Entertainment Rights loses Barbie L&M deal

Weeks after inking an ex-US distribution deal for Barbie's next feature film Swan Lake, UK outfit Entertainment Rights has lost its potentially lucrative merchandising contract for the voluptuous plastic doll.

The news comes after a decision by toy manufacturer Mattel to take licensing and merchandising operations for non-doll Barbie products in-house, as part of internal restructuring.

While Link Licensing, an Entertainment Rights subsidiary, will cease to represent Barbie products and publications from January 2004, its parent company will continue to distribute Barbie cgi films in the TV and video market.

In a statement, the UK outfit today played down the effects of Mattel's decision: {Given the continued expansion of the ER Group, its focus on investing in its own properties, the ER Board considers that the termination of the agency agreement with Mattel with not have a material impact on the future of the ER Group.{

Entertainment Rights already holds the ex-US rights to Mattel's two previous full-length features, Barbie & the Nutcracker and Barbie as Rapunzel. The company also owns Basil Brush and Postman Pat, among other kids properties.