Iconic Retailer 125% Above Sales Plan as the First and Only Store with The Muppet Whatnot Workshop

NEW YORK, Nov. 25, 2008 -- This holiday season, Muppet fans and toy lovers are flocking for the exclusive opportunity to design their own personal Muppet Whatnot™ at FAO Schwarz's Fifth Avenue Flagship store, and at the iconic toy seller's Web site (www.FAO.com). Demand for the personalized toy line, which was launched by The Muppets Studio and FAO Schwarz just last month, has already surpassed estimates and more than doubled projected sales for the popular toy retailer with sales figures currently at 125% over projections.

Muppet Whatnots are the "extras" of the Muppet world, the background creatures and other weirdoes who add extra mayhem to every Muppet production. Guests at the Fifth Avenue Flagship FAO Schwarz who visit The Muppet Whatnot Workshop can express their individuality and creativity by choosing from a wide assortment of Muppet features and outfits to create their own unique Whatnot puppets. For those unable to visit in person, The Muppet Whatnot Gift Kit is available online.

"We knew a partnership between the Muppets and FAO Schwarz would have tremendous results and are pleased this collaboration is having an even greater impact than we expected," says Ed Schmults, CEO of FAO Schwarz. "The Whatnots bring great joy to parents who grew up with these beloved characters, and to children who are discovering the Muppet world for the first time. Whether customers visit our store on Fifth Avenue or order the gift kit online, we know they're going to have lots of fun and satisfaction creating their own unique Whatnot."

Commenting on the announcement, Lylle Breier, general manager, The Muppets added, "People of all ages, young and old alike, have fallen in love with the idea of making their own Muppet Whatnot. This is a wonderful way for people to add some extra cheer this holiday season, by putting their personal stamp on something special for themselves, or creating a unique and memorable gift for their loved ones. The ability to create a truly unique Muppet Whatnot is fun and appealing, and we are thrilled that FAO Schwarz is the exclusive place that people can have this festive experience."

About FAO Schwarz

Since 1862, FAO Schwarz has enchanted and inspired generations of families with its unparalleled selection of unique toys, unmatched customer service, and dedication to offering quality products. FAO Schwarz offers wonderful toys that help children develop their imagination, gain rich play-based experiences and physical well-being through good play. The iconic flagship store in Manhattan attracts nearly four million visitors annually and the Las Vegas shop at The Forum Shops at Caesar's Palace, open since 1997, continues to be a destination for locals and travelers alike. In 2008 FAO Schwarz partnered with Macy's to open nearly 700 shops inside select Macy's across the country by 2010. One of the best-known brands in the United States, FAO Schwarz is a trusted name for quality toys to families everywhere.

About The Muppets Studio

The Muppets Studio, LLC (TMS) is a subsidiary of the Walt Disney Company (NYSE: DIS). TMS's mission is to ensure that this beloved, world-class brand franchise entertains audiences of all ages by leveraging Disney's best creative resources and worldwide distribution platforms. TMS plans to develop new content in all arenas, including television, feature films, internet, music and theme parks, and to enhance the Muppets global licensing and distribution presence.