Trading Update

Character Group PLC
10 January 2006



Issued on behalf of The Character Group plc

Date: Tuesday, 10 January 2006
                                                               IMMEDIATE RELEASE

                            The Character Group plc
                                   ('Group')
                                 Trading Update

The Character Group plc is pleased to report that the improvement in trading
witnessed at the end of last year continued into this new financial year.
Overall, Group sales for the first four months of the current financial year
ending 31 August 2006, which includes the important Christmas trading period,
have exceeded expectations, with like-for-like sales nearly 60% ahead of the
same period last year.

Although the Group has been operating in a difficult and very competitive
trading environment for some considerable time, the business has made
substantial progress both operationally and in terms of sales.

Based on the Group's performance in the first four months of this financial
year, coupled with the current strong portfolio of products in the Toys, Games
and Gifts division, the Directors are confident that further progress will be
achieved throughout the year as a whole.

Shareholders will be kept up-to-date with developments.


Enquiries:

Richard King, Chairman                       Fiona Tooley/Katie Dale
Kiran Shah, Group Finance Director           Citigate Dewe Rogerson
The Character Group PLC                      Tel: [phone]
Group Office: [phone]           Mobile: [phone]
Mob: [phone] (RK)
Mob: [phone] (KS)
www.thecharacter.com


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