The Company

Lone Star Fasteners, LP (LSF) is a privately held industrial manufacturing company based in Houston, Texas that has been serving the energy industry since the 1960s. Lone Star manufactures standard and specialty fasteners, gaskets and applies industrial coatings that are primarily used in extreme temperature, high-pressure and corrosive environments such as sub-sea petroleum exploration and production systems as well as petroleum and petrochemical refineries. Approximately 45% of their clients reside in the upstream sector of the petroleum industry and 40% in the downstream sector of the hydrocarbon processing industry. Common applications for Lone Star's products include: joining valves and components within drilling and production-oriented systems, use in piping systems and machinery where joints need to be able to withstand severe conditions like high operating temperature and pressure. They service both on and offshore energy companies. Other end-user industries that use Lone Star's high-performance products include defense, power, aerospace and pulp and paper processing.

Over the last two years, Lone Star has realized an increase in annual revenue of nearly 50%. In support of their future growth strategy, Lone Star has been the beneficiary of new executive leadership and new ownership. Lone Star was recently acquired by Trinity Hunt Partners, the leading private equity fund investing in lower middle-market companies throughout the Southwest region of the United States. New leadership and financial support has allowed Lone Star Fasteners to continue to focus on growth and expansion.

The Company is comprised of five main entities: (i) Lone Star Fasteners ("LSF"), a manufacturer of standard and specialty high-performance fasteners, (ii) Walker Bolt/Ameritech, a forging and manufacturing operation focused on specialty fasteners built to military, aerospace, and customer specifications; (iii) Lone Star Sealing Technologies ("LSST"), a manufacturer of standard and specialty gaskets; (iv) Lone Star Coating Dynamics, a specialty applicator of industrial coatings; and (v) Grange Gaskets and Precision Manufacturing, a specialty gasket and machine shop in Leeds, UK. Lone Star also opened a manufacturing and stocking facility in Campina, Romania in August 2006.

Growth Strategy

The Company expects to achieve substantial growth in the upcoming years through a combination of organic growth projects and strategic acquisitions. Key themes within the Company’s long-term growth strategy include:

• Create capacity to grow with existing fastener customers through operational improvements.
• Diversify end-user industries.
• Expand product and service offerings.
• Expand international operating presence.

The cumulative impact of these initiatives, together with a continued emphasis on providing excellent customer service, will enable Lone Star to maintain significant and stable growth well into the future.