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|Scholastic Corporation was founded in 1920. It is a global children’s publishing, education and media company. The Company is a publisher and distributor of children’s books and a provider of educational technology products and related services and children’s media. Scholastic creates quality books and ebooks, print and technology-based learning materials and programs, magazines, multi-media and other products that help children learn both at school and at home. The Company is an operator of school-based book clubs and book fairs in the United States. It distributes its products and services through these proprietary channels, as well as directly to schools and libraries, through retail stores and through the internet. The Company’s website, scholastic.com, is a site for teachers, classrooms and parents and an award-winning destination for children. Scholastic has operations in the United States, Canada, the United Kingdom, Australia, New Zealand, Ireland, India, China, Singapore and other parts of Asia, and, through its export business, sells products in about 140 countries. The Company categorizes its businesses into five reportable segments: Children’s Book Publishing and Distribution; Educational Technology and Services; Classroom and Supplemental Materials Publishing; Media, Licensing and Advertising and International. Children’s Book Publishing and Distribution operates as an integrated business which includes the publication and distribution of children’s books and other products in the United States through school-based book clubs and book fairs, ecommerce and the trade channel. Educational Technology and Services includes the production and distribution to schools of curriculum-based learning technology and materials for grades pre-kindergarten to 12 in the United States, together with related implementation and assessment services and school consulting services. Classroom and Supplemental Materials Publishing includes the publication and distribution to schools and libraries of children’s books, classroom magazines, supplemental classroom materials and print and on-line reference and non-fiction products for grades pre-kindergarten to 12 in the United States. Media, Licensing and Advertising includes the production and/or distribution of digital media, consumer promotions and merchandising and advertising revenue, including sponsorship programs. International includes the publication and distribution of products and services outside the United States by the Company’s international operations, and its export and foreign rights businesses. The Company maintains approximately 6,100 titles for trade distribution Scholastic’s original publications include Harry Potter ®, The Hunger Games, The 39 Clues ®, The Magic School Bus ®, I Spy™, Captain Underpants ®, Goosebumps ®, and Clifford The Big Red Dog ®, and licensed properties such as Star Wars ®, Lego ® and Geronimo Stilton ®. The Company’s products also include non-fiction books published in the United States under the imprints Children’s Press ® and Franklin Watts ®. SEI has built a television library consisting of over 500 half-hour productions, including: Clifford The Big Red Dog ®, Clifford’s Puppy Days ™, WordGirl ®, Maya & Miguel ™, The Magic School Bus ®, Turbo Dogs, I Spy, Goosebumps ®, Animorphs ®, Dear America ®, Horrible Histories ®, Sammy’s Storyshop™, Stellaluna, The Very Hungry Caterpillar and The Baby-sitters Club ®. The Company faces competition from textbook publishers, distributors of other technology-based programs addressing the subject areas of the Company’s offerings, such as reading, phonics and mathematics, and, with respect to its consulting services, not-for-profit organizations providing consulting covering various areas related to education.|
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