TSX: DII.B, DII.A
MONTREAL, Oct. 22, 2013 /CNW Telbec/ - Cannondale, a premium brand of
Dorel Industries (TSX: DII.B, DII.A), announced today that it has
acquired the majority ownership of Cannondale Pro Cycling and Brixia
Sports. "This further investment underlines our respect and the value
for the accomplishments of the Cannondale team and recognizes the many
benefits this association has brought to the Cannondale brand," stated
Dorel President and CEO, Martin Schwartz. "Additionally, it comes on
the heels of our acquisition of the Caloi brand in Brazil and our
intention to market Cannondale throughout Latin America."
Cannondale will maintain its focus on bringing the excitement of pro
cycling to fans around the world. It will continue to develop a stable
of young, talented international riders with a flair for winning,
including Peter Sagan, the winner of two consecutive Tour de France
Green Jerseys, as well as rising stars like Moreno Moser, Elia Viviani
and newly crowned U23 World Champion Matej Mohoric, just to name a few.
"2013 has been an amazing year for Cannondale Pro Cycling athletes and
for the awareness of the Cannondale brand," said Bob Baird, CEO,
Cannondale Sports Unlimited. "We're looking forward to this next step
with the team. We're passionate about pro cycling and furthering the
sport with integrity and have a vision of building the most admired pro
cycling team in the peloton. We're confident the team will be extremely
competitive in races all over the world and will continue to create
unparalleled awareness for the Cannondale brand. We have seen an
increase in our market share of Cannondale since beginning this
association and expect this to continue."
Cannondale began a relationship with Brixia Sport in 2007 as the
technical sponsor for the Liquigas Pro Cycling Team. In 2010,
Cannondale became a co-sponsor of the Liquigas-Cannondale Team and
became title sponsor in 2013 with the creation of Cannondale Pro
With this added investment, Dorel remains fully committed to the team.
Discussions with Tinkoff Credit Systems have been terminated.
Since 2007, the team has won three Grand Tours including the Giro
d'Italia in 2007 and 2010 and the Vuelta a Espana in 2010. During that
time, they've also won three Tour de France jerseys, including the 2009
Polka Dot and the 2012 and 2013 Green Jersey along with countless
prestigious individual races. Throughout, the team has ridden the
race-proven line of Cannondale bikes including the SuperSix, Slice,
Slice RS, Synapse and the "Best Bike in the World," the SuperSix EVO.
Dorel Industries Inc. (TSX: DII.B, DII.A) is a world class juvenile products and bicycle
company. 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, Caloi, IronHorse and SUGOI in
Recreational/Leisure. Dorel's Home Furnishings segment markets a wide
assortment of both domestically produced and imported furniture
products, principally within North America. Dorel has annual sales of
US$2.6 billion and employs 6,300 people in facilities located in
twenty-four countries worldwide.
Caution Regarding Forward Looking Statements
Certain statements included in this press release may constitute
"forward-looking statements" within the meaning of applicable Canadian
securities legislation. Except as may be required by Canadian
securities laws, Dorel does not undertake any obligation to update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise. Forward-looking statements, by
their very nature, are subject to numerous risks and uncertainties and
are based on several assumptions which give rise to the possibility
that actual results could differ materially from Dorel's expectations
expressed in or implied by such forward-looking statements and that the
objectives, plans, strategic priorities and business outlook may not be
achieved. As a result, Dorel cannot guarantee that any forward-looking
statement will materialize. Forward-looking statements are provided in
this press release for the purpose of giving information about
Management's current expectations and plans and allowing investors and
others to get a better understanding of Dorel's operating environment.
However, readers are cautioned that it may not be appropriate to use
such forward-looking statements for any other purpose.
Forward-looking statements made in this press release are based on a
number of assumptions that Dorel believed were reasonable on the day it
made the forward-looking statements. Factors that could cause actual
results to differ materially from the Company's expectations expressed
in or implied by the forward-looking statements include: general
economic conditions; changes in product costs and supply channel;
foreign currency fluctuations; customer and credit risk including the
concentration of revenues with few customers; costs associated with
product liability; changes in income tax legislation or the
interpretation or application of those rules; the continued ability to
develop products and support brand names; changes in the regulatory
environment; continued access to capital resources and the related
costs of borrowing; changes in assumptions in the valuation of goodwill
and other intangible assets and subject to dividends being declared by
the Board of Directors, there can be no certainty that Dorel's Dividend
Policy will be maintained. These and other risk factors that could
cause actual results to differ materially from expectations expressed
in or implied by the forward-looking statements are discussed in
Dorel's annual MD&A and Annual Information Form filed with the
applicable Canadian securities regulatory authorities. The risk factors
outlined in the previously mentioned documents are specifically
incorporated herein by reference.
Dorel cautions readers that the risks described above are not the only
ones that could impact it. Additional risks and uncertainties not
currently known to Dorel or that Dorel currently deems to be immaterial
may also have a material adverse effect on our business, financial
condition or results of operations. Given these risks and
uncertainties, investors should not place undue reliance on
forward-looking statements as a prediction of actual results.
Except as otherwise indicated, forward-looking statements do not reflect
the potential impact of any non-recurring or other unusual items or of
any dispositions, mergers, acquisitions, other business combinations or
other transactions that may be announced or that may occur after the
date hereof. The financial impact of these transactions and
non-recurring and other unusual items can be complex and depends on the
facts particular to each of them. Dorel therefore cannot describe the
expected impact in a meaningful way or in the same way Dorel presents
known risks affecting the business.
SOURCE: Dorel Industries Inc.
For further information:
Dorel Industries Inc.