Exhibit 99.1

AMERICAN GREETINGS ANNOUNCES THIRD QUARTER EARNINGS

CLEVELAND (December 22, 2010) — American Greetings Corporation (NYSE: AM) today announced its results for the third fiscal quarter ended November 26, 2010.

Third Quarter Results

For the third quarter of fiscal 2011, the Company reported total revenue of $430.1 million, pre-tax income of $51.5 million, and net income of $32.2 million or 78 cents per share (all per-share amounts assume dilution). Compared to the prior year, revenue was down approximately $10.0 million. Approximately $8.6 million of the revenue decline was a result of the party goods transaction that occurred in December 2009. Holding aside the effect of the party goods transaction, revenue declined about $1.4 million.

For the third quarter of fiscal 2010, the Company reported total revenue of $440.2 million, pre-tax income of $38.1 million, and net income of $29.7 million or 75 cents per share. Included within these results were pre-tax costs related to the wind down of the Mexican operations of $5.9 million (after-tax of approximately $5.7 million) or approximately 14 cents per share as well as incremental variable compensation expense of approximately $12.1 million (after-tax of approximately $7.4 million) or approximately 19 cents during the quarter.

Management Comments and Outlook

Chief Executive Officer Zev Weiss said, “I am pleased with our overall performance in the third fiscal quarter. We have managed to continuously develop new and innovative products while tightly managing expenses, which has resulted in solid earnings for the quarter. During the fourth fiscal quarter, we will face the traditional risk of Christmas and Valentines Day holidays, and this year we face the additional uncertainty of the pace of the economic recovery, which makes consumer buying patterns more difficult to predict. However, we believe our refined business portfolio, along with the changes we have made to our capital structure over the last several years, position the Company well for the opportunities and challenges ahead. We expect to at least meet our projected cash flow from operations minus capital expenditures goal of $125 million with upside to this estimate based on further improvements to the balance sheet and lower than anticipated capital expenditures.”

Previously, for fiscal year 2011, the Company projected cash flow from operating activities of about $165 million and capital expenditures of approximately $40 million resulting in cash flow from operating activities minus capital expenditures of approximately $125 million.

Conference Call on the Web

American Greetings will broadcast its conference call live on the Internet at 9:00 a.m. Eastern time today. The conference call will be accessible through the Investor Relations section of the American Greetings Web site at http://investors.americangreetings.com. A replay of the call will be available on the site.

About American Greetings Corporation

For more than 100 years, American Greetings Corporation (NYSE: AM) has been a creator and manufacturer of innovative social expression products that assist consumers in enhancing their relationships. The Company’s major greeting card lines are American Greetings, Carlton Cards, Gibson, Recycled Paper Greetings and Papyrus, and other paper product offerings include DesignWare party goods and American Greetings and Plus Mark gift-wrap and boxed cards. American Greetings also has one of the largest collections of electronic greetings on the Web, including cards available at AmericanGreetings.com through AG Interactive, Inc. (the Company’s online division). AG Interactive also offers digital photo sharing and personal publishing at PhotoWorks.com and Webshots.com and provides a one-stop source for online graphics and animations at Kiwee.com. In addition to its product lines, American Greetings also creates and licenses popular character brands through the American Greetings Properties group. Headquartered in Cleveland, Ohio, American Greetings generates annual revenue of approximately $1.6 billion, and its products can be found in retail outlets worldwide. For more information on the Company, visit http://corporate.americangreetings.com.

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CONTACT:
Gregory M. Steinberg
Treasurer and Executive Director of Investor Relations
American Greetings Corporation
216-252-4864
investor.relations@amgreetings.com

Non-GAAP Measures

Certain revenue, after-tax, earnings per share, and liquidity amounts included in this release may be considered non-GAAP measures under the Securities and Exchange Commission’s Regulation G. The after-tax amounts were calculated based on the Company’s statutory tax rate of approximately 38.9% for U.S. based items and the appropriate statutory rates for international jurisdictions. Management believes that providing adjusted revenue information is useful to investors as it explains the impact of the party goods transaction on the Company’s total revenue. In addition, Management believes that providing after-tax and earnings per share information is useful to investors in analyzing the Company’s results and that cash flow from operating activities minus capital expenditures provides a liquidity measure useful to investors in analyzing the cash generation of the Company.

