Pergo Settles Lawsuit and Neuhofer Withdraws Molding Product from the U.S. Market

26 November 2005

Neuhofer Holz GmbH, one of Europe's largest manufacturers of molding products, withdraws product from the U.S. market in the face of Pergo patent infringement suit. The legal action pending in District Court in North Carolina, against Neuhofer and its U.S. subsidiary, FN Profile, Inc. will be withdrawn. Pergo has with that reduced the number of litigations pending in the United States.

"We are pleased that competitors are recognizing Pergo's innovations and withdrawing accused products. This is but one of the lawsuits Pergo has brought against infringers of our patent rights. Pergo will continue to enforce its patent rights," says Tony Sturrus, CEO.

The lawsuit was initiated earlier this year when Pergo (Europe) AB and Pergo, Inc. sued Neuhofer Holz GmbH and FN Profile, Inc. in a U.S. district court. Pergo alleged that Neuhofer's product infringed Pergo's pioneering patents protecting, amongst other things, Pergo's revolutionary and innovative SimpleSolutions(TM) Four-in-One Molding product.

Pergo's lawsuit with Faus Group Inc and Industrias Auxiliares Faus S.L. covering the same type of products and the same patents continues as previously announced.

For further information, please contact: CEO Tony Sturrus, tel +46 410 36 31 00, E-mail: tony.sturrus@pergo.com

CFO Staffan Soderqvist, tel +46 410 36 31 00, E-mail: staffan.soderqvist@pergo.com

IR- and Pressduty weekdays, tel +46 70 676 11 57

About Pergo

Pergo is a leading flooring company with leading market positions, particularly in Europe and the USA. Pergo's net sales amount to approximately SEK 2.8 billion and the number of employees is around 700. Pergo developed laminate flooring at the end of the 1970s and launched the product in Europe during the 1980s. The company initiated sales in the US in 1994 and on a smaller scale later in Asia in 1995 and Latin America in 1997. The company's products have been marketed under the PERGO(R) brand since 1989. The company is listed on the Stockholm Stock Exchange's O-list. For further information about Pergo, please visit www.pergo.com.

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CEO Tony Sturrus
+46 410 36 31 00
tony.sturrus@pergo.com