Page 6 - Ty Warner Case Study

Product Range

The company's product range rapidly developed to
include:

Beanie Babies(R),

Teenie Beanie Boppers(R),

Beanie Boppers(R),

Punkies(R),

Pluffies(R),

Ty Classic(R),

Beanie Buddies(R) and

Baby Ty(R).

The red Ty Heart Logo(R) , is recognized around the world and can be found on all Ty
products.

In December 1988 Warner took a full-page advertisement in the Wall Street
Journal (after he was not included in the Forbes Rich List) to announce that his
company was the largest toy manufacturer in America. He instructed his
accountants to release information to prove the point with the effect that the Ty
Beanie Baby Empire was shown to be larger than the industry giants of Hasbro
and Mattel combined.

His Westmont-based Ty Inc. earned $700 million in profits in 1998, the only
time the secretive Warner publicly disclosed financial figures for his privately
held company. And even then he did so only to prove that he indeed is the
largest toy maker, trumping the then-combined $538 million in profits earned
by his publicly held rivals, Hasbro Inc. and Mattel Inc.