It's official: Pixar has concluded discussions to extend its long-term partnership with The Walt Disney Co., and will go its own way as a potential indie powerhouse with its own strong brand identity. The Emeryville, California-based CG animation studio still has two features to deliver to Disney: THE INCREDIBLES in 2004 and CARS in 2005, but is now free to continue negotiations for a distribution deal with another studio. Last August, Pixar chairman and ceo Steve Jobs initiated talks with Fox and Warner Bros.

IDT Entertainment is fast approaching buying up all the ingredients it needs to be a completely diversified, worldwide entertainment conglomerate with its latest acquisition of a 5% equity interest in Archie Comics Entertainment, LLC. This agreement gives IDT the rights to co-develop and co-produce select animated properties based upon Archie Comics Ent. characters.

Entertainment Rights' top rating children's TV star, BASIL BRUSH, is teaming up with The Children's Society to help raise funds for the charity's work with disadvantaged kids via an exclusive two-year agreement with ER to produce four Basil Brush pin badges. The badges will sell for £1 each in high street retailers in the U.K.

Avid Technology has acquired Munich-based NXN Software, the leading provider of asset and production management systems specifically targeted for the entertainment and computer graphics industries, in a cash transaction valued at approximately EUR35 million.

A state appeals court in California reinstated WHO FRAMED ROGER RABBIT? novelist Gary K. Wolf's lawsuit against Walt Disney Co., claiming that Disney owes Wolf millions of dollars in merchandising royalties, reported the ASSOCIATED PRESS. This lawsuit is very similar to the one brought against Disney by the Slesinger family, owners of the WINNIE THE POOH copyright.

New animation studio Ooga Booga Studio Inc. has opened in Vancouver to focus on the production of high quality 2D and 3D animation for commercials, promos and television specials. Founder is Colleen Pollock, formerly senior producer at another Canadian house, Natterjack Animation Co.

Alias is continuing to foster a strategic business relationship with Weta Digital beyond THE LORD OF THE RINGS trilogy, as it looks forward to working together on KING KONG.

Using 165 seats of primarily Maya Unlimited, Maya proved invaluable as the core 3D animation software utilized in the production of THE LORD OF THE RINGS trilogy.

The United States Court of Appeals for the Ninth Circuit has denied an appeal by Clare Milne and Disney to recapture the rights under copyright to Winnie the Pooh from the Slesinger family, originally granted in an agreement with author A. A. Milne in the '30s.

In November of 2002, Disney said Clare Milne had initiated complex copyright-law maneuvers in an effort to reclaim the rights to Pooh. In May, a Federal District court ruled in favor of the Slesingers, leading to Milne's appeal, which Disney joined.

Raven Moon Entertainment Inc. has formed a new animation company called Raven Animation Inc., with plans to target former Disney/MGM animators that recently lost their jobs on Jan. 12 because of the closing of Disney's animation operations at Disney/MGM studios in Orlando, Florida.

Stargate Digital, the visual effects studio based in Pasadena, Californa, has opened a new facility, Stargate Digital UK, at London's historic Pinewood Studios.

The new high-speed, deep storage digital facility is modeled after Stargate's growing and groundbreaking Los Angeles and Vancouver studios. All three studios will be linked via a state-of-the art high-speed, high-resolution digital network and will be able to quickly and efficiently work on projects and pool talent.

Paramount Home Ent. will be PBS Home Video's new video distribution partner for the U.S. and Canada. Beginning April 5, 2004, Paramount will bring PBS DVD and VHS releases to retailers across the country. The PBS Home Video library features award-winning titles such as THE CIVIL WAR, BASEBALL, JAZZ and many other acclaimed films from Ken Burns, AMERICAN EXPERIENCE's portrait of SEABISCUIT and the popular children's franchises, CAILLOU, SAGWA THE CHINESE SIAMESE CAT and TELETUBBIES, among others.

LEGO Systems Inc. has partnered with Nickelodeon to create construction sets based on the hit preschool show on commercial television, DORA THE EXPLORER. Through the two-year partnership, LEGO Systems is looking to not only grow in the preschool category with the LEGO EXPLORE line of products, but also increase the construction toy options for all young children.

DIC Consumer Products and publishing powerhouse Penguin Group have reached the four million books sold mark from 15 STRAWBERRY SHORTCAKE titles published in the U.S. in 2003.

TOKYOPOP Inc. has announced its has awarded the RAVE MASTER master toy license to Hasbro. The toy maker is planning a comprehensive line of RAVE MASTER themed action figures, games and accessories, with the first wave hitting store shelves in the fall of 2004. The TV series is set to debut in the U.S. on Cartoon Network in 2004.

ABC Cable Networks, Fox Kids Europe and Fox Kids Latin America have teamed up to launch Jetix, a joint kids programming worldwide alliance that will feature original, acquired and library action/adventure series for kids to reach a combined 137 million television households in 77 countries and in 18 languages.

Featuring such popular action programs such as POWER RANGERS, Jetix programming blocks will debut in the U.S. in February 2004, with morning programming on ABC Family and primetime shows on Toon Disney.

Walt Disney Feature Animation has officially closed its animation unit in Orlando, Florida that was responsible for BROTHER BEAR ($83.6M), LILO & STITCH ($146M) and MULAN ($121M) as a cost-cutting measure. In November, Disney cancelled production of A FEW GOOD GHOSTS, leaving little doubt about the fate of its 258 employees based in Florida.

A group of former Walt Disney Feature Animation Florida animators have banded together to open Legacy Animation Studios, a new animation production studio in Winter Garden, Florida, close to Orlando in late January 2004. The studio will offer a full-range of traditional hand-drawn (or 2D) animation services for film, television and commercials. Legacy will also be dedicated to developing original properties for television and film as well as produce its own feature film project.

Vancouver Canada-based Global Mechanic has expanded its operations to the United States in order to serve its increased business in commercial, television production, and independent film work.

Mattel Inc. has signed a deal with ShoPro Ent. for the master toy license to MEGAMAN NT WARRIOR. The franchise originated as a Capcom videogame series then became a long-running manga series. The TV series is garnering high ratings for the Kids' WB! Mattel has not yet announced any information regarding when the initial release of the new toy line will begin.

Burger King Corp., 4Kids Entertainment Inc. and Mirage Licensing Inc. will be bringing extreme sports themed TEENAGE MUTANT NINJA TURTLES toys to kids meals. The promotion will run from Jan. 5 to Feb. 1, 2004 at participating Burger King restaurants. In addition, the companies have collaborated on a program to encourage kids to incorporate physical activity into their everyday lives, as part of a partnership with the President's Challenge, a program of the President's Council on Physical Fitness and Sports.