PRESSNEWS

ASKO APPLIANCES GROUP, AUGUST 2010

STRATEGIC ACQUISITION WITHIN LARGE HOUSEHOLD APPLIANCES New owner of Asko Appliances: Gorenje Group,

Gorenje Group, Slovenia, buys Asko Appliances CEO of Asko Appliances Group, Mr Staffan Billinger, Group, Sweden. This is a strategic acqusition for sees new future possibilities. Gorenje, today a leading company in Europe within – With Gorenje Group as the new owner we large household products. get the fi nancial stability we have been missing, now Asko, formerly owned by Antonio Merloni Group, we can really focus on developing the ASKO brand Italy, is a high positioned brand and as such an ideal and business. This time we really believe in market choice for Gorenje, complementing the acqusition synergies as well as product sourcing possibilities of Mora Moravia in 2004 and Atag in 2008. for both parties. The Gorenje Group of today comprises seven Gorenje CEO Mr Franjo Bobinac is pleased with brands, offers complete product concepts and has this strategic match. representation in 70 countries, mainly in Europe. – The acqusition of Asko is a historical milestone Asko Appliances will contribute with its main mar- for Gorenje. It represents the completion of kets in the , Australia and the U.S. our brand portfolio, adding these high positioned and with supplementary production within laundry brands, and it enables strengthening the Gorenje and dishwashers. position in key markets. It is particularly important Several important synergies are achieved that R&D and production of dishwashers in Asko for both companies by the acqusition. For Asko complete our own production. Appliances Group the new ownership also offers stability and a long-term plan.

MORE INFORMATION New strategic step for Gorenje Group. Slovenian Gorenje Group is an experienced and strongly market oriented player. PAGE 2

Asko Appliances – complete concepts and world wide distribution. Scandinavian design, innovation and smart concepts are key factors giving international awards. PAGE 3

Gorenje + ASKO. Smart alliance with new market possibilities. Important advantages are achieved, with the possibility of a faster growth for both companies. PAGE 4 2 ASKOPRESSNEWS PRESS NEWS FROM ASKO APPLIANCES GROUP, SWEDEN AUGUST 2010 New strategic step for Gorenje Group

Gorenje Group is a well-known and experienced player Gorenje Group is strongly market oriented and has on the global market of large household appliances, with reached international market recognition in a relatively a variety of well positioned, strong brands making the short period of time. It is also one of few Slovenian product range complete. Company history reaches back companies that are activity-oriented towards the end 60 years and today Gorenje Group is represented in 70 consumer. As of today, Gorenje sells 85% under own countries worldwide with Eastern Europe and EU as brand names and has an export rate of 95%. By cove- main markets. ring different segments and all price classes, Gorenje The Gorenje organization is divided in three divisions has managed to preserve or even strengthen market – household appliances division, core division with own shares during recent period of recession. production of all product categories except dishwashers, By the 2008 acqusition of ATAG Europe BV, Gorenje home interior division with manufacturing and sale of Group strengthened its market position in western kitchen and bathroom furnishings, and ecology, energy Europe and added prestigeous brandnames to the and service division. group – ATAG, Pelgrim and Etna. With ATAG came a In past years, the company has been strengthening its supplementary program and a strong position in the activities in the segments of environmental protection Benelux countries, with a market share of 30% in the – where it is employing skills and forty years of expe- Netherlands and 10% in Belgium. rience – as wall as energy management and services. New business opportunities have been identifi ed in various areas having a higher potential growth than the core activity. For almost half a century, Gorenje has been expanding international sales network on all continents.

Germany

France

Italy

Slovenia, Velenje

IN SHORT

GORENJE GROUP – FACTS AND FIGURES SLOVENIA • Gorenje Group is situated in Slovenia, head offi ce in Velenje • Population approx. 2,053,000 (2009) • Organisation with parent company and over 90 companies • Capital and largest city is Ljubljana • Core business is large household appliances, production and sales • Parliamentary republic, president Danilo Türk • Brands are Gorenje, Sidex, Körting, Mora, ATAG, Pelgrim and Etna • Independence from Yugoslavia recognised 1991 • 85% of product range sold under own brand names • EU accession May 2004 • Representation in 70 countries worldwide, export rate of 95% • Currency Euro • 62% of total sales is within the EU, 34% within Eastern Europe (2009) • European market share of 4% • Average number of employees 10,900 (2009) FOR MORE INFORMATION ABOUT GORENJE • Turnover: 1186 million Euro (2009) GROUP, PLEASE VISIT www.gorenjegroup.com

3 ASKOPRESSNEWS PRESS NEWS FROM ASKO APPLIANCES GROUP, SWEDEN AUGUST 2010 Asko Appliances – complete concepts and worldwide distribution

