Talking Nano Pet Press Release

18 November 1997

PLAYMATES TOYS LEADS AMERICAS VIRTUAL PET CRAZE
INTO ITS NEXT GENERATION BY
INTRODUCING TALKING NANO PALS

Americas Favorite Brand of Virtual Pets are Given Voices and Expressions in Time For the Holidays

COSTA MESA, Calif. (Nov. 18, 1997) – Playmates Toys, the company that started Americas virtual pet craze by introducing its Nano Pals brand last May, announced today that the first Talking Nano Pals will hit toy retailers' shelves this week.

Where the original Nano Pals beeped for attention, Talking Nano Babies, Kitties and Puppies make animated faces that fill their entire LCD display screens and utter 26 different words and sounds. Their facial expressions and sounds "mature" with growth – their pitches lower while their vocabularies expand. Each Talking Nano Pal will sell for an estimated retail price of $18.99 to $21.99.

Twenty-four hours of human time equals a full year of a Talking Nano Pals life. Hearing the "Happy Birthday" song indicates that a Talking Nano Pal has passed another milestone – from infant to toddler to pre-teenager. Talking Nano Pals grow for approximately 10 days, unless they run away from lack of care.

Talking Nano Pals require two "AAA" batteries (included), while the original Nano Pals use button cell batteries. Playmates has also attached key chains to Talking Nano Pals so they can easily attach to backpacks, purses and belt loops, and they are housed in a variety of fashion colors.

"Non-stop consumer demand for Nano Pals reinforces that Playmates Toys is the leader in innovation of the virtual pet category," said Mark Hatherill, senior vice president, marketing, Playmates Toys. "We are excited to introduce the true next generation of virtual characters to consumers who have enjoyed the Nano Pals brand, and promise to deliver additional extensions to the brand in the coming months."

Consumers can obtain information about all the various Nano Pals by visiting www.nanopals.com, Playmates' virtual pets web site.

Now Your Nano Talks!

Unlike any other baby, your Talking Nano tells you exactly what it needs to grow up happy and healthy! When you hear your Talking Nano Baby say "I'm hungry", it's time to feed her. When your Talking Nano Puppy says "Let's play!", it's time for a game. Make sure your Talking Nano Kitty says, "Thank you!" or you might have to discipline her. There are six different life outcomes for each Talking Nano.

TALKING NANO BABY, KITTY AND PUPPY INSTRUCTIONS

The object is to take care of your Talking Nano just like you would a real pet or baby. If you take good care of your Talking Nano, it will grow up to be happy. If you neglect your Talking Nano, your nano will grow up to be very unhappy. It takes approximately 10 days to play with your Talking Nano. Good Luck!

TALKING NANO GROWTH CHART:

Days 1 - 3 =Infant
Days 4 - 7 =Toddler
Days 8 - 10 =Pre-Teen

Remember one day of our time is one whole year to your Talking Nano. Every day you take good care of your Talking Nano, it gets a year older. After three days (or three years for your Talking Nano), you'll hear a happy birthday song - that means your Talking Nano has just become a Toddler. After seven days, you'll hear the birthday song again, and your Talking Nano becomes a Pre-Teen.

What you're Talking Nano says depends upon what it needs and how old it is.

TURNING OFF THE SOUND

Press the (upper left) button to display the time. While the time is being displayed press the (right) button to turn the sound off. The bell icon will disappear. To turn the sound back on, simply press the (left) arrow button. The bell icon will reappear. Press the (upper left) button to switch back to Play Mode.