On March 2, 1995, a letter was released from Marvel announcing its intention to distribute its products exclusively through Heroes World Distribution, the Direct Market distributor it purchased some nine weeks prior. On that same day, a press release from Marvel announced that Heroes World would no longer carry non-Marvel product; that release was not sent to Dark Horse, and so Dark Horse was only notified of this development when a representative phoned Heroes World to substantiate the rumor. Dark Horse president and founder Mike Richardson comments on the situation: "Marvel Comics is not an individual. It is a corporate entity required to justify assorted decisions to its stockholders. It is the mandate of Marvel's management team to make decisions that affect those stockholders in a positive way. This is pertinent to discussions of Marvel's latest moves within the Direct Market because it will help us understand the motivations behind their recent actions. "When Marvel launched Marvel Mart (a Marvel-run mail-order operation offering a mix of exclusive and standard Marvel product), there was no malice intended toward the Direct Market. It was an attempt to increase profits. Similarly, when it began selling to Wal-Mart through ANCO at a greater discount than it sold to the direct market, it was not done to undermine the comic specialty stores; it was done to increase the company's profit base. "The exclusive line of Marvel T-shirts which were available only through mail order; the delivery schedule of the Marvel-owned Toy Biz toys which favors Toys 'R' Us over the Direct Market; and the recent American Entertainment exclusive Prime vs. Hulk comic are simply three more cases of Marvel trying to make profits grow. "It's important to understand that Marvel bears no ill will toward the comics specialty market. It has simply shown its desire to invest its money outside the specialty store market, and its willingness to pursue an agenda that often conflicts with the overall long-term health of our market. "Every retailer must now question Marvel's intentions in purchasing Heroes World. Is this the beginning of a new chapter, a re-focusing on the direct market stores which have made Marvel an entertainment giant? Or is this an attempt to gain control of the distribution and retail processes of our industry? If the former is correct, then this could be a great turning point for the market. If it's the latter, however, each retailer should ask himself if a scenario in which an individual has fewer choices and less control of his own business is a good one. "Last week, Marvel ended relationships with the Direct Market distributors, the customers who helped 'grow' and finance its business. The late Carol Kalish, who spearheaded Marvel's movement into the specialty market for many years, once told me an interesting bit of information: when she began selling to the direct market in 1982, Marvel billed $2 million for the entire year. When X-Men #1 was released, in August 1992, Marvel billed better than $12 million for that single month. That's staggering growth! Does Marvel plan to re-invest this money into our market or is Marvel moving away from the trade partners that helped bring it to its current state of success? Once again, the latter has serious implications for the consumers, retailers, publishers, and distributors that make up our industry. "As before, this move is one that the company believes to be good for Marvel. In its company catalogue, Marvel points to dissatisfaction with current performance levels as the reason for the dramatic change. It leads one to believe that further changes will be made if performance doesn't improve. One can only hope that these changes will not devastate a market that has served our industry well. "Dark Horse will respond to any changes in the marketplace in a manner that we believe is in the best interests of Dark Horse, its customers, and creators. Dark Horse has grown by re-investing profits back into the direct sales market and intends to do so in the future. For Dark Horse, this is the correct way to conduct business." Dark Horse Comics began in the back room of a comic-book specialty store in 1986. Today, they are the fourth largest publisher in their chosen market.