FOR IMMEDIATE RELEASE

Contact: Gayle Glickman/Ann Morris

Healy Communications, Inc.

Story Reader’s™ Success Spawns
New Products, Movie Tie-Ins for the Holidays
New Introductions Build on Success of Story Reader™,
America’s Number One Preschool Book Line

Lincolnwood, Ill. – August 2, 2005 – Publications International, Ltd. (PI) announced today that phenomenal sales of Story Reader have spurred a host of new products for the 2005 holiday season, including two new single titles and five new three-title packs, all of which feature popular licensed characters. Also new for holiday 2005 is the Story Reader Deluxe Fun Pack™, a value-oriented offering including a Story Reader, two titles and popular Story Reader accessories.

The two new single titles are the popular “My Little Pony” and “Chicken Little,” which is based on Disney’s upcoming feature film (scheduled to open in movie theaters November 4). The five new three-packs include best-sellers Dora the Explorer and SpongeBob Squarepants; “Chicken Little, The Incredibles and the Lion King”; “101 Dalmatians, Lady and the Tramp and the Lion King”; and “Cinderella, Snow White and The Little Mermaid.” The new books will bring Story Reader’s line-up to more than 60 titles and will be available at major retailers in October.

Story Reader, the first-ever portable electronic storybook reader for kids aged three to eight, has sold 1.6 million units and 7.5 million book titles since its introduction, making it the best-selling preschool book line in the country. The award-winning Story Reader brings young children’s favorite stories to life. Using patented technology, a narrator almost magically reads the book as each page is turned, while Story Reader adds vibrant sound effects and music to accompany the story. Children need only turn pages – no buttons or stylus are required – making Story Reader ideal for young readers of any age and ability. Story Reader recognizes what page the child is viewing, allowing the child to control the experience and read at his/her own pace.

In addition to the new book titles, the newly available Story Reader Deluxe Fun Pack features a full-sized Story Reader, a full-color, 24-page Story Reader book featuring SpongeBob Squarepants, a sing-along microphone with songbook featuring Dora the Explorer, and a carrying case that holds up to eight books and cartridges. The product retails for about $30, which represents an approximate $10 savings over purchasing these items separately. The Story Reader Deluxe Fun Pack will be available at major retailers in October.

With the microphone and songbook, children can sing along with tunes that accompany their favorite stories, enhancing both the play and learning value of Story Reader. To enjoy the sing-along feature, children need only attach the microphone unit to Story Reader and insert the songbooks featuring popular stories and songs. When a song begins, the child sings into the microphone and can hear his or her own voice, along with the background music and sound effects, through Story Reader’s sound system.

“Story Reader Deluxe Fun Pack is the complete package for parents who want to encourage their kids aged three and up to develop a love of learning to read,” said Kerry Cunnion, Executive Vice President at PI. “The interactivity, combined with popular characters that children love, makes the books appealing and fun.” Other licensed characters featured in Story Reader titles include Blues Clues, Barney, Elmo, Scooby-Doo and Winnie the Pooh.

Story Reader has earned 15 national awards, and has even been called “the next best thing to a parent’s lap.” The Story Reader base unit, which comes packaged with a book based on the Disney/Pixar movie, “Finding Nemo,” is widely available for about $20. Additional Story Reader titles come in one-, two- and three-book combinations, retailing for about $10, $15 and $20, respectively. For storage, car travel and mobility, PI offers Story Reader accessories such as a backpack, shoulder bag and a headphones & AC adaptor set, each retailing for $9.99.

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About Publications International, Ltd.

Publications International, Ltd. (PI), a privately held company based in Lincolnwood, Illinois, is the world’s largest publisher of children’s products that combine traditional printed books with electronic features that deliver interactivity, learning and entertainment value. Since 1967, PI has provided consumers and retail partners with products defined by creativity, quality and value, operating with the mission to “get as many books into the hands of as many children as possible.” PI introduces hundreds of new children’s titles annually and sells more than 20 million traditional and electronic soundbooks each year. The company is actively involved in philanthropic literacy efforts, donating more than 6,000 books annually to children’s charities to stimulate the love of reading in young people. In addition to its rapidly growing children’s book division, PI also publishes widely popular cookbooks, the New Seasons line of albums and journals, and a wide variety of general and specialty titles.