Dorel purchases assets of Australian bicycle distributor and creates Cycling Sports Group Australia



    
    New entity will focus strictly on Independent Bike Dealer channel

    EXCHANGES
    TSX: DII.B, DII.A
    

    MONTREAL, Aug. 4 /CNW Telbec/ - Dorel Industries Inc. (TSX: DII.B,
DII.A), today announced it has acquired the assets of Sydney, Australia-based
Gemini Bicycles for US$2.2 million and is creating a new subsidiary to be
known as Cycling Sports Group (CSG) Australia. The new division will unite
Dorel's key Recreational/Leisure brands; Schwinn, Mongoose, Cannondale, GT and
SUGOI under one roof and will be dedicated to the Independent Bike Dealer
(IBD) channel.
    CSG Australia, located in Sydney, will coordinate all sales, marketing,
distribution and customer service to better support its growing network of
dealers in Australia. CSG Australia will evolve in phases; beginning
immediately, the new company will distribute Schwinn and Mongoose, followed by
Cannondale on January 1, 2010 and GT on August 1, 2010.
    "The creation of CSG Australia is in line with our strategy to accelerate
our growth agenda globally and to make our operations there more efficient.
This new organization will be charged with driving growth within our critical
IBD channel by leveraging our excellent portfolio of recognized brands with
leading consumer innovations," stated Robert Baird, president of Dorel's
Recreational/Leisure segment.
    Noel McFarlane, former owner of Gemini has been named Managing Director
of CSG Australia. McFarlane has owned and operated Gemini Bicycles, the
distributor of Mongoose in Australia, for the past 16 years and brings his
extreme passion and experience to Dorel.

    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:

For further information: MaisonBrison: Rick Leckner, (514) 731-0000;
Dorel Industries Inc.: Jeffrey Schwartz, (514) 934-3034

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Dorel Industries Inc.

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