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Capital for Business Acquires Industrial Tooling and Fabrication Inc.

COSTA MESA, Calif. - November 18, 2004 - Capital For Business of St. Louis, Miss., in conjunction with its portfolio holding company, Detroit Tool Metal Products, has acquired privately held Industrial Tooling and Fabrication Inc. of Fort Madison, Iowa. Transaction terms were not disclosed.

RSM McGladrey, a provider of business and tax consulting services and affiliate of RSM EquiCo, introduced Industrial Tooling and Fabrication to RSM EquiCo Capital Markets LLC, the firm's broker-dealer subsidiary. Together the two firms initiated the transaction, led the negotiations and acted as financial advisors to the company.

"OEM outsourcing is booming. Industrial Tooling and Fabrication doubled in size over the past two years and expects to double again in the next two years. The company's shareholders realized they needed additional management and financial resources to take full advantage of the numerous growth opportunities," said Paul Weisbrich, senior managing director for RSM EquiCo Capital Markets.

"The strategic alliance of Industrial Tooling and Fabrication and Detroit Tool Metal Products will produce synergistic cross-selling opportunities for both firms, creating a powerful force in the outsourced metal fabrication industry with over $65 million in combined annual revenues," he continued.

About Industrial Tooling and Fabrication Inc.

Industrial Tooling and Fabrication, Inc. manufactures steel sub-assemblies and components for the heavy construction and agricultural equipment markets. The company's products include complete chassis assemblies, track spring assemblies, mounting brackets and housing weldments, which are used to produce heavy equipment. Industrial Tooling and Fabrication sells to prominent manufacturers such as Case New Holland, Caterpillar Inc. and Deere & Company.

About Capital for Business

Capital For Business is the private equity arm of Commerce Bancshares, Inc. (NYSE: CBHS) of Kansas City, Missouri, a commercial bank holding company with over $14 billion in assets. Capital for Business specializes in providing capital for management buyouts, leveraged buyouts, and expansion investments in middle-market companies.

About Detroit Tool Metal Products

Capital for Business' portfolio company, Detroit Tool Metal Products of Lebanon, Miss., is a manufacturer of precision metal stampings and fabricated components for a broad range of industries and applications, including the heavy equipment industry. Industrial Tooling and Fabrication and Detroit Tool Metal Products will operate as sister companies following the transaction.

About RSM EquiCo, Inc.

RSM EquiCo is a global investment bank serving private middle-market companies throughout North America. With more than 400 professionals and support staff in North America and Europe, RSM EquiCo specializes in mergers, acquisitions, divestitures and capital raising for companies with up to $500 million in annual revenue. The firm is part of RSM McGladrey Inc., a business segment of H&R Block.

 

 

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