Pfleiderer Says North America Revenues Climb

Neumarkt, Germany, May 8, 2008--Pfleiderer AG, parent of laminate maker Pergo, said revenue grew by 9.4 percent in the first quarter as sales were higher in all segments.

"In the first three months of the current fiscal year, the Pfleiderer Group continued on its growth path despite poorer economic conditions in a number of areas," said Pfleiderer AG's CEO Hans H. Overdiek.

"We generated good revenue growth in all regions and maintained our market-leading position. In spite of disappointing earnings in Poland, we are reiterating our full-year targets,' , commenting on the Company's current business performance.

In North America, Pfleiderer said it bucked the market trend and increased revenues by 9.8 percent to EUR 110.9 million. Overall, the international share of revenues in the Pfleiderer Group increased from 68.1% to 72.2%.

Pfleiderer said it achieved its growth targets in North America. It said that excluding negative exchange rate effects, revenue growth for the region would have reached almost 16 percent.

'We are extremely pleased with business developments in North America," Overdiek said.

"Despite the ongoing difficult market conditions, we achieved our growth targets in full by gaining market share."

In North America, higher marketing and ramp-up costs were incurred in the first quarter for the major order from The Home Depot. As of the second quarter, branches of the home improvement chain in the U.S. will be supplied with the new Pergo Prestige collection.

Over the course of the year, Pfleiderer is expecting a further moderate increase in its business volume and an increase in market share in North America. Optimized cost structures will contribute to a further improvement in the earnings situation for the full year.