Overview

Pioneer Power Solutions, Inc. is an industry leader in the design and manufacture of electrical equipment for customers in the North American utility, industrial, commercial, OEM and critical power markets. Our product portfolio includes a wide range of liquid-filled and dry-type power, distribution and specialty electrical transformers, magnetic products used in the control and conditioning of electrical current for critical processes.

Recently, we increased our capabilities to include specialized forms of switchgear and controls that protect facilities against power outages and can manage the generation and distribution of electricity in concert with the power grid.

• Through our business units, we pride ourselves in a 95+ year tradition of meeting the highest standards for design technology, product quality, durability and on-time delivery in a demanding and rapidly changing marketplace.
• While we manufacture many types of transmission and distribution equipment for general purpose applications, our strength lies in built-to-order equipment types designed for the special applications of our customers who look to Pioneer for engineered solutions.

We are a Nasdaq-listed company headquartered in Fort Lee, New Jersey. Our business operations encompass approximately 350 employees at eight manufacturing, centralized distribution, engineering, sales and marketing locations in U.S., Canada and Mexico.

History

Our heritage in design technology and innovation has endured throughout our over 90 years in the electrical equipment manufacturing industry. In our recent history, we have significantly increased our profile and broadened the range of products we manufacture and the markets we serve:

• In February 1995 we acquired our Pioneer Transformers Ltd. business from Schneider Electric. We then retooled its manufacturing capabilities and developed know-how to produce gradually more complex and value-added transformers for our customers. With our change in product mix, our revenue more than tripled.
• In December 2009 we raised equity capital and became a public reporting company in the U.S. as Pioneer Power Solutions, Inc.
• In April 2010 we purchased Jefferson Electric, Inc., a Wisconsin-based manufacturer and supplier of low voltage, dry type transformers.
• In June 2010 we purchased select assets from AAER Inc. to establish Pioneer Wind Energy Systems Inc., a manufacturer of wind turbines with generation capacities exceeding one megawatt. In September 2011, we elected to discontinue this business.
• In July 2011 we acquired Bemag Transformer Inc., a Quebec-based manufacturer of low and medium voltage transformers and custom magnetics.
• In March 2013 we acquired Power Systems Solutions, Inc., now doing business as Pioneer Critical Power Inc., a Minneapolis-based provider of paralleling switchgear and engine generator controls.
• In August 2013, we acquired Pico Electrical Equipment, Inc. now doing business as Pioneer Custom Electrical Products Corp., a Los Angeles-based manufacturer of low voltage switchboards and related circuit protection equipment.
• In September 2013, we completed a public offering of our common stock and uplisting to the Nasdaq.
• In December 2014, we completed the acquisition of Titan Energy Systems, Inc., a provider of industrial-scale backup power generation systems supported by a national field service organization and on-line remote monitoring technology.

Our new identity as Pioneer Power Solutions reflects our continuing evolution and more broadly defined objectives -- to supply our customers a diverse, custom-engineered and integrated offering of innovative, high quality power equipment products and related services.

Strategy

The cornerstone of our business is an operating philosophy built upon:

• leading design technologies
• continuous process improvements
• growth through product line evolution
• uncompromising standards for product quality and longevity
• pursuit of total customer satisfaction

While these practices have served us well, our principal strength has been in maintaining our flexibility – the flexibility to offer customized solutions for clients with particular needs, and delivering them on time, every time, while exceeding expectations for quality and service.

Vision

Our strategy is to capitalize on these strengths to transform Pioneer into a major North American and international supplier of power equipment products and solutions. We intend to pursue this objective through internally-driven initiatives, such as product development and through our recent plant expansions, but intend to rely primarily on our acquisition program to extend the scale and scope of our business into new market segments and geographies.