The Baby Einstein Company Grows Beyond Video Aisle and into Preschool Television

BURBANK, CA -- Feb. 21, 2005 -- As the leaders and creators of the infant developmental media category, Baby Einstein(TM) is the number one infant/preschool video brand in 2004 (Nielsen, December 2004 YTD; Includes New Releases and Catalog Titles Combined). Over the last three years, The Baby Einstein Company has established itself as a global infant category leader, while simultaneously setting its sights on capturing a significant share of the preschool market with the fall 2005 launch of its new Little Einsteins(TM) franchise.

Global Infant Category Leader

Through product and market expansion, The Baby Einstein Company has grown nearly 91 percent (compounded annual growth rate) since being acquired by The Walt Disney Company in 2001. With products in more than nine categories, including DVDs, music, books, toys, juvenile products, baby gear, party supplies, bibs and soft bath items, Baby Einstein has grown from a $25 million retail brand at time of acquisition to a $170 million retail brand in 2004. With a presence in more than 30 countries by the end of this year, the brand offers products in more than 25 different languages and has posted 900 percent growth in international markets since being acquired by Disney.

“The impressive growth of the Baby Einstein brand is in large part due to the loyal consumer base we enjoy,” said Russell Hampton, Senior Vice President and General Manager, The Baby Einstein Company. “The experience of parenthood is universal. All parents want the best for their little ones and it is our goal to provide age-appropriate products that encourage parent child interaction.”

At the American International Toy Fair 2005 in New York City, Baby Einstein announced plans to further evolve its product line to include apparel and bath toys, while continuing to create new and innovative DVDs, books and music titles that expose little ones to the world around them and encourage parent-child interaction in ways that are relevant to today’s rapidly changing lifestyles. Most recently, Baby Einstein has incorporated an enhanced language-learning element into its full collection of award-winning DVDs by adding multi-language viewing options, featuring English, Spanish and French in the U.S. and appropriate languages in other parts of the world. In addition, the company has announced that with the July 2005 debut of Baby Wordsworth(TM) video/DVD the company will partner with Academy Award Winning actress Marlee Matlin to expose babies and parents to the many different forms of language and communication, including sign language. All Baby Einstein products will continue to be created from a baby’s point of view, using unique combinations of real-world objects, music, art, language, science, poetry and nature to engage and stimulate little ones in playful and enriching ways.

“The infant category has become one of the fastest-growing, most lucrative and competitive business segments. And, we’ve seen that a company’s success often hinges on whether or not they create products that fit the day-to-day needs of today’s parents and caregivers,” said Sean McGowan, industry analyst from Harris Nesbitt. “Successful companies, like Baby Einstein, will continue to evolve their product lines and find new ways to help parents address different needs throughout the day.”

Launching Into The Preschool Category

Leveraging its leadership position within the infant products category and its brand awareness among parents, The Baby Einstein Company is launching into the $21 billion preschool market with the debut of the Little Einsteins franchise. Created specifically for preschoolers, Little Einsteins builds on the experiences of the Baby Einstein brand and will take children on fun, musical missions of exploration that will take them all over the world, provoking their curiosity and actively seeking their participation. Anchored by a television series that will air on Disney Channel in the Playhouse Disney block beginning this fall, the first Little Einsteins mission will be available exclusively via direct-to-video this August.

“Over the past year, several preschool companies have attempted to launch into the infant category based on the explosive growth within that market,” said Sean McGowan. “The infant and preschool categories are dramatically different, however, and I believe many of the preschool companies learned how challenging, and perhaps unrealistic, it is to ’age down.’ Baby Einstein, on the other hand, is in a very unique position as they are ’aging up’ and able to leverage an existing consumer base who can and wants to grow with them.”

The development of the Little Einsteins series is being led by executive producer Eric Weiner, who is best known for his work as the co-creator of “Dora the Explorer.” Little Einsteins was created with child development experts and musicians to ensure the storyline, curriculum and pacing is age appropriate. Based on feedback from real preschoolers, Little Einsteins will continue to add depth to Playhouse Disney’s strong learning based programming line up.

About The Baby Einstein Company

The Baby Einstein Company, LLC, is the award-winning creator of the infant developmental media category. The company is famous for its best-selling Baby Einstein(TM) brand of videos, books, music CDs and toys specifically designed for babies and toddlers, from birth. Little Einsteins(TM), debuting in 2005, is the company’s newest venture, specifically created for the preschool market. Headquartered in Glendale, CA, The Baby Einstein Company is a subsidiary of The Walt Disney Company. For more information, visit www.babyeinstein.com or www.littleeinsteins.com.

(C) 2005 The Baby Einstein Company, LLC. All Rights Reserved. Baby Einstein, Little Einsteins, Baby Wordsworth and the Boy’s Head logo are trademarks of The Baby Einstein Company, LLC. All Rights Reserved. EINSTEIN and ALBERT EINSTEIN are trademarks of The Hebrew University of Jerusalem. All Rights Reserved. www.albert-einstein.org.

Contact Information

Rashmi Turner

Media Contact

The Baby Einstein Company

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