Factors That May Affect Future Results

Certain statements in this release, including those under Management Comments and Outlook, may constitute forward-looking statements within the meaning of the Federal securities laws. These statements can be identified by the fact that they do not relate strictly to historic or current facts. They use such words as, “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” and other words

and terms of similar meaning in connection with any discussion of future operating or financial performance. These forward-looking statements are based on currently available information, but are subject to a variety of uncertainties, unknown risks and other factors concerning the Company’s operations and business environment, which are difficult to predict and may be beyond the control of the Company. Important factors that could cause actual results to differ materially from those suggested by these forward-looking statements, and that could adversely affect the Company’s future financial performance, include, but are not limited to, the following:

	•		a weak retail environment and general economic conditions;
	•		competitive terms of sale offered to customers;
	•		the Company’s successful transition of the Retail Operations segment to its buyer, Schurman Fine Papers, and Schurman Fine Papers’ ability to successfully operate its retail operations and satisfy its obligations to the Company;
	•		retail consolidations, acquisitions and bankruptcies, including the possibility of resulting adverse changes to retail contract terms;
	•		the ability to achieve the desired benefits associated with the Company’s cost reduction efforts;
	•		the timing and impact of converting customers to a scan-based trading model;
	•		the Company’s ability to successfully integrate both Recycled Paper Greetings and Papyrus;
	•		the ability to achieve both the desired benefits from the transaction with Amscan as well as ensuring a seamless transition for affected retail customers and consumers;
	•		the ability to successfully implement, or achieve the desired benefits associated with, any information systems refresh the Company may implement;
	•		the timing and impact of investments in new retail or product strategies as well as new product introductions and achieving the desired benefits from those investments;
	•		consumer acceptance of products as priced and marketed;
	•		the impact of technology on core product sales;
	•		escalation in the cost of providing employee health care;
	•		the Company’s ability to achieve the desired accretive effect from any share repurchase programs;
	•		the Company’s ability to comply with its debt covenants;
	•		fluctuations in the value of currencies in major areas where the Company operates, including the U.S. Dollar, Euro, U.K. Pound Sterling, and Canadian Dollar; and
	•		the outcome of any legal claims known or unknown.

Risks pertaining specifically to AG Interactive include the viability of online advertising, subscriptions as revenue generators, and the ability to adapt to rapidly changing social media and the digital photo sharing space.

In addition, this release contains time-sensitive information that reflects management’s best analysis as of the date of this release. American Greetings does not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events, information or circumstances that arise after the date of this release. Further information concerning issues that could materially affect financial performance related to forward-looking statements can be found in the Company’s periodic filings with the Securities and Exchange Commission, including the “Risk Factors” section of the Company’s Annual Report on Form 10-K.

Exhibit 99.1

AMERICAN GREETINGS CORPORATION
THIRD QUARTER CONSOLIDATED STATEMENT OF INCOME
FISCAL YEAR ENDING FEBRUARY 28, 2011

(In thousands of dollars except share and per share amounts)

