July 20, 2004 - CARTOON NETWORK AND DC COMICS ANNOUNCE COLLABORATION

DC TO PRODUCT, MARKET AND DISTRIBUTE COLLECTIBLES VIA DC DIRECT

Cartoon Network and DC Comics, a Warner Bros. Entertainment company, have entered a partnership that will bring innovative and high-quality new items to the collectors' market. DC Direct, a leading source for character collectibles, will produce, market and distribute new collectibles featuring characters from Cartoon Network's massive and growing library of animated favorites.

Planned for release in 2005 are cold-cast porcelain statues featuring:

• Ed, Edd 'n' Eddy, the highly rated, rollicking comedy about three best friends who share the same first name;
• Megas XLR, a new comedic action/adventure series about two normal guys, a female warrior from the future and their 80-foot-tall robot; and
• Foster's Home for Imaginary Friends, the whimsical comedy from Craig McCracken, creator of The Powerpuff Girls.

"Cartoon Network first launched into the collectibles space in 2001," said John Friend, Senior Vice President of Cartoon Network Enterprises. "Working with DC Direct, the leader in collectible products, expands our reach, quality and breadth of product into the marketplace."

"This partnership broadens the reach of DC Direct's product line and provides us with a whole new universe to play with," says Cheryl Rubin, DC's Senior Vice President - Brand Management. "We are delighted to collaborate with our colleagues at Cartoon Network on bringing their wonderful treasure trove of characters to collectors."

The initial wave of developmental concepts for the statues will make their debut on display at Comic-Con International: San Diego, July 21-25, at the DC Direct area of the DC Comics booth. Collectors will be able to view varying stages of creating a statue from concept drawings to painted prototype.

These items will be offered to the comics specialty market and other markets simultaneously.