Date: 21st September 2000
Disney signed a deal Wednesday with toymaker Hasbro, the chief rival of Mattel, which has had an exclusive deal to produce toys related to Disney films for over a decade.
The deal appeared to give Mattel rights to produce toys for films that Disney produces with Pixar while Mattel will continue making toys tied to Disney animated features and classic cartoon characters. Hasbro also becomes the official toymaker for several Disney resorts.
Today's Wall Street Journal said that Mattel had decided to walk away from part of the Disney business because of high fixed payments and royalties that it was required to make, something that had often caused it to lose money on Disney films. "The irony is that it's a win-win situation for both toy companies," Merrill Lynch analyst Hayley Kissel told the Los Angeles Times.
Source: Studio Briefing