By Amanda Andrews Published: 9:08PM BST 08 Oct 2009  As the publisher of Winnie the Pooh books since 1924, 130-year-old Egmont is steeped in tradition.  However, the Danish publisher now faces its biggest challenge yet as it attempts to move into the digital age. While there will "always be a market for traditional books and magazines", according to Mr McMenemy, he says the children's publishing industry needs to better embrace digital methods. The group will today announce one of its most significant digital deals yet: an agreement – which it says also involves Penguin –with EA Games to create ebooks for children for use on the Nintendo DS games console.  "The Nintendo DS is extremely popular with children, so it made sense to use it as a way of encouraging them to read," he said. The ebooks, initially pitched at seven to 11 year-olds, will go by the name of Flips and feature books such as the Enid Blyton series and a book for young boys called Too Ghoul for School. "This is not reading in a linear fashion. There is an interactive element," he said.  Mr McMenemy is excited by this week's announcement that Amazon's Kindle will be launched in the UK this month. He says ereaders will eventually be popular with children but not until they offer colour and offer moving imagery.  He says that the group, which also owns publishing rights to much loved children's characters including Mr Men, Thomas the Tank Engine, Wallace & Gromit and Rupert the Bear, plans to offer a series of ebooks on its websites later this year. "The future [for the children's book and magazine industry] will always be a combination of print and digital," he says.  But it is the group's latest print initiative, this week's launch of the new Winnie the Pooh book, Return to the Hundred Acre Wood, that it expects will be its biggest revenue driver this Christmas. Similar to the original AA Milne books, the latest adventures of Pooh, Tigger and Christopher Robin was 10 years in the making and tells of Christopher Robin's new adventures now he is at school.  Retailers sold 4,000 copies of the book, written by Pooh enthusiast David Benedict, in the first two days since the launch earlier this week and Waterstones expects it to be its number one best-seller for the seasonal period.  "The book is not the difference between success and failure for us, but it is very important. We expect it to do well over the Christmas period. While copies will be bought for children, there is also a nostalgia element for adults."  While books may be a relatively low-ticket item, Mr McMenemy says the group has been far from immune to reduced consumer spending. He says that revenues in the year to date have fallen 10pc and some job cuts have been necessary.  However, Egmont's untraditional ownership has added an element of stability during the recession. The firm is effectively owned by a trust, which has donated more than €235m (£215m) in to numerous social, cultural and health initiatives in Denmark since 1920.  Egmont was founded 130 years ago when 17-year-old Harald Petersen was given a loan by his mother Petrine to buy a flyswatter – a simple, hand-operated printing machine – which he ran in her kitchen. By 1880, there was not enough room in the kitchen and the printing operation was moved to bigger facilities, and he hired employees.  Egmont now has a presence in 20 countries and Mr Petersen is still held in high regard, with the founder's lucky coin kept in a prime position at Egmont's head office in Vognmagergade.  While Mr McMenemy has built the UK business into a children's publisher, selling 25m books and 12m magazines every year, his challenge now is to use its brands to capitalise on "nostalgia readers".  Proudly admitting that his favourite childhood character was Yogi Bear, he will shortly announce Egmont has signed a three-year deal with Warner Brothers to publish Hanna-Barbera books with characters Yogi Bear, Dick Dastardly, The Jetsons and Top Cat. How to Be Dastardly and A Guide to Life from Top Cat are some of the titles set for release.  "The target market is students," he says, in the group's first move into an older market. "In recessionary times, there is always a hark back to nostalgia."  Part of this trip back to memory lane will see the group focus on the brands it currently owns, which include Roy of the Rovers. While Mr McMenemy says he would be willing to buy more characters, he hopes to grow its own brands instead of relying mainly on acquiring the rights of others.  But, like most media groups, Mr McMenemy's main priority is getting up to speed with the digital revolution and ensuring he remains in touch with his young readers.  Career Joined Egmont UK in 1994 and became UK MD in 2004; has held marketing positions at the Independent and Independent on Sunday, Grampian TV and Capital Radio  Lives Peterborough with wife Yvonne and two children  Favourite Winnie the Pooh saying "Pooh had completed his stoutness exercises – two push-ups, two pull-ups and a lie-down"  Past time Touring on his motorbike
Egmont will create children's ebooks for the Nintendo DS console, reveals Rob    McMenemy, the publisher's managing director