Consumer Products and Services Sector

Charterhouse Group has had considerable
experience and success in the Consumer
Products and Services sector through investments such as Del Monte Foods (canned vegetables and fruit), Dreyer's Grand Ice Cream (premium dessert products), Fleer Corp. (trading cards and confections), Calvin Klein Jeans (branded apparel/accessories) and Sundor Brands (branded beverage products). Today, our portfolio includes several consumer build-ups, including Charter Baking Company (organic and natural baked goods) and Amerifit Brands, Inc. (a portfolio of leading condition-focused vitamin and supplement products).

Our firm finds the characteristics of the Consumer Products and Services sector attractive for investment due to steady consumer purchasing patterns and a general lack of cyclicality within our sub-sectors of focus. Charterhouse Group's consumer team concentrates on businesses which can benefit from the following demographic and psychographic trends in the U.S.:

Consumer Products and Services Case Histories

To gain a better understanding of Charterhouse Group's investment approach in the Business Services sector, please see the Fleer case history.

• the aging of society;
• a greater awareness of health and wellness;
• changes in lifestyles (e.g., increasingly mobile populations);
• the emphasis on physical appearance;
• the heightened importance of specialty and ethnic products/services

The consumer space lends itself to the employment of our build-up strategy as many sub-sectors have companies which face challenges associated with a consolidating retail base (within the food, drug, mass and club channels), foreign and direct sourcing and shifts in buying habits (brought about by the greater access to information and consumers' heightened understanding of value, price and service factors).

Charterhouse Group is attracted to platform companies that are, or can be, category leaders and which present opportunities to build strong vertical, national or regional businesses. We particularly focus on branded consumer products that can be enhanced through expanded marketing efforts and access to financial and human capital. A key part of our strategy is to work with managers and Charterhouse Entrepreneurs who have had experience at integrating companies in this sector while preserving and improving upon strong corporate cultures.

Consumer sub-sectors of interest include (but are not limited to):

• Food and Beverage
  • - Health and Wellness
  • - Natural and Organic
  • - Fresh and Refrigerated
  • - Specialty and Ethnic
  • - Candy and Confectionary
  • - Specialty Beverage
  • - Ingredients
  • - Food/Beverage Service/Processing
• Household Products / Office Products
  • - Cleaning and Care Products
  • - Other Home / Office Supplies
  • - Pet Products
  • - Environmentally Sustainable Products
• Health and Beauty Aids (HBA)
  • - Personal Care Products
  • - Beauty Products
  • - Dietary / Nutritional Supplements
• General Merchandise - Durables
  • - Including: automotive products; educational products; housewares and home related products (hard goods/soft goods); lawn and garden products; luxury products; pet products; select areas within accessories and specialty apparel; sports/recreational products; and, travel products
• Consumer Services
  • - Direct Marketing - within alternative/emerging channels
  • - Catalog Retailing
  • - Private Label