Palisades Toys
Encyclopedia
Palisades Entertainment, LLC, better known as Palisades Toys, was a manufacturing and distributing toy
Toy
A toy is any object that can be used for play. Toys are associated commonly with children and pets. Playing with toys is often thought to be an enjoyable means of training the young for life in human society. Different materials are used to make toys enjoyable and cuddly to both young and old...

 & collectible
Collectible
A collectable or collectible is any object regarded as being of value or interest to a collector . There are numerous types of collectables and terms to denote those types. An antique is a collectable that is old...

s company geared toward the adult collector market. Established in 1994, the company generally worked within the same vein as competitors such as McFarlane Toys
McFarlane Toys
McFarlane Toys, a subsidiary of Todd McFarlane Productions, Inc., is a company started by Todd McFarlane that makes highly detailed models of characters from movies, comics, musicians, video games, and sport figures...

 and NECA
National Entertainment Collectibles Association
The National Entertainment Collectibles Association or NECA is an American manufacturer of collectibles typically licensed from films, video-games, sports, music, and television based in New Jersey...

, producing detailed action figures, statues, plushes, and other collectibles of licensed properties until its bankruptcy in 2006. Palisades also developed the brand Factory X which continues under Limited by CAS Inc. In its twilight, Palisades was widely regarded a favorite company of serious toy collectors for its outstanding dedication to quality and consumers as well as its genuine passion for collectibles.

Public relations and products

Palisades was notable for its close relationship and commonality with toy fans. The official message board served as one of the company's strongest communication platforms where President and CEO Mike Horn and other employees would directly discuss their products with consumers. In fact, polls were often held to let fans decide upcoming products, and news coverage of the company frequently stemmed from Palisades' forum discussion. Horn and his wife, Kate, were also reachable through the buyer's office. The company's concern with adequate distribution of merchandise forced it to introduce Palisades Collector's Club. This offered exclusive figures and came in response to reports of difficulty in obtaining the Vanishing Cream Beaker
Beaker (Muppet)
Beaker is a Muppet character from The Muppet Show. He is the shy, long-suffering assistant of Dr. Bunsen Honeydew, and is likewise named for a piece of laboratory equipment, although his shape more closely resembles an Erlenmeyer flask....

 figure.

In terms of product quality, Palisades set high standards, particularly with its array of action figures. Such attributes included strong attention to detail and likeness, a high rate of joint articulation and bountiful accessories with tedious working functions. The company frequently employed designers from the fan community of each property they licensed and always credited staff and contributors on packages. Palisades also assigned help from various groups such as the painting and sculpting talents of Plan B Toys
Plan B Toys
Plan B Toys Ltd. is an Groveport, Ohio-based toy company, founded in 1999 by Jay Borman, Chris Borman, and Tony Simione, former employees of ReSaurus Company who founded it with the intention of freely creating new ideas and properties without corporate boundaries.Plan B Toys has operated for the...

 and accessory work by Industrial Zoo. The Muppet Show
The Muppet Show
The Muppet Show is a British television programme produced by American puppeteer Jim Henson and featuring Muppets. After two pilot episodes were produced in 1974 and 1975, the show premiered on 5 September 1976 and five series were produced until 15 March 1981, lasting 120 episodes...

collection, celebrating its 25th anniversary, would become one of Palisades' flagship licenses. The line lasted nine series through 2001-2005 and included various convention
Fan convention
A fan convention, or con , is an event in which fans of a particular film, television series, comic book, actor, or an entire genre of entertainment such as science fiction or anime and manga, gather to participate and hold programs and other events, and to meet experts, famous personalities, and...

 and store exclusive figures as well as expansive playset. Aside from the aforementioned qualities, it also boasted an innovative technique in which a magnet placed inside the figure's head would allow its magnetically equipped hat to sit firmly in place.

In 2001 Palisades acquired the license to produce Star Trek
Star Trek: The Original Series
Star Trek is an American science fiction television series created by Gene Roddenberry, produced by Desilu Productions . Star Trek was telecast on NBC from September 8, 1966, through June 3, 1969...

figures to commemorate its 35th anniversary. Concept designs were soon being developed and aimed for a style similar to Playmates
Playmates Toys
Playmates Toys is a Costa Mesa, California toy manufacturer and a subsidiary of Hong Kong-based Playmates Holdings Ltd , which was founded in 1966.-Proprietary brands:*Amazing Dolls*Amazing Pets*Kinder-Garden Babies*R.E.V.s*Waterbabies*WOW Pals...

