Pages Come Alive as FAO Schwarz Unveils Highly Anticipated Holiday Catalogues.

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NEW YORK--(BUSINESS WIRE)--Sept. 19, 2000

FAO Schwarz, the world's ultimate toy store, officially kicked-off the holiday shopping season today with the unveiling of its highly anticipated Fall 2000 and Ultimate Toy Catalogues.

Carrying on its world-famous tradition of providing toy enthusiasts and collectors with exclusive and trend-setting merchandise from across the globe, the FAO Schwarz 2000 collection is sure to delight and dazzle children and adults of all ages.

The pages of FAO's Fall 2000 Catalogue come alive as a host of whimsical characters and famous icons grace the various covers of the catalogue, distributed throughout the holiday season: Eloise at Christmas, Bear in the Big Blue House, the Tommy Hilfiger Doll collection, Rolie Polie Olie, and friends from Dragon Tales. Inside, FAO has filled the pages with what is sure to be "hot holiday toys" for the 2000 holiday season.

Whether it is being the conductor of an eight-passenger train in your own home or mountain climbing in your bedroom, customers will see that FAO Schwarz is filled with the most unique collectibles and toys one can find throughout the world. Once again, FAO offers their one-of-a kind, magical touch; a tradition customers have grown to love throughout the years.

"As we unveil the first catalogues of the millennium, FAO Schwarz's indisputable reputation for providing customers with the finest quality merchandise and service since 1862 is surely reflected as you turn each page," said Bud Johnson, CEO, FAO Schwarz. "Our formula of offering a one-of-kind, highly interactive and entertaining shopping environment has made FAO a special place to find that perfect gift - for 139 years."

From a seven-foot Darth Vader built entirely out of Legos to an FAO Girl Bead Barrel kit, FAO Schwarz has all the great classics that children and adults will love. Below is a taste of some great gift ideas available from FAO's Fall 2000 catalogues.

FAO SCHWARZ HOT TOYS FOR THE HOLIDAYS

- Dolls: Glamorous and beautiful, FAO's dolls will be a delight for every girl
to play with.

- Tommy Hilfiger/Madame Alexander Dolls: $85 -- From fall's hottest runway
show, exclusively, to the world's hottest toy store! Tommy Hilfiger and FAO
Schwarz are proud to team up with Madame Alexander Dolls to offer an exclusive
collection of five of the best-dressed dolls in Hilfiger's latest fashions.

- Millennium Ball Alex by Madame Alexander: $160 -- Announcing the debut of
Alexandra Fairchild Ford, the stunning new creation by Madame Alexander and
exclusive to FAO. Here Alex steps out for an elegant evening gala. Dressed in a
beautiful beaded satin dress with a knit angora shawl and special shoes, she is
the belle of the ball!

- Stardust Memories Gene: $110 -- Celebrating the fifth anniversary of the
fabulous collector fashion doll Gene Marshall, this beauty embodies the movie
stars of the Golden Ages of Hollywood. To commemorate the occasion, Gene,
dressed for a silver screen premiere circa 1955, has been created as a Limited
Edition of just 3,500 pieces.

- Electronics: In this revolutionary world of technology, kids of all ages need
to stay connected and ahead of their time. FAO offers today's tech-savvy kids
with everything from electronic organizers to cool cameras.

- Get Mail: $39.99 -- Keep in touch with friends by exchanging email-like
messages using special message cards. This hip gadget has eight built-in
functions including: to-do lists, horoscopes, calculator and personal
information.

- Yahoo! Cam: $79.99 -- Take color photos and post them onto your Web site with
this colorful palm-sized digital camera. Allows users to store and download 12
photos to your PC for printing, emailing or for Web applications. Has a
built-in infrared flash that lets you take pictures in the dark!

- Vtech Cordless Digital Phone: $89.99 - Features built-in answering machine,
three-voice mailboxes and headset.

- Barbie(R): For generations, Barbie has delighted little girls. Now Barbie is
more glamorous then ever. FAO Schwarz is proud to offer exclusive Barbie
collectibles for mothers and daughters everywhere.

- Lady Liberty Barbie by Bob Mackie: $199 -- Exclusive to FAO Schwarz, Bob
Mackie's latest American icon commemorates another one as glamour reigns from
sea to shining sea. This limited edition beauty features the designer's
trademark detailing and fantasy, and comes with a copy of the designer's
original sketch.

- Fashion Editor Barbie: $85 -- Get all your fashions tips from the Fashion
Model Collection(TM) and the Fashion Editor Barbie. Made of Silkstone(TM),
Fashion Editor Barbie is decked out in her vogue leopard print skirt, black
turtleneck, black boucle coat and high-heel Mary Janes. She knows what's hot
and what's not!

