Accell Group profit up by 15% in 2009

Number of pages: 11 PRESS RELEASE Accell Group profit up by 15% in 2009 Heerenveen (the Netherlands), 26 February 2010 - Accell Group N.V. booked a further rise in turnover and profit in 2009. Turnover increased by 6% to 572.6 million (2008: 538.0 million), with 5% of this organic growth. Net profit was up by 15% at 32.7 million (2008: 28.6 million). This resulted in a 12% rise in net earnings per share to 3.30 (2008: 2.95). René Takens, Chairman of the Board of Directors of Accell Group: Accell Group had another good year in 2009, due in part to turnover growth in Germany and France. Our distinctive power in innovation and contemporary design were once again success factors. Electrical bikes, sports bikes and bikes for special target groups sold especially well. The market was more dynamic than in previous years. There were more shifts in the market, to which we had to respond quickly and effectively. This placed greater demands on our organisation s ability to adjust, but also contributed to the growth of our results. Health, environmental awareness, mobility and active recreation are and will remain important trends that stimulate consumer demand for our products. In the coming years, the use of bicycles for recreation and sports and as alternatives to the car will further increase in popularity. Based on this, we expect a further increase in turnover and result in 2010, barring unforeseen circumstances. Earnings per share and dividend Earnings per share on the basis of the average number of outstanding shares came in at 3.30 in 2009. This is an increase of 12% compared with the reported earnings per share of 2.95 in 2008. Accell Group will propose to shareholders the payment of a dividend of 1.58 per share (2008: 1.42), with the option of a payment in cash or shares. This is equivalent to a pay-out ratio of 48% (2008: 48%) and is therefore in line with Accell s dividend policy and unchanged from previous years. On the basis of the closing price of 2009 ( 29.17) the dividend yield amounts to 5.4%. Important developments in 2009 The demand for bicycles and bicycle parts & accessories was generally positive in 2009, although the market was more dynamic and subject to more shifts. On the other hand, the demand of fitness equipment was weak, due to the economic downturn, particularly in the first half of the year. Turnover specification (amounts x million) Geographical Per product group The Netherlands 236.7 Bicycles 433.5 Germany 142.2 Parts and accessories 109.0 France 57.5 Fitness 30.1 Other EU countries 90.6 Other countries 45.6 Total 572.6 Total 572.6 1

Bicycles / bicycle parts & accessories The segment bicycles / bicycle parts & accessories saw a 9% increase in turnover to 543.0 million (2008: 498.6 million). These activities therefore accounted for around 95% of Accell Group s total turnover. The demand for electric bicycles, mountain bikes and bicycles for special target groups in the middle and higher segment was strong, while bicycles without special innovations or contemporary design, such as traditional city bikes saw lower sales than in 2008. Turnover from electric bicycles accounts by now for more than 25% of turnover from bicycle sales. Turnover in bicycle parts & accessories also increased further. The number of bicycles sold rose to 986,000, compared with 974,000 in 2008, and the average price of all bicycles sold increased to 439 (2008: 415). The change in the sales mix and the increase in the sales of electric bikes and more expensive mountain bikes had a significant impact on the rise in the average price. The segment profit rose by 5% to 61.6 million (2008: 58.6 million). Bicycle markets last year saw more shifts in the types of bicycles sold. As a result, the initially higher order books (particularly for the Netherlands) did not transform directly into similarly higher seasonal turnover levels. On the other hand, turnover levels in Germany and France grew faster than could be assumed on the basis of the order books at the beginning of the bicycle season. The predictability of consumer demand has clearly decreased in 2009, which makes dealers more reluctant to place orders well in advance and more cautious with regard to building up inventories in the winter period. This effect is strengthened by more limited financing options for dealers. Responsibilities for inventory build up and improved availability of bicycles throughout the season, have been left more to the suppliers. Due to these developments it is expected that orders for direct delivery in the high season will increase, while the pre orders (the current order book) have slightly decreased. The second quarter was the centre of gravity of deliveries with regard to the sale of electric bicycles in 2009. This was unlike 2008, when many electric bicycles had to be delivered during the summer months. The Netherlands saw a slight increase in turnover. Demand for electric bikes and bicycles for special target groups was again sound. The sale of traditional bikes in the mid segment and bicycles for children decreased. Accell Group again expanded its range of electric bikes, adding new models and other systems to make the company active at all relevant price levels. Turnover in bicycle parts & accessories was also higher, due to the increase in maintenance of and updates to existing bicycles, when customers postponed the purchase of a new bicycle. Germany saw an increase in the sales of sports bicycles and mountain bicycles, including Hai Bike and Ghost. There was also a strong rise in the sale of electric bikes. Germany is something of a trendsetter in green thinking in Europe, not just at the consumer level, but also at local and national government level. The bicycle industry has profited from this. It is clear that despite economic developments consumers seem prepared to invest in quality when buying a bicycle. The sale of bicycle parts & accessories also increased further in Germany, partly as a result of the rise in sales of Accell Group s own XLC products. In France, Accell Group had another good year with its international top brand Lapierre. Turnover was up due to the increased sales of both racing bicycles and mountain bikes in Lapierre s home market. As in most other countries, France also saw an increase in the sales of bicycle parts & accessories, including XLC. Last year also saw the launch of a number of new models of Lapierre branded city bicycles and electric bicycles on the French market. 2

