Total upholstery net sales amounted to €298.9 million, down 3.8% from €310.7 million reported for the first three quarters of 2011. Net sales from Natuzzi Italia branded products totaled €102.9 million, down by 23.1% over last year comparable period, with Europe (included Italy) reporting a 27.8% decrease over last year. On the other hand, the medium/low-end products, under the “Other Brands” item, reported an average 10.8% increase over the prior year comparable period, thanks in particular to the good performance from the Americas region (+21.7%) and the “Rest of the World” region (+8.6%), and although disappointing sales from Europe (-4.7%).According to a geographical breakdown of total net sales, during the first nine months of 2012 we highlight the positive result from the “Americas” region (+18.9% over 2011 same comparable period), due also to the effectiveness of the commercial actions in that region; in particular, it is worth being noted the performance from the USA (+16.3%), Canada (+23.4%) and Brazil (+98.0% at €4.6 million). Sales from Europe are still disappointing (-18.7% Italy included), being affected by the global economic slowdown and by the debt-related crisis in some Countries, even if sales from the UK are on the upside (+3.6% over last year same period). Sales from the “Rest of the World” region were at €44.2 million, down by 3.9% over the first nine months of 2011. The Industrial Margin as percentage of total net sales was 33.6% during the first nine months of 2012, up from 32.8% reported for the same comparable period of 2011. Selling expenses as percentage of total net sales were substantially unchanged, passing from 15.6% reported one year ago to 15.8% for the nine-month period ended September 30, 2012. In particular, transportation costs (at €34.0 million), passed form 9.4% in the first nine months of 2011 to 9.9% for the first three quarters of 2012; commissions paid to third party agents (at €7.5 million) increased from 1.8% reported last year to 2.2% for the first nine months of 2012. Advertising costs (at €12.4 million), decreased as percentage on total net sales, from 4.4% reported one year ago to 3.6% in the first nine months of 2012.