Company Profile

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The BeginningsAlessandro Ferrone laid the foundations for what is today FERRONE Spa.His entrepreneurial and human qualities enabled him to transform the fabrics trade he beganimmediately after WWII into a veritable industry, starting up and developing all phases of thetextiles market.Today Ferrone Spa produces and exports worldwide 2 million articles of clothing every year, witha portfolio of two brands, SANDRO FERRONE and SWEET SIZE (this last line was created in2003) with a practise positioning in terms of style, price and distribution channel. Alessandro Ferrone was appointed Cavaliere del Lavoro (Knight of Labour) in June 2005 by theFederazione Nazionale di Cavalieri del Lavoro.

What they say about usFERRONE, A REVOLUTION IN FAST FASHION, “IL GIORNALE”The daily Il Giornale dedicated an entire article to Spa “a company converted in the 1990’s intoa join stock company is not feeling the crisis. Ready to expand throughout northern Italy, itrecently launched three new franchise points of sale”.

THE ROMAN KING OF READY-TO-WEAR FASHION, “IL SOLE 24 ORE”The daily Il Sole 24 ore speaks of Roman businessman Alessandro Ferrone as “... a Romanbusinessman who is not feeling the crisis, and indeed in this dark period has a plan to open newfranchised shops: 3 in Milan”.

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Company profile

SANDRO FERRONE today is an extraordinary name in the panorama of fast fashion

MADE IN ITALY. Since the beginnings SANDRO FERRONE brand has positioned itself well in themarket of contemporary clothing. Its presence in the Italian and international commercial areas consists of a network of single-brand retailers for which SANDRO FERRONE represents a real opportunity for success. SandroFerrone is present with an ever-increasing number of franchises in Italy and abroad.The solid energy between POS service, quality and excellent price balance is repaid by greattrust on the part of the trade and the final customer. There are many POS positioned worldwide; in Italy, they are located mainly located in theCentral and Southern part of the country, where the firm is present with some 100 single-brandPOS including three recent boutiques in MILAN and 30 in Rome positioned in perfect balanceamong the main tourist routes and shopping centres where this brand is an uncontested leader.The SANDRO FERRONE brand is present internationally in Portugal, Spain, France, and SaudiArabia.In addition to single-brand distribution, there is a growing number of multibrand shops, wellselected and vetted.The company’s philosophy is to have kept up with the daily tastes and trends among Italianwomen. From the manufacturer to the customer, with no niddlemen; winning intuition, today thecornerstone of a philosophy that points to a linear and immediate distribution chain.

SWEET-SIZE The new SWEET SIZE collection, from Sandro Ferrone, was created in 2003

to satisfy the women’s desires who wear “sweet sizes”, free from the totem of size 42 at anyrate. When we speak of large sizes, we are dealing with an article of covering that covers morethat it dresses, often very classic, and at a high price. Sandro Ferrone has overthrown this statusquo and is producing cutting-edge, trendy clothing that enhances the softness and sensualityof women, attracting even young customers.

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Business system

Key concept:• a basic collection 800 models• quality/price balance• real time restocking of the fastest-selling models• weekly small flash ads• flash ads designed for SALES (retailers mark-on percentage unchanged)• purchase timing designed to optimise warehouse inventories• personalised retailers support

Objectives:• prompt updating of the POS image

• low percentage of inventory prior to the retailers’ sales periods (10% ofseasonal business volume)

• low risk of unsold product at POS (purchased broken down into small quantities weekly)

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Timing of the collections

FALL-WINTER

SPRING/SUMMER

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STRENGTHS

FAST FASHION Model

The philosophy of the SANDRO FERRONE brand is inspired by large scale retailing, “a ready-to-wear fashion system, very fast, with times very close to market needs”.In our seasonal offerings, 60% of the products turn over constantly, so that there is alwayssomething new, with consequent optimisation of the POS warehouse, which at the end of theseason never has an inventory of more than 5% of the volume of merchandise purchased.Compared to the traditional model of two collections a year, Sandro Ferrone introduces theconcept of “five collections” distributed and sold with the same speed at which market attitudesand behaviours change.Final customers know that the brand renews its offer every week, and they visit the POS often(at least twelve times a year, compared with 4 for the competition).

The advantages of investing with usThe Sandro Ferrone brand is not just a reliable boutique but a solid franchisor with decades ofexperience with the clothing market experience and its dynamics.

Simple, effective managementThanks to the company’s operational and technical support, even the new business owner canact with the security of the experienced businessman in creating a pleasing and popularboutique.

