Nelvana Limited has announced a deal with Public Broadcasting Service (PBS)

to produce the network's first Saturday morning children's cartoon block.

The deal is worth approximately US$40 million. Nelvana will produce six

book-based children's series for the U.S. public network's Fall 2000

season. The multi-year deal will also include the commission of a minimum

of two of the six series for weekly runs featured in PBS KIDS. Licensing

rights for at least four of the six character brands will be mainly handled

by Nelvana. In addition, the Canadian company will also have significant

licensing participation with the other two character brands. The shows will

be based off of best-selling children's books: SEVEN LITTLE MONSTERS by

Maurice Sendak; GEORGE SHRINKS by William Joyce; TIMOTHY GOES TO SCHOOL by

Rosemary Wells; CORDUROY BEAR by Don Freeman; MARVIN THE TAP DANCING HORSE

by Michael and Betty Paraskevas; and ELLIOT MOOSE by Andrea Beck.