Accell Group further strengthened its position on the Scandinavian market with the acquisition of Hellberg. The integration of Tunturi and Hellberg in one organisation is virtually complete. The costs of the integration were largely taken in 2009. The Finnish market was relatively badly affected by the economic downturn in 2009. Especially in the summer months, sales to consumers stagnated. Turnover from parts & accessories rose slightly. Exports of mainly sports bikes and mountain bikes to Spain, Austria and Switzerland increased. Turnover in Belgium (incl. Brasseur) showed a rising line, both in bicycles and in parts & accessories. In 2009, Brasseur became the distributor of Ghost and Redline bicycles for Belgium and Luxembourg. Due to the impact of the economic developments in North America, Seattle Bike Supply (SBS) saw its bicycle turnover drop in the United States. Turnover of bicycle parts & accessories remained stable. Fitness Turnover in the fitness segment fell to 29.7 million in the past year, from 39.9 million in 2008. These activities accounted for around 5% of total Accell Group turnover. The segment result from the fitness segment dropped to -/- 2.5 million in 2009, from -/- 0.7 million in 2008. Fitness equipment sales dropped in virtually all markets in 2009. The economic conditions caused a reduction in the amount of fitness equipment consumers bought for home use. The turnover drop in the fitness segment was partly due to the postponement or cancelling of deliveries to some international distributors, due to more limited financing options. The effects of this were particularly visible in the first half of 2009. In the past year, the fitness organisation has been adapted to the lower turnover level, and further cost savings have been realised. In 2010, Accell Group will further adapt the organisation, as well as introduce fitness equipment for the professional market, thus broadening the basis of the fitness activities. Distributors in a number of new countries will also be appointed. In addition to turnover and profit development, considerable attention in the fitness segment was devoted to the sharp reduction of the working capital, which reduced inventory and credit positions. As a result, also the fitness segment recorded a positive cash flow in 2009. All strategic options will be reassessed as soon as the fitness market stabilises. Key financial developments in 2009 Total turnover in 2009 was up 6% at 572.6 million, of which 5% was organic. The remainder of the turnover growth (1%) was due to the acquisition of Ghost and Hellberg, which were included in the consolidation as of end-february 2008 and as of end-june 2009, respectively. The added value (net turnover minus materials costs and inbound transport costs) as a percentage of turnover was 36%, compared with 37% in 2008. This change was due to a shift in the types of products sold, a higher level of outsourcing, lower inbound transport costs and higher discounts at the end of the season. Accell Group opted for greater availability and therefore larger inventories during the season to maximise turnover opportunities. This resulted in extra discounts in the second half of the year in order to sell the remaining stocks. Absolute added value was up 3% to 205.6 million, from 199.0 million in 2008. Since most agreements with suppliers are based on prices for the season, changes in the prices of raw materials and parts during the season have a minor impact. 3

