Action Products Doubles Business At Specialty Gift Show More warrants are exercised. Comments on FAO ORLANDO, Fla., Nov. 18 /PRNewswire-FirstCall/ -- Action Products International Inc. , a leading toy designer and manufacturer of educational and positive, non-violent branded toys for children in preschool through primary grades, announced today that the total of the orders written for immediate or 2004 shipments at the Smokey Mountain Gift Show in Gatlinburg, TN was double last year's sales. The company successfully opened new accounts as well as obtained broader product penetration within current accounts. Action Products plans to significantly increase its distribution in the aquarium, zoo and attractions markets with several new exciting products in 2004. Updating the progress the of previously announced efforts to increase equity capital, the Company reports that as of Nov 12, 2003, the total number of warrants exercised had risen above 425,000. FAO Inc (Nasdaq; FAOO), parent company of FAO Schwarz, Zany Brainy and The Right Start retail stores and catalogs, is currently in default with Action Products following FAO's recent announcement regarding delayed vendor payments. Action Products has demanded the immediate return of all unpaid merchandise and immediate payment for all remaining obligations. Presently, $172,000 worth of merchandise is not paid for. Action Products had relied on the statements by FAO management and their filings with the SEC on Oct 21, 2003, which stated that it was financially viable and denied recent reports that FAO was experiencing liquidity problems. Action Products has cancelled all future orders booked by FAO. APII's sales projections for 2003 of $8.3-$8.5 million is not affected because the company has received orders from other retailers and, due to the success of the sell through of its products, APII is receiving last minute orders from other retailers. Action Products expects to report a substantially reduced loss during the fourth quarter of 2003 as compared to 2002 as well as a much stronger balance sheet and greater working capital by year-end. The sales projection for 2004 is currently $10.25 -- $10.5 million. The company will be introducing at least 30 new products in 2004 within its current eight brands. ABOUT ACTION PRODUCTS INTERNATIONAL Action Products International, Inc. is a leading designer and manufacturer of educational and positive branded toys emphasizing fun, quality brands including Jay Jay The Jet Plane Wooden Adventure System(TM), I Dig Dinosaurs(R) and I Dig Treasures(R) excavation activity kits, Space Voyagers(R) ("The most authentic Space Toys on Earth"), Climb@Tron(TM) window-climbing animals and robots, Play and Store(TM) themed playsets, Kidz Workshop(TM) wooden projects, and Drop Zone Extreme(TM) parachute toys. Its products are marketed and sold to specialty retailers, museums, toy stores, theme parks, attractions, zoos, catalog companies, Internet retailers, and educational markets in the United States and worldwide. For more information on Action Products toys, email Any statements that are not historical facts contained in this release are forward-looking statements. It is possible that the assumptions made by management for purposes of such statements may not materialize. Actual results may differ materially from those projected or implied in any forward-looking statements. Such statements may involve risks and uncertainties, including but not limited to those relating to product demand, pricing, market acceptance, the effect of economic conditions, and intellectual property rights and the outcome of competitive products, risks in product development, the results of financing efforts, the ability to complete transactions, and other factors discussed from time to time in the Company's Securities and Exchange Commission filings. The Company undertakes no obligation to update or revise any forward-looking statement for events or circumstances after the date on which such statement is made. DATASOURCE: Action Products International Inc. CONTACT: Warren Kaplan, Chairperson, or Raymond Oliver, Investor Relations, +1-407-481-8007, ext. 723, , both of Action Products International Inc. Web site: http://www.apii.com/

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