Charted Financial Analyst - PDF by zii41157

VIEWS: 0 PAGES: 20

More Info
									                                        Investment Team: pp 1-5   Active Investments: pp 6-12   Realized Investments: pp 12-20



Merit’s partners average over 20 years of investing experience. Our diverse backgrounds and long
tenures in the deal business have resulted in a well-defined investment strategy and the confidence to
creatively structure our investment to fit each opportunity’s distinctive circumstances.




INVESTMENT TEAM

                          Thomas F. Campion, CFA, Managing Director, joined Merit in 1997. From 1993 to
                          1997, Tom was a Director of Prudential Asset Management Asia in Hong Kong, a general
                          partner of private equity funds, including equity investments in private companies throughout
                          the Asia Pacific region. From 1987 through 1992, Tom was a Vice President of Prudential
                          Capital Corporation in Newark and Chicago, responsible for originating and managing
                          private placements. While at Prudential Capital, he also earned his Charted Financial Analyst
                          designation. From 1983 to 1986, Tom worked at the former Arthur Andersen in Milwaukee,
                          where he received his Certified Public Accountant designation.

                          Tom received his M.B.A. from the University of Wisconsin, Madison, where he graduated with
                          honors and his B.B.A. in Accountancy from St. Norbert College, where he graduated magna
                          cum laude.

                          Tom currently serves on the Board of Directors of Brook Furniture Rental, MTI International,
                          Inc., The Plastics Group, Inc., Manistique Papers, Inc., Dr. Comfort LLC, Active Minerals
                          International, LLC and Ferrara Fire Apparatus, Inc.

                          Tom’s community activities include coaching his four children, and serving on the St. Norbert
                          College Advisory Board, the Highlands Foundation and the Apostolate to the Handicapped
                          Board.


                          Evan R. Gallinson, Principal, joined Merit in 2005. Evan was previously in the Mergers and
                          Acquisitions group at BMO Capital. Prior to that, Evan worked in Corporate Finance at William
                          Blair & Company, and focused on mergers acquisitions as well as public and private equity
                          offerings. Evan also worked in the Mergers Acquisitions group at PriceWaterhouseCoopers.

                          Evan received his M.B.A. from Northwestern University’s Kellogg School of Management with
                          a concentration in finance and entrepreneurship. He earned his B.B.A. with a concentration in
                          finance from the University of Michigan.

                          Evan currently serves on the Board of Directors of B.E.T. – er Mix, Inc., Manistique Papers,
                          Inc., Design Space, Inc., Cobra Wire Cable and Digney York.

                          Evan is currently a Co-Chairman of Chicago Area Private Equity Executives (CAPEX).
                          He is an active member with University of Michigan’s Ross School of Business Alumni Club
                          of Chicago.
  www.meritcapital.com   312.592.6111                                1
                         David M. Jones, Managing Director, joined Merit in 1993 in conjunction with the closing
                         and initial investing of Fund I. David was previously a senior consultant with Peterson
                         Consulting, a national business valuation and litigation consulting firm, and specialized in
                         business and product line valuations in intellectual property disputes.

                         David earned an M.B.A. with honors from the University of Chicago and a B.B.A. from the
                         University of Notre Dame in 1988.

                         A Managing Director of Merit Capital Partners since 2000, David currently serves on the
                         Board of Directors of Peerless Industrial Group, Inc., Sales Performance International, Inc.,
                         B.E.T. - er Mix, Inc. and Cobra Wire Cable.

                         David, currently attempting to survive raising 11-year-old triplets, coaches youth soccer
                         and baseball and is active in St. Mary Church of Riverside, Illinois. David also is active with
                         the Employee Stock Ownership Association having served as a member of the Finance
                         Committee since 2001.


                         Leonard H. Lillard, CFA, Principal, joined Merit in 2006. From 1999 to 2005, Len was
                         a Co-Founder and Principal of WestCap Partners Private Equity Fund. WestCap focused
                         on acquiring lower middle-market companies with attractive growth prospects located in
                         the Western United States. From 1996 to 1998, Len was a Director of Banc One Capital
                         Partners where he established the firm’s western Regional Office in Phoenix, Arizona. Prior
                         to that Len served nine years at Prudential Capital Corporation, an affiliate of the Prudential
                         Insurance Company of America. In these capacities, he invested over $1 billion in senior debt,
                         mezzanine and equity securities.

                         Len is a Chartered Financial Analyst and received an M.B.A. and B.S. from the University of
                         Michigan where he was awarded an athletic scholarship to play varsity basketball.

                         Len has served on the Board of Directors for Desert Plastics and Unique Home Design, Inc.
                         He is also a Trustee and head of the Investment Committee for Phoenix Country Day School.
                         Len serves on the Board of Directors for VTI Instruments Corporation.

                         Len’s community activities include coaching and supporting the various soccer, chess and
                         basketball teams his three sons participate in as well as Boys Team Charity events. Len and
                         his wife Karen reside in Paradise Valley, Arizona.




www.meritcapital.com   312.592.6111                               2
                         Timothy J. MacKenzie, CFA, Managing Director, joined Merit in 1993 in conjunction
                         with the closing and initial investing of Fund I. Tim was previously a Senior Vice President
                         of Fiduciary Capital, an investment advisor to two publicly raised mezzanine funds located
                         in Milwaukee. Prior to that, he worked at Prudential Capital Corporation in both the Dallas
                         and Milwaukee regional offices, most recently as Vice President in charge of the Milwaukee
                         office. His responsibilities with Prudential Capital included the management of a significant
                         portfolio and the generation of private placement and mezzanine investments. From 1982 to
                         1986, Tim was a Vice President with RepublicBank Dallas, specializing in domestic and multi-
                         national middle market lending.

                         Tim received his M.B.A. from the University of Illinois with a concentration in finance and
                         a B.A. from Northwestern University in 1980 with a major in economics. Tim received the
                         designation of Chartered Financial Analyst in 1990.


                         As a Managing Director of Merit Capital Partners since 1993, Tim currently serves on the
                         Board of Directors of May Logistics Services, Inc., Design Space, Inc., Digney York, Skyline
                         Windows, LLC. and Alden Industries, Inc.

