China's rights protection action is successful. Graco takes practical actions to defend consumer rights.

Graco Fluid Equipment (Shanghai) Co., Ltd., a subsidiary of Graco Corporation, a leading global manufacturer of fluid handling equipment, has recently achieved continuous success in its anti-counterfeiting and rights protection actions in China. The company has launched a strong counterattack against product infringements and illegal counterfeiters who have damaged market order and consumer rights with counterfeit and shoddy products.

In June 2019, after mediation by the court, Jiangsu Yixing Sanfa Spraying Equipment Co., Ltd. and Yixing Xinhuan Casting Co., Ltd. formally sent a letter of apology to Graco, admitting that their Kaisda spraying equipment had infringed Graco's brand trademark rights and related technical product intellectual property rights, and promised to immediately and completely stop its related trademark infringements, and guarantee that they will never infringe on all trademark rights enjoyed by Graco and its affiliates in the future, and infringe on other intellectual property rights enjoyed by Graco when knowingly or should have known. If the above commitments are violated, Yixing Sanfa Spraying Equipment Co., Ltd. and Yixing Xinhuan Casting Co., Ltd. promise to pay Graco RMB 1 million as compensation.

This is another great victory after the Shenyang Intermediate People's Court ruled in June 2016 that Shanghai Sanqi Spraying Equipment Co., Ltd. infringed Graco's intellectual property rights and was required to pay RMB 4 million in compensation to Graco. The court also seized Sanqi's counterfeit spray equipment products at the end of 2016 and in 2017. This shows Graco's determination and will to crack down on all kinds of infringement and counterfeiting in the market and safeguard the legitimate rights and interests of consumers.

As a global leading brand in the construction equipment industry, Graco has been committed to technological innovation for many years and enjoys a high reputation among consumers for its high-quality and reliable construction spraying products and services. As a result, it has become the target of many illegal imitators and counterfeiters. Graco pays great attention to such infringement and counterfeiting that disrupt the market order and infringe on the rights of consumers, and resists them with an attitude of resolutely fighting back against all violations of the law. Fabien Ledebt, Vice President of Sales and Marketing for Graco's Construction Spraying Equipment Division in Asia Pacific, said: "This success in the infringement lawsuit against Kaisda is another major progress in our rights protection actions in China. It also demonstrates Graco's determination to firmly safeguard intellectual property rights and to serve Chinese consumers with truly high-quality products."

In the past two years, Graco has continuously defeated various types of counterfeiting and infringement through practical actions, and at the same time helped consumers to purchase Graco products through regular agent channels and obtain corresponding high-quality equipment and service support, which has achieved remarkable results in the Chinese market and consumer groups, allowing consumers to better understand Graco's brand value and service commitment. Graco also reminds consumers to strengthen their self-protection awareness and be wary of similar products and equipment that are priced far below the market level; when purchasing Graco products, they can also use channels such as the authorized agent query platform to further identify the qualifications of agents and the authenticity of products.

Graco has always been committed to providing high-quality, durable products to market users with excellent engineering design and rigorous manufacturing. The company has always been committed to promoting industrial upgrading and sustainable development in China's construction industry, and has invested a lot of resources every year to promote technological innovation, bringing world-class cutting-edge technology to China, and meeting local customer needs with more efficient and pioneering quality services.