Lego Systems

February 25, 2005 12:25 ET

LEGO Systems Inc. Named ''Construction Toy Vendor of the Year'' by Toys 'R' Us; Global Construction Market Leader Leaves Annual Toy Fair Celebrating Industry Honors


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: LEGO SYSTEMS

FEBRUARY 25, 2005 - 12:25 ET

LEGO Systems Inc. Named ''Construction Toy Vendor of
the Year'' by Toys 'R' Us; Global Construction Market
Leader Leaves Annual Toy Fair Celebrating Industry
Honors

ENFIELD, Conn.--(CCNMatthews - Feb 25, 2005) -

LEGO Systems Inc., the Americas division of leading global construction
toy manufacturer LEGO Group, began its year-long celebration of 50 years
of the LEGO System of Play with momentum during this week's American
International Toy Fair, receiving category leadership honors from
leading toy retailer, Toys "R" Us, as "Construction Toy Vendor of the
Year."

LEGO Groups' Action Plan, implemented in 2004, has created significant
back-office improvements to make the company a faster, leaner and more
competitive player in the ever-changing toy marketplace.

In Toys "R" Us specifically, the company increased its focus on regular
and consistent merchandising and in-store excellence, including displays
and consumer education programs, and developed differentiated products
to drive significant increases in productivity, profitability and
inventory management.

"We are thrilled that LEGO Systems was focused on helping Toys "R" Us
drive differentiation in our stores and achieve excellence in the
construction toy category," says Manny Francione, vice president, DMM,
Toys "R" Us. "LEGO Systems has dramatically improved on all key metrics
in Toys "R" Us stores, and we commend them for their dedication to
making our stores a destination for LEGO products."

"This recognition from our largest customer in the world symbolizes that
the LEGO Group is returning to a leadership position among retailers
that, as the category leader, we should have," says Soren Torp Laursen,
president, LEGO Americas/Pacific/Direct. "We look forward to continuing
our strong commitment to Toys "R" Us and to further growing our
partnership through high quality, compelling products and supplier
excellence."

Additionally, LEGO KNIGHTS' KINGDOM was recognized by the Toy Industry
Association as Best Boy Toy of the Year during the annual Toy of the
Year (T.O.T.Y.) celebration of the best and most innovative toys of
2004.

KNIGHTS' KINGDOM unites the constructible action figure platform the
company pioneered with BIONICLE® in 2001 with the best of traditional
play theme construction and role play to engage a broader base of boys
under one compelling storyline. Unlike other category finalists,
KNIGHTS' KINGDOM utilizes no technology to capture boys' imaginations,
rather, represents a classic play pattern reinvented to appeal to
today's youth.

"Our receipt of the T.O.T.Y. award underscores that classic play
patterns like LEGO construction, independent of technology, can be just
as innovative and compelling to today's children, and we thank the
industry for recognizing that," says Soren Torp Laursen, president, LEGO
Americas/Pacific/Direct.

In the U.S., LEGO Group ended flat in 2004, outpacing the U.S. toy
industry and most major toy brands and maintaining position as
construction toy category leader with three times the dollar sales and
market share of the next competitor.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    LEGO Systems Inc.
    Michael McNally, 860-763-7825
    email: press@america.lego.com