                         Tim’s community activities include coaching his three children in soccer, basketball and
                         baseball. He is a former Chairman of Young Life-DuPage County, a non-denominational
                         outreach ministry targeting high school students. Tim is actively involved as a mentor
                         with Bridge Communities, a transitional housing association working with homeless families.
                         He is a Member of the local AYSO Board of Directors and former Trustee of his local church.


                         Jason B. Moskowitz, Vice President, joined Merit in 2007. Jason was previously an Associate
                         at Pfingsten Partners, a middle market private equity firm. Prior to Pfingsten, Jason worked in the
                         corporate finance department at William Blair & Company in Chicago and London, focusing on
                         mergers and acquisitions as well as private and public equity offerings.

                         Jason received an M.B.A. from Northwestern University’s Kellogg School of Management
                         with a concentration in finance and a B.B.A., magna cum laude, from the University of Notre
                         Dame with a concentration in finance and business economics.

                         Jason currently serves on the Board of Directors of Fleischer’s Bagels, Inc. and Tom Cat
                         Bakery, Inc. He also works extensively with the management of Angus Industries, Inc.




www.meritcapital.com   312.592.6111                                3
                         Daniel E. Pansing, Managing Director, joined Merit in 1999. He began his career at the
                         First National Bank of Omaha where he was a Management Trainee, gaining exposure to all
                         aspects of the bank’s operations. He later joined the bank’s Commercial Lending Department.
                         In 1995, Dan moved to Chicago to join LaSalle Bank’s (now Bank of America) credit training
                         program. As a Commercial Loan Officer at LaSalle, Dan focused on leveraged and asset
                         based transactions with middle market companies.

                         Dan received his M.B.A., with honors, in 1999 from the Anderson School at U.C.L.A. As a
                         Venture Fellow, his studies focused on finance and entrepreneurial studies. In 1993, Dan
                         earned a B.S. in Political Science, magna cum laude, from Miami University in Oxford, Ohio.
                         He graduated Phi Beta Kappa.

                         Dan is involved with several Merit portfolio companies, serving on the Board of Directors of
                         Angus Industries, Inc. and Skyline Windows, LLC. He is also active with Clarion Technologies.

                         In addition to his community service activities, Dan is a member of the Association for
                         Corporate Growth and the Employee Stock Ownership Association.


                         Terrance M. Shipp, Managing Director, is a founding partner of Merit. Prior to forming the
                         general partner of Fund I in 1991, Terry was a Partner in LaSalle Capital Group, a Chicago-
                         based management buyout firm. Between 1982 and 1990, Terry worked at Prudential Capital
                         Corporation, most recently as Regional Vice President in charge of the firm’s Chicago and
                         Cleveland offices, which specialized in middle-market mezzanine investments. Terry was
                         responsible for a staff of approximately 12 investment professionals and a portfolio over $1
                         billion. During his eight years with Prudential Capital, he was actively involved in a significant
                         number of the mezzanine investments generated by the Chicago office. His responsibilities
                         included origination, structuring, due diligence, negotiation, monitoring and disposition
                         activities.

                         Terry received his M.B.A., with distinction, from Northwestern University’s Kellogg Graduate
                         School of Management and a B.S., magna cum laude, from the University of Colorado.

                         Terry currently serves on the Board of Directors of Peerless Industrial Group, Acme Industries,
                         Inc., MTI International, Inc., The Plastics Group, Inc., Fleischer’s Bagels, Versatile Processing
                         Group and Tom Cat Bakery, Inc.

                         Terry is actively involved in his local church and community soccer organization as well as a
                         host of other charitable causes.




www.meritcapital.com   312.592.6111                               4
                         Marc J. Walfish, Managing Director, is a founding partner of Merit Capital Partners. Prior
                         to founding Merit, Marc worked for thirteen years at The Prudential Insurance Company of
                         America, most recently as Senior Vice President of Prudential Capital Corporation. In this
                         capacity, Marc was based in Chicago and was responsible for the firm’s four Midwest offices
                         and a portfolio of over $2 billion.

                         Marc earned his M.B.A. and B.S.B.A., cum laude, from Boston University.

                         Marc currently serves on the Board of Directors of AAR Corporation, May/ADS and VTI
                         Instruments Corporation.

                         Marc’s community service activities include coaching youth soccer and serving on the Board
                         of the local AYSO. Marc also serves on the Board of his local community and is a past
                         President. Marc serves as a regular guest lecturer at the University of Iowa’s Tippie College of
                         Business.


                         Benjamin W. Yarbrough, Vice President, joined Merit in 2008. Ben was previously a
                         Consultant at Marakon Associates, a boutique strategy consulting firm based in New York
                         City and London serving global Fortune 200 clients. At Marakon, Ben worked across various
                         industries, including healthcare, financial services and consumer products. Prior to Marakon,
                         Ben was a Fellow at the United States Golf Association Foundation in Colorado Springs,
                         helping to manage the USGA’s grants program.

                         Ben received an M.B.A. from the University of Chicago Graduate School of Business with
                         concentrations in finance and entrepreneurship. He earned his B.A. in economics from the
                         University of Pennsylvania.

                         Ben currently serves on the Board of Directors of Ferrara Fire Apparatus, Inc.




www.meritcapital.com   312.592.6111                              5
PORTFOLIO


Merit Capital Partners invests across the United States primarily in manufacturing, services, or
distribution businesses. Our investments are typically structured as buyouts, recapitalizations, or growth/
acquisition financings and are sourced directly or through investment banks or larger equity funds.

We invest alongside management and shareholders in a variety of different transactions:

  • Management Buyouts
  • Shareholder Liquidity / Recapitalizations
  • Acquisition and Growth Financings
  • Corporate Divestitures
  • ESOP Financings
  • Fundless / Small Fund Sponsored Transactions



ACTIVE INVESTMENTS

                           Active Minerals International, LLC | activeminerals.com
                           Date of Investment: May 2007
                           Date of Disposition: Active
                           Active Minerals International, LLC, (“AMI”), headquartered in Hunt Valley, Maryland, is
                           a processor and global distributor of industrial minerals. AMI conducts manufacturing
                           operations in two facilities, located in Georgia and Florida, and maintains four separate sales
                           facilities throughout Asia in Taipei, Taiwan; Shanghai, China; Tokyo, Japan; and Seoul, South
                           Korea. AMI controls significant reserves of high quality kaolin and attapulgite clay in the
                           Southeastern United States.

