Slide 1: Acquisition of Precision Dynamics Corporation
Acquisition of Precision Dynamics Corporation December 31, 2012
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS 2 In this presentation, statements that are not reported financial results or other historic information are “forward-looking statements.” These forward-looking statements relate to, among other things, the Company’s future financial position, business strategy, targets, p
Slide 3: Strategic Overview & Rationale
Strategic Overview & Rationale 3 PDC is a core identification-market adjacency and is supportive of our mission to Identify and Protect Premises, Products and People Sizeable platform acquisition of a market leader in an attractive healthcare segment with positive macro trends Attractive oppor
Slide 4: Precision Dynamics Corporation ("PDC") Overview
Precision Dynamics Corporation (“PDC”) Overview A market leader in domestic patient ID/wristbands and hospital ID/labels Headquartered in Valencia, California, with facilities in: Port Orange, Florida; Tijuana, Mexico; and Nivelles, Belgium 85% of business is in healthcare related markets; rem
Slide 5: Experienced Management Team
Experienced Management Team 5 We will manage PDC as a global business, reporting to Matt Williamson, President – Americas. PDC Management structure primarily remains in tact. PDC’s deep team of industry experts will report directly to Tracey Carpentier, President – Precision Dynamics. Function
Slide 6: PDC Product Overview
PDC Product Overview 6 Leisure & Entertainment Hospital Labels Patient ID Wristbands Non-ID Healthcare Selected PDC Products Market • Human readable (HR) • Machine readable (MR) • Admissions • Labor & delivery • Blood • Alert • Short-stay • Admissions labels • Anesthesia labels • Central services la
Slide 7: Healthcare ID Market Drivers
Healthcare ID Market Drivers Healthcare products represent approximately 85% of PDC’s net sales PDC’s sales are approximately 88% domestic and 12% international PDC core product offering expected to grow at 1-2% above GDP Market supported by several macro-trends, including: Aging populatio
Slide 8: Brady's Strategy – Expanding Healthcare ID
Brady’s Strategy – Expanding Healthcare ID 8 PDC gives Brady a market-leading, high-margin consumable healthcare identification platform with opportunities for accelerated growth and enhanced profitability. PDC has a leading market position Ability to combine Brady’s Laboratory and People ID produ
Slide 9: PDC Strategic Rationale & Synergies
PDC Strategic Rationale & Synergies 9 Near-in identification market that is consistent with Brady’s growth strategy Leadership position in the Healthcare ID market Sizeable acquisition provides an anchor position in an end-market with favorable macro long-term growth trends Runway of organic
Slide 10: PDC Acquisition Financial Summary
PDC Acquisition Financial Summary Estimated Calendar 2012 Financial Results: • Revenues = $173M • Adjusted EBITDA = $33M (19.1% of sales) • Gross profit margin percentages in the low 40s • Capital expenditure characteristics consistent with Brady (average of approximately 2% of sales) Purchase Price
Slide 11: Investor Relations
INVESTOR RELATIONS Brady Contact: Aaron Pearce Investor Relations 414-438-6895 Aaron_Pearce@Bradycorp.com See our web site at www.investor.bradycorp.com 11