Obi pulls out of China

Obi will be pulling out of China over the coming months. Obi Asia Holding, which bundles the group's activities in China, will devolve to Kingfisher. The transaction will take effect in the second half of the year 2005, provided that consent is obtained from the local government departments. Within the framework of the transaction, Kingfisher will take over all Obi outlets in China as well as the central office in Shanghai. This means the number of Chinese B&Q stores will more than double within the next twelve months, from the current total of 22 to around 50. Obi's sourcing activities in the Far East will not be affected by this transaction. For the future, Germany's number one intends to concentrate its expansion activities on countries in Europe, especially Russia, Poland, Czechia, Italy and Switzerland.