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Showroom

SHOWROOM in Italy

MilanoRomaBologna CataniaBari

SHOWROOM abroad

SpainPortugalGreeceNorwayAustriaMexico

For retail management, the company has a retail division that handles selection and allassistance services for the POS, such as:Visual - Merchandising - Computer Support - Store Concept and Design

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Advertising campaignsSandro Ferrone

SANDRO FERRONE Sandro Ferrone has always stood out for its strong identity and

impact due to outdoor advertising designed especially for franchising, and with the use ofcelebrity spokespersons, real entertainment stars and all of them Italian. The company alsoconducts intense public relations work, which has been rewarded with growing visibility in manytelevisions programmes and movies.

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Advertising campaignsSweet Size

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Outdoor advertising in Italy

The company always creates something more in outdoor advertising. Major advertisingcampaigns are planned every sales season to support retailer sell out.

The main advertising and promotional channels used are:

billboards, internet, press (dailies)Major celebrity, spokespersons (from the model AFEF to actress SABRINA FERILLI, and thecurrent celebrity spokesperson MANUELA ARCURI) are selected to support the brand andmake it more visible in the marketplace.

Maxi billboardsROMA - Trinità dei Monti

Maxi billboardsMILANO – Quadrilatero della Moda

Maxi billboardsROMA - Campo dei Fiori

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Sandro Ferrone in the web

The evolution towards digital communication is handled by the company, which integrates intoa single flow its communication, style and corporate management.This brand’s style in fact, involves offering micro-collections that are renewed weekly.Customers are accustomed to seeking out new ideas, new emotions, new sensations, and themagic can occur if everything follows a perfect line going from the genius of the stylists to themanufacture of the clothing, to logistic, warehouse management and shipping. And now thereis online the Sandro Ferrone magazine - an area reserved just for B2B area business.The web is simply an environment without walls, without geographic references but otherwise itis completely like a showroom.

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SANDRO FERRONE decided two year ago to participate in the conversation with his fans. The

company’s intention is to build a place where FANS can express themselves and communicate withthe Brand and its Staff.Fans currently on Facebook adore the style of the SANDRO FERRONE brand and demonstrate thisconstantly, with spontaneous groups and highly enthusiastic comments!Facebook has complete changed the view of the company, making it “more human”.Mow the pages are much closer to the profile of the user.The activity on the pages is reported at home, and even they participate in the virtual game of “Share”and “I like”. The same is true for the company’s Status.This facilitates the conversation and participation with great benefits for the SANDRO FERRONE brand.

The Community on Facebook

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Press

IL SOLE 24OREinterwiew to SANDRO FERRONE

RED CARPET “FESTIVAL DEL CINEMA”LUNETTA SAVINO

Television Programme “SKY SPORT”ILARIA D’AMICO

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Retail

Stores management • Franchising

• Shop in Shop

• Multibrands

Store concept• A team of in-house architects develops the SANDRO FERRONE and SWEET

SIZE store concept and coordinates the franchise store openings.

Visual merchandising• Creates the windows for each season, coordinates shop acquisition and

plans periodic efforts with each POS worldwide to build a unified brandidentity.

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Planning and design involves the entire redefinition of the interior space, which we try to design basedon the POS’s type and location; cities and shopping centre.The SANDRO FERRONE points of sale feature modern, innovative furnishings placed in very discreetways. When designing, our architects try to focus attention on light, diffused in some areas and scenicin others, on the lighted outdoor sign enhancing the entrance and window which, when possible madewith a single leaf and completely transparent glass.

POS design

ROMA EUROMA2

MILANO MARGHERA

MILANO BUENOSAIRES

MILANO VITTORIO EMANUELE

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Single-brand shops in shopping centres are offered to customers as direct spaces where every displayenvironment is designed to give the customer the utmost freedom of choice, in accordance with theshop’s ready-to-wear philosophy, refined and immediate, Fashions and accessories are displayed tobe touched, taken into the dressing room, tried on and purchased easily. It is the easy philosophy offast fashion that our team of architects has interpreted according to the architectural lexicon of interiorswith special attention to the customer, capable of conveying a familiar atmosphere, and at the sametime an elegant and refined one. This is an example of a store concept dedicated above all to the newarchitectural phenomenon of the shopping centre that so characterises lifestyles in contemporarysociety.