                           Merit provided subordinated debt and equity to finance the acquisition.


                           Alden Industries, Inc. | pvi.com
                           Date of Investment: June 2008
                           Date of Disposition: Active
                           Alden Industries, Inc. (“Alden”), a holding company formed in 1990, is headquartered in Fort
                           Worth, Texas where it manufactures commercial water heaters, firetube boilers, multi-tube
                           boilers and related component parts. Alden serves the North American commercial and
                           institutional water heater markets through three operating subsidiaries: PVI Industries, LLC,
                           Webster Engineering and Manufacturing Co., and Riverside Hydronics, LLC. The company
                           maintains manufacturing facilities in Fort Worth, Texas and Winfield, Kansas.

                           Merit provided subordinated debt to finance the recapitalization.




  www.meritcapital.com   312.592.6111                              6
                         Angus Industries, Inc. | angus-palm.com
                         Date of Investment: September 2004
                         Date of Disposition: Active
                         Angus Industries, Inc. is one of the largest manufacturers of operator stations and rollover
                         protective structures (e.g. cabs) for mobile equipment in the United States. The Company
                         designs and manufactures cabs for the construction, agricultural, mining, forestry, and
                         material handling equipment industries, among others. The Company is headquartered in
                         Watertown, South Dakota, with additional manufacturing facilities in Greeneville, Tennessee,
                         Northwood, Iowa and Florence, South Carolina.

                         Merit provided subordinated debt in support of the recapitalization of the ESOP.


                         B.E.T. – er Mix, Inc. | betermix.com
                         Date of Investment: June 2006
                         Date of Disposition: Active
                         B.E.T. – er Mix, Inc. (“BMI”) is a manufacturer and distributor of ready mixed concrete and
                         concrete block to the Tampa, Florida metropolitan area. The Company owns and operates
                         two ready mixed plants in Hudson and Zephyrhills, Florida, as well as two block machines
                         in Hudson. BMI owns its distribution fleet of 46 front-loading mixer trucks and seven block-
                         hauling trucks.

                         Merit provided subordinated debt and equity to finance the acquisition.


                         Brook Furniture Rental, Inc. | bfr.com
                         Date of Investment: July 1998
                         Date of Disposition: Active
                         Brook Furniture Rental, Inc. (“Brook”), headquartered in Chicago, Illinois, primarily rents
                         furniture, accessories and related services to individuals, corporations and small companies
                         in the “rent-to-rent” segment of the furniture rental industry. The “rent-to-rent” segments serve
                         both corporate and individual customers who desire flexibility in meeting their temporary and
                         transitional needs. Brook’s current key markets—, Los Angeles, San Francisco and Chicago,
                         are all significant business centers. In addition, Brook has expanded into the Atlanta, Dallas
                         and Washington, DC markets.

                         Merit provided subordinated debt with warrants to finance the recapitalization and expansion.


                         Clarion Technologies, Inc. | clariontechnologies.com
                         Date of Investment: July 2000
                         Date of Disposition: Active
                         Clarion Technologies, Inc. (“Clarion”), headquartered in Grand Rapids, Michigan, is a full-
                         service injection molder. Clarion supplies injection molded plastic parts to customers in three
                         primary industries: consumer goods and appliances, automotive and office furniture. In each
                         of these markets, Clarion aims to serve large customers with multi-year programs. Sales
                         efforts in Clarion’s consumer and appliance are generally aimed at OEMs such as Frigidaire,
                         Maytag, and American Yard Products. In the automotive industry, Clarion focuses on serving
                         Tier 1 automotive suppliers such as Visteon, Delphi, Magna, JCI, and Lear.

                         Merit provided subordinated debt with warrants to finance Clarion’s acquisition program.




www.meritcapital.com   312.592.6111                              7
                         Cobra Wire and Cable, Inc. | cobrawire.com
                         Date of Investment: March 2007
                         Date of Disposition: Active
                         Cobra Wire and Cable, Inc. (“Cobra”) develops and sells proprietary wire and cable products
                         that are utilized by customers in a variety of industries. The Company’s products serve niche
                         applications where performance under severe operating conditions is critical to maintaining
                         optimal performance and flexibility. Cobra maintains its headquarters in Hatboro, Pennsylvania
                         and also has warehouses and sales centers in Plano, Texas and Sparks, Nevada.

                         Merit invested both subordinated debt and equity in support of the acquisition.


                         Design Space, Inc. | designspaceinc.com
                         Date of Investment: December 2006
                         Date of Disposition: Active
                         Design Space, Inc. (“DSI”) is a leading regional manufacturer of modular buildings. The vast
                         majority of DSI’s buildings are manufactured for commercial uses such as mobile construction
                         field offices, office buildings, classrooms, health care/medical buildings, daycare centers, and
                         toilet/shower units. DSI sells through a network of dealers rather than working directly with
                         the buildings ultimate customer. Approximately 95% of these structures are custom built to
                         the end-user’s specifications. DSI operates three plants in southern Georgia.

                         Merit invested both subordinated debt and equity in support of the acquisition.


                         Digney York, LLC | digneyyork.com
                         Date of Investment: August 2007
                         Date of Disposition: Active
                         Digney York, LLC (“Digney”), headquartered in Vienna, Virginia, is a provider of interior
                         renovation services to the luxury hospitality industry. The majority of Digney’s projects include
                         the renovation of luxury hotel guest rooms to customer specifications, although the Company
                         will also rework other areas of the hotel including the lobby area and other public spaces. The
                         Company is able to provide its services throughout North America.

                         Merit invested both subordinated debt and equity in support of the recapitalization.


