Distribution Solutions Group, Inc. · NASDAQ:DSGR

Distribution Solutions — Lawson Products Inc/New — Investor Presentation (January 2013)

17 slides from Distribution Solutions's investor presentation, Jan 7, 2013

  1. Slide 1: Lawson Products – Investor Presentation January 2013

    Lawson Products – Investor Presentation January 2013 McCook, IL Distribution Facility

  2. Slide 2: Forward-Looking Statements

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 2 Forward-Looking Statements "Safe Harbor" Statement under the Securities Litigation Reform Act of 1995: This presentation contains certain forward-looking statements within the meaning of the Private Securities Lit

  3. Slide 3: Lawson Investment Summary

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 3 Lawson Investment Summary  High value service provider  In existence for 60 years  Established presence in MRO marketplace  Diversified products, customers, markets and competitors  Long-term relationships wi

  4. Slide 4: Lawson Products: At a Glance

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 4 Lawson Products: At a Glance • Service based provider of consumables in MRO market • Founded in 1952; listed on NASDAQ (LAWS) since 1970 • Serve industrial, commercial, institutional and government markets in all

  5. Slide 5: Lawson Products: At a Glance – Sales Coverage and Distribution Reach

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 5 Legend: Sales Penetration Distribution Center Chicago, IL (HQ) Sales Coverage and Distribution Reach Across North America; Distribution Centers: McCook, IL Fairfield, NJ Reno, NV Suwanee, GA Mississauga, ON (Canad

  6. Slide 6: Lawson Has Clear Competitive Advantages

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 6 Lawson Has Clear Competitive Advantages Vendor managed inventory Deep product knowledge and product application expertise Broad geographic sales coverage, allowing us to serve large multi-location customers Signif

  7. Slide 7: Recent Investments and Investment Benefits

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 7 Recent Investments Investment Benefits ERP • Foundation for growth • Easier ordering • Improved customer service • Data consistency • Centralized market-based pricing • Enables new E Commerce Site Network Optimiza

  8. Slide 8: 2013 Focus: Actions Across the Value Chain

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 8 2013 Focus: Actions Across the Value Chain Sales Process / Sales Reps Customer Service / Order Entry Product Management / Pricing DC Operations Sourcing / Purchasing • Increase sales rep count • Sales Management D

  9. Slide 9: Financial Highlights

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 9 Financial Highlights •Focused on revenue growth  Number of sales reps and sales rep productivity •Improving product gross margins •$20M of cost reductions right-sized the organization – ~$13M in annualized employ

  10. Slide 10: Financial Highlights – Sales Trends

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 10 Financial Highlights – Sales Trends •Focus on sales rep productivity •Number of sales reps leveled off •Add incremental sales reps in 2013 •Tight correlation between sales levels and sales rep count

  11. Slide 11: Financial Highlights – Gross Margin & Cost Controls

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 11 Financial Highlights – Gross Margin & Cost Controls (1) Q2 2012 excludes $3.9M charge for discontinuing certain stocked products (2) Increase over Q1 2012 driven by $1.0M additional bad debt expense and $0.5M add

  12. Slide 12: Financial Highlights – Adjusted EBITDA

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 12 Financial Highlights Adjusted EBITDA excludes non-recurring costs, severance and stock based compensation - See Regulation G Non-GAAP reconciliation in appendix P-2

  13. Slide 13: Lawson Investment Summary

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 13 Lawson Investment Summary  High value service provider  In existence for 60 years  Established presence in MRO marketplace  Diversified products, customers, markets and competitors  Long-term relationships w

  14. Slide 14: For More Information Contact

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 14 For More Information Contact: Ronald J. Knutson EVP, CFO Investor Relations (773) 304-5665 ron.knutson@lawsonproducts.com And see our Website at http://www.lawsonproducts.com/company-info/investor-relations.jsp L

  15. Slide 15: Appendices

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 15 Appendices

  16. Slide 16: Significant Recent Activities

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 16 Significant Recent Activities August 2011 Implemented SAP October 2011 Commenced construction of new McCook, IL distribution center May 2012 Relocated corporate headquarters June 2012 Announced $20M in annual

  17. Slide 17: Regulation G – GAAP Reconciliation

    This presentation is the property of Lawson Products, Inc. and may not be reproduced 17 Regulation G – GAAP Reconciliation Non GAAP Reconciliation of Adjusted EBITDA to Sales Percentage The Company reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP).

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