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windeln.de AG: windeln.de Initiates Set of Measures to Focus its Business Activities, Improve Processes, and Increase Profitability

DGAP-News: windeln.de AG / Key word(s): Strategic Company Decision
windeln.de AG: windeln.de Initiates Set of Measures to Focus its Business
Activities, Improve Processes, and Increase Profitability

28.07.2016 / 01:04
The issuer is solely responsible for the content of this announcement.

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windeln.de Initiates Set of Measures to Focus its Business Activities,
Improve Processes, and Increase Profitability

- windeln.de to focus business in ready-to-ship online shops and close
Nakiki's shopping club business

- Europe-wide integration with shared purchasing and centralized IT
platform to be expedited

- Costs to be reduced through relocation of central warehouse and
automating more functions

- Expanded management team systematically implementing measures


Munich, Germany, July 28, 2016. With the approval of the Supervisory Board,
the Management Board of windeln.de AG has passed a comprehensive set of
measures to focus its business activities more closely on the customer,
improve its operating processes, and cut costs, including already initiated
measures. Hereby Europe's leading online retailer for baby and toddler
products intends to advance its transition from a pure growth value to a
sustainably profitable e-commerce champion. windeln.de aims to generate
balanced earnings over the next few years with the existing capital base
and, in the long term, to achieve an EBIT margin of more than 5%.

More focused business model

The proven online shop model, which, via the online shops windeln.de,
pannolini.it, windeln.ch, kindertraum.ch, toys.ch, bebitus.es, and
feedo.cz, offers a wide assortment of immediately availiable products at
attractive prices with short delivery times, will be expanded. windeln.de
systematically invests in optimizing customer-friendly processes in order
to guarantee the most positive shopping experience. Nakiki's flash sale
business, offering a limited product range at discounted prices with long
delivery times, represents a different business model and will be
discontinued. This will overall considerably reduce the complexity of the
company - in particular in terms of supplier and product management, the IT
infrastructure, and logistics.

windeln.de is also tapping into new customer groups in China with its Tmall
Global shop launched in July. This platform offers an expanded range of
German quality products, fast delivery, and accepted payment methods.

Concentration of the product range

In order to be able to offer its customers the most popular products at