Press Release


July 21, 2000

 Randall W. White, Chairman and CEO of Educational Development Corporation reports that on Tuesday July 18, 2000 Dorling Kindersley announced that Dorling Kindersley Family Library (DKFL) would cease operations effective August 31, 2000.  Dorling Kindersley, a publisher of children's books, competes in the same markets as Educational Development.  The Family Library Division, with approximately 20,000 consultants, and annual sales volume of approximately $30 million, is in direct competition with EDC's direct selling division, Usborne Books at Home (UBAH).  While the DKFL sales consultants have many options open to them; UBAH is the only direct selling company which sells children's educational books.  The Company has issued a letter to all of the former DKFL consultants and supervisor's, offering them an opportunity to join the UBAH sales force.  The Company has already been contacted by several of DKFL's sales consultants, and we anticipate more in the near future.  The Company expects this change to have a positive effect, due to both the loss of a major competitor, as well as the increase in UBAH consultants.

 The Company also announced that they have entered into a co-branding advertising agreement with Chic-Fil-A.  Beginning in the fall of 2000, Chick-Fil-A will distribute over 1,000,000 Usborne books with their children's meal package.  There will be information on the back of each book, explaining the UBAH opportunity.  The Company feels that this added exposure will strengthen the Usborne brand name, resulting in a positive impact.