Treat Heart Pig, Grams Bear, Baby Hugs and Tugs had not appeared in the second movie.
The Samuel Goldwyn Company was originally set to release the sequel. But, demands from the film's producers caused the company to give up. The worldwide distribution rights were then acquired by Columbia Pictures.
Between the generally acclaimed The Care Bears Movie (1985) and the somewhat abandoned The Care Bears Adventure in Wonderland (1987), this movie has gained more negative response by critics due to the twist of how the Care Bears and their cousins met as shown on The Care Bears Movie and some of its key elements received comparisons to the German legend Faust and J. M. Barrie's Peter Pan, as well as the scary contents linking onto a children's movie. Even some parents regarded this film as being "too frightening for their children".
Unlike the 2003 DVD release, a widescreen version of this film was made available to purchase on streaming services, such as iTunes, Amazon Prime Video and VUDU. A theatrical trailer is viewable in the iTunes Store and is eventually linked on YouTube.
Castle Thunder: During the storm sequence in which True Heart Bear and Noble Heart Horse have to deal with a dragon (one of Dark Heart's transformations).