McDonald's® Names DIC Entertainment as Worldwide Licensing Agent

McDonald's Corporation (NYSE: MCD) has named DIC Entertainment (DIC) as its worldwide licensing agent for active play toys, entertainment and apparel as well as other exciting concepts to come. The announcement was made today by Larry Light, McDonald's Global Chief Marketing Officer and Andy Heyward, Chairman & CEO, DIC.

DIC -- a leading children's media company responsible for the successful worldwide launch of Strawberry Shortcake and the upcoming debut of 'tween' property Trollz -- will develop comprehensive new programs and products for McDonald's McKids brand slated to rollout in 2005 and 2006.

McKids® is the latest example of McDonald's commitment to promoting balanced active lifestyles through active play, active learning, active entertainment, videos/DVDs and children's apparel. The McKids line includes bikes, skateboards, scooters, outdoor play equipment, videos and an entire line of clothing and accessories. Some of the new offerings will be introduced beginning later this year. In addition, for young adults, McDonald's and DIC will introduce a brand new line of vintage McDonald's apparel to be introduced at specialty shops late in 2005, featuring some of McDonald's most memorable ad themes and vintage logos.

"One of the strategic pillars of our leadership marketing is promoting Balanced Active Lives," said Light. "Our McKids line will do just that. They will be top quality, safety tested, innovative, cool products at a great value for families. The partnership with DIC will help us bring this concept to life in exciting ways designed to help make fitness fun."

"DIC is thrilled to partner with McDonald's, one of the most trusted brands for consumers," said Heyward. "We believe there is a tremendous opportunity to create product lines that deliver fun and entertainment, as well as build children's awareness to the importance of an active lifestyle."

McDonald's and DIC will debut the McKids brand in international markets this year, including New York Licensing Show next week, the Brand Licensing Show in London, and Licensing Asia in Japan, where DIC will announce the appointment of new licensees and international representatives.

In Spring 2006, a new McKids video series will be launched in partnership with Warner Home Video to further promote fitness and activity.

DIC Entertainment

DIC Entertainment, a leading children's entertainment company, is a full- service studio dedicated to creating, developing, producing, distributing, marketing and merchandising family-based intellectual properties. DIC has distinguished itself by building one of the largest libraries of U.S. animation with more than 3,200 half-hours of renowned 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™. As a pre- eminent supplier of kid's programming worldwide, DIC has developed strategic partnerships with key domestic and international broadcast partners throughout the U.S., Europe, Asia, Latin America, Africa and Australia. DIC is headquartered in Burbank, California with international offices in New York, Paris, London and Cologne.

Nancy Fowler, President of Worldwide Consumer Products at DIC will oversee the development and launch of the programs. Under Fowler's leadership, DIC will also expand its consumer products division to include new offices in the U.S., Europe, Asia and Latin America exclusively dedicated to the McDonald's brands.

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SOURCE: McDonald's Corporation

CONTACT: Michelle Orsi of Three.Sixty Communications, +1-310-372-2309,
michelle@360-comm.com , for DIC; or Tara McLaren of McDonald's Corporation,
+1-630-623-7293, tara.mclaren@mcd.com

Web site: http://www.mcdonalds.com/