RC2 Corporation (RCRC) is a leading toy and collectibles company. Formerly known as Racing Champions, RC2 has utilized an aggressive acquisition strategy over the past several years to fuel top- and bottom-line growth and build out its portfolio of toys, infant products, and collectible products. Major acquisitions include Learning Curve, Playing Mantis, and The First Years. RC2 generates a large percentage of its net sales from licensing agreements based on popular brands, trademarks, and entertainment properties including Thomas & Friends, Bob The Builder, and John Deere. In 2006, net sales (excluding discontinued and sold product lines) by category were the following: Infant & toddler products (36%), Preschool products (48%), Youth & adult products (16%). The company's reliance on chain retailers, which accounted for just over half of the company's net sales in 2004, increased to 62% in 2005 and 68% in 2006.