EUROPEAN DIY RETAIL ASSOCIATION. NEWSLETTER Current affairs in the Home Improvement Industry

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1 Having trouble viewing this ? Click here You're receiving this because you requested news from EDRA. Please confirm your continued interest in receiving from us. You may unsubscribe if you no longer wish to receive our s. EUROPEAN DIY RETAIL ASSOCIATION NEWSLETTER Current affairs in the Home Improvement Industry 20 April 2011 Issue 153 Belgium: Record number of Home Improvement Retailers to a9end EDRA- fediyma Global Summit Never before have so many CEOs from Home Improvement Retailers a9ended an industry event. Over 30 CEOs from 25 countries have already registered for the 1st Global DIY Summit 2011, taking place at the Square - Brussels MeeNng Centre in Brussels, Belgium, on 8-9 June, with more anncipated. For any retailers or suppliers interested in internanonal trade and networking this is the event of the year. For more informanon contact the organisers, The Conference Group, on +49 (0) or info@conferencegroup.de. EDRA Turkey: TEKZEN Joins EDRA The Board and Management of EDRA are delighted to announce that TEKZEN, the Turkish home improvement chain, has become a member of EDRA's Global Home Improvement Network (GHIN) with immediate effect. Founded in 1995 under the Ntle of a Turkish- German partnership GÖTZEN as the pioneer in its industry, TEKZEN connnues its acnvines under the Ntle of TEKZEN and with 100% Turkish capital. The company has expanded rapidly and now operates 47 stores and 11 express stores in 27 cines, including five stores in Romania. TEKZEN is the eleventh member of GHIN and brings the total number of EDRA members to 31 represennng a total of 91 home centre companies (excluding parent companies) operanng in 48 countries. EDRA

2 UK: Management change at B&Q B&Q operanons director Martyn Phillips has been promoted to the new role of CEO for B&Q UK and Ireland with immediate effect. He will report to Kingfisher UK and Ireland CEO Euan Sutherland, who previously held the B&Q CEO role but has now taken on addinonal commercial responsibilines across the Kingfisher network, leading him to reorganise his senior team. Mr Phillips has been with Kingfisher for 17 years. Bulgaria: BauMax opens new store Austrian home improvement retailer baumax has opened its fiih store in Pleven, northern Bulgaria. The store has a total sales area of 12,000m 2 with 4,000 m² of drive- in area for building materials. The other branches are located in Burgas, Plovdiv, Sofia and Stara Zagora. Store locanons under construcnon or in planning stages include Dobric, Russe, Varna and Velikovo Tarnova. Russia: 13th K- rauta store Rautakesko will tomorrow open Russia's 13 th K- rauta store, which is the tenth K- rauta in St. Petersburg. The new store is a modern, diversified and service- focused department store providing products for building, renovanon, interior decoranon and gardening, and will sansfy the local demand for services, including more than 30,000 building, interior decoranon and gardening products. The new store has a fl o o r a r e a o f 6, m 2 in addinon to 2,000m 2 of outdoor selling area and will employ over 100 people. Next, Rautakesko plans to expand its operanons in the Moscow area. Two more K- rauta stores are being built in Moscow in the la9er part of the year, and ten more new K- rauta stores are planned to be opened in This comes at the same Nme as news that parent company Kesko Group's building and home improvement trade sales in March were 234.1m, an increase of 15.0%. Kesko CorporaNon USA: New Hawaiian store for Lowe's American home improvement retailer Lowe's will open a 117,000- sq.- i. store in Iwilei, Hawaii, on the island of Oahu this month. The store will be the company's fourth in Hawaii, and second on Oahu. Sweden: BYGGmax competes online Swedish DIY retailer BYGGmax is carrying out a massive expansion of its online shop with the aim of becoming Sweden's leading internet dealer for building materials, kitchens and bathrooms. Among the brands the company is