                         Dr. Comfort, LLC | drcomfortdpm.com
                         Date of Investment: February 2006
                         Date of Disposition: Active
                         Dr. Comfort, LLC (“Dr. Comfort”) provides therapeutic shoes and custom inserts primarily to
                         the niche diabetic footwear segment. Headquartered in Mequon, Wisconsin, the Company
                         serves the 21 million diabetics in the United States, of which roughly 25% will develop
                         diabetes related foot problems, through a nationwide network of podiatrists and drugstores.

                         Merit provided subordinated debt and equity in support of the recapitalization.




www.meritcapital.com   312.592.6111                              8
                         Ferrara Fire Apparatus, Inc. | ferrarafire.com
                         Date of Investment: March 2009
                         Date of Disposition: Active
                         Ferrara Fire Apparatus, Inc., (“FFA”), headquartered in Holden, Louisiana, manufactures
                         and sells fire apparatus in the United States and internationally. FFA manufactures over 300
                         fire trucks per year at its Louisiana facility and sells both directly and through a network of
                         independently owned dealers. FFA was founded by Chris Ferrara in 1982 and has quickly
                         grown to become one of the leading US manufacturers of fire apparatus, offering Pumpers,
                         Aerials, Tankers and Rescue Vehicles.

                         Merit provided subordinated debt and equity to finance a recapitalization with Chris Ferrara
                         remaining as President and CEO.


                         Fleischer’s Bagels, Inc. | fleischersbagels.com
                         Date of Investment: July 2005
                         Date of Disposition: Active
                         Fleischer’s Bagels, Inc. (“Fleischer’s”), headquartered in Macedon, New York, is one of the
                         country’s leading producers of premium quality packaged bagels. Fleischer’s produces and sells
                         approximately 200 million fresh, frozen, and refrigerated packaged bagels annually. Fleischer’s
                         sells and distributes bagels primarily through grocery stores and mass merchants under the
                         Fleischer’s brand name, as well as private label and co-pack arrangements. The Company also
                         has a facility in Charlotte, North Carolina.

                         Merit invested both subordinated debt and equity in support of the acquisition.


                         ISI Detention Contracting Group, Inc. | isidet.com
                         Date of Investment: October 2004
                         Date of Disposition: Active
                         ISI Detention Contracting Group, Inc., is a provider of fully integrated hardware, electronic
                         security equipment, and low voltage products (access control, closed circuit television,
                         alarms, etc.) to the correction facility market as well as the private commercial and industrial
                         markets across the U.S. The Company is headquartered in San Antonio, Texas with additional
                         facilities in Dallas, Austin and Denver.

                         Merit provided subordinated debt in support of the recapitalization.


                         Manistique Papers, Inc. | manistiquepapers.com
                         Date of Investment: November 2006
                         Date of Disposition: Active
                         Manistique Papers, Inc. (“MPI”) is a producer of uncoated groundwood specialty papers and
                         newsprint made from 100% recycled fiber. The Company is located in Manistique, Michigan
                         and has been manufacturing paper since 1920. MPI operates a single paper machine that
                         has over 130,000 tons of annual capacity. MPI’s products mainly serve the commercial
                         printing industry, with niche positions in foodservice and office products. The largest end use
                         of the Company’s paper for free-standing inserts, which are typically distributed along with
                         newspapers.

                         Merit invested both subordinated debt and equity in support of the acquisition.




www.meritcapital.com   312.592.6111                               9
                         May Logistics Services, Inc. | maylogistics.com
                         Date of Investment: December 1998
                         Date of Disposition: Active
                         May Logistics Services, Inc. (“May”), headquartered in Homewood, Illinois, provides logistics
                         management and a variety of customized services related to its customers’ logistics needs
                         through its operating subsidiary ADS. ADS is a national provider of logistics services to
                         producers and consumers of steel, aluminum and non-ferrous metals.

                         Merit provided subordinated debt and common stock used to finance the acquisition by
                         management and a major equity fund sponsor.


                         MTI International, Inc. | mtielectronics.com
                         Date of Investment: May 1999
                         Date of Disposition: Active
                         MTI International, Inc. (“MTI”), headquartered in Menomonee Falls, Wisconsin, is a full
                         service provider of electronic contract manufacturing services, including the design and
                         testing of PCB assemblies and custom thick-film hybrid circuit design and manufacturing.
                         MTI offers both low cost and regional manufacturing solutions by providing complete
                         turnkey services which include component procurement, PCB assembly, box build, in-
                         circuit test development, functional test development, printed circuit board layout and hybrid
                         microcircuit design. MTI provides its manufacturing services to several industries, including
                         telecommunications, computers and peripherals, industrial controls, medical, automotive,
                         gaming and consumer products.

                         Merit provided subordinated debt with warrants to finance the recapitalization by
                         management.


                         Peerless Industrial Group, Inc. | peerlesschain.com
                         Date of Investment: May 1997
                         Date of Disposition: Active
                         Peerless Industrial Group, Inc. (“Peerless”), headquartered in Winona, Minnesota, is a leading
                         manufacturer of industrial and hardware chain and traction products. Peerless’ chain is used
                         in an extremely broad range of home, farm, recreational and industrial applications.

                         Merit provided subordinated debt with common stock to finance the acquisition by
                         management and an outside investor group.


                         The Plastics Group, Inc. | theplasticsgroup.net
                         Date of Investment: April 2000
                         Date of Disposition: Active
                         The Plastics Group, Inc. (“TPG”), headquartered in Willowbrook, Illinois, is a market leader
                         in the design, engineering and manufacture of custom blow-molded and rotational-molded
                         plastic parts for a variety of end-market applications. TPG derives the majority of its
                         revenues from custom products and tooling that it designs and manufactures for specific
                         customers’ applications. TPG derives its remaining revenues from the sale of consumer
                         products, including a proprietary line of blow-molded gas and water containers, drain pans
                         and rotationally molded septic tanks. TPG sells its consumer products to major retailers and
                         distributors in a wide variety of industries.

