A report from 2018 used as an overview of the company and the resources available to buyers or sellers. This power point provides info on the company and where it stands in the industry landscape.

1. HGR INDUSTRIAL SURPLUS
WWW.HGRINC.COM

3. ABOUT HGR INDUSTRIAL SURPLUS
 In Business 20 Years
 Headquarters in Euclid, Ohio (Cleveland)
 Currently 110 Employees in 11 Regions
 10 Full-Time Inside Sales Reps
 20 Person Dedicated Marketing Call Center in
Austin, Texas
 HGR = “Hit the Ground Running”
 650,000 Square Foot Showroom in Former GM
Plant
HGR’S CAPACITY & EXPERIENCE SET IT APART FROM OTHER ASSET RECOVERY COMPANIES

4. HGR INDUSTRIAL SURPLUS
THE INDUSTRIAL SURPLUS SUPERSTORE
 Avg. of 206 truckloads delivered to HGR per/month in 2017
 More than 450 items inventoried daily
 152,077 line items sold in 2017
 50.09% of inventory sold within 30 days
 80.96% of inventory sold within 90 days
 90.35% of inventory sold within 120 days
 2017 Average sale price = $176.02 per item
HGR INDUSTRIAL SURPLUS SOLD OVER 150,000 UNITS OF INVENTORY IN 2017

5. DESIRABLE TYPES OF EQUIPMENT
(THIS LIST IS NOT ALL-INCLUSIVE)
 Electrical Equipment
 Motors & Starters
 Metalworking Equip.
 Pumps
 Material Handling Equip.
 Machine Tools
 Process Equip.
 Testing Equipment
 Woodworking Machines
 Robots & Robotics Items
 Plant Support Equip.
 Inspection Equip.
 Shop Furniture
 Steel Tubs & Baskets
 Fabrication Machinery
 Tool Room Equipment
 Plastics Machinery
 Tooling
 Automation Machinery
 Packaging Equipment
 Heat Treating Items
A SAMPLING OF ITEMS THAT SELL WELL THROUGH HGR INDUSTRIAL SURPLUS

6. Our Asset Recovery Programs
HGR can help you dispose of individual items, MRO supplies, full
truckloads or entire plants through 4 recovery options:
o Direct Purchase
• For surplus that you need off your books and off your floor today
o Consignment – “Revenue Share Program”
• For companies that accumulate surplus on an ongoing basis
o Brokerage
• For high-value items that would sell best from your floor
o Auctions
• For larger volumes of surplus, we can sell via auction directly off your floor

7. With over 19 years in the
business, HGR understands
that your time is valuable.
Our regional buyers are
dedicated to making sure
that the process is simple and
efficient.
We mail you a check
within 24 hours of our
bid acceptance.
We come to your location, itemize
your surplus and provide you with
a bid.
We arrange pickup at your
convenience, and we handle the
shipping.
Direct Purchase Option

8. For smaller items that are hard to
inventory on site, HGR will handle
that chore for you.
Ship your obsolete material to HGR &
let us sell your items on your behalf
through our 650,000 sq. ft. showroom
and at www.hgrinc.com
HGR unloads,
inventories, prices and
markets your items
Once material/equipment is
surplus to your needs, you can ship
it to HGR for consignment sale
You receive monthly payments
and statements reflecting your
account activity
Who sees
your
stuff?
12 million
web page
views
annually
15+million
emails
annually
1+million
visitors to
our website
annually
25,000
visitors to
our
showroom
annually
Consignment Option

9. HGR’s Brokerage Program focuses on
high-ticket items that could lose value
if they are disassembled and/or
moved.
Your brokerage items will get the
benefit of HGR’s marketing efforts to
sell your equipment to a huge
audience.
We bring all qualified
offers and buyers to
you
Free Service – Commission paid to
HGR after we bring a buyer to you
HGR markets your items to
1000’s of potential customers
Brokerage Option

10. An auction can be a great choice when you
have a lot of items to sell, need to liquidate the
contents of a factory or warehouse, or have
higher-value items that will fetch a better price
under power.
Our database of tens of thousands of
customers and our best-in-class marketing will
drive bidders to your auction. HGR can be an
asset if you choose to auction your surplus.
Auction Option