' previous Star Trek line. However, despite such comprehensive plans, the figures were never produced.

In 2003, Fun 4 All unveiled plans to produce Sesame Street
Sesame Street
Sesame Street has undergone significant changes in its history. According to writer Michael Davis, by the mid-1970s the show had become "an American institution". The cast and crew expanded during this time, including the hiring of women in the crew and additional minorities in the cast. The...

action figures but had only developed prototypes before its bankruptcy in mid 2004. Mere months later, Palisades obtained the hot license. The debut of this collection was culminated by the 2005 convention exclusive Super Grover
Grover
Grover is a Muppet character on the popular television show Sesame Street. Self-described as lovable, cute and furry, he is a monster who almost never uses contractions when speaking or singing....

 with box art by Alex Ross
Alex Ross
Nelson Alexander "Alex" Ross is an American comic book painter, illustrator, and plotter. He is praised for his realistic, human depictions of classic comic book characters. Since the 1990s he has done work for Marvel Comics and DC Comics Nelson Alexander "Alex" Ross (born January 22, 1970) is an...

. As one of the most highly anticipated figure lines at the time, the first series of Sesame Street was intended for a mid 2005 release but came to a stirring delay. In fact, two series of figures were planned, and many photos of the fully developed, packaged figure prototypes were released to the public. But the line would ultimately never come to fruition due to, according to Horn, lack of retailer support. This same problem haunted The Muppet Show and led to its cancellation that same year.

Purple Emperor

In 2002 Palisades Toys released 3 versions of The Emperor. Before producing these 3 figures, Palisades Toys was presented with an additional choice for production. Of the 4 they would pick only 3 for production. The Palisades Purple Emperor was one of the four figures of which prototypes were made for.

These 4 figures were then presented to Palisades Toys for their consideration. Of the 4, only 3 would be produced for retail sale. Palisades Toys decided to not make the Purple Emperor. They instead opted for producing the other 3 color combination's. The Off White, the Clear Green and the Vintage Style Emperors.

The Palisades Purple Emperor Prototype is the only one made in this color combination.

Distribution

Palisades products were sold throughout the world at various retail outlets including Toys R Us, KB Toys
KB Toys
K·B Toys was a chain of mall-based retail toy stores in the United States. It was founded in 1922 by the Kaufman brothers. K·B operated 605 stores in 44 U.S. states, Puerto Rico as well as Guam. It was privately held in Pittsfield, Massachusetts...

, Target
Target Corporation
Target Corporation, doing business as Target, is an American retailing company headquartered in Minneapolis, Minnesota. It is the second-largest discount retailer in the United States, behind Walmart. The company is ranked at number 33 on the Fortune 500 and is a component of the Standard & Poor's...

, Electronics Boutique
Electronics Boutique
EB Games is an American computer and video games retailer. First established as an American company in 1977 by Emmanuel Baxter with a single electronics-focused location in the King of Prussia Mall near Philadelphia, the company has grown into an international corporation...

, Tower Records
Tower Records
Tower Records was a retail music chain that was based in Sacramento, California. It currently exists as an international franchise and an online music store....

, Media Play
Media Play
Media Play was a chain of retail stores founded in 1992 by Musicland that sold movies on video, DVDs, music, Electronics, video games, books, and games in the United States. Each store essentially contained a book store, a movie store, a music store, and a video game store under one roof. At...

, Sam Goody
Sam Goody
Sam Goody was a music and entertainment retailer in the United States and United Kingdom, and was owned and operated by Trans World Entertainment which also runs FYE, Saturday Matinee, and Suncoast Motion Picture Company. It specialized in music, video, and video game sales...

, Suncoast Video, and various comic shops. Due to the selectivity of the company's products, however, this range of retailers would eventually narrow to a select few and play a significant part in Palisades' floundering success.

On August 1, 2005, Palisades began a partnership with Blister Direct that made them the exclusive distributor of Palisades merchandise in Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...

. On September 18, Diamond Comics Distributors became Palisades' sole distributor of North America
North America
North America is a continent wholly within the Northern Hemisphere and almost wholly within the Western Hemisphere. It is also considered a northern subcontinent of the Americas...

.

