Natuzzi S.p.A. is engaged in the design, manufacture and marketing of contemporary and traditional leather and fabric-upholstered furniture, principally sofas, loveseats, armchairs, sectional furniture, motion furniture and sofa beds, and living room accessories. The Company designs 100% of its products and it manufactures, directly or through third-parties, approximately 51% of its products in Italy. Production outside of Italy is mainly for the Italsofa brand. Within Italy, the Company sells its furniture principally through franchised Divani & Divani by Natuzzi furniture stores. As of April 30, 2009, 104 Divani & Divani by Natuzzi stores, four outlet stores, and one Natuzzi store were located in Italy. Outside of Italy, the Group sells its furniture principally on a wholesale basis to major retailers and through 195 Natuzzi stores and Divani & Divani by Natuzzi stores and 17 concessions in the United Kingdom and one concession in the Republic of Ireland.