Corpus Resources PLC Regulatory News (COR)

18 May 2005 07:00

Chorion PLC18 May 2005 Chorion assumes management of Mr Men licensing Contract with Copyright Promotions Licensing Group terminated 18 May 2005 -- In its 2004 preliminary results announcement of 16 March 2005,Chorion plc ("Chorion"), a leading owner of classic literary-based brands andcontent, announced that it had decided that it would be in the best interests ofshareholders for the licensing of the Mr Men property to be managed directly byChorion, in the same way that it manages Noddy and other brands. Chorion hastherefore been in negotiation with Copyright Promotions Licensing Group Limited("CPLG") for an early termination of the latter's management contract. Chorion is pleased to announce that it has successfully concluded negotiationsfor the early termination of the contract in return for a payment of £1.5million. Chorion inherited CPLG as licensing agent for the Mr Men properties with thepurchase of the Mr Men estate in April 2004. The contract was due to run untilSeptember 2006, with certain commissions payable after that date. Thetermination of the agency arrangement, which was exclusive and includedworld-wide rights, is immediate and the management of the brand will now betaken over directly by Chorion. The payment of £1.5 million is a one-off payment in full and final settlement ofall commissions due to CPLG under the previous arrangements. This will beexpensed as an exceptional item by Chorion in the 2005 accounts. The conclusionof these arrangements at this point of the year is not expected to have anybeneficial impact on the 2005 earnings, but is expected to provide a significantbenefit to earnings in 2006 and beyond. Nicholas James, Chief Executive of Chorion said: "CPLG has successfully managed Mr. Men over the years and we are inheriting theday to day management of a brand that has performed well. By taking over thedirect management of the brand now Chorion will be able more thoroughly to planand execute the re-launch that will coincide with a new television series. Thisseries is now in pre-production and we are very excited about the long termgrowth prospects for Mr Men that the new series will deliver from 2007 onwards. - ends - Enquiries please call: Tim Allan or Andrew ShollPortland, for Chorion020 7404 5344 About Chorion Chorion (LSE: COR) is a leading owner and manager of classic literary-basedbrands. Its foremost properties include Enid Blyton's Noddy, Roger Hargreaves'Mr. Men and Little Miss series, Agatha Christie's Hercule Poirot and Miss Marpleand Georges Simenon's Inspector Maigret. Visit www.chorion.co.uk. This information is provided by RNS The company news service from the London Stock Exchange