- Multi-Platform Initiative Planned to Premiere in Late 2010; TV Network
to Reach Approximately 60 Million Nielsen Households in the U.S. Served by
Discovery Kids Channel -
- Joint Media Call with Hasbro CEO and Discovery CEO at 8:15 AM Eastern
Today; Hasbro Investor Call with Hasbro CEO and Hasbro CFO & COO at 8:45 AM
Eastern Today; See Dial-in and Webcast Details at End of Release -
PAWTUCKET, R.I. and SILVER SPRING, Md., April 30 /PRNewswire-FirstCall/ --
Hasbro, Inc. (NYSE: HAS) and Discovery Communications (Nasdaq: DISCA, DISCB,
DISCK) today announced an agreement to form a 50/50 joint venture, including a
television network and website, dedicated to high-quality children's and
family entertainment and educational programming built around some of the most
well-known and beloved brands in the world. As part of the transaction, the
joint venture also will receive a minority interest in the U.S. version of
Hasbro.com.
Both the network and the venture's online component will feature content
from Hasbro's rich portfolio of entertainment and educational properties built
over the past 90 years, including original programming for animation, game
shows, and live-action series and specials. New programming will be based on
brands such as ROMPER ROOM, TRIVIAL PURSUIT, SCRABBLE, CRANIUM, MY LITTLE
PONY, G.I. JOE, GAME OF LIFE, TONKA and TRANSFORMERS, among many others. The
TV network and online presence also will include content from Discovery's
extensive library of award-winning children's educational programming, such as
BINDI THE JUNGLE GIRL, ENDURANCE, TUTENSTEIN, HI-5, FLIGHT 29 DOWN and PEEP
AND THE BIG WIDE WORLD, as well as programming from third-party producers.
"Hasbro continues to evolve as a company with an unwavering vision of
reimagining the potential of our incredible portfolio of brands well beyond
traditional toys and games," said Brian Goldner, Hasbro's President and CEO.
"Today, consumers are embracing our powerful brands through unique and
immersive entertainment and educational experiences in a number of areas,
including movies and new digital platforms.
"We believe the time is right for Hasbro to take the next step into
television through our partnership with Discovery Communications," continued
Goldner. "David Zaslav and his talented team have the experience, track
record and ambition necessary to make this joint venture a long-term success
as we build this network. We look forward to creating fun, stimulating and
educational content that will allow us to deliver all-new brand experiences to
the young and 'young at heart' - anywhere and anytime they want."
"This joint venture reinforces Discovery's strategy to develop strong
brands, maximize the potential of our extensive distribution in the U.S. and
work with the highest quality content partners to create long-term value,"
said David Zaslav, President and CEO of Discovery Communications. "Brian
Goldner and the dynamic management team at Hasbro have a long track record of
developing well-respected quality brands that entertain and encourage creative
play. The combined assets of both partners provide a compelling platform for
building a trusted children's destination that engages and enlightens a
thirsty and growing audience."
At the closing of the transaction, Hasbro will purchase a 50% stake in the
venture, which will hold the assets related to Discovery Kids Network in the
U.S., for which Discovery Communications will receive $300 million. The joint
venture's rebranded network is expected to debut in late 2010 reaching
approximately 60 million Nielsen households in the U.S. with programming
geared to boys and girls 14 years of age and under. The joint venture also
will participate in merchandising opportunities associated with on-air
content. The closing of the transaction is subject to customary closing
conditions including satisfaction of all requirements of the Hart-Scott-Rodino
Antitrust Improvements Act of 1976.
Each company will have equal representation on a board of directors that
will oversee a management team responsible for programming, scheduling and
operations. The search for a President and General Manager for the network
will begin immediately. Discovery Communications will handle advertising
sales services, distribution, origination and other operational requirements
for the proposed venture, while Hasbro will provide studio-produced
programming.
Hasbro will also make a separate investment to establish a creative team
that will allow Hasbro to create and produce the consumer-driven content
children and families have come to expect from Hasbro's unmatched brands.
Creative work will start in the next few months beginning with early stage
development for properties including ROMPER ROOM, TONKA, G.I. JOE,
TRANSFORMERS and MY LITTLE PONY. The creative team will have the capability
to produce animated, live-action, and game show programming as well as content
designed for digital and mobile extensions.
Programming on the network will be designed to entertain and educate,
echoing the popularity and appeal of Hasbro's portfolio of brands and
Discovery's long-standing commitment to life-long learning with the goal of
making our emerging networks more valuable to affiliates and more compelling
for viewers. In the tradition of Discovery Kids, this will include a number
of daily hours voluntarily devoted to educational/informative content.
The network will continue to operate as Discovery Kids until the debut of
the to-be-named channel and new programming slate. Discovery Communications
will retain the Discovery Kids brand for, among other things, its
international networks and its licensing and merchandising business.
Launched in 1996, Discovery Kids Channel has won multiple Daytime Emmys
and Parents' Choice Awards for its series and specials. Discovery Kids
programming helps children satisfy their curiosity about a full range of
science, adventure, exploration and natural history topics through
documentaries, reality shows, scripted dramas and animated stories.
