Standex began implementing its “Focused Diversity” growth strategy in 2001. The goal: to enable the Company to focus its resources on those businesses with the greatest potential for profitable growth and where synergies can be leveraged across the portfolio of businesses.

Since initiating its Focused Diversity strategy, Standex has divested approximately $200 million of revenue, and replaced this with about $100 million of organic growth and another $125 million of growth from acquisitions. In 2006, Standex divested its three Consumer Products Group businesses because they did not offer significant operational synergies across the Company’s other businesses.

In the past few years, Standex has acquired several businesses that resulted in larger, more profitable operating groups. In 2005, Standex completed the acquisitions of Kool Star, a manufacturer of walk-in refrigeration units located in California, and Innovent Specialty Products, a manufacturer of processing tooling. In 2007, the Company acquired American Foodservice and APW Wyott, market leaders in the Food Service Equipment Group market. In line with the Company’s strategy, these acquisitions strengthened Standex’s market leadership, enabled the Company to pursue new growth opportunities, and provided significant operational synergies. In the face of the 2008 recession, Standex embarked on a 2-year overhaul of its cost structure by reducing its geographic footprint and trimming our indirect labor and administrative headcount by nearly 25%. These actions permanently shed approximately $40 million from our cost structure. In 2010 and 2011, Standex once again returned to seeking growth opportunities with acquisitions in our strategic business segments of Food Service Equipment, Engraving, and Engineering Technologies.

Standex plans to leverage the combined strengths of these businesses to further penetrate current markets and to enter new geographic and vertical markets. Standex will continue to make acquisitions that are synergistic with its current operating groups, and that can quickly contribute to profitability.