Exhibit 99.1

    Scholastic Announces $200 Million Accelerated Share Repurchase

    NEW YORK--(BUSINESS WIRE)--June 1, 2007--Scholastic Corporation
(NASDAQ:SCHL) today announced that it had entered into a $200 million
accelerated share repurchase agreement with Deutsche Bank. Pursuant to
this agreement, the Company expects to repurchase an estimated 14% of
its currently outstanding common stock.

    "Scholastic's strong balance sheet and free cash flow enable us to
return capital to shareholders through this accretive share
repurchase," said Richard Robinson, the Company's Chairman, CEO and
President. "We believe that purchasing Scholastic stock is an
efficient use of our capital and that we have ample resources to fund
the repurchase while maintaining financial flexibility."

    Under the accelerated share repurchase agreement, at the end of a
defined averaging period, the Company may receive additional shares if
the volume weighted average price (VWAP) per share for such period is
below the price per share paid by the Company in its initial $200
million purchase from Deutsche Bank, subject to a floor price. The
exact number of shares repurchased and price per share to be paid by
the Company will be determined by reference to a discount to the VWAP
per share of the Company's common stock over the averaging period.

    The Company intends to finance the repurchase with a $200 million
five-year amortizing term loan being provided by its principal bank
lenders under a new credit facility. In addition to the term loan
facility, the new credit arrangement also provides the Company with a
five-year revolving credit facility in an aggregate amount of up to
$325 million, which replaces its existing revolving credit facilities.

    About Scholastic

    Scholastic Corporation (NASDAQ: SCHL) is the world's largest
publisher and distributor of children's books and a leader in
education technology. Scholastic creates quality educational and
entertaining materials and products for use in school and at home,
including children's books, magazines, technology-based products,
teacher materials, televisions programming, film, videos and toys. The
Company distributes its products and services through a variety of
channels, including proprietary school-based book clubs, school-based
book fairs, and school-based and direct-to-home continuity programs
retail stores, schools, libraries and television networks; and the
Company's Internet site, scholastic.com

    Forward-Looking Statements

    This news release contains certain forward-looking information.
Such forward-looking information includes, among other things,
statements regarding the Company's financial condition, the ASR, the
number of shares of common stock which may be acquired thereunder and
the expected benefits of the repurchases thereunder. The Company's
operations are subject to various additional risks and uncertainties,
including the conditions of the children's book and education
materials markets and acceptance of the Company's products within
those markets, and other risk and factors identified form time to time
in the Company's filings with the Securities and Exchange Commission.
Actual results could differ materially from those currently
anticipated.

    CONTACT: Scholastic Corporation
             Media:
             Kyle Good, 212-343-4563
             or
             Investors:
             Jeffrey Mathews, 212-343-6741