Operating costs as a percentage of turnover fell to 27%, from 28% in 2008. This drop can be attributed to both relatively lower personnel costs and relatively lower other operating costs. Marketing costs were between 3% and 4% of turnover in 2009, unchanged from the previous year. The operating result (EBIT) was 49.9 million (2008: 46.2 million). Expressed as a percentage of turnover (operating margin), the operating result was 8.7%, compared with 8.6% in 2008. Interest expenses were down 8% due to lower interest rates. Taxes were unchanged from last year at 11.8 million, with the average tax burden down to 26.5%, from 29.3% in 2008. The increase in operating activities and the acquisition of Hellberg led to an increase in the balance sheet total to 337.3 million, from 335.4 million in 2008. The total working capital was 168.9 million (2008: 158.2 million). Related to the turnover, the working capital was 29.5% (2008: 29.4%). Acquisitions accounted for 2.6 million of this. In organic terms, inventories fell by 3%, while turnover increased by 5% organically. Inventories were also affected by an average increase in the production costs of the bicycles and a shift in the types of bicycles sold. In addition, Accell Group is selling a broader range of electric bikes than in 2008, which means a greater range of different parts have to be kept in stock. Receivables showed a limited increase compared to the 2008 financial year. Trade receivables fell as a result of lower order levels compared to the previous year. Working capital excluding the consolidation of acquisitions increased by 3.2 million in absolute terms, compared to a drop of 3.6 million in 2008. Capital employed remained stable at 259.5 million (2008: 259.9 million). The return on capital employed at year-end 2009 was 19.2% (2008: 17.8%). Shareholders equity as per the end of the financial year stood at 151.8 million, compared with 132.1 million in 2008. In addition to the profit earned in 2009, the shareholders equity was affected by the payment of a cash dividend of 8.7 million (2008: 4.6 million) and other changes of around 4.4 million, including the effects of value changes of financial instruments (currency hedges and interest swaps). The solvency ratio at the end of the financial year was 45.0%, from 39.4% in 2008. The sum of loans and bank credit stood at 85.6 million at year-end 2009 (2008: 99.6 million). The financing ratio Net Debt/EBITDA improved to 1.5 (2008: 1.8). The interest coverage ratio was 9.1 in 2009 (2008: 8.1). The operating cash flow before working capital was 42.8 million (2008: 38.8 million). The cash flow from operating activities dropped to 39.3 million, from 42.4 million in 2008. The reduced operating cash flow was largely due to the reduction in trade payables. Developments after the balance sheet date On 6 January 2010, Accell Group announced it had reached agreement on the acquisition of all shares in Bäumker & Co. GmbH ( Bäumker ), a trading firm in bicycles, parts & accessories in Germany. Bäumker booked turnover of around 10 million in 2008, with a modest level of profit. Bäumker has been consolidated in the Accell Group results as of 1 January 2010. The acquisition has been completed. Outlook Despite more positive messages towards the end of 2009, it is still difficult to predict the economic developments for 2010. Accell Group s products and services are enjoying high levels of interest among consumers. The continuing trend towards healthy living, more exercise and a cleaner environment ensure that consumers are willing to spend their money on products with a recognisable added value in terms of innovation, comfort, environmental friendliness and safety. 4

