Draft Press Release for Possible Distribution (TBD)

ACO HARDWARE PRESS RELEASE

Media Contact: Mark VandenBerg (248) 615-2600 [email protected]

ACO STORES TO AFFILIATE WITH ACE HARDWARE Michigan’s largest independent home and hardware retailer, ACO Hardware to join the Ace Hardware brand

Farmington Hills, Mich., January 7, 2014 – ACO Hardware, Michigan’s largest independent home and hardware store chain located throughout the Detroit market and beyond will join Ace Hardware, the nation’s largest hardware cooperative. ACO currently has 52 stores, all of which are located in Michigan.

ACO, headquartered in Farmington Hills, Mich. and originally founded in 1946 as Traskos Brothers Hardware Depot in Dearborn, Mich., has been firmly rooted in its founding principle of providing friendly and knowledgeable service. The organization currently employs approximately 850 associates and will continue to be an economic driver in the Detroit market.

The transition to Ace will take place over a 6-month period, at which point all stores will have reopened as Ace Hardware branded stores. ACO was drawn to Ace Hardware for a myriad of reasons, most notably for its world-class distribution network, wholesale buying power and award-winning brand.

Once transitioned to Ace Hardware stores, consumers will benefit from Ace’s nationally- recognized brands such as Craftsman®, Valspar® as well as exclusive lines such as Clark+Kensington® and over 10,000 Ace-branded products.

“Last year, we committed to our customers that we would invest and grow our business,” said Mark VandenBerg, CFO, ACO Hardware. “After months of research and due diligence, we are confident we have selected the best organization with which to align and grow. Ace Hardware offers our stores a world class brand, top notch merchandise opportunities and a supply chain network second to none.”

VandenBerg also stated that ACO will operate the new Ace Hardware stores under the name Great Lakes Ace as part of its continuing commitment to Michigan consumers.

To become fully aligned with the Ace Hardware brand and merchandise selection, the ACO stores will offer incredible savings on current inventory as they sell down to clear the stores. SB Capital Group, LLC, has been retained to operate transitional sale events in the ACO store locations. The 26 ACO locations listed below are the first group of stores slated for conversion. They will commence a “Total Inventory Blowout Sale” on Wednesday, January 8 and include:  Auburn Hills  Port Huron  Brighton  Rochester Hills  Center Line  Roseville  Clarkston  Royal Oak  Clawson  St. Clair Shores (2)  Clinton Township  Shelby Township  Farmington Hills  Southfield  Highland  Sterling Heights  Lake Orion  Union Lake  Macomb  Warren (3)  Milford  Waterford (2)

The remaining ACO locations will be part of a second transition cycle, with dates of the sale and conversion of the stores to the Ace Hardware brand yet to be announced.

About ACO Home, Garden & Hardware Founded in 1946, ACO Home, Garden & Hardware has more than 50 stores throughout the state of Michigan. While hardware continues to be its core business, the company’s name and product offerings have evolved to include home decorating items and seasonal-based products. For more information, visit http://acohardware.com.