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*** Dorel Moves Into UK Market ***

Montreal, Canada -- 10/01/2009
Dorel moves into UK bicycle market - Latest transaction
in line with plan to grow bike business into global force..



Dorel Industries Inc. (TSX: DII.B, DII.A), today announced
it has acquired assets of UK-based Hot Wheels and Circle Bikes,
UK's preeminent distributors of the Mongoose and GT brands.

This latest purchase is in line with Dorel's aggressive growth strategy
of its Recreational/Leisure segment and is the third transaction in just
two months. In parallel with this deal, a new subsidiary, to be known
as Cycling Sports Group UK (CSG UK), is being created to drive the
future growth of Mongoose and GT. CSG UK will be dedicated to the
Independent Bike Dealer (IBD) channel.

Hot Wheels has a portfolio of top selling, innovative bicycle products
and components, which are marketed to retail and leisure outlets
throughout the UK. Circle Bikes owns the popular Charge brand.

Combined sales for the fiscal year ended August 31, 2009 were
approximately 14 million pounds sterling(approximately US$22.4
million), the majority of the revenue from Hot Wheels. EBITDA for
the same period was 1.5 million pounds sterling (approximately
US$2.4 million). Terms of the transaction are not being disclosed
at this time.

To be located in Poole, Dorset, CSG UK will coordinate all sales,
marketing, distribution and customer service to better support its
growing network of dealers in the UK. The Mongoose and GT brands
will be distributed immediately by the new subsidiary, followed by
Cannondale in January 2010.

Robert Baird, President of Dorel's Recreational/Leisure segment
said the creation of this newest subsidiary follows a similar initiative
in Australia last month and underlines Dorel's commitment to take
control of its international bicycle brands in certain geographies and
work closer with distributors in others in order to accelerate growth
within the critical IBD channel.

"We have developed a multi-faceted strategy to grow our bike
business into a global force and we are moving ahead decisively
with this plan by leveraging our excellent portfolio of recognized
brands and by investing in leaders in their respective markets.
CSG UK will now be that much closer to the market and will react
quickly to both dealer and consumer demands."

CSG's Vice President Sales and Marketing for Europe, Middle East
and Africa (EMEA), Christophe Jouffret, noted that there are numerous
advantages to consolidating resources "in country" for all CSG brands.

"We want to ensure full support for this latest subsidiary by increasing
our ability to service and deliver product faster to our UK retailers as
well as rapidly respond to market changes and opportunities".

It was also announced that Russell and Neil Merry, the former
owners of Hot Wheels and Circle Bikes, have been named Co-
Managing Directors of CSG UK. The two have been instrumental
in furthering the development of the GT and Mongoose brands,
not only in the UK but globally as well. "Dorel is fortunate to partner
with Russell and Neil, both of whom bring a wealth of industry
knowledge and experience with them," added Mr. Baird.

"This is an exciting time and opportunity for growth in the global
bicycle industry," commented Russell Merry. "The UK has many
positive factors favouring the industry with increasingly cycle friendly
central and local government policies to help beat congestion, cut
obesity rates and address environmental concerns.

Neil and I recognised that our local knowledge and experience
could take the business to the next level if we had the backing
and global horsepower of Dorel. We believe that Dorel's CSG
business is set to be one of the fastest growing bicycle companies
in the world in what can only be described as a positive
environment for the bicycle business."

Profile

Dorel Industries Inc. (TSX: DII.B, DII.A) is a world
class juvenile products and bicycle company.

Established in 1962, Dorel creates style and excitement
in equal measure to safety, quality and value.

The Company's lifestyle leadership position is pronounced in
both its Juvenile and Bicycle categories with an array of trend
-setting products.

Dorel's powerfully branded products include Safety 1st, Quinny,
Cosco, Maxi-Cosi and Bébé Confort in Juvenile, as well as Cannondale,
Schwinn, GT, Mongoose, Iron Horse and SUGOI in Recreational/Leisure.

Dorel's Home Furnishings segment markets a wide assortment
of furniture products, both domestically produced and imported.

Dorel is a US$2.2 billion company with 4700 employees,
facilities in eighteen countries, and sales worldwide.
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