Martin Continues Buying Binge in New Zealand

Auckland, New Zealand, February 6, 2008-- Auckland businessman Rodney Martin is rapidly changing the shape of the New Zealand retail flooring industry.

Over the past three years Martin’s investment vehicle Lincoln Capital Partners has acquired 32 of the 61 Carpet Court stores nationwide. LCP has also purchased a further eight previously independent stores, including this week, a major outlet in Melbourne.

Martin, who is now acquiring independent flooring stores at the rate of one every two weeks, says he will continue his acquisition program until his group controls 50 percent of the New Zealand retail flooring market, generating revenues of $300 million. Currently, his group controls over 30 percent of the market with $185 million in sales.

This week, the Board of Carpet Court approved an initiative by Martin, which will see all 61 of the Carpet Court stores nationwide, together with the eight non Carpet Court stores, operating together as a single group.

Under this initiative, the Carpet Court stores will move away from the co-operative model they have operated under for the past 10 years, to form a full format franchise group.

“Under this new model, all the Carpet Court and non - Carpet Court stores owned by the Carpet Court company, will operate as one very tight group.

“The Carpet Court support center will have the power to control the buying decisions for the group, and as such will be able to improve our buying practices and our group operating efficiencies”.