July 21, 2008

To Our Valued Customers and Vendors of Milwaukee Gear and Treat All Metals:

We are excited to announce that Milwaukee Gear and Treat All Metals were sold to High Road Capital Partners and Charter Oak Equity.  As you know, the companies had been owned by a trust established by the Borisch family since 1997.  The Borisch family started Milwaukee Gear in 1918 and we are grateful for the support and dedication we received from the trustees these past eleven years.  

High Road and Charter Oak are great equity partners who will provide the capital and operating support we need to take Milwaukee Gear and Treat All Metals to the next level.  They do not have any other holdings in the gear or heat treat industries and do not have any plans to move either of the businesses.  We are excited on building a future with them and are looking forward to capitalizing on the many opportunities we see. 

The management team will stay in place other than the former CEO, Harold Trusky, who plans to retire.  Customers and vendors will not see any change in their interactions with us. Your key contact points within the companies will remain the same and payment and collection processes will not change.  One minor change is that Treat All Metals will become a division of Milwaukee Gear; as it was previously a separate company.   

We will contact each of you in the coming days to answer any questions you may have regarding this transaction.  We look forward to continuing to work with you.

Rick Fullington                                                   Harold Trusky

414-962-3532 x 1520

More information on our new owners:

High Road Capital Partners

High Road Capital Partners is a leveraged buyout firm focused on the smaller middle market deals (“SMMD’s”).  High Road was formed in 2007 and has over $150 million of committed capital.  High Road focuses on buying niche leading companies with revenues of $10 million to $100 million and EBITDA of $2 million to $10 million.  Once acquired, High Road works in partnership with management to take the companies to the next level, with the expectation of doubling or tripling EBITDA during the course of its ownership through a combination of organic growth initiatives and add-on acquisitions.  More information on High Road may be found on its website, www.highroadcap.com. 

Charter Oak Equity

Charter Oak Equity is a leveraged buyout firm located in Westport, CT also focused on smaller middle market deals.  Charter Oak Equity is the third private equity fund in the Charter Oak family and was formed in 2006.  The firm invests primarily in manufacturing and medical device / engineering companies of a similar size and EBITDA as High Road.  This acquisition is its fifth transaction.  The partners of the firm are Paul Roughan (Managing Partner), Zubin Avari and Mark Ullman.  More information on Charter Oak may be found on its website, http://www.charteroakpartners.com.