Store Concept “Shopping Centre”

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The SANDRO FERRONE franchises located in the cities are always planned with different designsdepending on the type of POS. Often modern architectural styles that stand out from one another withconstant and daring contrasts of shiny and opaque surfaces and plays of light and shadow that makethe shop atmosphere elegant and exciting. Specious entrances, transparent, inviting, with broadwindows that look out onto the main streets of the city and provide an ample view of the shop fromoutside. The furnishings and materials in neutral tones blend together and give the entire ambience aclear sense of space.

Store Concept“City”

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BOUTIQUES LOMBARDIA • MILANO • C.so Vittorio Emanuele II, 15 tel. 02 795.651 • C.so Buenos Aires, 77/A tel.02 670.722.20 • Via Marghera,1 tel. 02 485.16.293 • PAVIA • Via Mascheroni, 21 tel. 0382 21.071 • LAZIO • ROMA• Via del Corso, 151 tel. 06 67.91.402 • Via Nazionale, 20 tel. 06 48.81.310 • Via del Tritone, 120 tel. 06 42.01.25.01• Via del Babuino, 49 tel. 06 32.33.795 • Via Fabio Massimo, 23 tel. 06 32.15.091 • Viale Libia, 66 tel. 06 86.21.44.74• Viale Europa, 138 tel. 06 59.26.668 • Via Ugo Ojetti, 39 tel. 06 82.00.08.17 • Via Salaria, 12/14 tel. 06 45.54.05.46• Viale G. Marconi, 116 tel. 06 55.66.378 • Via Boccea, 51d tel. 06 66.29.028 • Piazza Balduina 56/57 tel 0635.34.41.63 • Via di Acqua Bullicante, 357 tel. 06 27.80.10.17 • Via Solferino, 17 tel. 06 44.34.01.637 • Via Volturno,36 tel. 06 48.27.605 • Via dei Colli Portuensi, 396 tel. 06 65.74.00.03 • Via Casilina, 1940d tel. 06 20.76.23.65 • C.C.Porta di Roma Via Alberto Lionello, 201 tel. 06 87.07.06.06 • C.C. Romanina GRA 19/20 tel. 06 72.33.590 • C.C.RomaEst Via Collatina Km 12,800 tel. 06 22.51.08.74 • C.C. I Granai Via M. Rigamonti tel. 06 51.95.60.96 • C.C.Cinecittà 2 Via Palmiro Togliatti, 2 tel. 06 72.90.73.39 • C.C. Primavera V.le della Primavera, 194 tel. 06 24.11.335 •C.C. EurRoma2 Via dell’Oceano Pacifico tel. 06 97.84.29.78 • C.C. Casilina Via Casilina tel. 06 26.61.79 • C.C. CasettaMattei Via dei Sampieri 92 tel. 06 651.92.682 • OSTIA (RM) • Via delle Baleniere, 128 tel. 06 56.93.845 • FIUMICINO(RM) • C.C. Parco Leonardo Via Portuense, 2000 tel. 06 45.55.43.45 • CAPENA (RM) • C.C. L’Arca Via Tiberina Km16,400 tel. 06 97.60.77.01 • VELLETRI (RM) • Via del Comune, 3/7 tel. 06 97.60.96.50 • NETTUNO (RM) • GalleriaLumaca Via Romana, 41 tel. 06 97.84.69.43 • ARDEA (RM) • Largo Parco della Vittoria, 15 tel. 06 91.37.547 • LATINA• Via Carlo