American Industrial Partners focuses exclusively on North American headquartered industrial enterprises. However, these businesses typically have existing or potential global revenue (i.e. 50% or more of sales are outside of North America), and procurement and manufacturing opportunities. AIP believes that industrial businesses are attractive because:

• Acquisition candidates are plentiful
• There are common opportunities to implement operating improvements in a systematic way
• Financial characteristics of industrial companies are frequently less volatile than other investment categories
• Rapidly developing economies such as China and India are undergoing an industrial recapitalization that often serves as a significant revenue driver or low cost sourcing opportunity for targeted U.S. industrial companies
• The Firm’s specialized knowledge of the industrial sector and its business models provides a competitive advantage in making and managing successful acquisitions