Australia and New Zealand Join TOKYOPOP's Global Manga Revolution!

Tokyo, Japan (May 25, 2006) - In a move that further strengthens its position as a global manga leader, TOKYOPOP has partnered with Funtastic, Australia's premier supplier of children's books, toys and apparel to the mass market, to launch TOKYOPOP's manga business in the Oceanic territories. Not only does this partnership mark TOKYOPOP's presence in what is now its fourth continent, it makes TOKYOPOP the first manga company to establish a local presence in Australia and New Zealand.

TOKYOPOP Oceania begins in July 2006 with 24 of TOKYOPOP's hottest manga titles, including the successful Princess Ai, Warcraft and Peach Fuzz series, continuing with monthly new releases subsequently.

According to Stu Levy, CEO and CCO of TOKYOPOP, "Partnering with Funtastic is a natural step for us considering our current state of global expansion. With Funtastic, we not only look forward to putting manga into the hands of a whole new territory of readers, but to working with a partner capable of handling our move into other integrated media platforms."

"We are extremely thrilled about our partnership with TOKYOPOP which will see manga come down under in a huge way," said Darren Busuttil, Business Manager, Funtastic. With our recent acquisition of Madman Entertainment, distributors of TOKYOPOP DVD's, TOKYOPOP books are an excellent and natural extension to our already amazing stable of products, and we look forward to seeing manga, and TOKYOPOP prosper and grow in the Australian market."

ABOUT FUNTASTIC:
Funtastic started its publishing business in November 2001 with a focus on licensed children's publishing. In 2004 our market share exploded when we were awarded the master license for Disney. Since then we have also entered the teen market, young adult fiction, author-based picture books, and children's fiction as well as non-fiction. We are now the number one distributor of licensed books and the largest supplier of children's books to the mass market.

Our books are now available on every continent except Antarctica. Visit www.funtastic.com.au for additional information.

ABOUT TOKYOPOP®
TOKYOPOP is hailed as a leading youth-oriented entertainment brand and an innovator of manga creation, with a revolutionary artistic vision that transcends countless platforms. From the introduction of the first-ever extensive manga publishing program in North America, to the development of its manga-originated intellectual properties into film, television and digital entertainment, TOKYOPOP has changed the way teens experience pop culture. The company's global reach has expanded to Europe and Asia, with recent offices opening in the UK and Germany and upcoming partnerships in Australia and China, in addition to its original Los Angeles and Tokyo operations. With millions of fans logging onto www.TOKYOPOP.com, reading its books, and watching its DVDs and television programs, TOKYOPOP's award-winning catalogue of licensed and original properties has made the company a visionary in an ever-growing teen entertainment marketplace. Visit www.TOKYOPOP.com for additional information.