Dorel's Recreational/Leisure segment adds another strong brand with purchase of Iron Horse assets

    EXCHANGES
    TSX: DII.B, DII.A

    MONTREAL, July 15 /CNW Telbec/ - Dorel Industries Inc. (TSX: DII.A,
DII.B;) today announced that it has acquired certain assets of Iron Horse
Bicycles, including inventory, various trademarks and trade names, as well as
the "Iron Horse" brand, in a transaction valued at US$5.2 million. The assets
were acquired in a bankruptcy auction by Iron Horse's secured lender following
that company's decision to suspend operations for financial reasons.
    Iron Horse, marketed throughout North America and internationally, is
best known for its downhill and extreme trail bikes. Founded in 1987 in New
York, Iron Horse Bicycles quickly established themselves as a market force.
They gained their reputation with lightning-quick and superb handling bikes
that placed them on the international racing stage. Iron Horse has carried a
strong roster of professional athletes, including: Dave Cullinan, Kim Sonier,
Penny Davidson, Toby Henderson, Leigh Donovan, "Pistol" Pete Loncarevich and
Sam Hill. In addition to downhill and extreme trail bikes, Iron Horse products
range from mountain bikes, road bikes, and comfort bikes to juvenile bikes and
hybrids.
    Iron Horse has also received numerous accolades, including the 2003
Mountain Biking Magazine's "Bike of the Year" award. The brand is recognized
as one of the best in the industry. Sales in 2008 were US$25 million globally.
    The transaction adds yet another highly recognized name to Dorel's
portfolio. "Adding Iron Horse to our stable of existing world-class bicycle
brands, such as Cannondale, Schwinn, GT and Mongoose, brings depth to our
mountain bike offerings," said Robert Baird, President of Dorel's
Recreational/Leisure segment. "With growing interest in mountain biking and
racing, the addition makes Dorel better suited to reach new retailers and, in
turn, consumers."
    "This latest purchase is in line with the strategic road map we have
developed to build our bicycle business into the leading global bicycle
company," stated Dorel President and CEO, Martin Schwartz. "While their 2008
sales were US$25 million, we are confident we can significantly grow this
number. Iron Horse is another excellent brand that we will be able to leverage
through our vast resources. The purchase price was most favourable and we look
forward to an excellent return on this investment."

    Profile

    Dorel Industries Inc. (TSX: DII.B, DII.A) is a world class juvenile
products and bicycle company. Established in 1962, Dorel creates style and
excitement in equal measure to safety, quality and value. The Company's
lifestyle leadership position is pronounced in both its Juvenile and Bicycle
categories with an array of trend-setting products. Dorel's powerfully branded
products include Safety 1st, Quinny, Cosco, Maxi-Cosi and Bébé Confort in
Juvenile, as well as Cannondale, Schwinn, GT, Mongoose and SUGOI in
Recreational/Leisure. Dorel's Home Furnishings segment markets a wide
assortment of furniture products, both domestically produced and imported.
Dorel is a US$2.2 billion company with 4700 employees, facilities in eighteen
countries, and sales worldwide.

    Caution Concerning Forward-Looking Statements

    Except for historical information provided herein, this press release may
contain information and statements of a forward-looking nature concerning the
future performance of Dorel Industries Inc. These statements are based on
suppositions and uncertainties as well as on management's best possible
evaluation of future events. The business of the Company and these
forward-looking statements are subject to a number of risks and uncertainties
that could cause actual results to differ from expected results. Important
factors which could cause such differences may include, without excluding
other considerations, increases in raw material costs, particularly for key
input factors such as particle board and resins; increases in ocean freight
container costs; failure of new products to meet demand expectations; changes
to the Company's effective income tax rate as a result of changes in the
anticipated geographic mix of revenues; the impact of price pressures exerted
by competitors, and settlements for product liability cases which exceed the
Company's insurance coverage limits. A description of the above mentioned
items and certain additional risk factors are discussed in the Company's
Annual MD&A and Annual Information Form, filed with the securities regulatory
authorities. The risk factors outlined in the previously mentioned documents
are specifically incorporated herein by reference. The Company's business,
financial condition, or operating results could be materially adversely
affected if any of these risks and uncertainties were to materialize. Given
these risks and uncertainties, investors should not place undue reliance on
forward-looking statements as a prediction of actual results.

For further information: MaisonBrison, Rick Leckner, [phone];
Dorel Industries Inc., Jeffrey Schwartz, [phone]