Geneva, Switzerland, April 6, 2006 —The Swatch Group Ltd, the world's largest watch company, announced today a new retail partnership to open a chain of watch stores in premium outlet malls across the United States with Tourneau, the world’s largest watch store, as recognized by Guinness World Records.

The joint venture, doing business under the name Tourneau, includes pioneering new watch retail stores in several luxury outlet malls in the U.S. and signals a new chapter in the relationship between the two industry titans and within the watch category overall.

Commenting on the partnership, Tourneau CEO Robert Wexler said, “It is common to find many luxury brands at premiere outlet malls around the U.S. We are delighted to be taking the watch category into this arena offering a multi-brand experience in partnership with The Swatch Group's many brands.”

G. Nicolas Hayek, Jr., CEO of The Swatch Group Ltd said, “American consumers love our brands. Tourneau has since long been one of our strong partners in the U.S and the opportunity to open multi-brand outlet stores looks more than promising.”

While no leases have been procured yet, initial plans for the new joint venture include targeting the major luxury outlet malls outside New York City, New York, Los Angeles, California, Las Vegas, Nevada and Orlando, Florida.

Tourneau is the world’s largest watch store, as recognized by Guinness World Records, and the undisputed authority in the watch industry. Since Tourneau’s establishment in 1900, the family owned and operated business has always been committed to providing superior customer service and an incomparable selection of quality products. To date, the company has both Tourneau and Tourneau Watch Gear stores located across the US and throughout the Caribbean in the most exclusive shopping venues. In each of its prominent locations, Tourneau is one of the top producing, specialty retailers per square foot. This distinction and the brand’s status as the industry leader are the result of Tourneau’s unwavering confidence in its products and its determined assurance to grow the luxury watch market as a whole. www.tourneau.com

The Swatch Group Ltd is the largest manufacturer and distributor of watches and jewelry in the world. It is a synonym for emotional and luxury products of high quality and has its own worldwide network of distribution organizations. The Group is an expert in the manufacture of finished watches, movements and components. Its watch brands are Breguet, Blancpain, Glashütte-Original, Jaquet-Droz, Léon Hatot, Omega in the luxury and prestige segment; Rado, Longines, Union in the high end range; Tissot, Calvin Klein, Certina, Mido, Hamilton, Pierre Balmain in the middle range; Swatch, Flik Flak in the basic segment, and Endura. www.swatchgroup.com