Tarkett Sommer AG (D-67225 Frankenthal; www.tarkett-sommer.com) has signed a letter of intent to found a 50:50 joint venture with Yugoslavia´s Sintelon A.D. (Backa Palanka) for production, marketing and distribution of PVC flooring in eastern Europe. Sintelon will contribute production capacities at its headquarters at Backa Palanka near Belgrade and at Otradny, near Sarnara, Russia, while Tarkett will provide know-how, technology, equipment and part of its production volume imported from western European plants. With shares of more than a third in each market, the jv will be the biggest supplier of PVC flooring in Russia, the Ukraine and the former CIS states, said chairman of the board Marc Assa. Pro forma sales for 2001 are projected to be EUR 200m, and the aim to increase this figure to EUR 250m as early as next year. The official launch of the new company is scheduled for February 2002.