Financial trouble and bankruptcy

While generally praised by the toy community, Palisades' uncompromising devotion to adult collectors proved financially cumbersome. Many products laid within a narrow niche market
Niche market
A niche market is the subset of the market on which a specific product is focusing; therefore the market niche defines the specific product features aimed at satisfying specific market needs, as well as the price range, production quality and the demographics that is intended to impact...

 of passionate fans or were simply unusual in scale or design; an example would be Mega Meatwad
Meatwad
Meatwad is a fictional character on the Adult Swim animated television series Aqua Unit Patrol Squad 1, which was originally titled Aqua Teen Hunger Force since its premiere in 2000 until 2011...

, a 5½" tall, non-articulated figure of the simple, limbless character. Yet comprehensive quality and large supply were being exerted on such selective merchandise. Despite such a staggering level of production, Palisades' also offered some of its merchandise at considerably low prices compared to similar high-end products within the industry. A combination of these factors may have attributed to deep expense on behalf of the acclaimed toy company.

Micronauts dilemma

The biggest blow to Palisades, however, would be during the production of Micronauts
Micronauts
The Micronauts comic books feature a group of characters based on the Micronauts toyline. The title was published by Marvel Comics, Image Comics, and Devil's Due Publishing. Their first comic appearance was in Micronauts #1 with characterizations created by Bill Mantlo and Michael Golden...

, Series 1. The company initially was given the impression that it would have access to the original Micronauts molds and tooling which would reduce production effort. This would not be the case, however, and plans were scaled back as everything would have to be built from scratch. Curiously, Takara
Takara
Takara Co., Ltd. was a Japanese toy company founded in 1955, that merged with another prominent Japanese toy company, Tomy Co., Ltd., on March 1, 2006 to form Takara Tomy, also known in English as TOMY Company Ltd....

 would have no part in this Micronauts revival, so Palisades began seeking out vintage samples from fans to help its development.

According to former Palisades toy designer Bryan Wilkinson, throughout mid-late 2002, reports from China on the in-development line were positive. It would later be discovered, however, that Ken Lilly, head of Palisades’ product development, had been deceived by a company acting as Palisades' middleman responsible for subcontracting
Subcontractor
A subcontractor is an individual or in many cases a business that signs a contract to perform part or all of the obligations of another's contract....

 the factory. By this point, a significant percentage of the commission was paid to the middleman, and the other portion was to be paid after contract fulfillment. This middleman apparently had no intention of ever collecting the rest, and instead, kept most of the money while farming out the production to another facility to develop the toys for a fraction of the cost and with no quality control
Quality control
Quality control, or QC for short, is a process by which entities review the quality of all factors involved in production. This approach places an emphasis on three aspects:...

. The middleman never received the rest of its money and vanished when pursued by Palisades.

With numerous errors and mispackaged and defective parts, employees were appalled at the result, but at this stage, financial losses on the part of Palisades would be inevitable. Not only was the Micronauts line affected, but other lines assigned to the factory at the time, such as part of the early Muppets series, suffered though not as heavily.

Adding to the strain was slow shipment due to the U.S. dock workers
International Longshore and Warehouse Union
The International Longshore and Warehouse Union is a labor union which primarily represents dock workers on the West Coast of the United States, Hawaii and Alaska, and in British Columbia, Canada. It also represents hotel workers in Hawaii, cannery workers in Alaska, warehouse workers throughout...

' union dispute and lockout
Lockout (industry)
A lockout is a work stoppage in which an employer prevents employees from working. This is different from a strike, in which employees refuse to work.- Causes :...

 in October 2002. Already over-budget Palisades quickly addressed the poor quality but had few resorts and only one employee to handle it. The company could only replace badly damaged returned toys with other poor quality product which, according to Wilkinson, "might have been their worst mistake from a public relations point of view, as some felt that this indicated they were trying to still push and mark up known defective product." Nevertheless, while financial recovery would be impossible, Palisades attempted to salvage their reputation and pride with a second Micronauts series, a retooled Series 1, and a special Series 1.5, working more closely with the manufacturers this time. However, the company lost even more money in doing so, and retailers lost interest. A third series was put in development as a last attempt at redemption but canceled. The Micronauts revival would result in "an albatross
Albatross (metaphor)
The word 'albatross' is sometimes used metaphorically to mean a psychological burden that feels like a curse. It is an allusion to Samuel Taylor Coleridge's poem The Rime of the Ancient Mariner ....

 for Palisades, their biggest financial loss ever."