Bicycles can make a contribution to the solution for mobility problems in cities and contribute to overall health through recreational use. The popularity of electric bicycles allows more people to use bicycles and use bicycles for commuter traffic. In addition, there is considerable consumer interest in the more expensive mountain bikes, sports bikes, racing bikes and bicycles for special target groups. With its strong brands, Accell Group continues to respond to the continuing demand for products with a high added value. Support for these brands, intensive cooperation with the specialist retail trade and targeted marketing at the points of sale and directed at consumers will continue to be focal points in 2010. Since the brands operate close to their markets and are capable of producing small series, Accell Group is able to respond relatively quickly to consumer demands. In 2010, Accell Group will continue to focus on realising further synergy benefits by optimising production and logistics processes and further boosting cooperation between the companies within the group. Increases in scale remain important to reap the benefits in purchasing, production, development and marketing. In addition to organic growth, Accell Group may realise growth via acquisitions. Accell Group will continue to actively seek out possible acquisitions which fit into the profile and brand portfolio of the group. The conditions for such remain unchanged. Acquisitions must be complementary and add value to the group in terms of returns and synergies in the short term. Outlook Accell Group is convinced that bicycle use will increase in the coming years. Sustainability trends will continue to boost bicycle sales. On that basis, the company expects a further increase in turnover and result in 2010, barring unforeseen circumstances. / / / / / / / Profile Accell Group Accell Group is active internationally in the mid-range and higher segments of the market for bicycles, bicycle parts & accessories and fitness equipment. The group is market leader in Europe in the bicycle market. The market approach is based on the key concepts quality, innovation and recognisable added value. For consumers this means a broad and strong portfolio of brands, including international top brands and well-known national brands, often with a long history. Accell Group operates close to the market and largely because of its high added value and numerous innovations, sells primarily via the specialist retail trade. Accell Group s best known brands are Batavus, Bremshey, Ghost, Hai Bike, Hercules, Koga-Miyata, Lapierre, Loekie, Redline, Sparta, Staiger, Tunturi, Winora and XLC. The company has production facilities in the Netherlands, Germany, France and Hungary. Accell Group shares are traded on the official market of the NYSE Euronext in Amsterdam and included in the Amsterdam Small Cap Index (AScX). Accell Group recorded turnover of 572.6 million in 2009, compared with 538.0 million in 2008, and net profit of 32.7 million, compared with 28.6 million in 2008. Turnover is distributed across the company s keys markets as follows: the Netherlands 41%, Germany 25% and France 10%. Other EU countries, including Belgium, Denmark, Finland, Austria, Spain and the United Kingdom, account for 17% of turnover. The remaining 7% of turnover comes from countries outside the EU, including the US and Canada. 5

Financial agenda 2010 Publication of annual report 2009 31 March 2010 Publication trading update 22 April 2010 Annual General Meeting of shareholders 22 April 2010 Ex-dividend 26 April 2010 Determination of stock dividend exchange rate 17 May 2010 Payment of dividend 19 May 2010 Publication of half year results 2010 23 July 2010 Publication trading update 16 November 2010 For further information: Accell Group N.V. René Takens, chairman of the Board (CEO) tel: (+31) 0513-638701 Hielke Sybesma, member of the Board (CFO) tel: +(31) 0513-638702 Website: www.accell-group.com Press conference Today, 26 February 2010 - Okura Hotel, Amsterdam (Ballroom I), reception: 9.30 am; start 10.00 am Analysts meeting Today, 26 February 2010 - Okura Hotel, Amsterdam (Ballroom I), reception: 12.00 noon; start 12.30 pm Annexes - Condensed consolidated profit and loss account as at 31-12-2009 and data per share - Condensed consolidated balance sheet as at 31-12-2009 - Condensed consolidated cash flow statement as at 31-12-2009 - Condensed consolidated statement of changes in equity as at 31-12-2009 - Explanatory notes 6

CONDENSED CONSOLIDATED PROFIT AND LOSS ACCOUNT (amounts in * 1.,000) 2009 2008 Net turnover 572,573 538,035 Cost of raw materials and auxiliary materials (366,946) (339,005) Staff costs (73,528) (71,540) Depreciations and amortisation (7,401) (9,187) Other operating costs (74,835) (72,147) (522,710) (491,879) Operating profit 49,863 46,156 Result of participations 193 178 Financial income and expenses (5,499) (5,953) Pre-tax profit 44,557 40,381 Taxes (11,817) (11,814) Net profit 32,740 28,567 Earnings per share 1) (amounts in ) Reported earnings per share 3.30 2.95 Weighted average number of outstanding shares 9,928,065 9,671,409 Number of outstanding shares at year-end 10,017,084 9,778,172 ¹) Earnings per share is calculated based upon the weighted average number of outstanding shares. 7

