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Falken Industries Ltd: Clean Plus(R) Brand Expansion in Russia Succeeds-An Explosive Boom to FLKI Brand & Product Conceptions


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TRENTON, NEW JERSEY--(Marketwire - Sept. 25, 2009) - The product and brand conceptions of Falken Industries Ltd (OTCBB:FLKI) are globally renowned. Amongst the better known, a product and brand concept developed by FLKI researchers and marketing teams, Clean Plus®.

Today's report by the Clean Plus® Product Group of the brand's continuing success in Russia, the world's largest country at 17,075,200 sq.km underlines the viability of the strategic decision to implant the products dating back more than 4 years.

The Clean Plus® Product Group's brand - an FLKI original conception - came in at a very ideal time. Russia is currently in the exciting period of rebirth and reinvention and is enjoying an impressive growth in its economy. Most importantly, Russia is one of today's fastest growing auto markets. Its new-car market started to grow by 28%, a total of $1.8 billion in sales. Experts even predict that Russia will surpass Germany as Europe's biggest car market.

The Clean Plus® brand which was conceived and created by FLKI in 1997 is a prime example of FLKI's ability to conceive and develop not only products but brands with impact and built-in success for brand managers and distributors everywhere.

Many foreign auto manufacturers have been rushing to set-up their manufacturing plants at St. Petersburg Russia's auto manufacturing epicenter where FLKI product conceptions are expected to experience exponential sales growth.

The proximity to Western Europe where the Clean Plus® brand is an industry leader and the Tax Decree 166, which exempts automakers from paying tariffs on imported parts and accessories are the reasons why foreign auto manufacturers are attracted to St. Petersburg, which is rapidly transforming to become the epicenter of automobile activity.

As a result, the booming auto manufacturing sector has influenced the purchasing decisions of the growing Russian middle class, with a population of 8 million in 2000 to 55 million in 2007.

Naturally, when there is a surge of automobile purchases, Clean Plus® auto care products - whose quality and price standards are studied to the Russian market, providing high end quality and price points substantially below its competitors - will also be in demand. Hence the strong brand presence and strategic positioning early in the game.

"The Clean Plus® success in Russia opens a lot more opportunities and options for expansion in the future for our more than 160 active product and brand concepts. We believed that the European "Premium" auto care line appealed to the Russian market that's why the sales of the Clean Plus® Product Group did very well," said Manuel Garcia FLKI Communication Officer.

About Falken Industries Ltd:

Falken Industries Ltd (OTCBB:FLKI) is a diversified industrial conglomerate that operates in Chemicals, Wet Wipe and Biodegradable Technology. Falken Industries Ltd is the concept behind more than 160 products distributed through a network of global platforms and the recipient of trade awards for innovations, biodegradability and environmental and health quality standards.

SAFE HARBOR STATEMENT: This news release contains "forward-looking statements" made pursuant to the safe harbor provisions of the 1995 Private Securities Litigation Reform Act. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." Such statements are subject to risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that our products may not achieve customer acceptance or perform as intended, that we may be unable to obtain necessary financing to continue operations and development, and other risks. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements.



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