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Sponsorships Advertising Marketing

BIG DEAL IN THE CARDS: PINNACLE BRANDS TO ACQUIRE DONRUSS

     Pinnacle Brands and Donruss Trading Cards have entered into
an agreement through which Pinnacle will buy Donruss' rights to
produce and distribute baseball and hockey trading cards.  Under
terms of the deal, which is subject to regulatory and licensor
approval, Pinnacle will assume licenses with MLBP, the MLBPA, NHL
Enterprises and the NHLPA.  Pinnacle will also acquire certain
trademarks related to those sports trading card products.
Donruss will continue its sports trading card business until the
transaction is finalized, which is likely to occur next month
(Pinnacle). Pinnacle declined further comment on the deal until
company CEO Jerry Meyer returns from overseas, according to
SPORTS COLLECTORS DIGEST.  The acquisition comes after Pinnacle
purchased Action Packed last year.  That move made Pinnacle the
leader in football and motorsports cards and now Pinnacle becomes
the market leader in hockey and baseball cards. The acquisition
reduces the number of SCMA members to four -- Topps,
Fleer/Skybox, Upper Deck, Pinnacle -- and creates a "more
pronounced" distinction between large and small manufacturers.
Donruss' interactive game and entertainment licenses are not
included in the acquisition.  Donruss is expected to re-enter
those markets under new company and brand names (SPORTS
COLLECTORS DIGEST, 4/18).  In Chicago, George Lazarus notes
Donruss' exit from baseball cards in particular "didn't surprise
observers," as that segment has shrunk with declining fan
interest caused by the MLB strike (CHICAGO TRIBUNE, 4/19).

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