Media release Gaydoul Group acquires Fogal Gaydoul Group is taking over Fogal, the premium international brand for stockings, tops, socks and lingerie. The family that owns Fogal, led by Balthasar Meier, has decided to solve its succession planning issues by selling Fogal to the Gaydoul Group. The parties have agreed not to disclose the purchase price. "Buying the small global brand Fogal marks an important expansion of Gaydoul Group's portfolio of holdings. Fogal has great international potential and has a similar positioning in the lifestyle segment to Navyboot, which we already own. Fogal's owner Balthasar Meier and I share a similar approach to business," said Philippe Gaydoul, Chairman of the Board of Directors of the Gaydoul Group at a press conference in Zurich today. The Gaydoul Group has agreed with the family that owns Fogal, led by Balthasar Meier, that it will acquire 100 percent of Fogal AG. Over its 80-year history Fogal has developed from a nylon stockings pioneer into a premium brand for stockings, tops and lingerie. Fogal operates in the uppermost quality segment, and its pricing reflects this. Over the years the brand has built up a very high degree of brand awareness on the international market. Fogal currently sells its products in 22 countries through 23 of its own stores, as well as through first-class partners like Globus, Jelmoli, KaDeWe (Berlin), Harrods and Fenwick (London), Le Bon Marché (Paris) and TSUM (Moscow). Its own shops and stores account for 85% of sales. Geographically, the sales generated by international premium brand Fogal break down as follows: its home market of Switzerland contributes about a third, the USA 15%, Japan 11%, Germany 10%, France 9% and the UK 7%. Outlets in other countries around the world account for the remaining 15%. Fogal's own stores include some in prime locations in New York, London, Paris, Hong Kong and Tokyo. Its product range continues to concentrate mainly on stockings, which account for 58% of sales. Thanks to targeted verticalization, 18% of sales are generated by bodywear, 11% by socks, 8% by lingerie and 5% by various items.

Fogal's owner Balthasar Meier said the following about the transaction: "In the course of my long-term succession planning, the time has come to pass my life's work on to younger hands. This is not easy for me, but Fogal has a very promising future with Philippe Gaydoul and his investment group. This is why Gaydoul Group was chosen from the numerous potential buyers who showed an interest." The development of the Fogal brand continues on four different levels. Firstly, distribution is being expanded. New outlets are being set up nationally and internationally and existing stores are being given a design overhaul. On the wholesale side, more partnerships are being sought with premium department stores in order to establish shop-in-shop concepts. Secondly, the rhythm of releasing two collections a year is being increased to four a year. Thirdly, the organizational structure is being strengthened. Fourthly, communication is being intensified by developing a tangible brand image and brand experience. This package of measures is designed to secure sustainable, profitable growth for Fogal and ensure the company lives up to the strong image of its brand. Like the Navyboot Group, Fogal will be managed as an independent holding under the Gaydoul Group umbrella. Zürich/Bäch, 20 October 2009 Contact: Gaydoul Group and Fogal AG: Jörg Neef Hirzel.Neef.Schmid.Konsulenten AG Tel.: +41 43 344 42 42 E-mail: joerg.neef@konsulenten.ch