Hasbro was advised by The William Morris Agency (WMA), John Fogelman of
WMA and Bank of America/Merrill Lynch & Co. in connection with this
transaction.
Discovery was advised by Paul, Weiss, Rifkind, Wharton & Garrison LLP.
Conference Call and Webcast Details
At 8:15 a.m. Eastern today, Hasbro President and CEO Brian Goldner and
Discovery Communications President and CEO David Zaslav will host a conference
call for media to discuss the new joint venture. To access the conference
call, in the U.S. dial 1-800-573-4842, or outside of the U.S. dial
1-617-224-4327, and use the following passcode: 59518157. A live webcast and
replay of the call also will be available on Discovery Communications' website
at www.discoverycommunications.com and Hasbro's website at www.hasbro.com.
At 8:45 a.m. Eastern today, Hasbro President and CEO Brian Goldner and
Hasbro Chief Operating Officer and Chief Financial Officer David Hargreaves
will host a conference call for Hasbro investors to further discuss the new
joint venture. Discovery President and CEO David Zaslav and Discovery CFO
Brad Singer also will join the call. To access the Hasbro investor conference
call, in the U.S. dial 800-768-6544, or outside of the U.S. dial 785-830-7990.
A live webcast of the call will be available on Hasbro's website at
http://investor.hasbro.com and click on the webcast microphone. The replay
will be available on Hasbro's web site approximately 2 hours following
completion of the call.
About Hasbro
Hasbro, Inc. (NYSE:HAS) is a worldwide leader in children's and family
leisure time products and services with a rich portfolio of brands and
entertainment properties that provides some of the highest quality and most
recognizable play and recreational experiences in the world. As a
brand-driven, consumer-focused global company, Hasbro brings to market a range
of toys, games and licensed products, from traditional to high-tech and
digital, under such powerful brand names as TRANSFORMERS, PLAYSKOOL, TONKA,
MILTON BRADLEY, PARKER BROTHERS, CRANIUM and WIZARDS OF THE COAST. Come see
how we inspire play through our brands at http://www.hasbro.com. (C) 2009
Hasbro, Inc. All Rights Reserved.
About Discovery Communications
Discovery Communications (Nasdaq: DISCA, DISCB, DISCK) is the world's
number one nonfiction media company reaching more than 1.5 billion cumulative
subscribers in 170 countries. Discovery empowers people to explore their
world and satisfy their curiosity through 100-plus worldwide networks, led by
Discovery Channel, TLC, Animal Planet, Science Channel, Planet Green,
Investigation Discovery and HD Theater, as well as leading consumer and
educational products and services, and a diversified portfolio of digital
media services including HowStuffWorks.com. For more information, please
visit www.discoverycommunications.com.
Certain statements contained in this press release, including statements
related to the future expectations and timing for the rebranding of the
network, the types of content which the parties currently plan to create and
distribute via the network, and expectations for the performance of the
rebranded network, constitute forward-looking statements. Such
forward-looking statements are subject to known and unknown risks and the
actual actions or results may differ from these current expectations. Factors
which might cause a difference between actual and expected events include: (i)
greater than expected costs or unexpected delays associated with the steps
necessary to rebrand the network, (ii) greater than expected costs or
unexpected delays related to Hasbro's establishment and development of the
team and infrastructure to create and produce content for the network, (iii)
changes in plans with respect to the future content to be created for the
network or the timing for its development, or with respect to the branding and
marketing for the network, (iv) consumer interest in and acceptance of the
network and its programming, or in entertainment-related product associated
with the network, (v) the financial performance of the network and other
factors which impact the resources the network has available and/or determines
to spend on programming, advertising and marketing, (vi) the willingness and
ability of Hasbro and Discovery to assist the network in meeting any financial
shortfalls it may experience or to otherwise support the network, (vii)
increased costs associated with, or delays in the production of, planned
content for the network, (viii) other factors which may lead to changes in the
branding of the network and/or the content to be developed for the network, as
well as (ix) other factors which are discussed in Hasbro's and Discovery's
public announcements and SEC filings. Neither party undertakes any obligation
to update these forward-looking statements for events occurring after the date
of this press release.
SOURCE Discovery Communications
-0- 04/30/2009
/CONTACT: Media, Wayne Charness of Hasbro, +1-401-727-5983,
wcharness@hasbro.com; or Michelle Russo of Discovery, +1-240-662-2901,
michelle_russo@discovery.com; or Investor Relations, Karen Warren of Hasbro,
+1-401-727-5401, kwarren@hasbro.com; or Craig Felenstein of Discovery,
+1-212-548-5109, craig_felenstein@discovery.com/
/Web Site: http://www.discoverycommunications.com /
(DISCA DISCB DISCK HAS)
CO: Discovery Communications; Hasbro, Inc.
ST: Maryland, Rhode Island
IN: ENT TVN
SU: JVN CCA CHI
PR
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2283 04/30/200906:53 EDThttp://www.prnewswire.com