MONTREAL, March 5, 2008 – MEGA Brands Inc. (TSX: MB) (the ‘‘Company’’) today announced that following a comprehensive strategic review, it intends to explore a sale of its Stationery and Activities business. The Company believes that this initiative will bring significant benefits:
• Focus MEGA Brands on its core toy business, leveraging its strengths and innovation culture
• Dedicate resources and management’s attention to creating value through the execution of the Value Enhancement Plan
• Provide the Company with a stronger and more flexible capital structure