Robert Burton to Lead Burton Management Group, To Target Strategic Acquisitions

Press release from the issuing company

- Eight executives who have worked with him over the past twelve years will be joining BMG. The names will be available soon according to a spokesperson for BMG. Greenwich, CT - (May 14, 2003) - Robert G. Burton, founder and CEO, announced today the formation of the Burton Management Group, LLC (BMG), the assembly of a proven management team and the opening of its executive offices in Greenwich, CT. The Burton Management Group, LLC has been formed for the strategic purpose of providing a vehicle for control equity investments. BMG's focus is on domestic middle market manufacturing companies with sales in excess of $300 million, which provide an opportunity for increased shareholder value through intense management and present opportunities for organic and acquisitive growth. BMG's approach will differ from investment firms that acquire companies and manage their investments with non-operating managers. BMG will take ownership and day-to-day management control of these companies with experienced manufacturing executives who will invest personally in each deal. Characteristics of target acquisitions include businesses that demonstrate a pattern of earnings volatility, consistently underperform industry peer groups, lack strategic game plans or require successful management. BMG will develop strategic and operating plans and execute these plans to return the acquisition to financial strength and stability and maximize shareholder value. BMG management will identify core operations, improve the infrastructure and establish a manufacturing platform to realize synergies and operational savings. Mr. Burton, well known as one of the most successful turnaround specialists, will lead this group as CEO, Chairman and President. Mr. Burton is recognized for his ability to increase shareholder value and deliver on his promises. He is intensely committed to, and has a successful record of, improving margins and realizing operational synergies. Mr. Burton has completed over 50 accretive acquisitions in his career and has never missed a quarter or annual EPS budget. Mr. Burton Stated: "I am pleased to lead what will be a dynamic and exciting business. I am delighted for the third time to establish our corporate headquarters in Connecticut's Fairfield County. It is my intention to grow our business and to add a significant number of jobs to the area over the next few years." "I believe a significant opportunity exists in today's market to unlock tremendous shareholder value in the industrial sector by targeting companies with under-utilized assets and inefficient cost structures that are under-managed. BMG will target companies that, with focused leadership, investment and strategic direction, will grow and deliver profitable results. Maximizing returns for shareholders will be BMG's primary focus." Prior to his current role, Mr. Burton served as Chairman, President and CEO of Moore Corporation Limited, a $2.1 billion printing company. During his two years as senior manager, Mr. Burton directed a dramatic turnaround of the company. Under his leadership, operating costs were reduced by over $150 million. Stock price performance improved from a low of $2.50, to a high of $14.45 per share, generating in excess of $1.4 billion of incremental market capitalization during his two-year turnaround. Prior to his tenure at Moore Corporation Limited, Mr. Burton served as Chairman, President and CEO of former Kohlberg, Kravis & Roberts portfolio company, World Color Press Inc.; a $2.7 billion NYSE listed printing company. During his nine years, Mr. Burton led a dramatic turnaround of World Color Press Inc. from an unprofitable company in 1991 to a company which generated EBITDA of $440 million with operating margins of 10.5%. This successful turnaround culminated in the merger with Quebecor Printing Inc. in the fall of 1999 creating Quebecor World Inc., the world's largest and most profitable printing company. Prior to leading World Color Press Inc., Mr. Burton held a series of senior executive positions at Capital Cities-ABC, including President of ABC Publishing where he was instrumental in turning around its operations from a loss to a major profit contributor. Mr. Burton has also held senior executive positions at CBS and IBM. Joining Mr. Burton at BMG are eight experienced executives who have worked with him over the past twelve years. Each of these executives has a proven track record and has worked with him during the turnarounds at World Color Press Inc. and Moore Corporation Limited. Each of these managers will be active investors in each deal. Mr. Burton added: "I have worked along side each of these senior executives in the past and have found them to be excellent strategic thinkers and hands-on operating managers who have a strong history of consistently delivering improved results. It is of great comfort to launch BMG with a team of dedicated and proven senior business leaders. I will be looking for each of them to take a leadership role in identifying opportunities to reduce costs, maximizing the value of assets and increasing return on each investment." Burton Management Group is located at 100 Northfield Street, Greenwich, CT 06830. BMG's main phone number is (203) 302-3700. Additional information can be requested by emailing: [email protected]