                         Merit provided subordinated debt and common stock to finance the acquisition by
                         management and a major equity fund sponsor.

www.meritcapital.com   312.592.6111                              10
                         Sales Performance International, LLC | spisales.com
                         Date of Investment: November 2001
                         Date of Disposition: Active
                         Sales Performance International, LLC (“SPI”), headquartered in Charlotte, North Carolina, is a
                         sales and marketing management consulting firm. SPI has helped enable the world’s leading
                         corporations to drive sustainable revenue growth through sales performance improvement.
                         Since 1988, SPI has been the leader in helping global companies successfully transition from
                         selling products to marketing and selling high value solutions. With deep industry and sales
                         performance improvement expertise, broad global resources and a proven track record, SPI
                         collaborates with clients to deliver strategic, operational and tactical solutions in a pragmatic
                         way. SPI’s customers include are: Microsoft, Heineken, Hitachi Data Systems, Manpower,
                         IBM, WIX, and MC.

                         Merit provided subordinated debt with warrants to finance the acquisition of SPI by
                         management.


                         Skyline Windows, LLC | skylinewindows.com
                         Date of Investment: October 2007
                         Date of Disposition: Active
                         Skyline Windows, LLC (“Skyline”), headquartered in New York City, is a manufacturer and
                         installer of high quality aluminum replacement windows. The Company primarily serves the
                         metropolitan New York City market, providing window systems for high-rise commercial,
                         institutional and residential (condos and apartments) buildings. With approximately 90% of the
                         Company’s business sold into the replacement market, Skyline’s strengths include complex
                         engineering and design work as well as occupied building installations.

                         Merit invested both subordinated debt and equity in support of the recapitalization.


                         Tom Cat Bakery, Inc. | tomcatbakery.com
                         Date of Investment: December 2008
                         Date of Disposition: Active
                         Tom Cat Bakery, Inc. (“Tom Cat”), headquartered in Long Island City, New York, produces
                         premium artisan bread and sweet goods for casual and fine dining restaurants, Starbucks,
                         other specialty retailers and foodservice companies. Recognized as one of the founders of
                         the artisan bread market in New York City, Tom Cat maintains one of the largest artisan bread
                         and sweet goods product lines in the Northeast with over 350 products.

                         Merit invested subordinated debt and equity to support the acquisition.


                         Versatile Processing Group | versatileprocessing.com
                         Date of Investment: August 2005
                         Date of Disposition: Active
                         Versatile Processing Group (“Versatile”), headquartered in Indianapolis, Indiana, is a provider
                         of metals recycling and other related services to the utility industry. Versatile’s service offerings
                         includes the recycling of metal and plastic stripped from discarded wire and cable, the
                         sorting and recycling of various scrap metals and the decommissioning and recycling of used
                         transformers and other related electrical equipment.

                         Merit provided subordinated debt, preferred equity and common equity to finance the
                         acquisition.


www.meritcapital.com   312.592.6111                                11
                         VTI Instruments Corporation | vtiinstruments.com
                         Date of Investment: May 2008
                         Date of Disposition: Active
                         VTI Instruments Corporation (“VTI”) designs, manufactures and distributes modular test and
                         measurement equipment to a worldwide customer-base. Headquartered in Irvine, California,
                         VTI’s instruments are used in the aerospace, defense, medical, pharmaceutical and wireless
                         industries to evaluate the performance of complex products and systems.

                         Merit provided subordinated debt and equity to finance the acquisition.


REALIZED INVESTMENTS

                         Acme Industries, Corporation
                         Date of Investment: May 1998
                         Date of Disposition: August 2007
                         Acme Industries, Corporation (“Acme”), headquartered in Des Plaines, Illinois, specializes
                         in the precision machining of large parts, with computer controlled machining centers
                         capable of handling parts up to 8,000 pounds. Acme’s value-added services include design,
                         engineering, precision machining and prototype machining. Major customers include
                         the Electromotive Division (EMD) of General Motors, Deere and Company and Allison
                         Transmissions.

                         Merit provided subordinated debt and common stock used to finance the acquisition by
                         current management.


                         Advanced H2O, Inc.
                         Date of Investment: June 2005
                         Date of Disposition: December 2007
                         Advanced H2O, Inc. (“Advanced”), bottles and distributes purified water in the Pacific
                         Northwest. The Company provides private label bottled water to various prominent grocers
                         and retailers including Costco, Safeway, Albertson’s, Fred Meyer’s and Winco, among others.
                         The Company has the capacity to purify, bottle and ship 25 million cases of water annually
                         through its manufacturing facility in Burlington, Washington.

                         Merit provided both subordinated debt and common equity in support of the leveraged
                         buyout.


                         Alden Industries, Inc.
                         Date of Investment: May 1997
                         Date of Disposition: November 2004
                         Alden Industries, Inc. (“Alden”), a holding company formed in 1990, is headquartered in Fort
                         Worth, Texas where it manufactures commercial water heaters, firetube boilers, multi-tube
                         boilers and related component parts. Alden serves the North American commercial and
                         institutional water heater markets through three operating subsidiaries: PVI Industries, LLC,
                         Webster Engineering and Manufacturing Co., and Riverside Hydronics, LLC. The company
                         maintains manufacturing facilities in Fort Worth, Texas and Winfield, Kansas.

                         Merit provided subordinated debt to finance the recapitalization.



www.meritcapital.com   312.592.6111                              12
                         Associated Sales and Bag Co.
                         Date of Investment: April 1994
                         Date of Disposition: April 1996
                         Associated Sales and Bag Co. (“Associated”), headquartered in Milwaukee, Wisconsin, is a leading
                         mail distributor of packaging, shipping and safety products. Associated’s principal product lines
                         consist of polyethylene bags, bag closing devices, packaging products and disposable safety items,
                         which are sold to over 80,000 customers throughout the United States.

                         Merit provided subordinated debt with contingent interest in the recapitalization.


                         AutoLign Manufacturing Group, Inc.
                         Date of Investment: December 1998
                         Date of Disposition: October 2007
                         AutoLign Manufacturing Group, Inc. (“AutoLign”), headquartered in Milan, Michigan, is a
                         leading domestic manufacturer of plastic parts for the automotive collision aftermarket in North
                         America. AutoLign designs, manufactures and distributes replacement collision parts including
                         plastic bumpers, facias, support beams and brackets primarily for domestic automobile
                         models. AutoLign primarily sells its products to independent distributors for resale to collision
                         repair shops, dealers and other auto body shops to replace damaged automobile bumpers and
                         related components. AutoLign also designs, manufactures and distributes custom accessory
                         packages for the auto and truck aftermarket.

