Pergo in discussions to merge with Witex

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Pergo in discussions to merge with Witex Pergo AB and the main shareholder of Witex AG - HW Industries GmbH & Co. KG - have signed a Letter of Intent concerning a merger between Pergo and Witex. Presently Pergo owns a minority share of 25,1% in Witex, while HW Industries owns all the remaining shares. The integration of Pergo and Witex will create a very strong, global laminate flooring group with leading market positions. Witex's know-how in manufacturing combined with Pergo's strengths in marketing and innovation forms a platform for profitability and future growth. The structure of the potential merger is that HW Industries will transfer all of its shares in Witex to Pergo. As payment, Pergo will issue new shares to HW Industries, whereby HW Industries will become a major shareholder in Pergo. The merger is conditional upon i.a. the execution of a binding agreement, customary due diligence, possible antitrust approvals and the approval of the issue in kind at an extraordinary shareholder meeting in Pergo. The parties aim to sign a binding agreement before year-end. Trelleborg, November 12, 2002 Pergo AB Corporate Communication Witex is a German-based laminate flooring company. The company was founded in 1978 and in 1998 HW Industries acquired Witex. Witex has manufacturing plants in Mentakab, Malaysia and Augustdorf, Germany, where also the headquarters for the company are located. The products are sold on a world-wide basis, although its largest individual markets are Germany and the US. Since 2000, Witex has supplied Pergo with direct laminated flooring. Witex had in 2001 a turnover of about 2 BSEK. Pergo is the inventor and world's leading marketer and manufacturer of high- quality laminate flooring. Pergo® was introduced in Europe in the 1980's and is now sold in more than 30 countries throughout the world. Launched in the United States in 1994, Pergo is the market share leader in the laminate flooring category. The Pergo Group, with headquarters in Trelleborg, Sweden has manufacturing facilities in Garner, North Carolina, Trelleborg, Sweden and Perstorp, Sweden. The North American headquarters are in Raleigh, North Carolina. Pergo had in 2001 a turnover of 3,7 BSEK . ------------------------------------------------------------ This information was brought to you by Waymaker The following files are available for download: