Presented by: United Midwest Savings Bank VisionMark survives difficult year "VisionMark had a difficult year in 2001. Shipments slowed to manufacturers of capital equipment as the slowdown started in 1999 reached recessionary levels. For the first time in many years we did not set another sales record, "said David Clarkson, president. Clarkson's report continues: VisionMark designs and manufactures engineered graphics for a variety of markets and customers. In our Sidney plant we build product identification systems, front panels, and panel overlays for more than 6,000 customers throughout North America. These products include control panels and panel tags for emergency response vehicles, safety and warning labels for metalworking machine tools, and elevator cab buttons for the sight-impaired. Sales to these industrial customers declined last year. The American machine tool industry continued its decline in 2001. Inventory reductions further reduced buying. The slowdown deepened as the automakers, appliance builders, other heavy manufacturers, and their suppliers began significant staff and purchasing cutbacks. VisionMark's customers in material handling saw record setting declines in shipments of returnable containers, conveying equipment, and fork trucks. This magnified an already difficult situation. We expect these conditions to continue through most of the new year. However, during 2001 VisionMark developed new products including high volume sequential barcode labeling for returnable containers and close tolerance overlays for the automotive aftermarket. These, and other customer solutions will provide assistance to our customers as they face more competitive markets. Recognition division Progress in VisionMark's companion business, our Recognition Division, continued in 2001. This team is a nationally recognized designer and producer of custom recognition products. The Division serves corporations and not-for-profit organizations in North America with complete design and manufacturing capabilities in Sidney. These products are used to thank employees, donors, and others for their achievement, service, or philanthropy. Shipments of these products increased again in 2001. However, as we enter 2002 the Recognition Division may face a more difficult future. Contributions to charitable institutions have declined as stocks and other assets have lost a great deal of their value. In addition, the various September 11 funds have diverted funds from more traditional charities. Early in 2002 the Recognition Division will introduce additional new products designed specifically to recognize donors, staff, and volunteers in not-for-profit institutions. These exciting innovations will provide fundraisers with new ways to recognize donors and reinforce their commitment to their missions. In addition the Division will expand their sales coverage significantly in the New Year to serve more not-for-profits across the U.S. New system coming In order to provide our thousands of customers and 35 field representatives with real time, accurate information VisionMark installed new information systems in 2001. These systems will provide both groups with instant access to quotations, order acknowledgements, backlogs, and order tracking via the Internet. The systems include a customer resource management system that ensures all customer needs are clearly communicated throughout VisionMark and that we quickly respond to those needs. A diverse team of dedicated VisionMark associates spent thousands of man-hours over a nine-month period designing the systems and selecting the necessary suppliers. In early May we made the complete changeover to the new systems without interrupting customer service. The final implementation phases for these systems will continue throughout 2002. VisionMark associates The professionalism, skills, and dedication of VisionMark associates were evident during 2001. The slower economic environment requires that we be more flexible and creative in servicing our customers. Our staff has done a terrific job in adjusting to these changes. VisionMark's success is due entirely to all these team members and their efforts.