ALNO on course for further expansion in China

Pfullendorf, 25 June 2013 – ALNO AG, one of the leading kitchen manufacturers in Germany, is continuing to expand its business in China. ALNO China Holding Limited has formed a new joint venture with the Nature Vanessa Holding Company from Hong Kong: the Wellmann China Company Limited. The newly founded company will attract franchisees who will open kitchen stores in China under the name 'Wellmann'. About 20 stores will be opened in 2013, while the target for mid-2015 is for about 100 new kitchen stores to be launched. ALNO AG is expecting that this will generate a sales volume in the tens of millions.

In November 2012, ALNO AG, one of the first German kitchen manufacturers in China, cooperated with Wonder Treasure Holding to form a joint venture called ALNO China Holding. As is usual in China, ALNO holds a minority stake of 45 per cent. Now, ALNO China together with Nature Vanessa Holding Company have formed Wellmann China Company Limited. This company has been granted the exclusive rights to use ALNO's 'Wellmann' brand in China.

Wellmann China will attract franchisees who will open kitchen studios and flagship stores in China with sizes ranging from 200 to 700 square metres, under the 'Wellmann' name. The preferred locations will be exclusive shopping areas in large cities. The equipment and design of the stores will be specified by ALNO, and must be financed and implemented by the franchisees. About 100 studios are to be opened over the next two years, with about 20 of them launching in 2013. The official presentation of the kitchen stores will take place during the International Building Decoration Fair in Guangzhou (8 to 11 July 2013).

'Never before has there been a partnership on this scale involving a German kitchen manufacturer in China,' says ALNO CEO Max Müller with delight. 'It is the biggest deal to date for ALNO in China, and represents an extremely important building block in our expansion strategy.'

Nature Vanessa Holding Company is a wholly owned subsidiary of the publicly listed China Flooring Holding Company Limited. The company produces and sells floor coverings, and trades in wood and floor coverings. China Flooring employs about 2300 people. Its 'Nature' brand is one of the market leaders in the Chinese floor covering market, and the company operates well above 3000 stores. Its products are drawn from its own production as well as being sourced from established manufacturers. In addition, China Flooring produces and sells wooden doors and wardrobes.

It is only recently that ALNO China reached a partnership deal with the Shun Hing Group, which will in future sell ALNO products exclusively in Hong Kong as well as opening an ALNO flagship store there. The Shun Hing Group has many years of experience in the project business, and is a market leader in air-conditioning technology. With about 1800 employees, the Group sells world-famous brands such as Panasonic or products from Teka Küchentechnik and Küppersbusch.

Following the formation of the joint venture in November 2012 and the establishment of an exclusive sales partnership with the Shin Hing Group in May this year, this new partnership now represents the third important building block in ALNO's expansion strategy in one of the greatest growth markets in the world.

About ALNO AG:

ALNO AG is one of Germany's leading kitchen manufacturers. With four production sites in Germany, the Group provides a full range of kitchens to both the German and international markets. The ALNO Group includes not only the core brand ALNO but also Wellmann (classic/modern), Impuls (minimalist) and Pino (entry-level price segment). The ALNO Group operates in more than 64 countries worldwide through about 6000 sales partners. In the 2012 financial year, the staff of about 1800 generated 446 million euros in revenue.



Jürgen Schulze-Ferebee
Head of Corporate Communications & Investor Relations

Heiligenbergerstrasse 47
88630 Pfullendorf, Germany
Tel.: +49 (0)7552 21 3316
Fax: +49 (0)7552 2177 3316