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euro adhoc: Financing, Stock Offerings (IPO)
Zapf Creation: Syndicate of banks and major shareholders reach agreement regarding follow-up financing

  Disclosure announcement transmitted by euro adhoc. The issuer is responsible
  for the content of this announcement.
Follow-up financing
20.07.2007
Roedental, July 20, 2007 - Zapf Creation AG, Europe's leading 
manufacturer of play and functional dolls, today announced that it 
has reached agreement with an international syndicate of banks and  
the major shareholders of Zapf Creation AG, MGA Entertainment, Inc. 
and its CEO Mr. Isaac Larian, Mr. Nicolas Mathys and Mr. Gustavo 
Perez regarding the long-term follow-up financing for the company.
The new financing plan calls for a new, long-term syndicated loan of 
EUR 65 million. This loan is based on the condition precedent that an
equity contribution of EUR 30 million is made by October 31, 2007 in 
a way to be determined by the shareholders. The major shareholders 
will make the equity contribution possible. They have already  
assured the company in writing that they will support the equity 
contribution in the amount of EUR 30 million.
The previous syndicate of banks of Zapf Creation AG has agreed to 
allow repayment of the credit lines used in the amount of approx. EUR
45 million, which has been due since June 30, 2007, to be deferred 
until October 31, 2007. To finance peak capital needs in the course 
of the company's operations, the lead manager of the new syndicate of
banks has also agreed to providing interim financing of up to EUR 20 
million until October 31, 2007. These funds can be utilized as 
defined and depending on the equity contributions made at such a 
time.
All agreements are subject to the provision that there is no material
adverse change to the economic situation of the Zapf Creation Group 
until October 31, 2007. Furthermore, they are subject to signature of
the final documents.
end of announcement                               euro adhoc 20.07.2007 23:07:17

Further inquiry note:

Frank Elsner
Frank Elsner Kommunikation für Unternehmen GmbH
Phone: +49 (0) 5404 - 91 92 0
Fax: +49 (0) 54 04 - 91 92 29

Branche: Consumer Goods
ISIN: DE0007806002
WKN: 780600
Index: CDAX, Classic All Share, Prime All Share
Börsen: Börse Frankfurt / official dealing/prime standard
Börse Berlin / free trade
Börse Hamburg / free trade
Börse Stuttgart / free trade
Börse Düsseldorf / free trade
Börse Hannover / free trade
Börse München / free trade

Original content of: Zapf Creation AG, transmitted by news aktuell

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