Ah, clearly I didn"t read that press release. The last episode is numbered 3065, were there only 13 weeks taped for season 3?
Probably? The last reference to the show in the present or future tense in Broadcasting (and/or Cable) is September 1998 referencing the new season. It honestly might be one of the more stark examples of "going out with a whimper" in syndication history.
Most references from 1997-98 essentially say the Dating-Newlywed hour and individual ratings had been a ratings disaster in season 1, and only improved moderately with the reboots with Eubanks-Woolery for season 2. B&C largely ignores both shows' existence after Spring '98.
Buzzr stopped season 2 at 130 shows (which is approx. the same number of shows GSN were running in rotation in 2001-02), which suggests that production was probably suspended early and they just looped the 26 weeks they made an entire time through and waited to see if stations wanted to go around again. Enough stations said yes, so season 3 comes, numbers are even worse (multiple game, dating, and court shows debuted that year), stations hit eject, production stops after 65 shows. There's a vague reference in a May '99 B&C regarding a producer hire that speaks of both shows in the definite past tense.
After watching the two Season Three NG episodes aired on Christmas Eve primetime (and an additional one a couple of weeks back), I can see why the stations were dropping the show so quickly:
One episode airing the 24th had the ladies coming out in Sumo Wrestler costumes, and they held a battle to see which wife was the toughest. Then the wives had to "try" to sit down in their chairs for the remainder of the round one questions.
The following episode had a question asking the wives if they would throw a pie in their spouse's face for $50 on national TV. And yes, there were actual pies for each wife and Bob had the money in hand.
Speaking of pies, the third episode I saw was a hybrid of the first two stunts (toughest/pies) -- the wives were dressed in drill sergeant attire and had to determine which wife could do the most push-ups. A pie was placed below each wive's face on the floor to "motiviate" them.
All three of these stunts were painfully long, and in the case of the sumo wrestler costumes, very uncormfortable. Compared to how Bob tried to tiptoe around these stunts while still looking professional, and how bad they were overall, The Diamond Head Game must have been a walk in the park!