Dear Partners, Colleagues, and Friends:

The investment activities of American Industrial Partners are disciplined and highly focused. Our portfolio companies are generally the world leaders in their industrial market niches but frequently have unexploited opportunities for operating, financial or technological improvements such as: global marketing and sourcing, facility consolidation, lean manufacturing, add-on acquisitions, new product development, or quality systems. Our American Industrial Partners team consists of engineers and operating executives in addition to financial professionals and we work to support the operating initiatives of our portfolio company management teams with capabilities typically unavailable within mid sized industrial companies.  Our approach is cooperative and mangers enjoy substantial autonomy.  We lead by serving. Over the past twenty years this focused investment approach has yielded highly attractive returns for our investors, our portfolio managers, and our firm through all seasons of the economy.

We attribute our superior investment results to depth of our operating expertise, engineering and technical skills, and innovative financial structuring techniques. The partners and Advisory Board members of American Industrial Partners have worked together for many years. Acting as a team, the operating, technical and financial talents of our firm are particularly well positioned to identify attractive investment opportunities, design and implement value-enhancing operating strategies for portfolio companies, and avoid many of the inherent risks of private equity investing. Our ability to enhance portfolio company profitability through the implementation of operating improvements has accounted for a significant majority of the gains realized in investments made by our organization.  

Our partners are complemented by an Advisory Board with experience relevant to the investment opportunities that we expect will emerge over the next decade. All have proven ability and have committed their expertise to our firm’s investment process.

Our Advisory Board includes the following members:

American Industrial Partners approaches the future with energy and optimism and a conviction to the organization and investment process that has made our firm successful.  We meticulously fulfill our commitments and transact with certainty and speed, guided by principles which we believe are fundamental to achieving the professional and personal objectives that we have established for our partnership and ourselves:

• Commit our full energy and effort to the success of American Industrial Partners
• Treat investor capital with greater dedication and care than our own
• Provide the greatest possible transparency to our investors
• Partner with the most capable people and provide rapid opportunities for advancement
• Foster an environment that rewards teamwork, imagination and creativity
• Conduct all our business with complete candor and integrity
• Exit companies in better positions than when we acquired them
• Achieve outcomes worthy of our significant efforts, commitment, and use of investor capital

We truly enjoy what we do and we thank you for the role you have played in our Firm’s success and pledge our focused efforts on delivering distinguished results in the decades to come.

Sincerely,