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To: Larry S. who wrote (20714)9/13/1999 1:40:00 PM
From: Larry S.  Read Replies (1) | Respond to of 53068
 
Zany news: -

September 13, 1999 13:18

Zany Brainy, Inc. Signs Exclusive Agreement with The Vermont Teddy Bear Company

KING OF PRUSSIA, Pa.--(BUSINESS WIRE)--Sept. 13, 1999--

Customers to Make Personalized Vermont Teddy Bears in the Stores

Zany Brainy, Inc. (Nasdaq National Market: ZANY), a leading specialty retailer of high
quality toys, games, books and multimedia products, today announced it has signed an
exclusive license agreement with The Vermont Teddy Bear Company(R) (Nasdaq
National Market: BEAR) for the
worldwide rights to install the Make-A-Friend For Life(R) program in its stores.

"The Make-A-Friend for Life program provides Zany Brainy with a new source of
interactivity for our stores," stated Keith C. Spurgeon, Chairman and CEO of Zany
Brainy, Inc. "Store interactivity and
exclusive merchandising have become the hallmarks of Zany Brainy, making us a
destination store of choice in toy retailing."

The Make-A-Friend For Life program allows customers to stuff, sew, dress and
accessorize a personalized Vermont Teddy Bear in the store. This process takes
approximately twenty minutes and the finished bear costs between $14.99 and $24.99.
The Vermont Teddy Bear Company will
supply Zany Brainy stores with the Huffin' Puffin(TM) stuffing machines and related
products, including unstuffed teddy bears, outfits and accessories, needed for in-store
manufacturing.

Zany Brainy will install the interactive kiosks in ten stores beginning in October. The ten
selected locations are: Wynnewood, PA; Newport Beach, CA; Thousand Oaks, CA;
Rockville, MD; Wayne,
NJ; Northbrook, IL; Edina, MN; Birmingham, AL; Durham, NC; and Alpharetta, GA.
The Company plans a national rollout of the program beginning next year.

"Our decision to expand The Make-A-Friend-For-Life program nationally was based
upon our on-site test conducted this past year in our Marlton, NJ store," continued Mr.
Spurgeon. "The Marlton test
had strong sales results and received positive customer feedback."

Mr. Spurgeon concluded, "We pride ourselves on offering exclusive products that make
learning fun and encourage the emotional and physical development of children. The
synergy that exists between the Zany Brainy product mission and the high quality,
traditional product ideals of The Vermont Teddy Bear Company makes this partnership
an ideal fit for us."

About Zany Brainy

Zany Brainy, Inc. is a leading and rapidly growing specialty retailer of high quality toys,
games, books and multimedia products for kids. The Company is a different kind of toy
store with a unique product mission and a passionate commitment to its customers. Zany
Brainy believes learning should be fun. Its products entertain, educate and spark the
imaginations of children up to 12 years of age. The Company combines a distinctive
merchandise offering with superior customer service and daily in-store events to create
an interactive, "kid-friendly" and exciting shopping experience for children and adults.
The Company presently operates 98 stores in 26 states.

Certain statements in this report set forth management's intentions, plans, beliefs,
expectations or predictions of the future based on current facts and analyses. Actual
results may differ materially
from those indicated in such statements. Additional information on factors that may
affect the business and financial results of the Company can be found in filings of the
Company with the Securities and Exchange Commission.

CONTACT: Zany Brainy, Inc., King of Prussia
Robert A. Helpert, (610) 278-7800
or
The MWW Group, New York
Investor Relations, (212) 704-9727
Robert Ferris -- rferris@mww.com
Marjorie Kaschak - mkaschak@mww.com