Cancellations and demise

Problems with Palisades became evident as early as mid 2005. A forum poll the prior year let fans choose a Muppet pack-in character or accessory; however, due to a growing retailer disinterest in the line, the winning item, a cow, would not be released. Later in the year, The Muppet Show was canceled entirely, after which Ken Lilly posted the tentative series 10 through 14 on their message board. Four items of the said series were released while all others never passed the prototype or planning stages. These consisted of several basic, Mega, and Mini figures, in addition to playsets such as the massive Muppet Theater.

In November, a press release by President Mike Horn detailed the long-standing delay on Palisades' hotly anticipated Sesame Street
Sesame Street
Sesame Street has undergone significant changes in its history. According to writer Michael Davis, by the mid-1970s the show had become "an American institution". The cast and crew expanded during this time, including the hiring of women in the crew and additional minorities in the cast. The...

action figure line:
"There's not one person on the planet who wants this product line out more than me. It's been alluded to numerous times, but I'll say it here, on the record. The delays on this (and other) lines are directly related to the general lack of retail support. There's simply not enough orders to justify the massive production costs. That said, we are proceeding with production (and likely losing a ton of money in the process) so that we can try to get some momentum started and to satisfy collector desires." Horn, in addition said "I regret to inform you that after more than 11 successful years, Palisades Entertainment, LLC has discontinued its business of manufacturing and selling licensed and proprietary action figures, collectibles, toys and other goods. This development parallels a general trend within the toy industry"


News from the company became scarce in the following months, and it was reported that shortly before Christmas
Christmas
Christmas or Christmas Day is an annual holiday generally celebrated on December 25 by billions of people around the world. It is a Christian feast that commemorates the birth of Jesus Christ, liturgically closing the Advent season and initiating the season of Christmastide, which lasts twelve days...

, a large number of key staff members were released. Palisades also did not appear at the 2005 Wizard World Dallas, 2006 UK ToyFair, or 2006 US ToyFair where they would typically have had a significant presence.

Finally, on February 1, 2006, Palisades announced its bankruptcy and subsequent sale of the company to Limited by CAS Inc. Horn discussed the situation in a press release noting, "This development parallels a general trend within the toy industry, including the bankruptcy of one of Palisades’ largest customers." While Limited continued Palisades' Factory X branch of statues and prop replicas, Horn and his wife were not offered positions in the transaction.

Aside from Sesame Street, the sudden disestablishment of Palisades left several other planned products left unreleased. Those who bought the first series of Aqua Teen Hungerforce figures, for example, would not be able to complete their set with the second series intended for a February 2006 release.

Post-Palisades

According to his LinkedIn
LinkedIn
LinkedIn is a business-related social networking site. Founded in December 2002 and launched in May 2003, it is mainly used for professional networking. , LinkedIn reports more than 120 million registered users in more than 200 countries and territories. The site is available in English, French,...

 profile, former Palisades president Michael Horn became president of SwagDog, an apparel company, in May 2007 as well as CEO of MVP Collection, a collectibles company, in April 2008. His wife, Kate, served as client advisor to Russel BMW
BMW
Bayerische Motoren Werke AG is a German automobile, motorcycle and engine manufacturing company founded in 1916. It also owns and produces the Mini marque, and is the parent company of Rolls-Royce Motor Cars. BMW produces motorcycles under BMW Motorrad and Husqvarna brands...

 from 2006-2008 and has been director of operations for SwagDog since 2009.

In 2006, Ken Lilly founded Creatus Maximus. As of 2010, however, his LinkedIn profile lists him as freelance product development and design for the company.

Greg Leeuwen, a former art director for Palisades, has since become the graphic and interactive designer at Crosby Marketing Communications.

Phil Reasoner, who created image guides for Palisades went on to become the primary image guide supplier for GentleGiantCollectors.com.

Licenses

  • Adult Swim
    Adult Swim
    Adult Swim is an adult-oriented Cable network that shares channel space with Cartoon Network from 9:00 pm until 6:00 am ET/PT in the United States, and broadcasts in countries such as Australia and New Zealand...

  • Alien
    Alien (film series)
    The Alien film series is a science fiction horror film franchise, focusing on Lieutenant Ellen Ripley and her battle with an extraterrestrial lifeform, commonly referred to as "the Alien"...

  • Army of Darkness
    Army of Darkness
    Army of Darkness, also known as Evil Dead III: Army of Darkness or simply Evil Dead III, is a 1992 horror comedy fantasy action film directed by Sam Raimi. It is the third and final installment in The Evil Dead trilogy. The film was written by Raimi and his brother Ivan, produced by Robert Tapert,...