CONDENSED CONSOLIDATED BALANCE SHEET (amounts in * 1,000) ASSETS 31 December 2009 31 December 2008 Fixed assets Tangible fixed assets 61,219 61,329 Intangible fixed assets 42,382 39,611 Financial fixed assets 10,085 9,289 Current assets Inventories 137,835 136,050 Receivables 84,932 88,501 Liquid assets 849 640 TOTAL 337,302 335,420 LIABILITIES Group equity 151,756 132,123 Provisions 1) 33,137 31,291 Long-term debts 59,836 65,716 Bank credit 25,812 33,926 Other short-term debts 66,761 72,364 TOTAL 337,302 335,420 1) The short term portion of the provisions amounts to 11,013 and 3,155 in 2009 and 2008 respectively. 8

CONDENSED CONSOLIDATED CASH FLOW STATEMENT (amounts in * 1,000) 2009 2008 Cash flow from operations Operating profit 49,863 46,156 Result of participations 193 178 Paid and received interest (5,169) (6,429) Paid corporate tax (11,590) (11,132) Depreciations and amortisation 7,401 9,187 Share-based payments 207 234 Movement in provisions 1,924 590 Cash flow from operations before working capital 42,829 38,784 Movement in working capital (excl. acquisition) (3,518) 3,621 Net cash flow from operations 39,311 42,405 Cash flow from investment activities Movement in fixed assets (7,337) (10,059) Acquisitions subsidiary companies (4,841) (20,179) Net cash flow from investment activities (12,178) (30,238) Free cash flow 1) 27,133 12,167 Cash flow from financing activities Movement in bank loans and bank credit (17,491) (7,525) Dividends (8,711) (4,557) Share- and option-based payments (522) - Net cash flow from financing activities (26,724) (12,082) Net cash flow 409 85 Liquid assets as per 1 January 640 208 Effect of currency exchange liquid assets (200) 347 Liquid assets as per 31 December 849 640 1) The free cash flow is defined as the balance of net cash flows of operating and investment activities. 9

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (amounts in * 1,000) 2009 2008 Balance on 31 December previous year 132,123 107,081 Dividends (8,711) (4,557) Share-based payments 207 234 Other movements (4,603) 798 Net profit current year 32,740 28,567 Balance on 31 December current year 151,756 132,123 10

EXPLANATORY NOTES Principles of valuation and the determination of results Accell Group N.V. s annual accounts for the year 2009 contain an overview of the applied principles for financial reporting. The principles laid out in this overview are in accordance with the standards laid down by the International Accounting Standards Board (IASB) and approved by the European Commission, as applicable on 31 December 2009. The principles have been applied consistently to the periods presented in this press release. Application of new and amended IFRS Accell Group N.V. has applied all the new and amended standards and interpretations applicable to the year under review, which have been laid down by the IASB and approved by the European Commission and which were in force for the period beginning 1 January 2009. The application of the new and amended standards did not result in any change in the reporting standards of Accell Group N.V. in the year 2009. Accell Group N.V. has decided not to apply any new or amended standards which came into force after 31 December 2009 prior to that date. Other The condensed financial statements presented in this press release have not been audited. For the insight required to arrive at a responsible opinion concerning the financial position and the results of Accell Group N.V., this press release should be read in combination with the annual accounts on which it is based. Accell Group N.V. will publish its 2009 annual report no later than on 31 March 2010. The annual accounts 2009 will be submitted to the Annual General Meeting of Shareholders for adoption on 22 April 2010. Disclaimer regarding forward-looking statements * * * * * * This annual report contains forward-looking statements. These forward-looking statements are based on the current insights and assumptions of the management of Accell Group N.V. with respect to known and unknown risks and uncertainties. The forward-looking statements do not pertain to known facts and are subject to risks and uncertainties. The actual results may deviate from said statements as a result of risks and uncertainties relating to the expectations of Accell Group N.V. with respect to factors including assessments of market risk, income and expenditure, cash flow expectations and other developments within the company or, more generally speaking, the economic climate and legal and fiscal developments. Accell Group N.V. accepts no responsibility for the revision of or changes to any information as a result of changes in policy, developments, expectations or the like. 11