                         Merit provided subordinated debt and common stock to finance the acquisition by a group of
                         experienced industry executives.


                         Avail Medical Products, Inc.
                         Date of Investment: June 1995
                         Date of Disposition: November 2000
                         Avail Medical Products, Inc. (“Avail”), headquartered in Dallas, Texas, operates in a niche
                         segment of the medical products industry, supplying custom-designed disposable products
                         to national and regional manufacturers of medical supplies. Avail’s products are used
                         principally in an operating room environment to improve efficiencies and prevent infections,
                         with major customers including Johnson & Johnson and Baxter International.

                         Merit provided subordinated debt and common stock of Avail to finance the acquisition of
                         the company by a group of experienced industry executives. Subsequently, Merit provided
                         additional capital to fund an add-on acquisition.


                         Beacon Sales Acquisition, Inc.
                         Date of Investment: September 2000
                         Date of Disposition: September 2004
                         Beacon Sales Acquisition, Inc. (“Beacon”), headquartered in Boston, is a distributor of roofing
                         products to the Eastern and Southeastern United States and Eastern Canada with a broad
                         product offering to meet the requirements of commercial and residential roofing contractors,
                         builders, general contractors, and retailers. Beacon’s branches typically sell in excess of
                         3,000 SKUs. Beacon serves the residential and commercial roofing markets, with the majority
                         of its work representing re-roofing versus new construction.

                         Merit provided subordinated debt with warrants to finance two major add-on acquisitions.



www.meritcapital.com   312.592.6111                               13
                         C.D. Baird and Co., Inc.
                         Date of Investment: March 1994
                         Date of Disposition: December 2004
                         C.D. Baird and Co., Inc., headquartered in Wisconsin, is a market leader in the finishing
                         segment of the temporary point-of-purchase display industry. The Company produces a wide
                         variety of displays for end-users in a number of industries, including brewing, soft drinks,
                         liquor, entertainment/video and consumer products.

                         Merit provided subordinated debt and common stock to finance the acquisition by
                         management and a newly-formed ESOP.


                         CompuDyne Corporation | compudyne.com
                         Date of Investment: December 1998
                         Date of Disposition: October 2001
                         CompuDyne Corporation (“CompuDyne”), headquartered in Baltimore, Maryland, is a leading
                         provider of security systems for the domestic corrections industry. CompuDyne is engaged
                         primarily in the design, installation and maintenance of both electronic security and physical
                         security (cell doors, guard booths, locking mechanisms, etc.) products.

                         Merit provided subordinated debt and common stock to finance the acquisition of
                         CompuDyne’s largest competitor.


                         Dunn-Edwards Corporation
                         Date of Investment: April 2001
                         Date of Disposition: October 2003
                         Dunn-Edwards Corporation (“Dunn”), headquartered in Los Angeles, California, is a leading
                         manufacturer and distributor of high-quality paint in California, Arizona, and Nevada. Dunn
                         supplies approximately 400 products, with nearly 80% of revenue generated from sales of
                         company-manufactured interior and exterior architectural (i.e. residential and commercial
                         property) paints and coatings. The balance of Dunn’s sales is comprised of equipment and
                         other paint sundries (sprayers, rollers, brushes, drop cloths, etc.) as well as other wall-
                         covering materials.

                         Merit provided subordinated debt to finance the recapitalization of Dunn by management and
                         a newly-formed ESOP.


                         Eagle Plastics, Inc.
                         Date of Investment: December 1993
                         Date of Disposition: July 1998
                         Eagle Plastics, Inc. (“Eagle”), headquartered in Hastings, Nebraska, is a leading manufacturer
                         of plastic pipe in the Midwest. Eagle specializes in extruding polyvinyl chloride and
                         polyethylene pipe products for use in plumbing, turf irrigation, water wells, sewer lines, natural
                         gas transportation and fibre optics.

                         Merit provided subordinated debt and common stock to finance a leveraged acquisition by
                         management and other investors.




www.meritcapital.com   312.592.6111                               14
                         Excell Materials
                         Date of Investment: October 2003
                         Date of Disposition: February 2007
                         Excell Materials (“Excell”), headquartered in Pittsburgh, operates in three primary business
                         segments. Excell’s first line of business is the recovery and subsequent resale of metals
                         contained in slag generated by stainless steel producers. Excell’s second business segment
                         concentrates on the sale of the residual aggregate to a wide variety of end users in the
                         commercial turf/ agriculture and cement markets. Excell also provides services to steel
                         makers, consisting of slag handling, mobile equipment rental, storage facility rental, and other
                         slag-handling operations. Excell maintains operations in the United States, Canada, South
                         Africa and Brazil.

                         Merit provided subordinated debt and common stock to finance the acquisition by a group of
                         experienced industry executives.


                         Global Energy Equipment Group, LLC
                         Date of Investment: June 1998
                         Date of Disposition: July 2000
                         Global Energy Equipment Group, LLC (“Global”), headquartered in Tulsa, Oklahoma, offers a
                         broad product line of auxiliary equipment for the natural gas-fired power generation industry.
                         Global is a leading designer, marketer and fabricator of heat recovery steam generators,
                         specialty boilers, gas turbine exhaust systems, inlet houses, turbine enclosures and a variety
                         of related support packages. Global is capable of designing and manufacturing virtually every
                         major component for a gas-fired power plant with the exception of the turbine and generator.

                         Merit invested subordinated debt, preferred stock and common stock used to finance the
                         acquisition by management and an outside investor group.


                         The HammerBlow Corporation
                         Date of Investment: August 1997
                         Date of Disposition: August 2000
                         The HammerBlow Corporation (“HammerBlow”), headquartered in Wausau, Wisconsin, is
                         a leading manufacturer of jacks and couplers primarily for use in agricultural equipment and
                         utility trailers. Approximately 50% of HammerBlow’s sales are to OEMs and 50% are to the
                         after-market throughout the United States and Canada.