11. HGR’S GLOBAL MARKETING REACH
 Product Feeds Sent to Machinio.Com, eBay, and
SurplusRecord.Com in Real-Time
 HGR Sends Approximately 25 Million E-Mails Sent per
Year to Our Customer Databases
 HGR Posts on Social Media 365 Days/Year
 HGR Sends Targeted Direct Mail to Existing and
Prospective Customers Ranging from Major
Manufacturers to Amish Business Owners
 The Marketing Team Attends Several Trade Shows &
Exhibitions per Year
 Our Website is Translated into 103 Different Languages
 HGR Has Shipped Inventory to Over 60 Foreign
Countries and Every U.S. State
 The HGR Blog Fosters Discussion among Small and Mid-
Size Manufactures Seeking to Reduce Capital
Equipment Costs by Buying Used & Surplus Equipment
 The HGR Website has Best-In-Class On-Site Analytics
11.4 million pageviews, 1.1 million users, and 2.15
million sessions in 2017. That’s a lot of eyeballs!
 HGR’s Inventory is So Large that the Marketing
Department Regularly Uses a Drone Piloted by an FAA
Licensed Drone Pilot Who Works Full-Time for HGR.
TRANSLATED INTO 103 LANGUAGES WITH VERIFIED TRAFFIC FROM 206 COUNTRIES

12. STAYING AHEAD OF THE TRENDS
HGR SEEKS TO DELIVER TOP-NOTCH WEB EXPERIENCE
• Heavy Financial Investments Include Two Comprehensive Website Redesigns in Past 36 Months
• Achieved 95% Score on Google’s Mobile Friendly Test
• Retained 2 Former Senior Google Search Quality Engineers to Perform Extensive SEO Audit to Inform
Future Enhancements to the Site
• Website Inventory Updated in Real-Time from Custom ERP System Developed Specifically for HGR
• Product Feed Sent to Several Partners Including Machino.Com and SurplusRecord.Com
• Over $250,000 in Online Ad Spends to Promote Inventory in 2017
• Content Marketing Initiatives Continuously Drive Fresh Traffic to the HGR Website

13.  HGR Averages 100+ Walk-In Customers per Day
 Cleveland, Ohio is a Hotbed for Industrial Surplus, Creating
Cross-Traffic for Businesses Seeking Used & Surplus
Industrial Equipment
 Cleveland Has Become a Desirable Destination, With Great
Local Sports, Dining & Entertainment Options for Visitors
 HGR Has Outstanding Name Recognition & Brand Loyalty
 House E-Mail List Sent to Over 102,000 Recipients on a Daily
Basis
 HGR Advertises on Major Websites Including Google, Yahoo!,
Bing, ESPN, CNN & Fox News
 HGR’s Inventory is Available on Major Industrial Surplus
Websites Including Machinio.Com and SurplusRecord.Com
 Real-Time Inventory on Website Ensures that HGR’s
Customers Keep Coming Back
HGR DELIVERS EYEBALLS ON INVENTORY
IT’S VIRTUALLY IMPOSSIBLE TO BE IN THE MARKET FOR INDUSTRIAL SURPLUS WITHOUT ENCOUNTERING HGR

14. HGR MARKETING PROGRAM SUMMARY
HGR AGGRESSIVELY MARKETS ITS INVENTORY WORLDWIDE
Web Traffic from 233 Countries & Territories
Average Inventory of 12,000 Items
Top Search Engine Rankings
HGR Website is Available in 103 Languages
Google Mobile Friendly

15. HGR’S REVENUE SHARE PROGRAM
• HGR Inventories, Prices, Stores, and Markets Your
Surplus Inventory
• Proven Program with over 1,000 Consignor Partners
• Placement in 650,000 sq. ft. Showroom and on HGR’s
Website Ensures Maximum Visibility
• Dedicated Sales Team of 12 Works to Sell Your Products
• Monthly Statements and Payments Reflecting Activity
• HGR’s In-House Logistics Team Works to Quickly Move
Inventory from Your Facility to Our Showroom
WE PARTNER WITH SOME OF THE BIGGEST NAMES IN INDUSTRY
PARTNERS WE WORK WITHRevenue Share Program Overview

16. THE HGR REVENUE SHARE PROCESS
(CONSIGNMENT)
Vendor Contacts HGR to
Arrange Shipping
HGR Arranges Carrier for
Shipment
Vendor Loads Materials on
Carrier’s Trailer
Vendor Identifies List of MRO
Items Surplus to Its Needs
Vendor Removes Inventory
from Storage
NO Special Packaging. Just Get
to Point to Ship
HGR Receives & Inventories
Material
Monthly – HGR Reports Activity
Including Sales Report
Monthly – HGR Pays 50%
Proceeds Due Less Upfront
Shipping Costs

17. QUESTIONS OR TO GET STARTED
Contact Rick Affrica
Phone: (810) 908-8515
E-Mail: raffrica@hgrinc.com
HGR Industrial Surplus
20001 Euclid Avenue
Euclid, OH 44117
(866) 447-7117
www.hgrinc.com