Gift ideas for a 5 and 7 year old. (End of school Grad.)?...

...My husband is going to pick up his two children from a past relationship today. We have not seen his kids in 2 years. We keep in contact with them over the phone and internet. Reasons for not seeing them is due to distance. We are on one side of Canada and they're on the other.
My questions is;
I don't know what kids are in to these day, and I was wondering what would be appropriate for the two of them.
His daughter (7) just finished grad 1, and his son (5) just finished Kindergarten.
We promised them a gift when they finished school this year, so what is a good gift that would suite them. I dont know what they have at home, or what else they have gotten for their grad. All I know is his daughter loves Hannah Montana, and I am not sure what his son likes. I was thinking of clothes, but thats not very fun for them. Is they anything new out that kids their age are in to.
Keep in mind that I would like to keep in under $100 between the two.
I like the thought about water gifts. We live on the lake so it would be handy.

"It's hard if you don't know what they have at home. I would say water toys of some sort... it's summer and it will keep them outside and doing something active at least. I suppose you could do the gift certificate thing if you are mailing the gifts... somewhere like walmart would be good so they could pick out what they want."
(chosen answer)

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