                         Merit provided subordinated debt and preferred stock to finance the recapitalization.


                         Houston Harvest Gift Products, LLC
                         Date of Investment: October 1994
                         Date of Disposition: November 2006
                         Houston Harvest Gift Products, LLC (“HHGP”), headquartered in Franklin Park, Illinois, is
                         one of the largest manufacturers and marketers of ready-to-eat popcorn in collectible gift
                         canisters in the United States. The HHGP designs and manufactures a full line of popcorn
                         products which are sold in decorative tins. HHGP is also one of the largest assemblers and
                         marketers of food gift packages. HHGP’s products are sold primarily during the holiday gift
                         season and are distributed principally through mass merchants and warehouse clubs.

                         In 1994 Merit provided subordinated debt to finance the recapitalization of Golden Harvest
                         Products, Inc. In December 1997, Golden Harvest merged with Houston Foods, its largest
                         competitor, to form HHGP.

www.meritcapital.com   312.592.6111                              15
                         ITI Marketing Services, Inc.
                         Date of Investment: September 1993
                         Date of Disposition: August 1995
                         ITI Marketing Services, Inc. (“ITI”), headquartered in Omaha, Nebraska, is a leading provider
                         of inbound and outbound telemarketing services. ITI specializes in serving large accounts
                         requiring both high quality and substantial volume, including Sprint, CUC International, Time
                         and GE.

                         Merit provided subordinated debt with warrants to finance ITI’s internal growth.


                         JHT Holdings, Inc.
                         Date of Investment: December 1999
                         Date of Disposition: June 2006
                         JHT Holdings, Inc. (“JHT”), headquartered in Kenosha, Wisconsin, through its predecessors,
                         has provided logistic and distribution services for 65 years to three industry segments. JHT’s
                         truck transport segment provides transportation services for manufacturers of heavy (Class
                         8) and medium duty (Class 5-7) trucks. JHT’s auto transport segment moves new and used
                         automobiles and light trucks while the special commodities segment transports a variety of
                         freight throughout the U.S. JHT’s customers include Freightliner, DaimlerChrysler, Navistar
                         International, PACCAR, Ford Motor Company, Alcoa and Caterpillar.

                         Merit provided subordinated debt with warrants to finance the recapitalization.


                         Lavelle Industries, Inc.
                         Date of Investment: November 1993
                         Date of Disposition: December 1998
                         Lavelle Industries, Inc. (“Lavelle”), headquartered in Burlington, Wisconsin, is a leading
                         manufacturer of rubber plumbing replacement parts, selling these products to plumbing
                         wholesalers and large hardware retailers such as Home Depot and Ace Hardware. Lavelle
                         also manufactures a wide variety of mechanical rubber parts, which it custom designs for
                         OEM end users in a wide variety of industries.

                         Merit proved subordinated debt with warrants to finance the recapitalization.


                         Mail Box Capital Corporation
                         Date of Investment: August 1999
                         Date of Disposition: September 2001
                         Mail Box Capital Corporation (“Mail Box”), headquartered in Dallas, is a leading mailing
                         services firm in the southwest United States, offering a full line of lettershop, printing and
                         presorting capabilities. Mail Box also is one of the largest independent mailing firms in the
                         country, processing approximately one billion pieces of mail each year.

                         Merit provided subordinated debt with warrants to finance the acquisition by management.




www.meritcapital.com   312.592.6111                               16
                         Midwest Folding Products, Inc.
                         Date of Investment: April 1997
                         Date of Disposition: February 2003
                         Midwest Folding Products, Inc. (“Midwest”), headquartered in Chicago, is a leading
                         manufacturer of institutional furniture. The bulk of Midwest’s sales are derived from two
                         principal product lines, mobile tables and folding tables. The majority of Midwest’s products
                         are sold to schools, hotels and other institutions.

                         Merit provided subordinated debt and preferred stock used to finance the recapitalization.


                         Olsen Engineering, LP
                         Date of Investment: May 1998
                         Date of Disposition: November 2005
                         Olsen Engineering, LP (“Olsen”), headquartered in Eldridge, Iowa, is engaged in metal
                         parts and component manufacturing including bar work, tube fabrication, welding and
                         miscellaneous machine work. Olsen manufactures approximately 4,200 distinct part numbers,
                         selling its products to large agricultural and construction original equipment manufacturers
                         throughout the Midwest, such as Deere and Company and Case New Holland.

                         Merit provided senior subordinated debt with warrants and junior subordinated debt to
                         finance the acquisition by management and an outside investor group.


                         Parksite, Inc.
                         Date of Investment: May 2000
                         Date of Disposition: November 2003
                         Parksite, Inc. (“Parksite”), headquartered in Batavia, Illinois, is a distributor specializing in
                         specialty branded building products. Parksite generally focuses its efforts on high quality,
                         branded building products for which it can receive an exclusive distributorship. Among the
                         key products that Parksite currently distributes are Corian (a solid-surface product), Tyvek
                         (housewrap) and Trex (synthetic wood decking materials). Parksite essentially acts as the
                         outsourced sales and marketing arm for its suppliers.

                         Merit provided subordinated debt to finance the acquisition of a large East Coast competitor
                         by the Company’s 100% owned ESOP.


                         Peak Lime, Inc.
                         Date of Investment: December 2001
                         Date of Disposition: August 2007
                         Peak Lime, Inc. (“Peak Lime”), headquartered in Birmingham, Alabama, manufactures lime
                         (also known as quicklime) and hydrate lime (water added to form a slurry) and distributes
                         it throughout the southeastern United States. Lime is a widely-used industrial material with
                         applications in steel manufacturing, chemical production, utilities (for flue gas desulfurization),
                         construction, water treatment, and acid neutralization. Peak Lime’s state-of-the-art
                         manufacturing plant is capable of producing approximately 430,000 tons of quicklime annually,
                         with current environmental permits to produce 395,000 tons per year.

