Compass Diversified Holdings Subsidiary, ERGObaby, Acquires Orbit Baby

Accretive Add-On Acquisition Expands ERGObaby’s Global Presence in the Baby Durables Market 

Westport, Conn., November 21, 2011 - Compass Diversified Holdings (NYSE: CODI) (“CODI”), an owner of leading middle market businesses, announced today that its subsidiary, The ERGObaby Carrier, Inc. (“ERGObaby”), has acquired Orbit Baby, Inc. (“Orbit Baby”).

Founded in 2004 and based in Newark, California, Orbit Baby produces and markets a premium line of stroller travel systems. Orbit Baby’s high-quality products include car seats, strollers and bassinets that are easily interchangeable using a patented hub ring.  Orbit Baby has established a reputation for designing ergonomic and innovative products, which are currently available throughout the United States and abroad.

Commenting on the transaction, Alan Offenberg, CEO of CODI, said, “Since acquiring ERGObaby in September 2010, we have made significant investments aimed at strengthening its future prospects and expanding its leadership position in the child mobility and transport product category. The accretive add-on acquisition of Orbit Baby is consistent with these important objectives as we remain focused on utilizing our balance sheet strength to capitalize on favorable growth opportunities.”

Tim Bruer, CEO of ERGObaby, stated, “This attractive acquisition provides a great opportunity to further our rapid growth in the Baby Durables market. With this complementary line of advanced stroller travel systems, we intend to further expand our distribution levels in the U.S. and internationally. We look forward to seamlessly integrating our operations and working closely with Orbit Baby’s management to drive future performance.”

Joseph Hei and Bryan White, co-founders of Orbit Baby, will continue to serve in senior management roles. “We are excited to join the ERGObaby family,” said Mr. Hei. “As the fastest growing brand for baby carriers backed by CODI’s financing structure, ERGObaby provides an ideal fit as we grow our ability to bring world-class safety, convenience and design to solutions for taking children on the go.”

About ERGObaby
Founded in 2003, ERGObaby is a premier designer, marketer and distributor of hands-free baby carriers and related products on a worldwide basis for all babies, from newborn to toddler. ERGObaby’s strong track record in product innovation, reliability and safety has led to numerous awards and accolades from consumer surveys and publications, including Parenting Magazine, Pregnancy Magazine and Wired Magazine. ERGObaby offers a broad range of environmentally conscious babywearing products and accessories that are sold through more than 700 retailers and web shops in the United States and internationally in approximately 30 countries. To learn more, please visit ERGObaby’s website, www.ergobaby.com.

About Compass Diversified Holdings (“CODI”)
Compass Diversified Holdings (“CODI”) owns and manages a diverse family of established North American middle market businesses. Each of its eight subsidiaries is a leader in their niche market.

CODI maintains controlling ownership interests in each of its subsidiaries in order to maximize its ability to impact long term cash flow generation and value. The Company provides both debt and equity capital for its subsidiaries, contributing to their financial and operating flexibility.  CODI utilizes the cash flows generated by its subsidiaries to invest in the long-term growth of the Company and to make cash distributions to its owners.

Our subsidiaries are engaged in the following lines of business:

• The manufacture of quick-turn, prototype and production rigid printed circuit boards (Advanced Circuits, www.advancedcircuits.com);

• The design and manufacture of promotionally priced upholstered furniture (American Furniture Manufacturing, www.americanfurn.net);

• The design and manufacture of medical therapeutic support surfaces and other wound treatment devices (Anodyne Medical Device, also doing business and known as Tridien Medical, www.anodynemedicaldevice.com);

• The design and manufacture of personal hydration products for outdoor, recreation and military use   (CamelBak Products, www.camelbak.com);

• The design and marketing of wearable baby carriers and related products (ERGObaby, www.ergobaby.com);

• The design, manufacture and marketing of premium suspension products for mountain bikes and powered off-road vehicles (Fox Racing Shox,www.foxracingshox.com);

• The design, sourcing and fulfillment of logo based promotional products (HALO Branded Solutions, www.halo.com); and

• The design and manufacture of premium home and gun safes (Liberty Safe, www.libertysafe.com).

To find out more about Compass Diversified Holdings, please visit www.compassdiversifiedholdings.com.

This press release may contain certain forward-looking statements, including statements with regard to the future performance of the Company. Words such as “believes,” “expects,” “projects,” and “future” or similar expressions, are intended to identify forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results to differ materially from those projected in these forward-looking statements, and some of these factors are enumerated in the risk factor discussion in the Form 10-K filed by CODI with the Securities and Exchange Commission for the year ended December 31, 2010 and other filings with the Securities and Exchange Commission. CODI undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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The ERGObaby Performance carriers are made for babies, moms and dads that are active and love to be outside in almost any climate. The ERGObaby Performance carriers feature a high-performance polyester exterior, ideal for outdoor activities in all climates; a breathable mesh lining, keeping babies and parents cooler and more comfortable; and a CoolMax panel for extra moisture absorption and protection. This sleek, streamlined design offers a smooth, supportive fit for parents and babies of most sizes, and, as with all ERGObaby Carriers, can be used to carry babies from newborn to toddler on the back, front, and hip positions. Of course, like every other ERGObaby Carrier, ERGObaby’s Performance line supports the correct ergonomic position for both babies and parents.

“I am thrilled to bring the Performance to the families of the world,” says Karin Frost, President and Designer of ERGObaby. “This carrier is an exciting and innovative addition to a line of products that helps support and educate families on the myriad benefits of Babywearing.”

Some facts about the ERGObaby Performance line of carriers:

WHY PERFORMANCE?

