MATTEL, INC. LAUNCHES MULTIMEDIA COMPANY...
MATTEL MEDIA, INC.

Leading Worldwide Kids' Brands -- BARBIE, FISHER-PRICE, HOT WHEELS, SEE 'N
SAY, POLLY POCKET and CABBAGE PATCH KIDS -- To Be Extended To Multimedia

New Unit To Release More Than 15 Children's Consumer Software And
Coin-Operated Products In 1996

Largely Untapped Girls' Software Market To Be Key Focus

EL SEGUNDO, CA -- Positioned to aggressively extend some of the most
powerful toy brands in the world to multimedia software and coin-operated
products, Mattel, Inc. has established Mattel Media, Inc., it was
announced today by Jill Barad, president and chief operating officer of
Mattel, Inc. Spearheaded by multimedia industry veteran Doug Glen as its
president, Mattel Media is teaming up with key developers to create a
variety of exciting, new children's products that target girls, boys and
pre-schoolers. The new company has identified the largely untapped girls'
software market as a primary focus. Optimizing its parent company's
well-established distribution channels and global marketing expertise,
Mattel Media's initial products will be available worldwide this fall.

"We are taking the characters and play patterns children love and giving
them exciting new dimensions via multimedia and coin-operated products,"
said Barad. "This is a product extension strategy that leverages the
time-tested appeal of our established brands."

"Most of the competition in the entertainment multimedia marketplace is
crowded into the action game area, with the majority of it designed for
adolescent-to-adult males," said Glen. "At Mattel Media, we believe that a
real mass market will emerge for family-oriented software driven by
trusted brands and built on interactive fun which is accessible to younger
children, girls and adults alike."

Mattel Media's Mission

The mission of Mattel Media is to become a worldwide leader in
children-oriented multimedia entertainment, inside and outside the home,
by extending Mattel's toy brands and characters into interactive play.

Mattel Media is taking full advantage of its parent company's global
strengths in marketing and distribution. Mattel Media products will be
cross-promoted with the corresponding toy lines, and they will be
merchandised side-by-side on retail shelves. Brand advertising will be
expanded to cover the full range of products, from traditional toys to
computer software.

Extending World-Class Brands To Interactive Multimedia

The BARBIE, FISHER-PRICE, HOT WHEELS, SEE 'N SAY, POLLY POCKET and CABBAGE
PATCH KIDS toy brands currently account for the majority of Mattel's
revenues. Mattel Media is relying heavily on the brand equity of these
properties as it releases a diverse line of consumer software titles for
Macintosh and PC platforms, as well as coin-operated machines, beginning
in fourth quarter 1996.

* BARBIE - The world's most famous doll, BARBIE, celebrates her 37th
anniversary this year. The popularity of BARBIE dolls with girls is
unmatched by any other brand, with nearly 99 percent of American girls
between the ages of three and ten owning at least one BARBIE doll. In
fact, the typical American girl between those ages owns an average of
eight BARBIE dolls. BARBIE dolls are currently sold in more than 140
countries around the world. Extending World-Class Brands To Interactive
Multimedia

* FISHER-PRICE - Founded in 1930, FISHER-PRICE is ranked as one of the top
quality brands in the world. The name has become synonymous with knowledge
and expertise of infant and pre-school children. Currently, 98 percent of
parents positively respond to and recognize the FISHER-PRICE name.
FISHER-PRICE and Compaq Computer Corporation recently unveiled the Wonder
Tools line of multimedia products for home PCs.

* HOT WHEELS - Since its launch in 1968, the HOT WHEELS brand has produced
more than one billion miniature cars, which is more than Detroit's Big
Three auto makers combined. With nearly 100 percent awareness among boys
ages five through ten, HOT WHEELS is one of the most dominant brands in
the boys' toy market.

* SEE 'N SAY - From infants to pre-schoolers, SEE 'N SAY has kept children
"listenin', laughin' and learnin'" for more than 30 years. In 1963, SEE 'N
SAY introduced the original "talking toy" for pre-schoolers, which has
become the best-selling pre-school toy line year after year. Today, with
more than 50 million units sold since its introduction, the brand offers
an entire line of toys, providing fun learning with many interactive sight
and sound features.

* CABBAGE PATCH KIDS - New to the Mattel family in 1995, the CABBAGE PATCH
KIDS stormed the toy industry more than 13 years ago with what many
trend-watchers say was the biggest craze ever to hit the children's
market. Since 1983, more than 80 million of these lovable "kids" have been
embraced by children worldwide, making it one of the ten best-selling toy
brands of all time.