                         The acquisition of Peak Lime was led by Peak Investments, LLC, a firm with a history
                         of acquiring “orphan” chemical operations and improving operating results through a
                         combination of focused management, expense control, improved capital allocation and asset
                         utilization. Merit provided subordinated debt and preferred stock to finance the acquisition.


www.meritcapital.com   312.592.6111                                17
                         Peak Sulfur, Inc.
                         Date of Investment: April 2002
                         Date of Disposition: August 2005
                         Peak Sulfur, Inc. (“Peak Sulfur”), headquartered in Kansas City, Kansas, manufactures, trades,
                         and distributes sulfur-related products including commercial-grade sulfuric acid and ultra-pure
                         sulfuric acid. Additionally, Peak Sulfur receives and regenerates sulfuric acid which has been
                         used by refineries, and then sells fresh commercial acid back to the refinery. The acquisition
                         of Peak Sulfur was led by Peak Investments, LLC (“Peak”), a firm with a history of acquiring
                         “orphan” chemical operations and improving operating results through a combination of
                         focused management, expense control, improved capital allocation and asset utilization.

                         Merit provided subordinated debt and preferred stock used to finance the acquisition of Peak
                         Sulfur by Peak in 2002. In mid-2003, Merit invested additional subordinated debt and equity
                         in conjunction with Peak Sulfur’s acquisition of a division of Arch Chemical. The division was
                         a manufacturer of commercial grade sulfuric acid and a provider of regenerated sulfuric acid
                         services.


                         Penda Corporation
                         Date of Investment: April 2000
                         Date of Disposition: December 2005
                         Penda Corporation (“Penda”), headquartered in Portage, Wisconsin, is a leading
                         manufacturer of large thermoformed and composite truck accessories and industrial
                         components. Penda’s principal product line is plastic liners for pickup truck cargo beds.
                         Major OEM customers include GM, DaimlerChrysler, and Toyota. Penda broadened its focus
                         to include the bedliner aftermarket, thermoformed products outside the bedliner markets,
                         and expanded its product line through acquisitions to include fiberglass accessories such as
                         truck-caps, van tops, and running boards.

                         Merit provided subordinated debt and common stock to finance the acquisition by
                         management and several equity fund sponsors.


                         Rostra Technologies, Inc.
                         Date of Investment: November 1993
                         Date of Disposition: September 2003
                         Rostra Technologies, Inc. (“Rostra”), headquartered in Laurinburg, North Carolina, is a
                         manufacturer of electronic, electromechanical and mechanical control devices and tools.
                         Rostra’s primary focus is on electronic parts for the automotive aftermarket, although it also
                         serves the automotive and truck OEM markets and various niche markets.

                         Merit provided subordinated debt with warrants to finance the recapitalization.




www.meritcapital.com   312.592.6111                              18
                         Ruud Lighting, Inc.
                         Date of Investment: December 2001
                         Date of Disposition: January 2007
                         Ruud Lighting, Inc. (“Ruud”), headquartered in Racine, Wisconsin, designs, assembles
                         and markets lighting fixtures and systems for end-use by commercial, industrial and retail
                         customers. Ruud generates 80% of its revenue from sales made directly to contractors; 11%
                         from national accounts, such as Jack in the Box and Burger King; and the remaining 9% from
                         international sales and sales made through distributors or directly to individual customers.
                         Ruud has three basic classifications of products: outdoor (floodlights, landscape lights and
                         poles), industrial (fixtures used to illuminate factories and workspaces) and commercial
                         (primarily recessed and track fixtures for offices, schools, hospitals, and retail stores).

                         Merit provided subordinated debt with warrants to finance the acquisition by management.


                         SP Industries, Inc.
                         Date of Investment: December 1996
                         Date of Disposition: March 2005
                         SP Industries, Inc. (“SPI”), headquartered in Buena, New Jersey, is a leading manufacturer
                         of laboratory glassware and laboratory equipment. SPI is comprised of five relatively similar-
                         sized divisions, which primarily serve the needs of the pharmaceutical, biotechnology and
                         research industries, as well as a variety of OEM users.

                         Merit provided subordinated debt and common stock to finance the acquisition by
                         management and an outside investor group.


                         TEKRA Corporation
                         Date of Investment: December 1995
                         Date of Disposition: December 1999
                         TEKRA Corporation (“TEKRA”), headquartered in New Berlin, Wisconsin, is a leader in
                         the distribution of plastic films, tape adhesives, coated products, printing substrates and
                         laminating materials. TEKRA’s products, which are sold to over 1,700 customers, are used
                         ultimately in a wide variety of applications, including automobile instrument panels, microwave
                         oven touch panels, bar code labels, computer key boards and advertising displays.

                         Merit provided subordinated debt to finance the recapitalization.


                         WL Plastics Corporation
                         Date of Investment: October 2003
                         Date of Disposition: November 2005
                         WL Plastics Corporation (“WL”), headquartered in Casper, Wyoming, manufactures large-
                         diameter polyethylene (“PE”) pipe for sale in the Rocky Mountains and throughout the
                         western half of the United States. WL manufactures PE pipe from 1-24 inches in diameter but
                         focuses its efforts on diameters of at least 4 inches. Although WL was founded to serve the
                         large number of oil and gas customers in the region, management has worked to diversify its
                         business beyond this segment. Currently, WL’s sales are focused on three segments: oil and
                         gas, water and sewer, and mining and industrial.

                         Merit provided subordinated debt with common stock to finance the acquisition by
                         management and outside investors.



www.meritcapital.com   312.592.6111                              19
                         Wm. E. Wright, LP
                         Date of Investment: August 1995
                         Date of Disposition: November 2000
                         Wm. E. Wright, LP (“Wrights”), headquartered in West Warren, Massachusetts, is a premier
                         manufacturer and marketer of products for the retail home sewing, home decorating and
                         crafts industries. Wrights’ product lines include apparel and craft trim, tapes and braids,
                         ribbon and knitting/crocheting instruments. Wrights, which is the market leader in all of its
                         products other than ribbon, has approximately 5,000 retail customers throughout the U.S.
                         and Canada.

                         Merit provided subordinated debt to finance the recapitalization.




www.meritcapital.com   312.592.6111                              20

								
To top