		(Unaudited)
		Three Months Ended								Nine Months Ended
		November 26, 2010				November 27, 2009				November 26, 2010				November 27, 2009
Net sales		$	421,990			$	431,512			$	1,147,434			$	1,189,428
Other revenue			8,148				8,654				21,831				20,010
Total revenue			430,138				440,166				1,169,265				1,209,438
Material, labor and other production costs			199,177				204,997				502,903				525,414
Selling, distribution and marketing expenses			117,314				124,167				347,183				373,915
Administrative and general expenses			58,725				69,233				186,950				180,867
Other operating (income) expense — net			(1,048	)			(575	)			(2,578	)			25,801
Operating income			55,970				42,344				134,807				103,441
Interest expense			6,221				6,331				19,141				19,989
Interest income			(176	)			(299	)			(586	)			(1,564	)
Other non-operating income — net			(1,618	)			(1,827	)			(3,321	)			(4,160	)
Income before income tax expense			51,543				38,139				119,573				89,176
Income tax expense			19,380				8,444				48,039				26,398
Net income		$	32,163			$	29,695			$	71,534			$	62,778
Earnings per share — basic		$	0.80			$	0.75			$	1.79			$	1.59
Earnings per share — assuming dilution		$	0.78			$	0.75			$	1.75			$	1.59
Average number of common shares outstanding			40,071,916				39,391,399				39,912,378				39,469,293
Average number of common shares outstanding — assuming dilution			40,985,909				39,755,233				40,911,964				39,495,247
Dividends declared per share		$	0.14			$	0.12			$	0.42			$	0.24

AMERICAN GREETINGS CORPORATION
THIRD QUARTER CONSOLIDATED STATEMENT OF FINANCIAL POSITION
FISCAL YEAR ENDING FEBRUARY 28, 2011

(In thousands of dollars)

		(Unaudited)
		November 26, 2010				November 27, 2009
ASSETS
CURRENT ASSETS
Cash and cash equivalents		$	93,899			$	50,563
Trade accounts receivable, net			206,286				208,964
Inventories			181,511				168,103
Deferred and refundable income taxes			70,847				59,791
Assets held for sale			12,325				21,931
Prepaid expenses and other			127,598				151,842
Total current assets			692,466				661,194
GOODWILL			31,686				38,177
OTHER ASSETS			403,815				349,284
DEFERRED AND REFUNDABLE INCOME TAXES			146,767				173,847
Property, plant and equipment — at cost			851,636				860,670
Less accumulated depreciation			614,894				602,863
PROPERTY, PLANT AND EQUIPMENT — NET			236,742				257,807
		$	1,511,476			$	1,480,309
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Debt due within one year		$	—			$	1,000
Accounts payable			97,899				86,835
Accrued liabilities			80,744				91,469
Accrued compensation and benefits			59,128				74,770
Income taxes payable			39,593				10,479
Other current liabilities			86,419				87,221
Total current liabilities			363,783				351,774
LONG-TERM DEBT			232,078				355,974
OTHER LIABILITIES			173,017				129,517
DEFERRED INCOME TAXES AND NONCURRENT INCOME TAXES PAYABLE			32,824				31,633
SHAREHOLDERS’ EQUITY
Common shares — Class A			37,199				36,111
Common shares — Class B			2,905				3,232
Capital in excess of par value			486,399				456,478
Treasury stock			(952,183	)			(946,569	)
Accumulated other comprehensive loss			(27,114	)			(35,824	)
Retained earnings			1,162,568				1,097,983
Total shareholders’ equity			709,774				611,411
		$	1,511,476			$	1,480,309

AMERICAN GREETINGS CORPORATION
THIRD QUARTER CONSOLIDATED STATEMENT OF CASH FLOWS
FISCAL YEAR ENDING FEBRUARY 28, 2011
(In thousands of dollars)

