But even casual observers of the Learning Company knew that it was no longer a hot property.

And it is paying $3.8 billion for the Learning Company, which had $850 million in revenue in 1998.

The announcement of the offer sent the Learning Company's shares soaring.

"Buying the Learning Company was like falling off a cliff."

Mattel paid $3.6 billion for the Learning Company in May 1999.

For information on stores, call the Learning Company, (800) 852-2255.

Shares of the Learning Company fell $3.3125, to $25.

The Learning Company is also slicing things up by subject.

The Learning Company had in 1997 accumulated losses of $475 million.

The picture at the Learning Company was not pretty.