GORENJE, d.d., Velenje

Gorenje makes breakthrough in the middle east

This week, Gorenje signed an important contract for selling appliances in the Middle East. Jumbo Electronics, the biggest distribution company for white goods, consumer electronics and mobile phones in the region, got the exclusive right to sell Gorenje's household appliances in the United Arab Emirates and Oman. The business deal represents 20 to 25 percent of Gorenje sales in the region, where sales of Gorenje large household appliances total to 6 million euros while sales of small household appliances and ceramic tiles account for a minor additional share.

Mr. Franjo Bobinac, president and CEO of Gorenje: »Middle East is one of the most promising markets for Gorenje. The region includes 15 countries with more than 300 million inhabitants that - with the exception of Yemen and Afghanistan - have above average purchasing power. However, due to constant unrests and different cultural and political context the region is very demanding in regards of making business. And this year, the global economic crisis that has slowed down Gorenje's growth has affected the region as well. Boosted sales in the last months of the year are expected to match this year's performance with the last year's figures. «

The information of this announcement will be available on the official web site of the company Gorenje, d.d., gorenje.com, at least 5 years from the date of the announcement.

Date: 24. 8. 2009