Dorel to Buy Wood Crib Manufacturer - New Unit Will Build on Cosco Strengths.MONTREAL--(BUSINESS WIRE)--Aug. 26, 1998--(NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :DIIBF) (ME:DII DII Dynamic Invocation Interface (CORBA client-side API) DII Defense Information Infrastructure DII Diablo 2 (role-playing game) DII Defence Information Infrastructure .A.) (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :DII.A.) (ME:DII.B.) (TSE:DII.B.) Dorel Industries Inc. (NASDAQ: DIIBF)has further solidified its position in the juvenile industry with the signing of an agreement to acquire a U.S. wood crib and dresser manufacturer, Okla Homer Smith of Fort Smith, Arkansas Fort Smith is a city that lies on the Arkansas-Oklahoma state border, situated at the junction of the Arkansas and Poteau Rivers, also known as Belle Point. The city began as a western frontier military post in 1817 and would later become well-known for its role in the settling of . During its most recent fiscal year, Okla Homer Smith posted sales of approximately $30.8 million (U.S.$20 million). Dorel is paying approximately $11.2 million (U.S.$7.25 million) for the assets and certain liabilities of the company. The deal is scheduled to close August 31. Operations of the 60 year old company will be integrated into Dorel's main juvenile division, Cosco Inc. Cosco is currently North America's leading manufacturer of metal cribs. Okla Homer Smith's manufacturing facilities for both its lines of wood products and mattresses will remain in Fort Smith. Dorel President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , Martin Schwartz said the purchase is an excellent fit. "Thiswill not only compliment our existing strong crib business, but will allow us to apply our vast expertise in the wood panel business to benefit this new unit. We are also confident that we can improve factory efficiencies at Okla Homer Smith and realize savings in all areas of purchasing. The company is currently profitable and we believe we can increase that profitability." "We have been looking for Looking for In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with. some time at the wood nursery furniture area as a logical extension of our popular line of metal cribs," stated Nick Costides, Cosco President. "This provides another important avenue for expansion and allows us to move into the large wood furniture category. While Okla Homer Smith now sells to a number of major retailers, there will be many more opportunities, thanks to Dorel's vast distribution channels. As an example, we will target specialty stores, an area they have not addressed in the past several years." This communique contains forward-looking statements that involve risks and uncertainties. Actual results may be materially different from those contained in such forward-looking statements. Additional information concerning factors that could cause actual results to materially differ from those in the forward-looking statements is contained in the Company's filings with the U.S. Securities and Exchange Commission. Dorel is a rapidly growing, consumer products manufacturer specializing in three product areas: ready-to-assemble (RTA RTA renal tubular acidosis. RTA Renal tubular acidosis, see there ) furniture, juvenile products and home furnishings. Dorel's product offerings include a wide variety of RTA furniture for home and office use; juvenile products such as infant car seats, strollers, high chairs, toddler beds and cribs; and home furnishings such as metal folding chairs, tables, bunk beds, futons and step stools. Dorel employs more than 3,400 people in nine countries. Major North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. facilities are located in Montreal, Quebec; Cornwall, Ontario; Columbus, Indiana; Wright City, Missouri Wright City is a city in Warren County, Missouri, USA. It is located on Interstate 70 at mile marker 200 approximately 50 miles west of downtown St. Louis. Wright City is a small, semi-rural community area with primarily single-family housing, with some multi-family dwellings. ; Tiffin, Ohio; Dowagiac, Michigan; Cartersville, Georgia; and San Diego, California “San Diego” redirects here. For other uses, see San Diego (disambiguation). San Diego is a coastal Southern California city located in the southwestern corner of the continental United States. As of 2006, the city has a population of 1,256,951. . The Company's major subsidiary in the United States is Cosco, Inc. European operations are carried out through Maxi-Miliaan B.V. in the Netherlands and Dorel (U.K.) Ltd. in the United Kingdom.
CONTACT: Maison Brison
Rick Leckner, 514/731-0000
or
Dorel Industries Inc.
Jeffrey Schwartz, 514/323-5701
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