- Bob Mackie Dress-Up Costumes: $85 each --There's a little bit of princess in
every little girl. This holiday, one of the world's most celebrated designers,
Bob Mackie, has created an exclusive dress-up collection for your little
princess. Three beautiful designs, the Fairy Tale Princess, Golden Angel
Princess and Princess of Hearts, enable girls to pretend that they are fairies
of the land even in their own "castle."

- Infants & Preschool: Of course, FAO doesn't forget about the little ones.
Great toys to keep the little brothers and sisters occupied including:

- Bouncy Pony Rocker: $89 - Grows with your baby. First it's a bouncer, then
it's a rocker.

- Forest Friends Treehouse: $125 - Bring the adventure of a real tree house
indoors. Billy Bear plus 25 accessories provide hours of imaginative play.

- Eloise at Christmas Collection -- The six-year old princess of the Plaza
Hotel, Eloise, was first introduced in the series of classic books written by
Kay Thompson, but now she is featured in a wonderful collection of dolls, toys,
furniture, and collectibles available at FAO.

- Eloise at Christmas 18' Cloth Doll by Madame Alexander: $45 -- Madame
Alexander has designed these exclusive incarnations of Eloise just for FAO
Schwarz! In the first new version of the original Eloise doll, the festive
pixie has put on a faux-fur trimmed Santa hat. Candy-cane stiped muffler and
even tied little bells on her legs with ribbon.

- Eloise at Christmas 8" Vinyl Doll: $45 - She may dress like Santa, but she is
still that spirited little sprite named Eloise.

- Eloise Doll House: $20,000 -- A handcrafted replica of the place where Eloise
lived. This miniature hotel by Bill Finnerin of the Manhattan Model Shop comes
complete with a special Eloise doll made by Madame Alexander. Constructed
primarily of wood, the three-story hotel features a lobby on the ground floor,
bedroom and bath on the second floor, and a ballroom on the top. Each room is
decorated in a variety of furniture and accessories and the hotel is
illuminated by a low-voltage lighting system.

- Street Flyers: $125 -- Forget about carrying around a pair of shoes when you
skate. These shoes are sneakers and skates all in one! Walk or glide, Street
Flyers are in-line skates that have retractable wheels. They are comfortable,
fast, and fun!

- FAO Girl Collection -- This exclusive FAO collection will take a girl from
school to a dance in style. From spa kits to hair accessories to cool gadgets,
this line has everything a girl wants or needs. Girls are guaranteed to have
tons of fun whether it's pampering themselves with the manicure/pedicure kit or
making their closest friend trendy beaded bracelets.

- FAO Girl Bead Barrel: $60 -- A beading extravaganza. With over 1,000 beads in
different shapes, colors and sizes, it is a complete center for creating the
coolest necklaces, bracelets, earrings, hair extensions and key chains.

- Day-at-the-Spa Kit: $45 -- Pamper yourself with your own creations. This
awesome tote contains all the ingredients to make your own shower gel, lotion,
body glitter and more. You can even make your own labels to decorate the
containers.

- FAO University -- And why should girls have all the fun? FAO Schwarz is proud
to announce a collection of "must-haves" for every guy, including the FAO
University Art Bag and FAO University Sports Gear Backpack. FAO Schwarz
recognizes that today's young man is on the cutting edge with fashion,
accessories and toys. With that in mind, they have created a one-stop shopping
haven especially for him.

- FAO University Art Bag: $39 -- Go to class in style with a trendy "messenger
bag" look. Comes complete with an art set that includes an art pad, pencil set,
crayons, ruler, markers, eraser, and watercolor paint.

- FAO University Basketball Backpack $35 -- Perfect for carrying school - and
sports - gear! Comes complete with a basketball in a mesh holding compartment

- Silver Lining Pals: $13.99 -- Renowned tennis player Andrea Jaeger and FAO
Schwarz have teamed up to present The Silver Lining Pals. This collection is an
animal lover's dream! Introducing 19 adorable plush animals, including Laddie
the Yellow Labrador, Chauncy the Calico Cat and Swizzle the Giraffe. A portion
of the proceeds from the animals will benefit The Silver Lining Ranch in Aspen,
Colorado, a haven for children with serious illnesses.

- Plush Friends: FAO's plush animals are the softest and cuddliest around. Sure
to be your child's best friend are:

- Patrick the Pup: $30 -- FAO Schwarz presents its popular pup that keeps
getting bigger and bigger! Softer then ever, Patrick goes from couch potato to
actual couch!

