PAWTUCKET, R.I. -- Hasbro Bradley, a new firm formed by Hasbro Industries Inc.'s $360 million friendly takeover of Milton Bradley Co., is ready to challenge Mattel Inc. for the title of the nation's largest toymaker.
Stephen Hassenfeld, chairman and chief executive officer of the new firm, said Friday's acquisition combines Hasbro Bradley sales at a level of $850 million a year. He said the firm will challenge California-based Mattel for the top spot in sales volume among toy giants.
The merged company, headquartered in Pawtucket, has more than 7,000 employees. More than 2,000 are from Hasbro and about 5,000 are from Milton Bradley, which was based in East Longmeadow, Mass.
Stockholders of both companies approved the acquisition Friday by overwhelming margins. Hasbro paid $360 million in cash and securities for Milton Bradley, which becomes a subsidiary of the new firm.
Hasbro, founded in 1926, makes GI Joe, Mr. and Mrs. Potato Head, and Walt Disney lines of toys, including Mickey Mouse items, plus a variety of games. Its Romper Room Enterprises Inc. subsidiary makes children's television programs and another subsidiary, Glenco Infant Items Inc., makes bibs, teething rings and bottles.
Milton Bradley, founded in 1860, makes a wide array of games, including Chutes and Ladders, and Life. Its Playskool line of pre-school toys and puzzles is its largest subsidiary.
Hassenfeld said most short-range changes resulting from the takeover would be internal or reflect overseas product marketing.
'In 1985, we'll see major introduction of Hasbro products into the European and Pacific Basin markets through the Milton Bradley interational network and it will see some movement of some products from Hasbro to Playskool and some coming the other way from Playskool to Hasbro,' he said.
Hassenfeld said Hasbro had run short of manufacturing capacity in Rhode sland and already had four production lines for its items running at Milton Bradley's facility in East Longmeadow, outside Springfield.
Besides Hassenfeld, other officers of the new company are his brother Alan, executive vice president; and Alfred J. Verrecchia, senior vice president and chief financial officer. James J. Shea Jr., chairman of Milton Bradley, became president and chief operating officer of Hasbro Bradley.
Before the takeover, Milton Bradley was fourth and Hasbro was fifth in sales volume among independent toy companies in the U.S.
Hasbro has plants in Central Falls and Pawtucket, R.I., Fall River, Mass., and Towson, Md., and in Quebec and England. It also has contracts with manufacturers in Hong Kong, Japan and Korea. Milton Bradley has branches and subsidiaries in Canada, Brazil and nine European countries.
