Nova LifeStyle Reports First Shipment of Its Ultra Premium "Made in the USA" Organic Latex Mattresses to Company's Expanding Franchise Network in China
Large Growth Opportunity Seen in Luxury Bedroom Spending by Chinese Consumers Demanding the Comfort of High Quality American Made Mattresses
COMMERCE, CA--(Marketwire -07/12/12)- Nova LifeStyle, Inc. (STVS) (website: www.novalifestyle.com) an emerging U.S. based leader in the design, manufacture and worldwide distribution of urban contemporary furniture, today announced it has entered China's fast growing consumer market for high end imported mattresses with its first shipment to China of American ultra premium natural latex mattresses designed and manufactured in the U.S. by the Company.
The Company said it anticipates initial sales of the Nova mattresses will take place in selected Company franchise stores in China before the end of the third quarter at prices to be announced.
China's Fastest Growing Household Product -- Imported Mattresses
"We are very excited about putting into action plans we have developed for what various observers recognize as perhaps the fastest growing big ticket household product in China, namely, luxury mattresses, sought after by consumers who have worked their way to the top economic rungs," stated Ms. Tawny Lam, president of the Company. Ms. Lam also personally supervised the design and manufacture of the Company's newest product, customizing it for the size standards in China utilizing only the highest quality, natural latex tapped directly from rubber trees.
"While there are other companies competing in this market," Ms. Lam continued, "we think we have a couple of key advantages we intend to exploit. First, our mattresses are top of the line, featuring the most breathable hypo-allergenic natural latex foam, which also provides superior support, comfort and clear health benefits."
Not Just an American Brand -- we are 'Made in USA'
"Our key distinguishing feature, however," Ms. Lam added, "is that we're not just selling an American 'brand,' but rather, mattresses that actually are designed and manufactured in American factories under our supervision. Perhaps surprising to some, for many consumers in China 'Made in the USA' in this product category means significantly higher quality products for which they are very willing to pay much higher prices -- sometimes astonishingly higher."
Direct Sales Under Our Brand Name in Company Franchises Throughout China
"Another key advantage we hope to exploit as we enter this market is that we will be generating sales in our own network of more than 100 furniture franchises selling Nova furniture exclusively in more than 30 provinces throughout China. By year end, we expect to grow to more than 200 stores in malls and shopping centers throughout the country," Ms. Lam said, "with further expansion anticipated in succeeding years."
With this level of control of both the sales and manufacturing, the Company believes it can develop mattress sales at a steady pace with a focus, in particular, on achieving significantly higher margins than may be possible with other products.
Our Future Growth Will Reflect More American Exports
"I think I can safely say that even with all the other exciting things taking place at our Company, one of the clearest opportunities we have for future above average growth and profitability lies with the continued expansion of products we produce in the U.S. and can sell in China. We've now taken another key step in this regard and I and the rest of our team couldn't be more pleased," Ms. Lam concluded.
About Nova LifeStyle, Inc.
Nova LifeStyle, Inc., a U.S. company headquartered in California, is a fast growing, innovative designer and manufacturer of modern LifeStyle furniture, primarily sofas, dining rooms, cabinets and bedrooms in matching collections. Nova's products are made in the U.S., Asia and its state of the art factory completed in 2011 in Dongguan, China and marketed worldwide. Nova's collections of LifeStyle furniture brands include Diamond Sofa (www.diamondsofa.com), Colorful World, Giorgio Mobili and others. Nova's products feature urban contemporary styles with comfort and functionality and upscale luxury designs appealing to LifeStyle-conscious middle and upper middle-income consumers in the U.S., China, Europe and elsewhere in the world. To learn more about Nova LifeStyle, Inc., please visit www.novaLifeStyle.com.
Safe Harbor Statement
All statements in this press release that are not historical are forward-looking statements made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. There can be no assurance that actual results will not differ from the company's expectations. You are cautioned not to place undue reliance on any forward-looking statements in this press release as they reflect Nova's current expectations with respect to future events and are subject to risks and uncertainties that may cause actual results to differ materially from those contemplated. Potential risks and uncertainties include, but are not limited to, the risks described in Nova's filings with the Securities and Exchange Commission.
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