| Partnership to increase global competitiveness, expand international distribution channels for both companies |
Arctic Cat Inc. , manufacturer of all-terrain vehicles (ATVs) and snowmobiles sold under the Arctic Cat(R) brand name, and Piaggio Group, one of the world's top manufacturers of two-wheel motor vehicles sold under the Aprilia(R), Moto Guzzi(R), Derbi(R), Piaggio(R), Vespa(R) and Gilera(R) brand names, today announced the execution of a letter of intent designed to expand and strengthen their respective distribution in Europe and North America, and potentially lead to other areas of future collaboration, such as product development and manufacturing.
Arctic Cat and the Piaggio Group are two leading companies operating in the power sport and light transportation industries, with complementary assets and capabilities. Initially, Arctic Cat and Piaggio will cooperate on product distribution, with both sharing access to their respective dealers in North America and in Europe. Arctic Cat will be able to sell its ATV products through selected Piaggio Group dealers in Europe, and the Piaggio Group will sell its motorcycles and motor scooters through selected Arctic Cat North American dealers.
"We're excited about the potential of this strategic partnership to extend our international distribution capabilities and open new channels for growth," said Christopher Twomey, chairman and chief executive officer of Arctic Cat. "We anticipate that this agreement will enhance the competitive positions of both companies internationally, providing tangible benefits to our customers, dealers and shareholders."
"The Piaggio Group is currently pursuing a number of initiatives to further strengthen its global presence, particularly in North America. Within this context, we are very pleased to announce this new partnership with Arctic Cat," said Piaggio Group's CEO Rocco Sabelli.
Today, the two companies are presenting this new initiative to their respective dealers gathered in Yellowstone, Montana, for Arctic Cat, and Montecarlo, France, for the Piaggio Group.
Piaggio & C. S.p.A.
Established in 1884 by Rinaldo Piaggio and based in Pontedera (Pisa, Italy), the Piaggio Group is one of the world's top manufacturers of two-wheel motor vehicles. With over 6,000 employees in 50 countries, the Piaggio Group has a consolidated leadership in the European 2-wheeler market. Its production includes scooters, motorcycles and mopeds in the 50cc to over 1,000cc displacement range, marketed under the Piaggio, Vespa, Gilera, Derbi, Aprilia, Moto Guzzi and Scarabeo brands. The Piaggio Group is controlled by Immsi S.p.A., an industrial and services holding listed on the Milan Stock Exchange, and is headed by Chairman Roberto Colaninno and Chief Executive Officer Rocco Sabelli.
Across its more than 120-year history, the company has been active in almost every area of transport including: naval fittings; the construction of locomotives and rolling stock; engines for the aeronautics sector; seaplanes; and civil and military aircraft. Since the introduction of the Vespa scooter in 1946, Piaggio has led the way in meeting the growing demand for personal mobility. A universally recognized symbol of Italian style, Vespa is an outstanding success story with more than 16 million scooters produced to date. For more information, visit www.piaggio.com.
About Arctic Cat
Arctic Cat Inc. designs, engineers, manufactures and markets all-terrain vehicles (ATVs) and snowmobiles under the Arctic Cat(R) brand name, as well as related parts, garments and accessories. The company's stock is traded on the Nasdaq National Market under the symbol ACAT. For more information, please visit Arctic Cat's Web site at www.arcticcat.com.