Von Hoffmann to Acquire Lehigh Press for $110 Million

Press release from the issuing company

ST. LOUIS, Sept. 8 -- Von Hoffmann, a leading North American educational and commercial printer, today announced that it has signed a stock purchase agreement to acquire Lehigh Press, Inc. for approximately $110.0 million in cash, subject to certain adjustments. Founded in 1924, Lehigh Press, Inc. is a leading book component and direct material printer. Lehigh's operating platform includes Lehigh Lithographers, which provides component printing and digital premedia services, and Lehigh Direct, which provides direct marketing services. For the year ended December 31, 2002, Lehigh Press, Inc. had net sales of $118.7 million. "We are excited to be adding the Lehigh Press to our family of companies," said Robert Mathews, President and Chief Executive Officer of Von Hoffmann Corporation. "Von Hoffmann's acquisition of the Lehigh Press is an excellent match of similar traditions, business philosophies, and industry positions. Both companies possess world-class organizations and employees with complimentary capabilities and services that will continue to operate independently. The acquisition of the Lehigh Press is the result of listening to our client's needs to uniquely add value by investing to create tangible business solutions," said Mathews. "The joining of the Lehigh Press with Von Hoffmann is a strong synergistic fit between two market leading companies that share a common culture of providing superior value to our customers," said Raymond A. Frick, CEO and President of The Lehigh Press, Inc. "While Lehigh will continue to operate separately and provide services to our customers independently just as we have done in the past, by joining with Von Hoffmann we are enthusiastic about the expanded growth opportunities that this acquisition creates," said Frick. Raymond Frick and the Lehigh Direct Management Team will continue to lead Lehigh Direct after the acquisition in achieving their goals of further growth and expansion. The acquisition fits with Von Hoffmann's strategy to increase product offerings to its customer base and to provide increased capabilities, ranging from design and prepress through manufacturing, fulfillment and distribution. As part of the transaction DLJ Merchant Banking Partners II L.P., a CSFB Private Equity fund, has committed to invest $20.0 million in Von Hoffmann Holdings Inc. to be used for general corporate purposes, including the repurchase of existing indebtedness. "We are excited about the continued support of DLJ Merchant Banking through this equity investment," Mathews added. The transaction is expected to close within 60 days. Von Hoffmann Corporation is a leading North American manufacturer of printed products for the educational and commercial markets. From design and prepress through manufacturing and distribution and fulfillment, Von Hoffmann is committed to offering its core customers in the instructional materials markets and in the commercial market sector a full range of products and services. Von Hoffmann is headquartered in St. Louis, Missouri. For more information, visit www.vonhoffmann.com .