Alberto, 21 tel. 0773 47.35.65 • ALATRI (FR) • Via Monte Lena, 10 tel. 0775 40.77.52 • ANAGNI (FR) • ViaG. Giminiani, 1 tel. 0775 72.61.30 • VENETO • PADOVA Via San Fermo Next Opening • PIEMONTE • MONCALIERI(TO) • C.C. 45 Nord Via F. Postiglione, 1 tel. 011 68.10.263 • EMILIA ROMAGNA • PARMA • Borgo Tommasini, 9 tel.0521.18.12.172 • TOSCANA • FORTE DEI MARMI (LU) • Via G. Carducci, 14 tel. 0584 83.283 • PIETRASANTA (LU)• Piazza Duomo, 17 tel. 0584 72.027 • LIDO DI CAMAIORE (LU) • Viale Europa, 82 tel. 0584 61.77.74 • SICILIA •PALERMO • Via Principe di Belmonte, 104 tel. 091 32.39.32 • Via Sciuti, 70 tel. 091 78.29.332 • Viale Strasburgo, 171tel. 091 51.73.35 • BAGHERIA (PA) • Via Libertà,16 tel 091.96.95.45 • GIARRE (CT) • Via Gallipoli, 242 tel. 09577.91.354 • ADRANO (CT) • Via Garibaldi, 83 tel. 095 76.95.351 • S. GIOVANNI LA PUNTA (CT) • C.C. I Portali tel.095 72.26.428 • PATERNO’ (CT) • Via Macchiavelli, 71 tel. 095 85.46.25 • MESSINA • Via Risorgimento,22 tel. 09077.11.81 • MILAZZO (ME) • Via Luigi Rizzo, 19 tel. 090 92.40.459 • CAPO D’ORLANDO (ME) • Via Vittorio Venetotel. 0941 19.12.853 • MODICA (RG) • Via Sacro Cuore, 66 tel. 0932 75.31.98 • TRAPANI • Via Vito Sorba, 5 tel. 092359.30.57 • CASTELVETRANO (TP) • Via Vittorio Emanuele, 28 • SIRACUSA • Via Tisia, 34-36 tel. 0931 44.36.57 •CARLENTINI (SR) • Via Etnea, 160 tel. 095 783.19.41 • SCIACCA (AG) • Via Giuseppe Licata, 157 tel. +39 092586.090 • CAMPANIA • CASERTA • Via G. Alois, 16 tel. 0823 35.33.05 • CAVA DEI TIRRENI (SA) • C.so Umberto I,263 tel. 089 44.35.24 • PUGLIA • BARI • Via Argiro, 98 tel. 080 52.14.265 • FOGGIA • C.so Giannone, 20 tel. 088177.54.09 • LUCERA (FG) • Piazza Duomo, 21 tel. 0881 29.61.34 • SAN GIOVANNI ROTONDO (FG) • Corso Roma,34 tel. 0882 41.31.33 • MONOPOLI (BA) • Via Magenta, 12 tel. 080 74.81.60 • GINOSA (TA) • Via G. Matteotti, 54tel. 099 82.44.636 • BARLETTA (BAT) • Via L. De Nittis, 12b tel. 0883 390.941 • ANDRIA (BAT) • Corso Cavour, 118• ABRUZZO • AVEZZANO (AQ) • C.C. I Marsi Via Tiburtina Valeria, Km 112,21 tel. 0863 44.15.04 • TERAMO • C.sode Michetti, 5 tel. 0861 24.01.90 • UMBRIA • SPOLETO (PG) • Via Portafuga, 8 tel. 0743 22.50.09 • MOLISE •CAMPOBASSO • Corso Vittorio Emanuele, 25 tel. 0874 41.83.07 • MARCHE • ASCOLI PICENO • Corso Mazzini,186 tel. 0736 25.40.66 • CALABRIA • COSENZA • C.so Mazzini, 286 tel. 0984 76.366 • RENDE (CS) • Viale Kennedy,68 tel. 0984 46.38.99 • SARDEGNA • CAGLIARI • Via Lo Frasso 10/12 tel. 070 66.03.33 • Via Manno, 5/7 tel. 07066.87.47 • NUORO • Via IV Novembre, 8 tel. 0784 32.876 • CARBONIA (CI) • Via A. Gramsci, 93 tel. 0781 62.400