Asko Appliances Group is a Scandinavian based com- professional products for the semi commercial market. pany with manufacturing and sales of large household This is a growing business area with high potentials. appliances for mainly the upper market segments. Main markets for Asko Appliances are the Nordic Headquarter and brand center is situated in Vara, countries, North America and Australia. The group has Sweden. Production units are situated in Vara, Sweden sales companies of its own in all major markets, such and Lahti, . Brands are ASKO, positioned in the as Nordic countries, with distribution through all major high-end segment, and UPO in the mid-end. retailers. Asko Appliances North America covers the Company history dates back to 1950, when produc- U.S. and Canadian markets with sales and services since tion started in Vara with the fi rst washing machine. 20 years, modern head-quarter of today is situated in Production of household appliances in Finland started Dallas, Texas. in the 1930´s. Since then ASKO has grown to an inter- In Australia, Asko Appliances dates back 30 years and national brand with a full line of high performance pro- has distribution covering the continent with modern ducts. Own production comprises dishwashers, washing showrooms in Melbourne, Sydney, Brisbane, Adalaide machines and tumble dryers in Swedish production unit and Perth. Sales and marketing, distribution and after and cookers, ovens and cold irons in Finnish unit. sales organisations are key factors for Gorenje in the Dishwashers is the leading product category, washing startegic choice of Asko Appliances Group. machines comes second to be followed in order by Asko places strong focus on Scandinavian design. The cooking, tumble dryers and cooling. The product range is ASKO brand has gained special recognition for design, widened by fridges and freezers and today Asko offers innovation, low energy-consumption products and has complete concepts for kitchen and laundry concepts been awarded several internationally recognised awards. The ASKO brand also comprises a niche range of

IN SHORT

ASKO APPLIANCES GROUP – FACTS AND FIGURES • Head offi ce and brand center in Vara, Sweden • Representation in 25 markets worldwide • Brands are ASKO and UPO • Main markets are Nordic countries (55%), • Offers full product range with Asko Laundry Concept North America (28%) and Australia (15%) and Asko Kitchen Concept • Own sales companies in all major markets • Production of washing machines, tumble dryers and dish- • Average number of employees 850 (2009) washers in Vara, Sweden and electric cookers, built-in ovens • Own production volume 300 000 pcs (2009) and cold irons in Lahti, Finland • Turnover: 164 million Euro (2009)

FOR MORE INFORMATION ABOUT ASKO APPLIANCES GROUP, PLEASE VISIT www.asko.com 4 ASKOPRESSNEWS PRESS NEWS FROM ASKO APPLIANCES GROUP, SWEDEN AUGUST 2010 Gorenje + ASKO Smart alliance with new market possibilities

Acquiring Asko Appliances Group is another important R&D and production of dishwashers in Asko complete step for Gorenje, after the 2008 acqusition of ATAG our own production. Gorenje is thus realising its strate- Group, NL, in order to enter new markets and add high gic plan and has assumed its active role in the consolida- end brands. By the new acqusition of ASKO, Gorenje tion processes in the industry of household appliances. gains another prestigeous brand for the group. Between Gorenje and Asko we see numerous synergies Of great value for Gorenje is the new or strengthe- also in sales and marketing, product management and ned presence in several markets. ASKO brings establis- procurement. hed organisations, from marketing and distribution to With the new ownership, Mr Staffan Billinger, CEO of after sales, in Australia, North America and the Nordic Asko Appliances Group, recognises future possibilities. countries. A broadened product range within wet appli- – Being a member of the Gorenje Group is a con- ances is another advantage. cept with many advantages. New markets, distribution Important synergies are achieved for both Gorenje channels and a widened product range are of course and Asko regarding sales and marketing, R&D, product positive aspects for Asko Appliances, just as for Gorenje. management, procurement and production, with the Very important for Asko is also a solid ownership with possibility of a faster growth for both companies. a long-term focus and a strategic vision. I regard Asko Gorenje CEO Mr Franjo Bobinac, is pleased to close Appliances and Gorenje Group as a winning combina- the deal that brings ASKO and UPO to the Gorenje family. tion with many positive impacts on both our businesses – We welcome these high positioned brands and he- and look foreward to the future development of the reby broadened brand portfolio. It is also important that ASKO brand under the ownership of Gorenje.

ASKO APPLIANCES GROUP GORENJE GROUP FOR FURTHER QUESTIONS, PLEASE CONTACT FOR FURTHER QUESTIONS, PLEASE CONTACT CEO Staffan Billinger, +46 705 30 61 14 PR Director Ursula Menih Dokl, +386 3899 28 33 www.asko.com [email protected] www.gorenjegroup.com