- Studio Wildlife Collection: $225 to $600 - A great way to decorate an entry
way or a child's room. Large, life-like plush animals including an elephant,
zebra and giraffe, these beautiful pieces bring the wild right into your own
home!

- Coiffed Canines: $28 - Fancy little dogs for fancy little girls who just love
to have fun. Each adorable little pooch has long, silky hair and comes with
pretend jewelry, hair accessories and a brush.

- Just Like Dad's Collection -- Endorsed by famed baseball player, Cal Ripken
Jr., this exclusive collection inspires kids to look up to their parents and
reach for the stars. Whether they dream of becoming a doctor, baseball player
or carpenter, these specially designed toys let children believe that dreams do
come true!

- Baseball Set: $34 -- Take me out to the ballpark, with plenty of toys to
spare. This Baseball Set comes with a baseball bat, 3 softballs, deep pocket
glove and a clear vinyl carrying case with convenient handle.

- Golf Set: $20 -- Fore! With these clubs, balls and bag, you can be the next
Tiger Woods.

- Tool Set: $26 -- Comes complete with hammer, saw, wrench, protective eye gear
and many other tools a child needs to build it or fix it!

- Little Red Doll Assortment: $15 - $50 -- Founded by the Duchess of York,
Chances for Children is an organization dedicated to helping children in need
throughout America. Little Red takes her inspiration from Rhonda, the first
child Chances for Children was able to help. New for 2000, Little Red comes
dressed up for Christmas ($24) and as part of a trunk set ($50). FAO Schwarz
will donate a portion of the proceeds from this collection to Chances for
Children.

- Alluwishes: $40 -- Let FAO Schwarz' sweet little angel, Alluwishes, watch
over you and your loved ones this Holiday season and grant you all your wishes.
His own wish is for a better future for children and that is why a portion of
the proceeds of every Alluwishes will be donated by FAO to the Elizabeth Glaser
Pediatric AIDS Foundation.

- Furniture/Rockers: In addition to offering the greatest toys and
collectibles, FAO has the finest quality furniture and rockers for a child's
room.

- Mahogany Rocking Horse: $2,800 -- This majestic thoroughbred complete with
genuine horse hair mane and tail as well as a removable leather saddle is
sculpted to portray a real horse. A much-loved toy with heirloom quality is a
pure treasure that children will enjoy.

- Hand Painted Tea Party Furniture: $575 -- This gorgeous wooden furniture will
turn a little girl's room into a wonderland. The tea party motif features
lovely floral flourishes and woven rush seats for comfort. A three-piece table
and chair set that makes every little girl the "hostess with the mostess."

FAO SCHWARZ ULTIMATE GIFT ITEMS

- One-of-a-Kind Monopoly: $100,000 -- This is absolutely the

most over-the-top game of Monopoly anyone has ever seen. Using

18k gold playing pieces, and precious gems inlaid in the Free

Parking, Community Chest, Chance and Luxury Tax spaces, this

game is played with real cold-hard cash. The cards, pieces,

dice and money are all stored in a locking attache case made

with Napolino leather and lined in suede.

- Ride On Train: $40,000 -- Ride around the house on this

electrically powered train. This train contains an engine car

and three additional passenger cars to fit eight children and

rides on a 20-foot track that fits together in a circle. Now,

kids can be the conductors in their own home!

- Cars: Don't worry about having a driver's license or not. FAO

allows youngster to get behind the wheel at an early age in

some of the best cars there are.

- Gas Powered Range Rover: $19,500 -- Learn how to drive a

little early with this kid-size 4x4 vehicle. This ultimate

SUV is crafted with all-weather fiberglass, 5-horsepower

engine, rear disc brakes, roll bar, front bumper, and

rugged full suspension. Kids can even enjoy some luxury

extras including AM/FM radio cassette player with dual

speakers, working headlights, carpeted interior, a leather

wrapped steering wheel and more. Max speed is 20 mph.

- Gas Powered Lamborghini: $40,000 -- Kids will be screaming

"arrivederci " as they drive away in this high-performance

Lamborghini. A Briggs & Stratton four cycle, five

horsepower engine and automatic transmission power this

child-sized automobile. The interior is appointed with

faux leather upholstery and features a full instrument

panel and working horn. Max speed 14 mph.

- Moving Mountain: $20,000 -- Too cold outside to go camping and

mountain climbing? Why not bring the mountain indoors? This

mountain utilizes a track system that provides the

exhilaration of rock climbing while keeping you only a few

feet away from the floor. Users can select their own level of

difficulty by adjusting the speed. And, if a foot should go

below a certain point, the safety mechanism will automatically

shut the mountain off.

