Press ReleaseHasbro, Inc. (NYSE:HAS), Marvel Entertainment, Inc. (NYSE:MVL) and Spider-Man Merchandising L.P. announced today that Hasbro will retain rights through 2017 to make toys and games based on new Marvel and Columbia Pictures theatrical releases and on Marvel’s globally popular portfolio of Super Hero brands, including franchises such as Spider-Man, Iron Man, the Avengers, X-Men, Thor and Captain America.
As part of the new agreement (the current agreement runs through 2011), Hasbro will continue to hold the global rights (excluding Japan) to develop products based on Marvel’s globally-known universe of more than 5,000 characters and Spider-Man Merchandising’s film and television properties in a wide range of toy and game categories, including action figures, role play and preschool toys, board games and puzzles. The new agreement covers both the “classic” comic book look of the characters as well as product lines inspired by television and films.
The license extension guarantees $100 million in royalties with the potential to earn up to an additional $140 million in royalty guarantees, contingent upon the release during the extension period of Marvel character based films that satisfy certain criteria.
In 2009, Hasbro is bringing to market a line of products based on the upcoming May 1 release of the movie X-Men Origins: Wolverine, as well as great classic lines behind Spider-Man, Iron Man, Super Hero Squad & the Marvel Universe. Hasbro is also planning product and marketing programs based on several upcoming releases like Iron Man 2, Thor, The First Avenger: Captain America, and The Avengers.
“Hasbro is thrilled to extend our relationship with Marvel and Spider-Man Merchandising through 2017,” said Brian Goldner, Hasbro’s President and CEO. “Through the years, Hasbro has consistently stayed on strategy as a brand driven company focused on our Hasbro brands, while selectively aligning ourselves with the best possible global licenses. As we’ve seen over the past several years, our licensing arrangement with Marvel and Spider-Man Merchandising gives Hasbro an even greater opportunity to expand our leadership position in the boys category.”
“Hasbro’s ability to secure this license through 2017 speaks to our execution as brand stewards and our ability to translate Marvel and Spider-Man Merchandising’s amazing intellectual properties into great toys and games,” said John Frascotti, Hasbro’s Global Chief Marketing Officer. “Based on our successful relationship to date, and in looking at the scheduled slate of theatrical releases in the years ahead, we feel very fortunate to have access to these great brands for such a length of time.”
According to Simon Philips, President, Worldwide Consumer Products and CEO of Animation for Marvel Entertainment, “We are very pleased to be extending our successful relationship with Hasbro. With the huge breadth of new Marvel entertainment offerings coming out over the next few years -- including feature films and animated television series featuring some of Marvel’s renowned Super Heroes -- we are confident that Hasbro will continue to fully leverage these properties on a global level. With their firm commitment to the Marvel brand, Hasbro has proven they are able to create innovative products that provide consumers with a standout retail experience. Our continued relationship will enable us to further extend the worldwide reach and image of the Marvel brand."
Juli Boylan, Sr. Vice President, Sony Pictures Consumer Products, the limited partner in Spider-Man Merchandising LP, stated "We are excited to continue our relationship with Hasbro for the Spider-Man feature film and television franchise. With innovative products that truly bring to life the top boys’ action brand in the world, Hasbro has and will continue to play a pivotal role in the success of the franchise."