Pinnacle Brands, Inc.
Proposed Ticker: PNE 924 Avenue J East
Exchange: New York Stock Exchange Grand Prarie, Texas 75050
Industry: Manufacturing (214) 601-7000

All share information is proposed
Type of Shares:Common Shares Filing Date:7/16/96
U.S. Shares Filed:4,000,000 Filing Range:$14.00 - $16.00
Non-U.S. Shares Filed:0 Offering Amount: $60,000,000
Primary Shares:4,000,000 Expenses: -
Secondary Shares:0 Shs Out After:

ManagerTierPhone
Merrill Lynch & Co.Lead Manager (212) 449-4600

Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 6/30/96 6/30/95 6/30/96
Revenue:$130.18$49.91$41.88Assets:$129.30
Net Income:-$2.45-$9.62-$7.21Liabilities:$231.79
EPS:Equity:-$102.49

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company is one of the nation's leading designer, producers and distributors of sports trading cards. The company offers premium value products under numerous brands and sub-brands--differentiated by product feature, price point, sport and distribution channel--including such well-established brands as Score, Select, Pinnacle, Donruss, Leaf, Action Packed, Racer's Choice and Sportflix. Based on SCMA data, for 1995 the company had an aggregate 37% market share in the three major team sports categories in which it competes. The company believes that it has the leading market share in each of those three team sports--baseball, football and hockey. The company is also a NASCAR licensee and a leading producer of auto racing cards. As a result of the marketing strategy implemented by the company beginning in 1993, the company's net sales more than doubled from 62.5% million in 1993 to $130.2 million in 1995, despite a decline in overall sports trading card industry sales have begun to improve. In addition to its sports trading card business, the company sells collectible and similar picture products to consumer and food product companies for their promotional purposes.

Use of Proceeds
The proceeds from the proposed offering will be used to reduce indebtedness under the credit agreement and will be used to retire a portion of the Subordinated Notes.

Last updated: 11/16/96

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