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Entertainment Rights Acquires Tell-Tale Prods.

Entertainment Rights has acquired the production company Tell-Tale. Creative talent Iain Lauchlan and Will Brenton with fellow directors Karl Woolley and Helen Cadwallader will join ER to lead the creative division, which will immediately begin work on an extensive production and development slate. The move combines Tell-Tale's strong creative talent and ER's strengths as an expert in television and video distribution, licensing, merchandising and brand management.

Ongoing productions POSTMAN PAT, LITTLE RED TRACTOR and BASIL BRUSH, will be joined by new productions, BB3B for the BBC and Fun Song Factory for CiTV.

Tell-Tale are the creators and producers of THE TWEENIES, the BBC's £350m global brand, which to date has broadcast in more than 60 countries worldwide and sold more than three million videos in the U.K. alone. Tell-Tale receives ongoing royalties on all THE TWEENIES revenue and, under the terms of the acquisition, ER will now receive THE TWEENIES royalty income.

In addition, a major motion picture for THE TWEENIES is in advanced stages of negotiation for June 2005, clearly demonstrating the brand's status as a global evergreen property.

Jane Smith, group commercial director, ER, commented: "Alongside ER's expertise in sales and brand management, Tell-Tale's creative talents will enable us to build on an enhanced development and production slate with global exploitation potential. This is a significant development for the Company. I am delighted to welcome Tell-Tale's directors, Iain, Will, Helen and Karl into the ER Group."

Will Brenton, director of Tell-Tale, said: "This is a great opportunity for us. Joining forces with ER enables the Tell-Tale team to concentrate on what we know and love - creating exciting and innovative TV shows for kids. The commercial strength of ER will ensure that we retain rights ownership and that our shows will be fully exploited around the world. By combining the two companies, we can ensure we will have the very best prospects of bringing quality programs to children all over the world."

Entertainment Rights Plc. is one of the U.K.'s leading specialist media groups focused on the ownership of high quality children's and family programming, characters and brands. For more information, visit www.entertainmentrights.com.

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Rick DeMott
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