- Marvin's Magic Experience: $20,000 -- Marvin Berglas, top

magician and creator of Marvin's Magic, personally invites you

to join him in London for a magical experience at the most

exclusive club in the world, the Magic Circle. Participate in

a workshop with actual magicians, and watch them perform up

close. This experience includes a round-trip, business class

airfare to London, a three-night stay in one of the city's

finest hotels, dinner with Marvin and a tour of his offices.

Finally, you get to tour London on your own with the exclusive

use of "Marvin's Black Magic Taxi". This is a fantasy camp

that is truly magical, an experience you and your guest will

never forget.

- Gene Collection

- One-of-a-Kind Townhouse: $18,000 -- Three stories of pure

luxury overlooking Manhattan's skyline, as is befitting a

movie star of Gene's caliber. An exquisite handcrafted

design that comes complete with the Gene Stardust Memories

Doll, this home is completely furnished in vintage style

and is illuminated with recessed lighting. The frosted

glass doors close and this townhouse becomes a beautiful

mahogany armoire. Portion of the proceeds will be donated

to Habitat for Humanity, an organization that provides

housing for underprivileged families.

- Stardust Memories Gene: $110 - Gene comes adorned in a

strapless evening gown, shimmery in silver and just right

for a silver screen premiere! The bodice twinkles with

gold and silver beads that match the bow at the back. Gene

also wears a beautiful silver "fur" full-length stole,

lined in a delicate pink silk. Includes silvery

opera-length gloves, crystal drop earrings, silver strap

shoes, pink rose, crinoline and seamed hosiery. Gene doll

designed by artist Mel Odom and costume designed by Jose

Ferrand.

- Stardust Memories Custom-Made Gown and Gene Experience:

$15,000 -- This stunning Stardust Memories gown will be

tailor-made to your measurements. The gown is gray silk

satin with silver mesh tulle and hand-beaded accents; a

faux fur stole, crystal earrings and formal opera-length

gloves complete the ensemble. Then you will travel to New

York City for a VIP tour of FAO Schwarz, where Gene

designer Mel Odom will present you with your own signed

Stardust Memories doll. Afterwards, don your gown and head

out on the town, where Mel and gown designer Jose Ferrand

will host you and a guest at Le Cirque for a star-studded

dinner. This entire package includes round-trip travel for

two, hotel accommodations, dinner, the signed doll and

your own custom-made Stardust Memories gown; a portion of

the proceeds will be donated to The Neil Bogart Memorial

Fund for Children's Cancer, Leukemia, and AIDS Research.

- Life-Size Lego Darth Vader Build-Up: $10,000 -- Direct from

the big screen to your bedroom and available exclusively at

FAO Schwarz. Standing at approximately 7-feet tall, Darth

Vader speaks, quoting lines from the Star Wars movies, and

carries a light saber that actually lights up. Only three

available.

- Sporting Goods: Why stay inside and watch television when FAO

offers a terrific selection of outdoor gear!

- Diggler Original Mountain Scooter: $549 - An extreme

scooter for extreme action! Custom steering with 20"

aluminum wheels.

- Zap Scooter: $699 - An electric powered scooter that

reaches 13 mph. Weighs 36 lbs. and can be rolled behind

you just like luggage.

- Children's Outdoor Theater: $14,500 -- This is the ultimate

playhouse theater with a lighted marquee and changeable

letters; stairs leading up to a balcony; simulated neon

lighting; a refreshment stand; and, a front ticket window with

a reel of tickets. With six operable windows and a hard wood

floor, this magnificent theater comes complete with a 25'

television and VCR to screen your favorite films.

- Hi-Tech Toys

- Sony Audio: $99.99 - $399 - Choose from three great "must

have" sound systems from Sony: boom box with CD and AM/FM

radio; Psyc Discman; or, the super small 21/2oz. MP3

player.

- Handspring Visor Deluxe: $249.00 - A powerful planning

device in a stylish case; based on the popular Palm OS

platform. Integrates address book, to-do lists, clock,

date book and features email capabilities.

About FAO Schwarz

Founded in 1862, FAO Schwarz has long been recognized as the world's ultimate toy store. The company consistently delivers exclusive, unusual and trend-setting merchandise from around the globe. FAO Schwarz has designed its stores, catalogues and on-line shopping site in a manner that involves customers with merchandise and creates a unique, playful experience.

The company currently operates 43 locations nationwide, including flagship stores in Chicago, Las Vegas, New York, Orlando and San Francisco. FAO also produces The Ultimate Toy Catalogue, a direct mail catalogue that is distributed to more than six million consumers annually. For more information about FAO Schwarz, visit the company's Website at www.fao.com.

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