HISTORY THE GROUP

Calzedonia was founded in 1986 close to Verona, in Vallese di Oppeano , with the aim to create a new way of selling hosiery and beachwear for women, men and children, through a franchising sales network. Little more than twenty years later, the Calzedonia network boasts more than 1.650 shops throughout the world: Italy, Austria, Cyprus, Croatia, Czech Republic, Greece, Hungary, Mexico, Poland, Portugal, Russian Federation, Serbia, Slovenia, Spain, Sweden, Turkey, France, Macedonia, Montenegro, UK, Slovak Republic, Romania, Germany and Belgium. The success of Calzedonia is the result of a number of factors: the huge range of products, the particular attention paid to fashion, the unbeatable quality -price ratio. These are some of the features that have enabled Calzedonia to satisfy even its most demanding customers. The Calzedonia Group now numbers approximately 23,000 employees worldwide, about 3,000 of which are based in Italy. Calzedonia stands out for its verticalized structure: the ideation, production and distribution of every single product is handled either directly or through affiliates. All sales are through one-brand stores that are managed either directly, as franchises or by foreign distributors. This achievement testifies to how the intimate-wear sector was aimed at a small audience until this unique company's arriva l, which succeeded in opening up this product type to "democratic consumption" by a vast public of all ages and means. STRENGTHS The results tell of an extremely dynamic reality that is more oriented towards internationalization than ever before. The key to victory in Italy and worldwide is the perfectly competitive quality -price ratio. This demands meticulous research on style and design, state-of-the-art materials and fabrics and collections that anticipate upcoming tastes and trends. The three-brand distribution concept represents another winning element. The nimble and super-advanced franchising network focuses on taking extreme care with the image of these stores and on strategic positioning in core zones of the most important cities. CEO Sandro Verones i introduced the concept back in 1987, when he launched Calzedonia for stockings and swimsuits, before it was extended to lingerie with Intimissimi and Tezenis. The Group also distinguishes itself through its advertising, with major media campaigns (bill-posting, TV, printed paper) and selections of the best photographers and top models. Gisele Bundchen (for Calzedonia) and Irina Skayk (for Intimissimi) are two of the models that these brands launched into the fashion system. The network of stores currently numbers 3,000 sales outlets distributed in 30 different countries. Passion, sacrifice, love and dedication to a common project: these are the values that lie behind Calzedonia's numbers and success. "In life, as in work, we need to be actors, not spectators," this is the motto of CEO Sandro Veronesi, who tends to opt for discretion and letting the products speak for themselves by favoring the notion that focusing on the work at hand is the key to competitive advantage. FINAL CONSIDERATIONS Passion, sacrifice, love and dedication to a common project: these are the values that lie behind Calzedonia's numbers and success. "In life, as in work, we need to be actors, not spectators," this is the motto of CEO Sandro Veronesi, who tends to opt for discretion and letting the products speak for themselves by favoring the notion that focusing on the work at hand is the key to competitive advantage.

PRODUCTS hosiery, beachwear, underwear, franchising network, lingerie, knitwear, fashion, socks

A SUCCESSFUL CHOICE
Calzedonia sales strategies have been extremely successful in the market: a reliable worldwide sales franchising network, based on stores with a fresh and attractive image, able to meet the needs of a wide range of consumers. AN EXCLUSIVE AND RELIABLE PARTNERSHIP The Calzedonia franchising agreement has been confirmed to be in full compliance with the law of the national regulatory association. FULL BACKUP Calzedonia will assist you before and after the opening of your retail store, with its highly qual ified and experienced staff. Area/District Managers (approximately 1 person every ten shops) will regularly visit your store to provide assistance and advise you, in accordance with the companys policies. TECNOLOGY AT YOUR DISPOSAL A very simple informatic system makes possible to re-assort your shop within three days from the order. You can also consult sales statistics in real time directly on your computer, verify warehouse availabilities and promptly communicate with the company by email. A SUCCESSFUL STRATEGY Calzedonia supports your business because we will help you to select only retail stores in prime locations, in either pedestrian or high traffic areas, in cities or towns with at least 30,000 inhabitants. The optimum store size is 50 to 60 square metres (in addition to a small area at the back). NATIONWIDE ADVERTISING In addition to catalogues, shop window material, posters and other store materials, Calzedonia will provide nationwide advertising campaigns. A PROFITABLE INVESTMENT Calzedonia guarantees suitable technical and practical training to open and launch your retail business: our training programme includes a theoretical preparatory course managed directly by the company, followed by a period of apprenticeship in the training store nearest to you, to help you to understand better the range of articles available and sales organisation. Furthermore, Calzedonia organises periodic meetings to provide professional updates, during which you can discuss with the company representative s and the other franchisees, improving your professional knowledge and sales skills. A medium sized retail store, managed by efficient staff, is able to realize a yearly average turnover in amount of 370,000 Euro. A RELIABLE INVESTMENT 1,000 Euro approximately per square metre is the cost of the store realisation (excluding retail store design project, transport and installation of furniture) payable at 30 days from the opening date, month end; this cost can be financed through leasing. The I. T. system can be rented, with the payment of a monthly fee for each cash register. REQUIRED GUARANTEES

A bank guarantee of 31,000 euro issued on behalf of Calzedonia to covering the obligations under the agreement, is to be provided before opening the store.

SPONSORING
BLUVOLLEY VERONA

BluVolley Verona is the Veronese top volleyball company formed by the merger in 2000 between Verona and Isola della Scala with the aim of consolidating city volleyball at a high level. In the 2003 -04 Championship a record was set that is destined to remain unmatched for a long time: they won all 30 regular season A2 matches and all the competitions of Italy Cup Serie A2. In the same year the team took on the name of Marmi Lanza Verona, inaugurating the profitable ten-year association with the Scaligero title sponsor. In 2008 the formation won its second Italy Cup Serie A2; it is the first club in history to have won the competition twice. The 2013-14 season looks to be the turning point for the club: the Calzedonia brand has decided to join the BluVolley Verona project in support of youth training, dedicated to work, directed by former Italian champion Andrea Giani in his debut as coach on the yellow-blue bench. In this new athletic and corporate assembly there are all the ingredients for tackling a growth season: the desire to get involved by sharing common goals, to represent one of the pleasant surprises of the 69 th Serie A1 men's volleyball. The enthusiasm of Verona, famous in the context of national volleyball for the warmth of its audience, grows with the entry of Calzedonia, Veronese excellence worldwide, as the title sponsor. A new era has just begun.