VAULT SALON GOING INTERNATIONAL
JORGENSON GROUP OPENING SECOND BUSINESS IN CHENNAI, INDIA

Date: April 29, 2006
Posted At: WinnipegFreePress.com
By: Michelle Dobrovolny

A Winnipeg-based salon is stepping out onto the global stage by opening a new location in the ritzy Taj Coromondel Hotel in Chennai, India, this summer.

"It is an opportunity to put Winnipeg on the map and become the headquarters of a global spa and salon network," said Daren Jorgenson, founder of the Jorgenson Group of Companies, which owns and operates Vault Salon and Spa.

Vault's newest location is the result of a trade mission to India in February organized by the provincial government. It was the largest such mission ever led by a Manitoba premier, with 35 provincially based companies seeking new business in India's booming market.

Chennai, formerly known as Madras, is the fourth-largest city in India with seven million people. It is located on the Bay of Bengal, an area that has seen a lot of growth in the information technology sector, boosting the city's economy into rapid double-digit growth.

Diane Gray, provincial deputy minister of Federal/ Provincial and International Relations, said Jorgenson showed a lot of energy during the mission.

"We're not surprised that he capitalized on the opportunities that were presented," she said. "Our job is to open doors for business. We're really thrilled that a company like Jorgenson Group walked through those doors."

The salon isn't the first business Jorgenson has opened in India. Santec Inc., a health information technology company in Chennai, is also owned by Jorgenson Group and employs 100 people in positions related to the company's health-care ventures.

Jorgenson Group is probably best known as a leader in Manitoba's declining Internet pharmacy industry. As American purchases of drugs online continue to fall, Jorgenson says he is seeking new markets and business ideas. He said that his company has experienced a 50 per cent reduction in volume of online drug sales this past year.

"A lot of the profits from the Internet pharmacy are fading fast. The smart thing to do is look into other stuff, and sit on the Internet pharmacy," he said.

Jorgenson purchased Vault three years ago, though at the time he didn't have the vision for a global chain he has since developed.

"It was kind of a spur of the moment thing," said Brandy O'Reilly, vice-president of Beauty & Wellness for Jorgenson Group. "But once he got involved, he realized it had a lot of correlation to the medical industry."

O'Reilly will be heading up development of the new salon in India.

Jorgenson's ultimate concept is a chain of salons comparable to Vidal Sassoon in all the "fashionable, international city locations," which is why he chose to open a salon in the five-star Taj Coromondel.

"In India, opening in the Taj Hotel Group, you're automatically elevated to a new prestige level," said Jorgenson.