Marvel Consolidates Licenses for Large Product Categories with Leading Partners Hanes Apparel, R.M. Palmer and Disguise, Inc.
Thursday April 1, 6:50 am ET
Category Consolidation Strategy Helps Increase Financial Returns for Marvel, Partners and Retailers
NEW YORK--(BUSINESS WIRE)--April 1, 2004-- Marvel Enterprises, Inc., (NYSE: MVL - News) a global character-based entertainment licensing company, has recently signed agreements that effectively consolidate its licenses into single marquee partners for the underwear, candy and costume categories. These new arrangements represent Marvel's strategic approach to category management whereby Marvel seeks to enhance the caliber of its partners while expanding the marketing and promotional support for its product lines, resulting in higher returns to all parties. The license partners include Hanes apparel for underwear, R.M. Palmer for confection and Disguise in the costume category. Marvel is currently evaluating several other categories in which to pursue similar broad partnerships.
Under the agreements, Hanes, Palmer and Disguise, are each granted the licensing rights to manufacture products featuring several prominent brands from the Marvel library including, Spider-Man®(TM), X-Men®(TM), The Fantastic Four®(TM), Hulk(TM), Iron Man®(TM), Punisher®(TM) and more. Hanes, a world-leading apparel manufacturer, will produce Marvel-branded hanging and packaged underwear. Palmer, a global confectionary manufacturer, will produce Marvel-branded chocolates, non-chocolates, novelty gift candy and other products while Disguise will create costumes and costume-related accessories.
"As the value of our character and corporate brands continues to grow, and Marvel-branded products are embraced by a growing base of consumers, we are placed in the enviable position of being able to attract and work with some of the world's best manufacturers across a wide range of product categories," said Tim Rothwell, President of Marvel's Worldwide Consumer Media Group Division. "Consolidating our licensees and partnering with the best-in-trade will allow us to secure more retail support with a single, cohesive product line. This strategy should result in an overall increase in the distribution of our products, which will ultimately drive higher sales for our partners and therefore increased royalty income for us." |
