Peter Geschwind and Moritz ZÜllig, co-founders of Progress Watch Group and former members of the board of Progress Watch Corp., have announced their resignation from these functions. The Zurich-based management consultant Rudolf W. Hug has been mandated to put together a new board of directors for the holding company. Rudolf W. Hug has already been appointed chairman of the board of directors of Progress Watch AG. The second member of the board is Hanspeter Thiel. Hug and Thiele relace Willy Meier, who has stepped down from the board. Hug was a member of the executive board of Credit Suisse for ten years as well as a member of the executive board of Credit Suisse First Boston. He is currently a member of the board of directors of Swiss Post, Orell FÜssli Holding AG and Micronas Semiconductors Holding AG. Hanspeter Thiel was a partner at PriceWaterhouseCoopers in Zurich for over 20 years, serving on the executive board for 15 years. Thiel was also chairman of the Swiss Chamber of Trustees from 1997 to 1999. The new board of directors of Progress Watch AG has thanked Peter Geschwind for his committed work.

Investors and customers have made available the funds required to solve Progress Watch AG's liquidity problems and ensure that the company can continue operations for the next few months. (...) Investors have also made commitments to finance the group's medium term growth. The bankruptcy ruling has thus been passed on to the mext higher court (supreme court) and an appeal for a stay of bankruptcy has been submitted.

Employees of Progress Watch AG and the other subsidiaries were informed of these developments. There should be no need for any redundancies.

From Progress Watch AG's press release