationally and identifying “DreamWorks Animation Earnings” to the operator. The call will also be available via live webcast at www.dreamworksanimation.com.

A replay of the conference call will be available shortly after the call ends on Tuesday, April 26, 2011. To access the replay, dial (800) 475-6701 in the U.S. and (320) 365-3844 internationally and enter 198739 as the conference ID number. Both the earnings release and archived webcast will be available on the Company’s website at www.dreamworksanimation.com.

About DreamWorks Animation

DreamWorks Animation creates high-quality entertainment, including CG animated feature films, television specials and series, live entertainment properties and online virtual worlds, meant for audiences around the world. The Company has world-class creative talent, a strong and experienced management team and advanced filmmaking technology and techniques. DreamWorks Animation has been named one of the “100 Best Companies to Work For” by FORTUNE^® Magazine for two consecutive years. In 2010, DreamWorks Animation ranks #6 on the list. All of DreamWorks Animation’s feature films are now being produced in 3D. The Company has theatrically released a total of 21 animated feature films, including the franchise properties of Shrek, Madagascar, Kung Fu Panda and How to Train Your Dragon.

Contact:

DreamWorks Animation Investor Relations

(818) 695-3900

ir@dreamworksanimation.com

DreamWorks Animation Corporate Communications

(818) 695-3658

shannon.olivas@dreamworks.com

dwa-e

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Caution Concerning Forward-Looking Statements

This document includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company’s plans, prospects, strategies, proposals and our beliefs and expectations concerning performance of our current and future releases and anticipated talent, directors and storyline for our upcoming films and other projects, constitute forward-looking statements. These statements are based on current expectations, estimates, forecasts and projections about the industry in which we operate and management’s beliefs and assumptions. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions which are difficult to predict. Actual results may vary materially from those expressed or implied by the statements herein due to changes in economic, business, competitive, technological and/or regulatory factors, and other risks and uncertainties affecting the operation of the business of DreamWorks Animation SKG, Inc. These risks and uncertainties include: audience acceptance of our films, our dependence on the success of a limited number of releases each year, the increasing cost of producing and marketing feature films, piracy of motion pictures, the effect of rapid technological change or alternative forms of entertainment and our need to protect our proprietary technology and enhance or develop new technology. In addition, due to the uncertainties and risks involved in the development and production of animated feature projects, the release dates for the projects described in this document may be delayed. For a further list and description of such risks and uncertainties, see the reports filed by us with the Securities and Exchange Commission, including our most recent annual report on Form 10-K and our most recent quarterly reports on Form 10-Q. DreamWorks Animation is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, changes in assumptions or otherwise.

** FINANCIAL TABLES ATTACHED**

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CONSOLIDATED BALANCE SHEETS

(Unaudited)

	March 31, 2011			December 31, 2010
	(in thousands, except par value and share amounts)
Assets
Cash and cash equivalents	$	86,108		$	163,819
Trade accounts receivable, net of allowance for doubtful accounts		28,345			40,136
Income taxes receivable		4,446			310
Receivable from Paramount, net of allowance for doubtful accounts		236,106			242,629
Film and other inventory costs, net		839,842			772,668
Prepaid expenses		29,535			21,795
Other assets		9,832			9,889
Property, plant and equipment, net of accumulated depreciation and amortization		172,116			174,803
Deferred taxes, net		287,500			295,602
Goodwill		34,216			34,216
Total assets	$	1,728,046		$	1,755,867
Liabilities and Equity
Liabilities:
Accounts payable	$	5,183		$	3,515
Accrued liabilities		101,454			143,098
Payable to former stockholder		297,100			329,590
Deferred revenue and other advances		70,873			20,793
Total liabilities		474,610			496,996
Commitments and contingencies
Stockholders’ equity:
Class A common stock, par value $.01 per share, 350,000,000 shares authorized, 97,453,929 and 97,436,947 shares issued, as of March 31, 2011 and December 31, 2010, respectively		975			975
Class B common stock, par value $.01 per share, 150,000,000 shares authorized, 10,838,731 shares issued and outstanding, as of March 31, 2011 and December 31, 2010, respectively		108			108
Additional paid-in capital		990,400			979,177
Retained earnings		975,729			966,935
Less: Class A Treasury common stock, at cost, 24,789,801 and 23,834,081 shares, as of March 31, 2011 and December 31, 2010, respectively		(713,776	)		(688,324	)
Total stockholders’ equity		1,253,436			1,258,871
Total liabilities and stockholders’ equity	$	1,728,046		$	1,755,867

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CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	Three Months Ended March 31,
	2011		2010
	(in thousands, except per share amounts)
Revenues	$	108,037	$	162,143
Costs of revenues		72,027		106,183
Gross profit		36,010		55,960
Product development		168		185
Selling, general and administrative expenses		30,129		23,510
Operating income		5,713		32,265
Interest income, net		216		59
Other income, net		2,000		2,093
Decrease (increase) in income tax benefit payable to former stockholder		4,589		(8,188	)
Income before income taxes		12,518		26,229
Provision for income taxes		3,724		4,560
Net income	$	8,794	$	21,669
Basic net income per share	$	0.10	$	0.25
Diluted net income per share	$	0.10	$	0.24
Shares used in computing net income per share
Basic		84,138		86,838
Diluted		85,157		88,709

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CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

	Three Months Ended March 31,
	2011			2010
	(in thousands)
Operating activities
Net income	$	8,794		$	21,669
Adjustments to reconcile net income to net cash used in operating activities:
Amortization and write-off of film and other inventory costs		54,911			96,875
Stock-based compensation expense		7,021			6,674
Depreciation and amortization		726			629
Revenue earned against deferred revenue and other advances		(3,128	)		(29,898	)
Deferred taxes, net		8,102			(538	)
Changes in operating assets and liabilities:
Trade accounts receivable		11,791			(11,472	)
Receivable from Paramount		6,523			36,773
Film and other inventory costs		(111,901	)		(116,670	)
Prepaid expenses and other assets		(8,470	)		(8,963	)
Accounts payable and accrued liabilities		(39,876	)		(10,597	)
Payable to former stockholder		(32,490	)		(13,511	)
Income taxes payable/receivable, net		(4,136	)		4,345
Deferred revenue and other advances		57,941			19,889
Net cash used in operating activities		(44,192	)		(4,795	)
Investing activities
Purchases of property, plant and equipment		(8,075	)		(13,928	)
Net cash used in investing activities		(8,075	)		(13,928	)
Financing activities
Receipts from exercise of stock options		7			7,964
Excess tax benefits from employee equity awards		—			171
Purchase of treasury stock		(25,451	)		(2,270	)
Net cash (used in) provided by financing activities		(25,444	)		5,865
Decrease in cash and cash equivalents		(77,711	)		(12,858	)
Cash and cash equivalents at beginning of period		163,819			231,245
Cash and cash equivalents at end of period	$	86,108		$	218,387
Supplemental disclosure of cash flow information:
Cash paid during the period for income taxes, net	$	455		$	563
Cash paid during the period for interest, net of amounts capitalized	$	120		$	149

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