FOR IMMEDIATE RELEASE:
May 20, 2005

Contact
John Thornton, Principal (415) 591-0120
Natasha Volyanskaya, Vice President (415) 591-0120
Brian Maney, Director, Corporate Communications (301) 951-6122

TYDEN LEADS WAY FOR CARGO SEALS, SECURE TRANSPORT

By Maureen Flanagan

In 1897, Emil Tyden, a Swedish immigrant to the U.S., began marketing a cargo seal for railroads and shipping companies to deter cargo theft and pilferage. The product he invented, the Tyden® Ball Seal, is now the world's best selling tamper-indicative cargo seal and the industry standard for rail and truck cargo shippers. More than 100 years later, his company, the Tyden Group, Inc., headquartered in Grand Rapids, MI, is a leader in the production of cargo seals and marking equipment for product identification and traceability.

In a May 2005 buyout, Tyden was acquired by Crimson Investment, an international private equity firm headquartered in Palo Alto, CA, with offices in Taipei and Shanghai. In support of the buyout, American Capital Strategies, Inc. (Nasdaq: ACAS) provided $66 million of financing consisting of a revolving line of credit, senior term loans, senior subordinated debt and common equity.

"At a time of heightened commitment to combating global terrorism, Tyden's products provide increased security as well as protection against cargo theft. They also offer greater efficiencies for manufacturers as they transport goods throughout international markets," said William E. Alt, the Tyden Group's CEO.

"Tyden is continuing to lead the market with new technologies such as fiber lasers for equipment marking products," Alt said. "With Crimson as a strategic partner, Tyden now has opportunities to establish a manufacturing footprint in China and thereby take advantage of the significant growth potential and increased OEM manufacturing in Asia."

The company has grown rapidly, expanding with complementary products and new markets. In 1984, under the leadership of Richard Groos, one of the founder's descendents, Tyden acquired Brammall, Inc., a manufacturer of high-strength security devices for the transportation industry. Expansion continued with the 1994 acquisition of Telesis Technologies, an international manufacturer of product identification and traceability equipment.

The company's metal indicative seal designs, marketed under the Tyden® Ball Seals and Guard Lock® Seals brands, are lightweight metal straps that are impossible to remove without leaving evidence of tampering. They can also resist force and feature unique serial numbers so that cargo is immediately traceable to a specific customer.

The company provides heavy-duty tamper-proof cargo security seals through its Brammall division. Brammall's cargo seals include cable seals and bolt seals as well as lightweight plastic seals. Brammall has recently introduced its World BoltTM product. Offering exceptional strength and unique identification characteristics, the World BoltTM meets all of the proposed specifications of U.S. Customs for in-bound shipments. Pictured at left is a high security Brammall cargo seal.

The company's Telesis division manufactures dot-peen and laser marking systems to uniquely mark parts and products as they move through the supply chain. Dot-peen marking systems, typically suited for metal surfaces, utilize a stylus or pin to repeatedly strike the surface of the product, creating straight, arced or radial inscriptions. Based on a patented design, Telesis' standard and custom PINSTAMP® dot-peen products (pictured at right) permanently mark the surface of a customer's product with a dot-matrix, graphic, logo or other 2-D code that can be read and used to track a product's identity and uniqueness. These unique identifiers allow for traceability throughout a product's life cycle, serving to thwart counterfeiting and reduce costs associated with product recalls. They are also useful for counter-terrorism efforts.

In 1999, the company introduced its first laser-based permanent marking product. Laser marking systems utilize the heat of a laser beam to etch the desired text, logo or other identifier into a variety of surfaces, including metal, plastic, fabric, rubber and leather. With its expertise in marking products and pioneering fiber platform, Tyden is positioned to take the lead in this high-growth market segment.

Tyden's products are sold to companies in diverse sectors. Its customers include such industry giants as United Parcel Service of America Inc. and Cargill, Inc. as well as the U.S. Postal Service.

Tyden joins American Capital's portfolio of more than 120 companies. Since 1997, American Capital has invested more than $5 billion in the middle market. For more information about American Capital's portfolio click here.

Robust growth is anticipated in Tyden's markets. The $260 million cargo seal market is expected to grow at 17% in 2005-2006 and 16% in 2007-2008. The dot-peen marking market is expected to grow at 7-10% and the laser marking market at 10-15% over the next few years. The post-9/11 regulatory changes related to cargo safety and increasing emphasis on cargo identification and tracking will continue to drive the market. In addition, the laser marking market has received a significant boost with fiber lasers, which are expected to experience rapid growth over the next 10 years.

Moving forward to meet increased demand, Tyden is focused on building up its Asia-based capabilities and accessing fast growing Asian markets. Crimson's extensive background in supporting companies in developing an Asian presence will greatly assist Tyden's efforts in this area.

Tyden also has opportunities in its pioneering position in laser tracking systems. The company is positioned to leverage its marking technology knowledge, established customer base, proprietary software and vendor relationships to offer full-service capabilities. It also has opportunities to develop laser tracking for new applications such as medical devices.

Tyden's focus on innovation will benefit the company as manufacturing becomes increasingly global and security conscious. Carrying on the tradition laid by its founder a century ago, Tyden continues to provide market leading solutions for secure transportation in the 21st century.