Exhibit 99
Enesco Acquires the Gregg Gift Company; Deal Increases Enesco's
Presence in Growing Inspirational Giftware Marketplace
ITASCA, Ill.--(BUSINESS WIRE)--March 1, 2004--Enesco Group, Inc.
(NYSE:ENC), a leader in the giftware, collectible and home decor
industry, today announced the acquisition of the Gregg Gift Company, a
supplier of branded and specialty giftware targeted to the growing
inspirational marketplace. Headquartered in Irvine, Calif., Gregg Gift
provides distinctive personal accessories such as book covers,
organizers and tote bags as well as home decor accents.
Enesco paid approximately $7.3 million in cash to acquire the
firm, which is expected to be accretive to earnings in 2004. Gregg
Gift generated worldwide sales of approximately $11 million in 2003
and has experienced steady revenue growth for the past five years.
The acquisition offers Enesco more product categories, increased
distribution, and a stronger position in the inspirational
marketplace. Gregg Gift's products currently are distributed through
Christian retail, mass market, catalogs, book retailers, and gift and
stationery stores.
"This acquisition clearly exemplifies Enesco's long-term strategy
for growth," said Dan DalleMolle, president and CEO of Enesco. "With
an experienced management team, solid merchandising and marketing
programs, and high-margin product designs, the Gregg Gift Company
complements our overall mission, especially in the area of channel
management."
Friend & Company, the investment banking division of B. Riley &
Co., represented the Gregg Gift Company and initiated the transaction
with Enesco.
Gregg Gift will remain headquartered in California and will
operate as a subsidiary of Enesco Group, Inc.
About Enesco Group, Inc.
Enesco Group, Inc. is a world leader in the gift, collectible and
home decor industries. Serving more than 40,000 customers globally,
Enesco distributes products to a wide variety of specialty card and
gift retailers, home decor boutique as well as mass-market chains and
direct mail retailers. Internationally, Enesco serves markets
operating in Europe, Australia, Mexico, Asia and the Pacific Rim. With
subsidiaries located in Europe and Canada, and a business unit in Hong
Kong, Enesco's international distribution network leads the industry.
The Company's product lines include some of the world's most
recognizable brands, including Precious Moments, Walt Disney Classics
Collection, Nickelodeon, Heartwood Creek, Halycon Days, Lilliput Lane,
Border Fine Arts, among others. Further information is available on
the Company's web site at www.enesco.com.
About Gregg Gift Company
Headquartered in Irvine, California, Gregg Gift Company is a
leading manufacturer of "inspirational" specialty giftware. The
Company's branded products include diverse lines of book covers,
organizers, totebags, home decor and other accessories. These unique
products are comprised of proprietary in-house designs as well as
designs incorporating licensed artwork from such recognized artists
and authors as Thomas Kinkade, Mary Engelbreit, Debbie Mumm and Susan
Winget.
About Friend & Company
Headquartered in Irvine, Calif., Friend & Company specializes in
capital formation through institutional private placements of equity
and subordinated debt, merger and acquisition activities and public
securities issuance for middle market companies.
This press release contains various forward-looking statements
that are based on management's current assumptions and beliefs and
upon information currently available to management. The Company has
tried to identify such forward-looking statements by use of such words
as "expects," "intends," "anticipates," "could," "estimates," "plans,"
and "believes," and similar expressions, but these words are not the
exclusive means of identifying such statements. Such statements are
subject to various risks, uncertainties and other factors which could
cause actual results to vary materially from those anticipated,
estimated, expected or projected. Important factors that may cause
actual future events or results to differ materially and adversely
from those described in the forward-looking statements include, but
are not limited: the Company's success in developing new products and
consumer reaction to the Company's new products; the Company's ability
to secure, maintain and renew popular licenses, particularly our
licenses for Precious Moments, Cherished Teddies, Heartwood Creek and
Disney; the Company's ability to grow revenues in mass and niche
market channels; the Company's ability to identify and close on
strategic acquisitions; changes in general economic conditions, as
well as specific market conditions; fluctuations in demand for our
products; manufacturing lead times; the timing of orders and shipments
and our ability to predict customer demands; inventory levels and
purchase commitments exceeding requirements based upon incorrect
forecasts; collection of accounts receivable; changes in the
regulations and procedures effecting the importation of goods into the
United States; changes in foreign exchange rates; price and product
competition in the giftware industry; variations in sales channels,
product costs or mix of products sold; and, possible future terrorist
attacks, epidemics, or acts of war.
In addition, the Company operates in a continually changing
business environment and does not intend to update or revise the
forward-looking statements contained herein, which speak only as of
the date hereof. Additional information regarding forward-looking
statement risk factors is contained in the Company's reports and
filings with the Securities and Exchange Commission. In light of these
risks and uncertainties, the forward-looking statements contained
herein may not occur and actual results could differ materially from
those set forth herein. Accordingly, you should not rely on these
forward-looking statements as a prediction of actual future results.
CONTACT: Enesco Group, Inc.
Investor Contact
Tom Bradley, 630-875-5990
tbradley@enesco.com
or
for Gregg Gift
Andre Guardi, 949-852-9911
aguardi@friend-co.com