  • Buffy the Vampire Slayer
  • Crimson
  • Crittaz
  • Die Hard
    Die Hard
    Die Hard is a 1988 American action film and the first in the Die Hard film series. The film was directed by John McTiernan and written by Jeb Stuart and Steven E. de Souza. It is based on a 1979 novel by Roderick Thorp titled Nothing Lasts Forever, itself a sequel to the book The Detective, which...

  • Dragonball
  • Fairly Odd Parents
  • Final Fantasy
    Final Fantasy
    is a media franchise created by Hironobu Sakaguchi, and is developed and owned by Square Enix . The franchise centers on a series of fantasy and science-fantasy role-playing video games , but includes motion pictures, anime, printed media, and other merchandise...

  • Freakables
  • G.I. Joe
    G.I. Joe
    G.I. Joe is a line of action figures produced by the toy company Hasbro. The initial product offering represented four of the branches of the U.S. armed forces with the Action Soldier , Action Sailor , Action Pilot , Action Marine and later on, the Action Nurse...

  • Invader Zim
    Invader Zim
    Invader Zim is an American animated television series created by Jhonen Vasquez. It was produced by and subsequently aired on Nickelodeon. The series revolves around an extraterrestrial named Zim from the planet Irk, and his ongoing mission to conquer and destroy Earth...

  • Micronauts
    Micronauts
    The Micronauts comic books feature a group of characters based on the Micronauts toyline. The title was published by Marvel Comics, Image Comics, and Devil's Due Publishing. Their first comic appearance was in Micronauts #1 with characterizations created by Bill Mantlo and Michael Golden...

 
  • The Muppet Show
    The Muppet Show
    The Muppet Show is a British television programme produced by American puppeteer Jim Henson and featuring Muppets. After two pilot episodes were produced in 1974 and 1975, the show premiered on 5 September 1976 and five series were produced until 15 March 1981, lasting 120 episodes...

  • Pink Panther
  • Predator
    Predator (franchise)
    The Predator film series is a science fiction horror film franchise. Produced by 20th Century Fox, the series started in 1987 with the film Predator, which led to two sequels and novel, comic book and video game spin-offs....

  • Ren & Stimpy
  • Reservoir Dogs
    Reservoir Dogs
    Reservoir Dogs is an American crime film marking debut of director and writer Quentin Tarantino. It depicts the events before and after a botched diamond heist, but not the heist itself. Reservoir Dogs stars an ensemble cast: Harvey Keitel, Steve Buscemi, Tim Roth, Michael Madsen, Chris Penn, and...

  • Resident Evil
  • Rising Stars
    Rising Stars
    Rising Stars is a 24-issue comic book limited series by J. Michael Straczynski about 113 people born with special abilities following the appearance of a mysterious light in the sky above Pederson, Illinois. The series explores how society may react to the advent of superpowers, and how those who...

  • Sesame Street
    Sesame Street
    Sesame Street has undergone significant changes in its history. According to writer Michael Davis, by the mid-1970s the show had become "an American institution". The cast and crew expanded during this time, including the hiring of women in the crew and additional minorities in the cast. The...

  • The Simpsons
    The Simpsons
    The Simpsons is an American animated sitcom created by Matt Groening for the Fox Broadcasting Company. The series is a satirical parody of a middle class American lifestyle epitomized by its family of the same name, which consists of Homer, Marge, Bart, Lisa and Maggie...

  • Sleepy Hollow
    Sleepy Hollow (film)
    Sleepy Hollow is a 1999 American period horror film directed by Tim Burton. It is a film adaptation loosely inspired by the 1820 short story "The Legend of Sleepy Hollow" by Washington Irving and stars Johnny Depp, Christina Ricci, Miranda Richardson, Marc Pickering, Michael Gambon, Jeffrey Jones,...

  • Star Trek
    Star Trek: The Original Series
    Star Trek is an American science fiction television series created by Gene Roddenberry, produced by Desilu Productions . Star Trek was telecast on NBC from September 8, 1966, through June 3, 1969...

  • Transformers
  • Trigun
    Trigun
    is a Japanese manga series written and illustrated by Yasuhiro Nightow, published from 1996 to 2008 and spanning 17 collected volumes....

  • Underworld
    Underworld (2003 film)
    Underworld is a 2003 action-horror film about the secret history of Vampires and Lycans . It is the first installment in the Underworld series. The main plot revolves around Selene , a vampire who is a Death Dealer hunting Lycans...

  • X-Files
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