$10 Million Theft of Trade Secrets Case Against Jacuzzi Brands, Inc. Unit to Move to California

Federal Court Action against Sundance Spas unit of Jacuzzi Brands, Inc. June 21, 2004 -- A lawsuit by Spa Builders Support Group, Inc., an electronic controls manufacturer of Corona, California, against Sundance Spas, Inc., of Chino, California, a unit of Jacuzzi Brands, Inc. (NYSE: JJZ) which is a manufacturer of premium spas and hot tubs and was former customer of Spa Builders, alleging theft of trade secrets and violations of the Lanham Act in relation to Sundance unlawfully "reverse engineering" was ordered moved to the Central District of California on June 18, 2004, by a district court in Virginia where the action was originally filed.

The lawsuit claims that Sundance Spas, improperly copied Spa Builders microprocessor based "LX" model electronic controls by misappropriating Spa Builders engineering trade secrets and that Sundance Spas infringed Spa Builders trademarks by designating the 'knock-off' product line as the "LX" control series, causing confusion in the marketplace as to the source of the product. Spa Builders alleges damages of as much as $10 million.

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