Dorel Incorporates PTI Sports

MONTREAL, Canada – Dorel Industries, parent company of Pacific Cycle and Cannondale, has acquired PTI Sports. The purchase is in line with Dorel’s strategy to aggressively grow its bicycle and juvenile businesses. Dorel Industries paid US$ 28.1 million. PTI recorded sales of US$ 65 million and an adjusted EBITDA of US$ 5 million in the 2007 fiscal year.

Established in 1991, PTI Sports has widespread distribution at mass and sporting goods retailers throughout North America, including category manager positions and exclusive agreements with a number of its customers. The company will be integrated into the Pacific Cycle division within Dorel’s Recreational/Leisure segment.

PTI has a strong brand portfolio, with licenses as Schwinn, Mongoose, Disney, Nickelodeon, Mattel (Polly) Master Lock and The Discovery Channel. PTI claims to be the number two North American player in the bicycle helmet market. Pacific Cycle and PTI Sports began its relationship in 2002 with a license agreement to bring Schwinn and Mongoose branded bicycle parts and accessories to market.

“This transaction will have little impact on our IBD business. PTI fits perfectly with Pacific Cycle, our mass merchant division, and we can now go to the major chains and offer integrated buying with both bicycles and bike accessories”, said Dorel President and CEO, Martin Schwartz.