Licensing and brand management company Cherokee Inc has engineered an agreement between DIC Entertainment and Toys "R" Us to create a complete line of Liberty's Kids branded merchandise.

The retailer will be directly responsible for the development and manufacturing of toys, school supplies, accessories, party goods and girls and boys apparel with a planned launch date in early spring 2003. Animated series Liberty's Kids will debut on PBS Kids on 2 September 2002.

"In today's cluttered world of licensing and retailing, it is important to position Liberty's Kids as a brand in the minds of consumer," said Andy Heyward, chairman and CEO of DIC Entertainment. "To our knowledge, this is the first time a major retailer of this prominence has co-developed products for a children's entertainment property."

"Toy's "R" Us is committed to developing this brand into a meaningful line of fun and interesting merchandise that captures the true spirit of American youth," added Greg Staley, president, Toy's "R" Us. "We will also develop marketing, promotional support, event and entertainment opportunities, and tie-ins with the many celebrities and partners involved in Liberty's Kids."