Brady Corporation to Acquire EMED Company, a Direct Marketer and Manufacturer of Identification Products.

Business Editors

MILWAUKEE--(BUSINESS WIRE)--April 5, 2004

Brady Corporation (NYSE:BRC), a world leader in identification solutions, announced today that it has signed a definitive agreement to acquire EMED Co., Inc. from Summit Partners in a cash transaction for $190 million.

EMED, headquartered in Buffalo, New York, is a direct marketer and manufacturer of identification products, including traffic and parking signs, warehouse and shipping signage, first aid and protective wear, security and emergency preparedness products, and other custom signage and safety solutions. EMED had 2003 sales of $55 million.

"This represents a unique acquisition opportunity for Brady," said Frank M. Jaehnert, Brady president and chief executive officer. "EMED is a well established brand with a proven track record of high, sustainable profitability. It aligns well with Brady's core business, and strengthens our position in several key areas, including government, transportation, traffic control, and grounds identification. We will be looking to add value to EMED, Brady and Seton customers by offering each other's complementary products to meet their safety and facility identification needs."

"We are excited about this opportunity," said EMED Co. President Tom Fay. "EMED will be able to build on its proud tradition of excellence and have access to additional opportunities as a member of the Brady family of companies."

"We expect this acquisition to be slightly accretive to earnings per share in fiscal 2004, and $0.15 to $0.20 accretive in fiscal 2005," said David Mathieson, Brady vice president and chief financial officer.

Brady expects to fund the purchase from a portion of the proceeds of new credit facilities organized by Bank of America. The credit facilities can also be used to make future acquisitions and for general corporate purposes.

Closing of the transaction, which is subject to customary closing conditions including regulatory filing requirements, is anticipated in May of Brady's fiscal fourth quarter. Robert W. Baird & Co. has served as financial advisor to Brady on this acquisition.

Brady will hold a conference call to discuss this announcement at 8:00 a.m. Central Time on Tuesday, April 6. Interested parties can listen to the live Webcast by logging on to www.bradyinvestor.com. Additional details of the transaction can be found in Brady's 8-K, filed today with the Securities and Exchange Commission.

Brady Corporation is an international manufacturer and marketer of complete identification solutions and specialty materials, with products including labels, software, printing systems, label-application and data-collection systems, signs, safety devices and precision die-cut materials for manufacturing, electrical, electronic, telecommunications and a variety of other markets. Seton, a Brady business, offers safety and facility identification products through mail-order catalogs and on the Internet. Founded in 1914, Brady is headquartered in Milwaukee and employs more than 3,500 people in operations in the United States, Europe, Asia/Pacific, Latin America and Canada. Brady's fiscal 2003 sales were approximately $555 million. More information is available on the Internet at www.bradycorp.com.

Summit Partners, a leading private equity and venture capital firm, invested in EMED Co. in 1999. Summit Partners has a capital base of more than $5.5 billion, with offices in Boston, Palo Alto, and London.

This news release contains forward-looking information, as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking information in this release involves risks and uncertainties, including, but not limited to, domestic and international economic conditions and growth rates; fluctuations in currency exchange rates for international currencies versus the U.S. dollar; the successful implementation of a new enterprise-resource-planning system; the ability of the company to acquire, integrate and achieve anticipated synergies from new businesses; the ability of the company to adjust its cost structure to changes in levels of sales and product mix in a timely manner; variations in the economic or political conditions in the countries in which the company does business; technology changes; and the continued availability of sources of supply. Brady cautions that forward-looking statements are not guarantees, since there are inherent difficulties in predicting future results, and that actual results could differ materially from those expressed or implied in forward-looking statements.