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Fire at Dorel Brazil Facility

November 19, 2010

Alternative arrangements already being made

EXCHANGES
TSX: DII.B, DII.A

MONTREAL, Nov. 19 /PRNewswire/ – Dorel Industries Inc. (TSX: DII.B;
DII.A) today advises that a Dorel Brazil car seat assembly facility
located in Campos dos Goytacazes, Rio de Janeiro was destroyed by fire
this past Wednesday. There were no injuries. Inventory of mostly raw
materials and some assembly equipment were lost in the blaze.  However
car seat molds, an inventory of finished goods and Dorel Brazil’s offices were not affected as they are located in separate facilities. 
Although damage estimates are not yet available, insurance coverage is
in place.

Dorel Brazil President Rafael Camarano is on-site leading a team which
is assessing the situation and making alternative arrangements to serve
customers.

“We have already started to shift some of the production to another
building and other work will be done at a city-sponsored facility we
work with. Arrangements have been made to identify new warehousing
space. We expect daily progress and anticipate being back to normal by
the end of the year. Brazil is an excellent market for us and we are
putting all of Dorel’s resources to work to fully support our customer
base,” commented Hani Basile, Juvenile Group President and CEO.

Profile
Dorel Industries Inc. (TSX: DII.B, DII.A) is a world class juvenile products and bicycle
company.  Established in 1962, Dorel creates style and excitement in
equal measure to safety, quality and value. The Company’s lifestyle
leadership position is pronounced in both its Juvenile and Bicycle
categories with an array of trend-setting products.  Dorel’s powerfully
branded products include Safety 1(st), Quinny, Cosco, Maxi-Cosi and Bebe Confort in Juvenile, as well as
Cannondale, Schwinn, GT, Mongoose, IronHorse and SUGOI in
Recreational/Leisure.  Dorel’s Home Furnishings segment markets a wide
assortment of furniture products, both domestically produced and
imported.   Dorel is a US$2 billion company with 4500 employees,
facilities in nineteen countries, and sales worldwide. 

Caution Regarding Forward Looking Statements
Certain statements included in this press release may constitute
“forward-looking statements” within the meaning of applicable Canadian
securities legislation.  Except as may be required by Canadian
securities laws, Dorel does not undertake any obligation to update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise. Forward-looking statements, by
their very nature, are subject to numerous risks and uncertainties and
are based on several assumptions which give rise to the possibility
that actual results could differ materially from Dorel’s expectations
expressed in or implied by such forward-looking statements and that the
objectives, plans, strategic priorities and business outlook may not be
achieved. As a result, Dorel cannot guarantee that any forward-looking
statement will materialize. Forward-looking statements are provided in
this press release for the purpose of giving information about
Management’s current expectations and plans and allowing investors and
others to get a better understanding of Dorel’s operating environment.
However, readers are cautioned that it may not be appropriate to use
such forward-looking statements for any other purpose.

Forward-looking statements made in this press release are based on a
number of assumptions that Dorel believed were reasonable on the day it
made the forward-looking statements. Factors that could cause actual
results to differ materially from the Company’s expectations expressed
in or implied by the forward-looking statements include:  general
economic conditions; changes in product costs and supply channel;
foreign currency fluctuations; customer and credit risk including the
concentration of revenues with few customers; costs associated with
product liability; changes in income tax legislation or the
interpretation or application of those rules; the continued ability to
develop products and support brand names; changes in the regulatory
environment; continued access to capital resources and the related
costs of borrowing; changes in assumptions in the valuation of goodwill
and other intangible assets and subject to dividends being declared by
the Board of Directors, there can be no certainty that Dorel’s Dividend
Policy will be maintained. These and other risk factors that could
cause actual results to differ materially from expectations expressed
in or implied by the forward-looking statements are discussed in
Dorel’s annual MD&A and Annual Information Form filed with the
applicable Canadian securities regulatory authorities. The risk factors
outlined in the previously mentioned documents are specifically
incorporated herein by reference.

Dorel cautions readers that the risks described above are not the only
ones that could impact it. Additional risks and uncertainties not
currently known to Dorel or that Dorel currently deems to be immaterial
may also have a material adverse effect on our business, financial
condition or results of operations.  Given these risks and
uncertainties, investors should not place undue reliance on
forward-looking statements as a prediction of actual results.

Except as otherwise indicated, forward-looking statements do not reflect
the potential impact of any non-recurring or other unusual items or of
any dispositions, mergers, acquisitions, other business combinations or
other transactions that may be announced or that may occur after the
date hereof. The financial impact of these transactions and
non-recurring and other unusual items can be complex and depends on the
facts particular to each of them. Dorel therefore cannot describe the
expected impact in a meaningful way or in the same way Dorel presents
known risks affecting the business.

SOURCE DOREL INDUSTRIES INC.


Source: newswire



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