‘Peanuts’ sold to Joe Boxer owner

Good grief. You wouldn’t think the unit that owns the licensing rights to Snoopy, Charlie Brown and the rest of the “Peanuts” gang would go for less than tonight’s Mega Millions jackpot, would you?

E.W. Scripps Co. said it will sell United Media Licensing and the “Peanuts” brand to Joe Boxer owner Iconix Brand Group Inc. for $175 million in cash.

The
sale of United Media Licensing also means Iconix has a new partnership with the family of the late “Peanuts” creator, Charles Schulz. They’ll receive 20 percent ownership in the unit that owns “Peanuts” and pay that percentage of the sale price.

United Media Licensing
represents other character brands such as Dilbert and Fancy Nancy, but the bulk of its licensing business comes from “Peanuts.” The acquisition grants Iconix with its first character brands. Until now Iconix owned mostly fashion brands from Candie’s to Joe Boxer.

The
unit’s licensed merchandise has annual sales of more than $2 billion, but the owners of the licenses receive a fraction of that. In 2009, revenue of the unit fell 10 percent to nearly $92 million. That figure includes United Media’s syndication operations, which Scripps will still own, meaning it will still syndicate comic strips and editorial features.

United Media Licensing has more than 1,200 licensing agreements and relationships with companies and retailers such as Warner
Bros., Old Navy, CVS, MetLife Inc. and Hallmark Co. Some 20,000 new products are approved each year in more than 40 countries.

Scripps
first brought “Peanuts” to market in 1950. By the time Schulz retired in 1999, Peanuts was in more than 2,600 papers.

Iconix said it expects “Peanuts” to generate about $75 million in annual royalty revenue and noted a pre-existing revenue share with the Schulz family, separate from the new 20 percent arrangement.
Iconix, based in New York, owns and licenses brands such as Joe Boxer, London Fog, Starter and Mudd, to retailers, wholesalers and suppliers.

“The
Peanuts characters have been our entertaining co-workers and the Schulz family has been our trusted partner for nearly 60 years. But this is the right move for all involved as we go our separate ways in recognition of changing times and new strategies,” said Scripps CEO Rich
Boehne.

Iconix CEO Neil Cole said the purchase moves the company away from being one focused solely on fashion into new realms that include theme parks, media and financial institutions– although one can easily presume that various characters will now be appearing on even more t-shirts, etc.