* POLLY POCKET - Introduced in 1990, the POLLY POCKET line of small dolls
and miniature play environments is the number two girls' toy brand
worldwide -- second only to BARBIE. Approximately 90 percent of girls ages
four through eight currently own four POLLY POCKET items.

Product Development Alliances

Mattel Media's product line is a collaboration of Mattel's world-class toy
designers, marketing researchers, software producers and outside
developers. The company has established alliances with Digital Domain,
R/GA Digital Studios and Media Station, among others, to develop the
company's initial slate of products. Mattel Media will continue to
strategically align itself with other top outside publishers and
developers for additional programming.

With BARBIE FASHION DESIGNER as their debut CD-ROM program, Mattel Media
and Digital Domain are teaming up to create a new generation of multimedia
software for girls. Digital Domain, a full-service digital production
studio, has been hailed for its innovative visual effects on such feature
films as "Apollo 13," "Interview With The Vampire" and "True Lies."

Mattel Media and Academy Award-winning special effects wizards R/GA Digital
Studios will introduce BARBIE MAKEOVER MAGIC as their initial CD-ROM
product. R/GA Digital Studios has made cars come to life for Shell Oil,
paired Paula Abdul with Gene Kelly for Diet Coke and brought the 3-D
Scorpion and Reptile to life for "Mortal Kombat: The Movie."

International Distribution

Mattel Media has allied with the leading European entertainment software
republisher/distributor, The Funsoft Group, to bring its line of
children's multimedia software to market in Western Europe. Through its
pan-European network of software developers, publishers, and distributors,
Funsoft will handle translation, localization, consumer support and trade
sales for Mattel Media's diverse software line-up.

Consumer Software Highlights

The following outlines some of the innovative computer products currently
in development by Mattel Media and its allied companies, which target
girls, boys and pre-school markets:

* BARBIE FASHION DESIGNER blurs the boundary between toys and software.
This unique multimedia software lets girls use their computers to design
and make imaginative fashions, from trendy sportswear to career clothes to
wedding gowns, for their BARBIE dolls. Once designed, the patterns are
printed onto printer-compatible fabrics, which are included with the
CD-ROM along with everything else needed to color, decorate and assemble
the patterns; no sewing is required. Girls ages five and older will find
it easy and fun to assemble the patterns into outfits which their BARBIE
dolls can really wear.

* HOT WHEELS CRASH & SMASH OFF-ROAD RACING is an exciting around-the-world
racing and fighting game that pits players against extreme terrain,
weather and other obstacles. The HOT WHEELS F/X RACING MOUSE is a fully
functional computer mouse with working lights and horn and a revving,
vibrating "motor" plus realistic acceleration and braking when used with
HOT WHEELS CRASH & SMASH software.

* SEE 'N SAY JUNGLE FRIENDS ABC'S, as part of the pre-school software early
learning series, builds letter recognition and vocabulary skills. It
allows parents to record words of encouragement in their actual voices and
have them automatically played back as a child progresses through the
skill-building activities and games.

Coin-Operated Machine Highlights

Outlined below are some of Mattel Media's line up of fun-filled,
coin-operated machines for children and adults.

* In HOT WHEELS SKID & SCORE, players race HOT WHEELS cars through multiple
winning zones to earn points, tickets and even HOT WHEELS cars.

* In FRISBEE DOG, players test their skills as they attempt to throw
FRISBEE discs into the mouth of a leaping mechanical dog.

* FISHER-PRICE POWER WHEELS coin-operated kiddie rides transform POWER
WHEELS vehicles into fun-filled adventures in family arcades and retail
venues. Girls can take a spin in a BARBIE sports car, while boys get
behind the wheel of an all terrain vehicle for an action-packed video
driving game.

Based in El Segundo, California, Mattel Media, Inc. was established in
early 1995 as a wholly-owned subsidiary of Mattel, Inc. and will release
its initial slate of products in the fall of 1996. The Mattel Media
product line consists of family-oriented home software and coin-operated
entertainment, all based on Mattels brands, characters and play patterns.
The consumer software division of Mattel Media is headquartered in El
Segundo and the coin-operated division is headquartered in Chicago,
Illinois.

Contact: Roger Maes, BENDER, GOLDMAN & HELPER
Voice: 310-473-4147, Ext. 258
Email: roger_maes@bgh.com
 
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