3 introducing on the Swedish market, with the declared goal of achieving lower prices, is Black Red White, a Polish kitchen supplier that claims to be one of the biggest in Europe,. "We want to drive down the price of building materials, bathrooms and kitchens in Sweden. Today there are many highly priced kitchens and we want to increase compennon by cuqng costs whilst maintaining high quality," says Magnus Agervald, BYGGmax CEO. Russia: New Castorama store The Kingfisher Group has opened a new Castorama store in Moscow bringing its Russian total to 15. The other branches are located in Krasnodar (2), Moscow (2), Nizhny Novgorod, Omsk, Perm, Rostov, Samara, St. Petersburg (2), Togliaq, Ufa, Voronezh. Australia: New stores for Mitre 10 Australian hardware retailer Mitre 10 has expanded its network of more than 420 stores with new outlets in Mooroopna (Victoria), Blacktown (NSW) and Whyalla (SA). UK: Homebase announces 2010 results Homebase- owner Home Retail Group has announced that total sales for the Group declined 2.8% with Argos posnng a total sales decline of 3.5%. Homebase on the other hand saw total sales fall 1.4%. However, the chain closed eight stores in the period. If the sales from this closed space is taken into account Homebase sales only declined 0.3% in like- for- like terms. Poland: Two new stores for PrakWker German PrakNker has opened two new stores in Poland. This brings the PrakNker Group's Polish total to 24, located in Btom, Czeladz, Czestochowa, Gdansk, Grudziaz, Katowice, Kielce, Krakow, Lodz (2), Olsztyn, Opole, Poznan (2), Radom Rybnik Rzeszow, Warsaw (3), and Wroclaw Zabrze. Another opening is planned in autumn in Lublin. Austria: New strategy for baumax Austrian DIY retailer baumax is giving itself a new corporate structure and a new business strategy. The key issue of the reform is the introducnon of some elements of category management. The baumax holding company now has three category groups: garden, home and building/technology,

4 as well as a central buying unit. In addinon to the core target group of tradinonal DIYers, baumax intends to appeal more strongly to small contractors as well. On 1 April Baumax took over "Die Hausprofis", a company that is responsible for carrying out contractor services. San Marino: New Brico IO store in San Marino The Italian group Coop Lombardia has opened a new Brico IO store in the village of Cailungo in the Republic of San Marino. With a sales area of 1,600m 2 the new store offers a range of 30,000 items in construcnon chemicals, hardware, electrical, paint and varnishes, gardening, Nmber, plumbing and tools. Switzerland: Migros Group announces fiscal year results The Swiss Migros Group has announced DIY and garden sales of 318,216m, equanng to a decline of 4.4% over the previous year. The company operates 50 DIY and garden stores with a total sales area of 108,000m². France: Sales decline for Mr. Bricolage The French Mr. Bricolage Group has announced sales of 2.057bn in 2010, represennng a drop of 5.1% over the previous year. The sales for the 446 Mr. Bricolage DIY and gardening markets was 1.703bn (- 3.9%), the 55 Catena DIY local suppliers 71.4m (- 4.3%) and the 153 branches of the sales division Briconautes m (- 0.9%). Abroad, the company currently operate 53 Mr. Bricolage DIY stores with locanons in Andorra (1), Belgium (29), Bulgaria (10), Madagascar (1), Morocco (3), Romania (4), Serbia (1) Spain (2) and Uruguay (2), generanng a total turnover of 192.5m last year. This year, the Mr. Bricolage Group plans to open 24 Mr. Bricolage DIY and gardening markets, three Briconautes stores and establishing a pilot site for a new operanon type L'Entrepot du bricolage. UK: B&Q launches DIY wedding list The BriNsh home improvement chain's new service allows couples to create their own page online, invinng guests to pledge money towards DIY projects, rather than buy giis. The launch follows a report from market research expert Mintel, which reveals that couples are increasingly shunning expensive department stores and gii lists featuring tradinonal dinner and cutlery sets.

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