Collective Brands, Inc. and Lucasfilm Ltd. Join Forces to Develop Star Wars(TM) and Star Wars: The Clone Wars(TM) Footwear and Accessory Collections for Kids

TOPEKA, Kan., Feb. 8 /PRNewswire-FirstCall/ -- Collective Brands, Inc. (NYSE: PSS) and Lucasfilm Ltd. announced today a multi-year licensing agreement that will transport both Payless ShoeSource and Stride Rite Children's Group customers to "a galaxy far, far away" with the development of exclusive product lines based on Star Wars and Star Wars: The Clone Wars.  The beloved brand – top-rated with boys in the U.S. – will be featured on footwear collections in the United States and internationally where the Payless and Stride Rite brands are currently sold.

Under the terms of the agreement, Payless and Stride Rite will have access to Lucasfilm's rich asset archive including logos, characters, creatures and aliens from all six live-action Star Wars films, as well as the animated Star Wars: The Clone Wars movie and TV series, which airs on the Cartoon Network.  Under this single agreement the creative assets will be leveraged to create children's product lines in both business units; however the product design, development, and marketing will be executed separately, allowing each business unit to create distinct collections targeted to their specific customer segments and selling channels.

"We are thrilled to collaborate with Lucasfilm to bring the iconic Star Wars characters to life on our footwear products sold through our Payless and Stride Rite selling channels.  Kids and moms alike are going to be thrilled by these new products this fall," said Matt Rubel, CEO of Collective Brands, Inc.  "Our children's business is an important area of growth for Collective Brands, and this collaboration is a strong example of how we are leveraging the infrastructure of our company overall to forge powerful partnerships and gain access to inspiring licenses that can be shared across our business units in different ways for each brand's target consumers."

Payless will feature the Star Wars and Star Wars: The Clone Wars assets in a new character line of children's footwear and select accessories, which will be arriving in Payless stores and online at payless.com in early July.

The Stride Rite Children's Group will be developing a line of children's footwear that will bring the characters to life with product inspired by the iconic Star Wars and Star Wars: The Clone Wars characters.  Target availability is June 2010.  This line will be sold in Stride Rite retail stores and online at www.striderite.com, as well as through its wholesale partners including department stores and specialty retailers.

"Star Wars has always been popular with kids and Star Wars: The Clone Wars is bringing the brand to an all-new generation of young fans," said Paul Southern, senior director, domestic licensing and marketing, Lucas Licensing.  "We're excited to partner with Collective Brands; their leadership role in the children's footwear marketplace will help us to expand the breadth of the Star Wars properties and bring the fun and excitement of these iconic characters to more children across the globe."

About Collective Brands, Inc.

Collective Brands, Inc. (NYSE: PSS) is a leader in bringing compelling lifestyle, fashion and performance brands for footwear and related accessories to consumers worldwide.   The company operates three strategic units covering a powerful brand portfolio, as well as multiple price points and selling channels including retail, wholesale, ecommerce and licensing.  Collective Brands, Inc. includes Payless ShoeSource, focused on democratizing fashion and design in footwear and accessories through its nearly 4,500-store retail chain, with its brands Airwalk®, Dexter®, Champion®, Zoe & Zac™, the first-ever affordable green footwear brand, and designer collections Lela Rose for Payless, Unforgettable Moments by Lela Rose, alice + olivia for Payless, Christian Siriano for Payless and STLP x Airwalk, among others;  Collective Brands Performance + Lifestyle Group, focused on lifestyle and performance branded footwear and high-quality children's footwear sold primarily through wholesaling, with its brands including Stride Rite®, Keds®, Sperry Top-Sider®, Robeez®, and Saucony®, among others; and Collective Licensing International, the brand development, management and global licensing unit, with such youth lifestyle brands as Airwalk®, Vision Street Wear®, Sims®, Lamar® and LTD®.  Information about, and links for shopping on, each of the Collective Brand's units can be found at www.collectivebrands.com.

Lucasfilm, Star Wars™, Star Wars: The Clone Wars™ and related properties are trademarks and/or copyrights, in the United States and other countries, of Lucasfilm Ltd. and/or its affiliates. TM & © Lucasfilm Ltd.  All rights reserved.  All other trademarks and trade names are properties of their respective owners.

SOURCE Collective Brands, Inc.