DemirDöküm-Heating and Cooling Products

News and Announcements

DEMİRDÖKÜM'S ASSAULT ON CHINA

THE FAREAST TO BE HEATED BY DEMIRDOKUM-CHUNG MEI INDUSTRIES LIMITED

Advancing rapidly on the track of bringing world standard products to the market and identifying her name with heating comfort, DemirDokum has signed yet another partnership deal. Through this partnership, Demirdokum, who made her first export to China in the beginning of 2002, will be producing oil radiators there.

The strategic partnership was signed with "Chung Mei Industries Limited", who is a member of the "Chung Mei International Holdings Limited" group. Koc Holding's "Construction and Tourism Group" Leader Mr. Bulent Bulgurlu, Chung Mei Industries Limited's Chairman Mr. Sebastian Man and Turk DemirDokum Fabrikalari A.S.'s General Manager Mr. Melih Batili were the signatories to this strategic partnership.

Upon the conclusion of the Signatory Ceremony in Koç Holding Headquarters on July 26th, 2002, the work for the production of radiators under the Doka and Demrad brand names by DemirDokum and the Chinese sector leader Chung Mei Industries Limited was officially started.

During his speech in the Signatory Ceremony in Koç Holding, Mr. Bülent Bulgurlu, the Koc Holding Construction and Tourism Group Leader, stated that integration to global markets and thus attract a larger share of the capital flow was vital and essential for companies and nations alike. He further stated that DemirDokum's recent consecutive partnership deals were important steps in the global market, and that China's huge market volume was grabbing the attention of all production companies.

While informing the press on the 45% DemirDokum, 45% Chung Mei Industries Limited, 10% Ram Pacific share distributed new strategic partnership, DemirDokum General Manager Mr. Melih Batılı remarked that the steel radiator facility in Bozuyuk will be transported to China's Dongguan State within 2 months in 44 containers and that production will be initiated by the current year-end.

He further remarked that initially 300 thousand radiators are to be targeted as production goal, but that depending on market conditions capacity could be increased to 2 million 300 thousand radiators. He also made clear that this factory in China is only the start by saying "This is just the beginning for us. We will undertake large investments in Turkey for the radiator and combi products in the coming 5 years, and we will be among the 10 largest firms in the globe for these sectors. We will also transfer our new development products to China".

Chung Mei Industries Limited is the sector leader in the FarEast, and works on an OEM (Original Equipment Manufacturer) basis for international brands such as Philips, Kenwood, Hamilton Beach/Poctor Silex, Black&Decker, Delongi and others. Her chairman MR. Sebastian Man stated: "Competition is tough in China. All the global giants want a share in the Chinese market. We will be striving for success in such a tough market aided by DemirDokum's technology and competitive power".

The new company under the name "DemirDokum-Chung Mei Industries Limited" is expected to generate a revenue of 9 to 10 million USD in her first year.

Chung Mei Industries Limited's chairman Mr. Sebastian Man, on the Signatory Ceremony day, visited DemirDokum's Bozuyuk facilities, Inegol Headquartes and production facilities, travelling via helicopter, and later remarked that he was delighted to see the facilities and the superior technology.