• Lighter weight (1/3 lighter than Standard Carrier) This lighter weight fabric, with mesh lining, is ideal for active parents who want to be on the go and bring baby along.
• Durable, quick-drying outer layer, ideal for outdoor sports and activities The rugged, quick-drying exterior is perfect for the outdoors.
• Stylish with a rugged outdoor look and feel Two great new colors and a handy Cargo Pack
• Comfort contouring on shoulder straps Contoured shoulder straps keep your baby close to your body. Non-water-absorbent foam padding provides cushion without bulk.
• Chest strap on slider for easy adjusting Easily adjust the chest strap to accommodate your own comfort with the sleek and streamlined slider.
• Waist belt extends 5″ longer than Standard ERGObaby Carrier Extra length in waist belt provides a better fit for babywearers of all sizes

CARGO PACK

Made to fit the ERGObaby Performance line only, the Performance Cargo Pack is made of a rugged, durable polyester/cotton blend. The Cargo Pack attaches to the side buckles on either of the Performance Carriers, and features a generous main compartment with a side pocket, and a mesh outside pocket. With a Velcro flap, the Cargo Pack can attach to the carrier’s waist belt when worn in any position. Sold separately.

Founded in 2002, ERGObaby is a worldwide leader in environmentally-conscious items for families. ERGObaby is the ultimate HandsFree baby carrier for all babies, from newborn to toddler, and can be worn in the front, back, or hip positions. ERGObaby is the best way to support your baby and your lifestyle.

Available at retailers worldwide and at www.ergobaby.com.

We urge you to purchase your ERGObaby Carrier and accessory products only through authorized distributors.  Products purchased through our authorized Internet or retail store distribution channels provides you with outstanding customer service, a thirty-day trial period (for undamaged product returns) and warranty service and protections which may not be available when purchasing through unauthorized distributors. If you are in doubt, or have any concerns about any supplier, please contact us here.

12-29-2011 More information: http://store.ergobaby.com/Content/AboutUs_Counterfeits

The focus this year is to support “women in their efforts to do what is most important for the health and survival of their children through the best and most cost-effective intervention:  early and exclusive breastfeeding.”

In conjunction with the Olympics, the theme for LLL in the USA 2008 WBW is Mother Support: Going for the Gold…supporting mothers so they can achieve the gold standard of infant feeding: breastfeeding exclusively for six months, and providing appropriate complementary food with continued breastfeeding exclusively for up to two years or beyond.

We were consequently featured on “The Today Show” in May as they highlighted some of these top 20 products, and on October 23, Elizabeth Hasselbeck of “The View” named the ERGObaby carrier as one of the “must haves” for new parents. The audience, which was comprised primarily of expecting parents, each received an ERGObaby carrier as a gift for being a part of Hasselbeck’s baby shower celebration.

In September, we attended the ABC Trade Show in Las Vegas, where we launched our new Organic line of babywearing products. These durable, high-quality carriers and accessories offer parents an eco-conscious alternative. Babies love the soft fabric! At the trade show, we also presented our Hawaiian print baby carrier, which features a vintage tropical Hawaiian print on a cream-colored background.

In 2008, we are celebrating our sixth year in operation, and are anticipating more exciting events. We are happy to announce that, after years of pending, we have received our US Patent (# 7,322,498). This coming June, ERGObaby owner and designer Karin Frost is sponsoring the keynote speaker at the 2^nd Annual Babywearing Conference in Chicago. The conference will be held June 25 – 28 at the Lincoln Park campus of DePaul University, and will include music, yoga, lectures, and more! In September, we will return to the Industry’s largest Trade Show, the ABC Kid’s EXPO in Las Vegas.

As we continue to grow and evolve, we greatly appreciate all of the word-of-mouth support we receive from the babywearing community. Every day, we receive testimonials from parents praising the ERGObaby’s quality, safety, and style. We pride ourselves on providing exceptional customer service, fulfilling requests and answering questions in a timely, courteous, and professional manner. We look forward to continuing to provide outstanding baby carriers and accessories, enabling parents to incorporate their babies into their lifestyle in the most peaceful, loving, and natural way possible.

“20 best products, 20 years of our best advice”

ERGObaby is extremely pleased to announce that our carrier is one of those 20 products. This is a very special honor for ERGObaby to be chosen as best of its kind as it was only introduced to the market in 2003. Parenting Magazine’s 20th Anniversary Special is devoted to the biggest changes in the past 20 years.

The May issue unveils the culmination of ten months of research and feedback from hundreds of mothers across the country. The results constitute the boldest cover-to-cover evolution in the twenty-year history of the magazine.

We invite you to take a look at page 89 of this issue to see the great picture recognition of the ERGObaby carrier.

In keeping with our Mission to educate parents about baby wearing and related topics, we made the decision that this will be our last Press Release. Instead, the Press Room will now have bulletins concerning current research on a variety of scientific findings. These bulletins will offer parents information they might not otherwise be aware of. This, too, is in keeping with our Mission to improve the way each new generation of babies are introduced to the world. This focus on well-being will be for the benefit of both parent and child. We believe that education is a value added commodity to our superior products, The ERGO and Accessories. We hope to capture some of your precious time.

The ERGO Baby Carrier, Inc. embarks upon our fourth year of business since Karin Frost gave birth to her son, Keala, and set out to design the ideal carrier and to make carrying a baby a pleasure. From that initial carrier, sewn on her own machine, the ERGO is now distributed in sixteen countries and twenty-six states in the United States. The original carrier, “The Classic”, evolved into “The New Generation” that was successfully launched June 6, 2005 along with new accessories. Our company is enjoying a remarkable response from the Baby Wearing and Attachment Parenting communities and we are dedicated to continuing to serve those rapidly expanding movements.