    | 
      | 
     
      
         
            | 
         
         
           
        Dahon California Inc. Files Formal Complaint 
                  to the UK Advertising Standards Authority Over Smirnoff Ice/ 
                  Diageo Ad Campaign 
                   
                  LONDON, England  August 15, 2003  Dahon 
                  California, Inc. the world's leading manufacturer of folding 
                  bicycles, today announced the formal filing of a complaint to 
                  the UK Advertising Standards Authority over a Smirnoff Ice/Diageo 
                  advertisement. The ad campaign resembles a recycling campaign 
                  (as if produced by the Aluminium Marketing Board) and uses an 
                  image of a Dahon folding bike to show what kind of products 
                  aluminium is wasted on, when it could be made into cans filled 
                  with a certain alcopop. Tick boxes on the ad indicate which 
                  products use aluminium sensibly (such as cans of Smirnoff Ice) 
                  and which are a waste, including an aluminum Dahon folding bicycle. 
                  Dahon will request that Diageo withdraw the ads and issue an 
                  apology for denigrating bicycles generally and Dahon and folding 
                  bicycles specifically. Joshua Hon, Dahon VP Sales & Marketing 
                  explains, "The ads were a pretty big shock - Diageo and 
                  their ad agency TWH are incomprehensibly implying that Smirnoff 
                  alcopop - with a disposable can that goes immediately into a 
                  landfill - is a better use of aluminium than a bicycle - a healthy 
                  and non-polluting form of transportation." 
                   
                  "But even more insulting is that by using a Dahon folding 
                  bike for this ad, Diageo also discredits our company and the 
                  whole bike industry, since just about every bicycle made uses 
                  aluminum components and/or an aluminium frame. As a company 
                  dedicated to promoting environmental responsibility and clean 
                  forms of transportation, we feel that this ad campaign causes 
                  material harm to our brand and image. Our US legal office is 
                  investigating the case and we reserve the right to take further 
                  legal action should Diageo not immediately withdraw the ad." 
                   
                  Mark Bickerton, president of Cyclemotion and the exclusive distributor 
                  of Dahon in the UK added, "If you consider that London 
                  Mayor Ken Livingstone initiated a London congestion charge earlier 
                  this year to help boost bicycle usage, and that this program 
                  has been almost universally hailed as a success, Diageo's campaign 
                  against bicycles becomes even more bizarre." 
                   
                  "I'd say that Diageo's ad guys had a bit too much Smirnoff 
                  Ice to drink when they came up with the campaign but I'm not 
                  sure that Ice is strong enough for them to use it as an excuse," 
                  concluded Hon.  
                   
                  News of the ad campaign was first reported to the bicycle industry 
                  by bikebiz.co.uk, the UK's leading industry magazine and webzine. 
               | 
         
       
     | 
      | 
      | 
     
      
     |