PPR Publishes Voluntary Public Takeover Offer for PUMA

PARIS, May 14 /PRNewswire/ -- PPR, through its subsidiary SAPARDIS, today officially published the offer document for the friendly voluntary takeover offer to the outside shareholders of PUMA AG. As already announced on April, 10, SAPARDIS is offering EUR 330 in cash for each PUMA share. The offer price values PUMA at EUR 5.3bn (equity value).

This implies a 24% premium on the undisturbed one-month weighted average share price as of April 3 (EUR 268.14), which has been the last day before the first takeover rumors surfaced, and a 17 % premium on the weighted average domestic stock exchange price of PUMA shares during the last three months prior to the publication of the decision to launch the offer (EUR 281.04).

PPR already holds 27.1 % of the registered share capital of PUMA (4,333,185 shares) and offers to acquire all other PUMA shares in issue (approximately 72.9 % of all PUMA shares) at a price of EUR 330 per PUMA share.

The Acceptance Period starts today and ends on June 20, 2007. PPR anticipates to complete the offer process early July.

Francois-Henri Pinault, Chairman and CEO of PPR, comments: "Our compelling offer enjoys the full support of the management team and represents a unique opportunity for all Puma shareholders. On the heels of our acquisition of a 27.1% controlling stake at a price of EUR 330 per share, we are offering all other Puma shareholders the same terms."

PPR expects that PUMA will continue to exist as a separate legal entity within the PPR Group and currently does not intend to enter into a domination and profit pooling agreement with PUMA. Furthermore, PPR does not currently intend to pursue a delisting of the PUMA shares.

PUMA will remain headquartered in Germany. There is no current intention to relocate the seat or the existing main R&D and manufacturing locations out of Germany. In addition there is no intention to reduce staff due to this transaction.

The publication of the offer document was approved by the Federal Financial Supervisory Authority (Bundesanstalt fur Finanzdienstleistungsaufsicht - BaFin) on May 10, 2007. The offer document was published on May 14, 2007.

The offer is conditional upon merger control clearance by EU and US competition authorities. There is no minimum acceptance threshold set as a condition of the offer.

About PPR

PPR is a global player in Retail and Luxury Goods, with approximately 78,000 employees in 75 countries. Through its Retail businesses Redcats Group, Fnac, Conforama and CFAO, and the Luxury brands of Gucci Group (Gucci, Bottega Veneta, Yves Saint Laurent, YSL Beaute, Balenciaga, Boucheron, Sergio Rossi, BEDAT & CO, Alexander McQueen and Stella McCartney), PPR generated sales of EUR 17.9 billion in 2006. PPR shares are listed on Euronext Paris (# 121485, PRTP.PA, PPFP). For more information: www.ppr.com

About PUMA

PUMA(R) is the global Sportlifestyle company that successfully fuses influences from sport, lifestyle and fashion. PUMA`s unique industry perspective delivers the unexpected in Sportlifestyle Footwear, Apparel and Accessories, through technical innovation and revolutionary design. Established in Herzogenaurach, Germany in 1948, PUMA distributes products in over 80 countries. PUMA employs 7,800 employees. Its revenue for the fiscal year 2006 amounted to EUR 2.4 billion. For further information please visit www.puma.com

Disclaimer

Not for release, publication or distribution in or into or from Canada, Australia or Japan. This announcement does not constitute an offer to sell or the solicitation of an offer to buy any securities; future offers to sell or exchange securities will only be made in certain jurisdictions and only following approval by the relevant regulators. Notice to US investors: the intended takeover offer will be made for the securities of a German company and is subject to German requirements for the implementation of such takeover offer, which are different from those of the United States. PPR and its nominees or brokers (acting as agents) may from time to time acquire, or make arrangements to acquire, PUMA shares other than pursuant to the takeover offer in the open market or in privately negotiated purchases outside the United States during the period in which the takeover offer remains open for acceptance

Notice to US investors The intended takeover offer will be made for the securities of a German company and is subject to German requirements for the implementation of such takeover offer, which are different from those of the United States. PPR and its nominees or brokers (acting as agents) may from time to time acquire, or make arrangements to acquire, PUMA Shares other than pursuant to the takeover offer in the open market or in privately negotiated purchases outside the United States during the period in which the takeover offer remains open for acceptance.

Note regarding forward-looking statements

The information in this document may contain "forward-looking statements." Forward-looking statements may be identified by words such as "expects", "anticipates", "intends", "plans", "believes", "seeks", "estimates", "will" or words of similar meaning and include, but are not limited to, statements about the expected future business of PUMA AG and of PPR SA resulting from the proposed transaction.

These statements are based on the current expectations of management of PUMA AG and of PPR SA, and are inherently subject to uncertainties and changes in circumstances. Among the factors that could cause actual results to differ materially from those described in the forward-looking statements are factors relating to satisfaction of the conditions to the proposed transaction, and changes in global, political, economic, business, competitive, market and regulatory forces. PPR SA and PUMA AG do not undertake any obligation to update the forward-looking statements to reflect actual results, or any change in events, conditions, assumptions or other factors.

Website: www.ppr.com