Kellogg Company announced today the introduction of the industry’s first Internet-based loyalty program at http://www.EETandERN.com. “The explosive expansion of the Internet and e-commerce provides a significant opportunity for growing both our cereal and convenience food businesses,” said John D. Cook, executive vice president, Kellogg Company, and president, Kellogg North America.

Designed to recognize and reward consumers for their commitment to Kellogg’s® cereals, the EET and ERN(TM) (eat and earn) program allows consumers to earn points and redeem them for toys, sporting goods and school supplies. The companies who have signed on as the program’s first partners include fogdog.com, Schoolpop.com and toysmart.com.

“EET and ERN is the newest part of Kellogg’s on-going commitment to put fun back into the category while delivering value to our core consumers and rewarding their loyalty,” said Paul Norman, vice president of marketing, Kellogg USA. “By leveraging technology and partnering with companies like toysmart.com and Schoolpop.com, we are creating a dynamic online environment with strong kid appeal, allowing Kellogg to interface with consumers in ‘brand’ new ways.”

To participate in the EET and ERN program, consumers retrieve special 15-digit encrypted codes found inside select Kellogg’s cereal boxes and sign up for the program at http://www.EETandERN.com. Once they have signed up, an account will be opened and the codes can be entered. A point value is rewarded for each code entered. Consumers can collect and/or redeem the points for products from partner sites. The site also tracks individual point balances and offers games, activities, and links to popular Kellogg and partner sites. Additional partners for the EET and ERN program will be announced at a later date.

The program will be communicated through on-line, television and print media and through the introduction of EET(TM) and ERN(TM), Kellogg’s first new spokescharacters in more than 30 years.

EET is an excitable horse who loves to eat Kellogg’s cereals and ERN is a sensible pig who likes to save for cool products. Together they are an edgy duo who will capture the attention of kids.

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Leo Burnett USA, Inc. and Capps Digital, a limited partner of Leo Burnett, worked with Kellogg to devise an integrated solution for the company’s loyalty program and collaborated with them to develop EETandERN.com.

The EET and ERN program debuted today on The Rosie O’Donnell Show. Television spots, which will air on national networks and cable channels such as Nickelodeon and the Cartoon Network, feature EET and ERN who convey a simple message, “Eat Kellogg’s cereals, get stuff.” Print ads will appear in Disney Adventures and S.I. for Kids magazines, among others. Sites like Disney Online, MTV and Kids Domain will be targeted for on-line advertising.

The encoded boxes are already on store shelves nationwide and can be identified by locating the EET and ERN symbol on cereal box tops. The encrypted codes can be found in over 300 million boxes of Kellogg’s cereals representing 18 different brands including Frosted Flakes®, Froot Loops®, and Mini-Wheats®.

EETandERN.com complies with the Children’s On-Line Privacy Protection Act (COPPA). EETandERN.com also includes a parent information section and requires parental permission for children under 13 years of age to participate.