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Exhibit 99
FOR IMMEDIATE RELEASE
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CONTACT: Peter G. Hanelt
Chief Executive Officer/CFO
Natural Wonders, Inc.
(510) 252-6607
www.naturalwonders.com
www.worldofscience.com
NATURAL WONDERS REPORTS
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FILING UNDER CHAPTER 11
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Fremont, CA, December 17, 2000 - Peter G. Hanelt, Chief Executive
Officer/Chief Financial Officer, Natural Wonders, Inc. (NASDAQ:NATW) today
announced that it was seeking protection through a filing under Chapter 11 with
the U.S. Bankruptcy Court in Oakland, California.
Mr Hanelt noted "With the disappointing overall holiday retail season sales
to date, we are experiencing an unusually promotional environment in retail
coupled with lower sales than plan. This has caused us to evaluate alternatives.
We were unable to work out an alternative with our secured lenders quickly
enough to protect the other constituencies of the company, including our
shareholders, employees, vendors, and landlords. We needed, in this situation,
to preserve our ability to successfully reorganize and continue our operations
as a going concern indefinitely. We believe that our strong cash and inventory
positions and extensive store base will enable us, with the protection that this
action provides, to implement such reorganization.
"Over the coming months, we envision operating our successful stores with
minimal disruption from the filing, while allowing us to make changes and
position the company to be stronger long-term in the nature and science gifting
retail category. We appreciate that this process may cause unease and
inconvenience to our shareholders, valued employees, and strategic partners,
such as vendors and landlords, but we believe that this will assist us in
preserving and enhancing our ability to honor our commitments to all of our
constituencies to whom we have a responsibility over the course of this
proceeding."
Natural Wonders, Inc. is a specialty retailer of unique and affordable
family gifts inspired by the wonders of science and nature. The Company operated
309 stores as of December 17, 2000.
Safe Harbor Statement under the Private Securities Litigation Reform Act of
1995: This press release contains certain forward-looking statements that are
subject to risks and uncertainties that could cause the Company's actual results
to differ materially from management's current expectations. These factors
include the Company's ability to purchase attractive and appropriate
merchandise, changes in consumer level of spending, changes in consumer demands
and preferences, competition from other retailers, and uncertainties generally
associated with gift retailing. Other risk factors are detailed in the Company's
Securities and Exchange Commission filings.