		(Unaudited)
		Nine Months Ended
		November 26, 2010				November 27, 2009
OPERATING ACTIVITIES:
Net income		$	71,534			$	62,778
Adjustments to reconcile net income to cash flows from operating activities:
Net (gain) loss on dispositions			(254	)			27,671
Net (gain) loss on disposal of fixed assets			(1,599	)			163
Depreciation and intangible assets amortization			30,336				34,121
Deferred income taxes			3,957				20,133
Other non-cash charges			12,351				7,096
Changes in operating assets and liabilities, net of acquisitions and dispositions:
Trade accounts receivable			(71,336	)			(124,205	)
Inventories			(16,461	)			16,651
Other current assets			(694	)			16,927
Income taxes			36,187				17,711
Deferred costs — net			19,365				1,904
Accounts payable and other liabilities			(31,541	)			(10,636	)
Other — net			5,896				3,886
Total Cash Flows From Operating Activities			57,741				74,200
INVESTING ACTIVITIES:
Property, plant and equipment additions			(19,660	)			(21,368	)
Cash payments for business acquisitions, net of cash acquired			—				(19,300	)
Proceeds from sale of fixed assets			3,835				886
Proceeds from escrow related to party goods transaction			25,151				—
Other — net			—				4,713
Total Cash Flows From Investing Activities			9,326				(35,069	)
FINANCING ACTIVITIES:
Net decrease in long-term debt			(98,250	)			(34,600	)
Net decrease in short-term debt			(1,000	)			—
Sale of stock under benefit plans			19,831				3,683
Purchase of treasury shares			(13,439	)			(11,826	)
Dividends to shareholders			(16,737	)			(14,327	)
Debt issuance costs			(3,178	)			—
Total Cash Flows From Financing Activities			(112,773	)			(57,070	)
EFFECT OF EXCHANGE RATE CHANGES ON CASH			1,656				8,286
DECREASE IN CASH AND CASH EQUIVALENTS			(44,050	)			(9,653	)
Cash and Cash Equivalents at Beginning of Year			137,949				60,216
Cash and Cash Equivalents at End of Period		$	93,899			$	50,563

AMERICAN GREETINGS CORPORATION
THIRD QUARTER CONSOLIDATED SEGMENT DISCLOSURES
FISCAL YEAR ENDING FEBRUARY 28, 2011
(In thousands of dollars)

		(Unaudited)
		Three Months Ended								Nine Months Ended
		November 26, 2010				November 27, 2009				November 26, 2010				November 27, 2009
Total Revenue:
North American Social Expression Products		$	312,773			$	329,869			$	865,664			$	920,568
Intersegment items			—				—				—				(5,104	)
Exchange rate adjustment			4,748				2,761				12,324				5,174
Net			317,521				332,630				877,988				920,638
International Social Expression Products			77,601				73,972				190,364				184,613
Exchange rate adjustment			2,502				2,736				2,048				1,597
Net			80,103				76,708				192,412				186,210
Retail Operations			—				—				—				11,727
Exchange rate adjustment			—				—				—				112
Net			—				—				—				11,839
AG Interactive			19,234				19,393				56,160				56,743
Exchange rate adjustment			(1	)			84				(206	)			76
Net			19,233				19,477				55,954				56,819
Non-reportable segments			13,281				11,185				42,911				33,546
Unallocated			—				166				—				386
		$	430,138			$	440,166			$	1,169,265			$	1,209,438
Segment Earnings (Loss):
North American Social Expression Products		$	54,277			$	46,675			$	155,997			$	167,441
Intersegment items			—				—				—				(3,511	)
Exchange rate adjustment			2,218				1,246				5,661				2,318
Net			56,495				47,921				161,658				166,248
International Social Expression Products			10,001				9,404				14,196				12,227
Exchange rate adjustment			(19	)			154				(55	)			(15	)
Net			9,982				9,558				14,141				12,212
Retail Operations			—				—				—				(34,830	)
Exchange rate adjustment			—				—				—				(285	)
Net			—				—				—				(35,115	)
AG Interactive			5,134				1,510				10,553				5,209
Exchange rate adjustment			1				61				(160	)			7
Net			5,135				1,571				10,393				5,216
Non-reportable segments			1,438				1,634				6,907				1,872
Unallocated			(21,761	)			(22,507	)			(73,924	)			(61,550	)
Exchange rate adjustment			254				(38	)			398				293
Net			(21,507	)			(22,545	)			(73,526	)			(61,257	)
		$	51,543			$	38,139			$	119,573			$	89,176