Address

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SHOP IN SHOP LAZIO ROMA • TEICHNER Via Appia Nuova, 2 tel. 06 70.00.934 • ROMANA SIR Via LucreziaRomana GRA Km 42.600 tel. 06 72.67.02.96 • DA CIMA A FONDO Via della Lite, 70 tel. 06 20.60.90.08 • C.C. LETORRI Via A. Aspertini, 390 tel. 06 20.62.70.72 • C.C. AUCHAN Via A. Pollio, 54 tel. 06 43.59.94.63 • VITERBO •SALOME’ Corso Italia, 70/72 tel. 0761 32.12.79 • TIVOLI (RM) • L’ALTRA DONNA Via del Trevio, 42 tel. 0774 31.46.50• MONTEROTONDO (RM) • PIÚ DONNA PIÚ Via dello Stadio, 35d tel. 06 90.66.720 • FROSINONE • CHIARA D ViaFirenze, 8 tel. 0775 85.42.79 • LADISPOLI (RM) • TREDONNE Via Palermo, 78d tel. 06 99.48.459 • APRILIA (LT) •MAX Via degli Oleandri, 18 tel. 06 92.75.405 • POMEZIA (RM) • MAX Via Roma, 48 tel. 06 91.12.189 • TOSCANA •AREZZO • FURBIZIA Via Marco Perennio, 80 tel. 0575 35.11.06 • PUGLIA • TARANTO • EQUILIBRIO Via Di Palma,120 tel. 099 45.32.145 • LECCE • CITY MODA Via De Mura (tang. Est) tel. 0832 45.55.91 • MODUGNO (BA) • CITYMODA SS 96 Km 115 tel. 080 53.57.255 • SICILIA • PALERMO • VIA GLUCK Corso Finocchiaro Aprile, 155 tel. 09121.82.00 • CATANIA • EPOCA Via Umberto I, 50 tel. 095 31.01.35 • CALTAGIRONE (CT) • INTERLANDI Viale Europatel. 0933 22.214 • CAMPANIA • SALERNO • VOG Via dei Principati, 28/42 tel. 089 23.71.38 • NOLA (NA) • REGINEC.so Tommaso Vitale, 125 tel 081.82.39.995 • CASORIA (NA) • MAXI BRUMMEL Via Circ. Esterna tel. 081 54.04.070• AVELLINO • VOGUE P.zza de Marsico, 18 tel 0825 78.03.32 • BENEVENTO • VOGUE Corso Garibaldi, 141-143 tel.0824 29.160 • ABRUZZO • PESCARA • BOSONE C.so Vittorio Emanuele, 120 tel. 085 422.56.44 • BOSONE C.soUmberto, 104 tel. 085 36.145

INTERNATIONAL BOUTIQUES SPAGNA PAMPLONA Calle de Garcia Ximènez, 4 tel. +34 94.82.13.273 • TALAVERADE LA REINA (TOLEDO) Calle Trinidad 17 tel. +34 925. 810.254 • MURCIA C.de La Plateria, 44 (Plaza Jofre) • CADIZCalle Ancha, 13 tel. +34 956.289.211 • SANTA CRUZ DE LA PALMA Calle Diaz Pimienta, 11 Los Llanos • FRANCIA• CAEN • Rue Neuve Saint Jean, 17 tel. +33 02 31.50.16.69. • PORTOGALLO • LISBONA • Armazens do Chiado –Rua do Carmo, 2 tel. +35 12.13.43.11.22 • Praça de Londres, 5d tel. +35 12.18.47.03.14 • Centro Comercial FonteNova, Estrada de Benfica, 503 tel. +35 12.17.14.47.68 • ALFRAGIDE Centro Comercial Allegro tel. +3512.12.36.15.90 • FUNCHAL (MADEIRA) Maderiashopping, Caminho de Santa Quitera, 45 tel. +35 12.91.77.64.48 •ALMADA Forum Almada, Estrada do Caminho Municipal, nr 1011 tel. +35 12.12.59.61.73 • CARCAVELOS (CASCAIS)Riviera Center, Rua Bartolomeu Dias tel. + 35 12.13.43.11.22 • ARABIA SAUDITA • RIYADH • Al-Hayat Mall KingAbdulaziz road tel. +966 1.20.56.908 • Riyadh Galleria Mall – King Fahd Road tel. +966 1.20.56.908 • MALTA •SLIEMA • Bisazza Str C/W Tower Rd. tel. +356 213.40.936 • ALBANIA • TIRANA • RR Sami Frasheri, Pall.16 Katesh,Perballe Drejtorise Se Polocise tel. +355 2 273 801 • Rruga Brigata VIII tel. +355 54.27.16.24 • LETTONIA • RIGA •T/C SPICE Lielirbes, 29 tel. +371 26.00.77.33

INTERNATIONAL SHOP IN SHOP LIBANO BEIRUT • ABC Achrafieh branch- Beirut tel. +961 1.21.28.88 • ABCDbayeh branch tel. + 961 4.41.60.00 • ISRAELE • KFAR SHMARIAU • Dereh Aga Nim, 2 tel. +972 95.81.799 •CANADA • TORONTO ONTARIO • SANDRO Bayview Village Shopping Center, 2910 tel. +1 416.22.13.033 •FRANCIA • PARIGI • 94 Rue de Cambronne tel. +33 1.58.45.22.84

Address

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AddressFerrone S.p.A. Via Alberto Bergamini, 69 00159 ROMA - ITALY

Telephone(+39) 06.43.94.747

Fax(+39) 06.43.58.75.02

Contactsinfo@sandroferrone.it ufficiostampa@sandroferrone.it infofranchising@sandroferrone.it

Web addresswww.sandroferrone.it www.sweetsize.it