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DIC Entertainment and AOL Align to Create Strategic Television and Online Partnership


June 21, 2006, DIC Entertainment (DIC), a leading independent global brand management company, and AOL online kids destination, KOL, have formed an unprecedented partnership to co-produce a new Saturday morning branded programming block, “KOL’s Saturday Morning Secret Slumber Party on CBS,” which will premiere September 16, 2006. DIC and KOL will also develop online and on-air co-production initiatives in conjunction with the block.

KOL and DIC will co-produce programming for the 2006 broadcast season, including the new television series “Dance Revolution,” inspired by Konami’s hit video game franchise Dance Dance Revolution® (DDR). The new dance competition series will be hosted by Radio KOL DJ Rick Adams, who will also continue to maintain his live online radio show for kids available on KOL. With millions of kids tuning into his show, DJ Rick has a unique and energetic take on the world, all from the kids’ perspective, which was first discovered when he was a TV host in the UK for Nickelodeon, Bravo and Children’s BBC. “Dance Revolution” will also offer onscreen visuals that constantly encourage viewer participation by demonstrating specific dance moves and steps. DIC and KOL are also now in development on programs for the 2007 season.

In addition, KOL and DIC will develop a website designed to transform the programs airing on “KOL’s Saturday Morning Secret Slumber Party on CBS” into a comprehensive and interactive experience for kids. KOL will also offer special online programming including games, program clips, behind-the-scenes features and more to drive on-air viewership. “Dance Revolution” and the online activities will support the schedule of programming debuting this fall on the E/I compliant branded block. Other programming on the Saturday Morning line-up include CAKE, Horseland, The Animated Trollz and Madeline. Additionally, KOL will create Public Service Announcements on healthy eating, to air during the block and online utilizing KOL’s popular original animated character “Princess Natasha.”

DIC will seek initial guidance on all programming to air on the “KOL’s Saturday Morning Secret Slumber Party on CBS,” from children’s experts from the DIC Educational Advisory Board -- a group comprised of leading media experts, educators and pediatricians created to provide information, guidance, advice and general expertise to DIC in the development of multimedia programs and projects for children.

“With AOL’s expertise in developing online programming and our success in building brands such as ’Princess Natasha’ and Radio KOL, appealing to millions of kids, we are confident that this landmark partnership with DIC will be a tremendous success,” said Malcolm Bird, Senior Vice President, AOL Kids & Teens. “Once again, AOL is leading the industry by building another initiative that taps the power of television and the online medium to ultimately grow a larger audience across both platforms.”

“Kids today continue to expand their entertainment options beyond television, and our new partnership with KOL will provide us with a tremendous opportunity to reach kids through the launch of the new Saturday morning programming block on CBS as well as through KOL’s growing online destination,” comments Andy Heyward, Chairman & CEO, DIC Entertainment. “We are thrilled to work with KOL to co-produce innovative programming and to create a unique cross-promotional program that will drive kids online; increase on-air viewership and provide our clients with an effective way to reach kids in a progressive safe environment.”

About DIC Entertainment:
DIC Entertainment, a fully-integrated global brand management company, is dedicated to creating, developing, producing, distributing, marketing and merchandising family-based intellectual properties. The Company serves as the worldwide licensor for renowned brands such as Strawberry Shortcake, Trollz and Classic Trolls. DIC has distinguished itself by building one of the largest libraries of western-style animation with approximately 2,800 half-hours of programming, including Trollz™, Inspector Gadget™, Strawberry Shortcake™, Sabrina™, Madeline™, Liberty’s Kids™, Where On Earth Is Carmen Sandiego?™, Sonic The Hedgehog™, Super Mario Bros™ and Care Bears™. This year DIC and CBS, will launch, “CBS’s Saturday Morning Secret Slumber Party,” an all-new branded block that will feature FCC-compliant children’s programming and will serve as a platform to introduce new programs created by DIC. The company also programs the DIC Kid’s Network, a syndicated programming block designed to meet FCC standards that airs on over 300 stations in the U.S. As a pre-eminent supplier of kid’s programming worldwide, DIC has developed strategic partnerships with key domestic and international broadcast partners throughout North America, Europe, Asia, Latin America, Africa and Australia. DIC is headquartered in Burbank, California with offices in New York, Paris and London.

About KOL®:
KOL® on AOL is designed entirely for kids combining exclusive content from industry leading kids’ brands and original programming. Reaching millions of kids each month, KOL is leading the next generation of children’s entertainment with five animated online series, Princess Natasha™, Skwod™, Kung Fu Academy™ and Pilar’s Adventures™.

About AOL:
AOL and its subsidiaries operate a leading network of Web brands and the largest Internet access subscription service in the United States. Web brands include the® website, AIM®, MapQuest® and Netscape®. AOL offers a range of digital services in the areas of education, safety and security, communications and music. The company also has operations in Europe and Canada. AOL LLC is a majority-owned subsidiary of Time Warner Inc. (NYSE:TWX) and is based in Dulles, Virginia.


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