Q1: I am very honored to interview with you, Mr. Wells. Maybe some Chinese customers are mot very familiar with HOT CHILLYS brand. Could you give us a brief introduction about it?

Mr. Wells: It is also my pleasure to receive 8264 interview, a good chance for more Chinese customers to learn more about HOT CHILLYS. Firstly, I would like to give a brief introduction: When founded in 1985, Hot Chillys revolutionized the ski market with performance ski "warm wear" (base layer underwear) incorporating fabric technologies previously found primarily in running apparel, generally we expanded products ranges. Today, no matter in snowboarding, climbing, skiing, snowshoeing, cycling, running or indoor fitness classes at the gym, I am proud of saying we can supplier the best quality performance underwear to customers .We engineer the most advanced performance products possible; test and retest for function and durability, then add two parts fun and a cold cerveza. What we pursue is ‘nothing fits better, but nothing keeps you as warm. So far, HOT CHILLYS performance apparel has occupied 38% markets shares in American performance underwear industry. After a careful market research and survey, found china outdoor industry has huge market potential, so we formally entered Chinese market in 2003 and opened factories in Zhongshan city, Guangdong province and Marcao. Today, HOT CHILLYS products sell around the country.

Q2: HOT CHILLYS should be a foreign brand to relatively early enter the Chinese market in performance underwear industry, so Mr. Wells, why does Chinese market live in much esteem with you ?

Mr. Wells: As we all known, China has developed very rapidly in recent years, people’s life has improved day by day. So outdoor sports has generally come in vogue, consequently, the demands for outdoor good is rising. We take the chance, speed up to enter Chinese market, while Chinese government has greatly developed foreign company, and attracted foreign investment. Now we are beginning to research entry into European market, we look to Hot Chillys into Europe by 2009 introduction. But now i want to foucs all my company’s engery and efforts into the Asian market, today, Hot Chillys also has distribution in Korea and Japan as well.

Q3: How about the sales in China market in the past several years？what is your main market channel?

Mr. Wells: The market channel in China is similar to the Americans’, our targeted customers are the top retail stores. Therefore, it is very important for us to select proper retailers that directly influence the end users’recognization to HOT CHILLYS. To be responsible to every end customers, we are very sensitive to select a retailer with a careful research and survey. In addition, we pay special attention to the new retailers ‘building, help them to do better business. As I just mentioned, China is a new market with unlimited potential; our sales in China is also steady developing. Today, there are about 100 top outdoor stores selling HOT CHILLYS all over China, as well as approximately 5,000 stores in USA.  

Q4: How’s going well with your retailers? Moreover, HOT CHILLYS has been marketable in USA for so many years, you should know well about the American outdoor retail, so how do you think the disparity or difference between the Chinese outdoor retail and the American outdoor retail?

Mr. Wells: To analyze at the present level, American outdoor retail industry may be better, more mature in market size and management than, but we look forward to the better future of Chinese outdoor retail; what is needed is time and experience. I believe it will greatly develop in the next few years. In fact, many outdoor stores do a good job and we cooperated very well.   

Q5: where is your key market in Chins, how is about your new marketing plan?

Mr. Wells: I just said HOT CHILLYS is selling around the whole country today. What we want to do is to explore more retailers that are proper in 2008, further promote HOT CHILLYS products and raise its popularity in China. Regards to the Ispo China, our aim is to find more retails.

Q6: What kind of new product do HOT CHILLYS bring to customers?

Mr. Wells: At this exhibition, we would like to show all new HOT CHILLYS Fall 2008, including HOT CHILLYS series, HOT CHILLYS SALSA series, PEPPER series and HOT CHILLYS Premier and Pepper socks series.  

Q7: Since HOT CHILLYS entered Chinese market for 4-5 years and opened local factory, how long do you stay in China and how many times do you come to China one year? 

Mr. Wells:As we have factories in both Zhongshan and Marco, so I often come to China, about 2-3 weeks one time, that is to say, every year I stay in China nearly three months.