MEDIA RELEASES

Following the decision by Funtastic Limited to divest its electrical brands to the H.E.Group, at the end of 2005, Funtastic business manager Peter Pearce will now take on the role of general manager at the H.E Group. The brands moved from Funtastic to the H.E.Group include Piranha, Dome, Vibes, Jolie and Avita. Six other former Funtastic employees have also moved over to the H.E.Group.

Pearce said the H.E.Group would be able to dedicate more attention to the electrical brands. Although the H.E.Group plans to grow the brands in the future, Pearce said the business model at Funtastic would be adopted in the short term. He said the H.E.Group will continue to deal with the same retail accounts, which include Kmart, Target, Myer and Big W.

"We'll continue the direction in which the business was going at Funtastic," he said.

Funtastic was established in 1994 and listed on the Australian Stock Exchange in 2000. The company took on the Piranha floorcare brand about five years ago, followed by the Dome, Vibes, Jolie and Avita brands. The Revlon brand also falls under the H.E.Group portfolio.

All inventories passed onto H.E.Group
In a statement to the Australian Stock Exchange, Funtastic said it decided to divest the electrical brands after a strategic and operational review. Funtastic is understood to be focusing on its licensed products including Barbie and Spiderman. Trademarks, intellectual property and existing inventory were part of the transaction with the H.E.Group.