Exhibit 99.1

Compass Diversified Holdings		Investor Relations and Media Contacts:
James J. Bottiglieri		The IGB Group
Chief Financial Officer		Leon Berman / Michael Cimini
203.221.1703		212.477.8438 / 212.477.8261
jbottiglieri@compassdiversifiedholdings.com		lberman@igbir.com / mcimini@igbir.com

Compass Diversified Holdings Reports First Quarter 2011 Financial Results

Generates Cash Flow Available for Distribution and Reinvestment of $14.3 Million

Westport, Conn., May 9, 2011 – Compass Diversified Holdings (NYSE: CODI) (“CODI” or the “Company”), an owner of leading middle market businesses, announced today its consolidated operating results for the three months ended March 31, 2011.

First Quarter 2011 Highlights

	•		Generated Cash Flow Available for Distribution and Reinvestment (“CAD” or “Cash Flow”) of $14.3 million for the first quarter of 2011;
	•		Reported a net loss of $6.6 million for the first quarter of 2011, which includes a $7.7 million non-cash impairment charge and a $3.2 million non-cash supplemental put accrual expense;
	•		Paid a first quarter 2011 cash distribution of $0.36 per share in April 2011, an approximate 6% increase from the previous quarterly distribution, bringing cumulative distributions paid to $6.3552 per share since CODI’s IPO in May of 2006.

CODI reported Cash Flow (see note regarding use of Non-GAAP Financial Measures below) of $14.3 million for the quarter ended March 31, 2011, as compared to $11.3 million for the comparable quarter of the prior year. CODI’s weighted average number of shares outstanding for the quarter ended March 31, 2011 and March 31, 2010 was approximately 46.7 million and 36.6 million, respectively.

The improvement in Cash Flow for the first quarter 2011 as compared to the year-earlier period was due to higher revenue levels at a number of our businesses, which also resulted in greater operating leverage. In addition, the first quarter of 2011 was positively impacted by the inclusion of results from Circuit Express for the full period, which was acquired by our subsidiary, Advanced Circuits, on March 11, 2010, as well as the inclusion of results from Liberty Safe and ERGObaby, two new CODI platform businesses acquired on March 31, 2010 and September 16, 2010, respectively.

CODI’s Cash Flow is calculated after taking into account all interest expense, cash taxes paid and maintenance capital expenditures, and includes the operating results of each subsidiary for the periods during which CODI owned them. However, Cash Flow excludes the gains from sales of businesses, which have totaled over $109 million since 2007.

The net loss for the quarter ended March 31, 2011 was $6.6 million, as compared to a net loss of $15.3 million for the quarter ended March 31, 2010. During the quarter ended March 31, 2011, CODI recorded a $7.7 million non-cash impairment charge related to its ownership of American Furniture Manufacturing, which reflects a decline in the estimated current fair market value for this subsidiary due to the continued soft retail environment in the promotional furniture market. CODI also recorded a $3.2 million non-cash supplemental put accrual expense during the quarter ended March 31, 2011, based on the periodic review of current cash flow generation levels of its subsidiaries, as well as anticipated market multiples for those businesses in the event they were to be sold in the current environment. During the first quarter of 2010, the Company recorded a non-cash supplemental put accrual expense of $14.4 million.

As of March 31, 2011, CODI had $17.1 million in cash and cash equivalents on hand, $73.5 million outstanding on its term loan facility and $7.0 million outstanding under its $340 million revolving credit facility. The Company has no significant debt maturities until late 2012 and had borrowing availability of approximately $253 million at March 31, 2011 under its revolving credit facility.

On March 8, 2011, CODI’s Board of Directors declared a first quarter distribution of $0.36 per share. The distribution was paid on April 12, 2011 to all holders of record as of March 29, 2011.

Commenting on the quarter, Alan Offenberg, CEO of Compass Diversified Holdings, said, “We are pleased to report strong operating results for the first quarter of 2011, which exceeded management’s expectations. During the quarter, CAD increased 26.7% to $14.3 million as we continue to expand the relative market share across our diverse family of niche businesses and generate significant operating leverage. We also benefitted from our accretive acquisitions in 2010. Based on our strong results combined with our future prospects, we paid a first quarter distribution of $0.36 per share, representing an increase of approximately 6% from our previous quarterly payout and the fourth distribution increase since CODI’s IPO. As we maintain our focus on providing shareholders with attractive cash distributions, we intend to utilize our balance sheet strength to consummate favorable platform and add-on acquisitions while reinvesting in our current subsidiaries to maximize their long-term intrinsic value.”

Conference Call

Management will host a conference call today at 9:00 a.m. ET to discuss the latest corporate developments and financial results. The dial-in number for callers in the U.S. is (877) 874-1563 and the dial-in number for international callers is (719) 325-4814. The access code for all callers is 2083227. A live webcast will also be available on the Company’s website at www.compassdiversifiedholdings.com.

A replay of the call will be available through May 15, 2011. To access the replay, please dial (888) 203-1112 in the U.S. and (719) 457-0820 outside the U.S., and then enter the access code 2083227.

Note Regarding Use of Non-GAAP Financial Measures

CAD, or Cash Flow, is a non-GAAP measure used by the Company to assess its performance, as well as its ability to sustain and increase quarterly distributions. A number of CODI’s businesses have seasonal earnings patterns, with the first quarter typically being the slowest of the year. Accordingly, the Company believes that the most appropriate measure of its performance is over a trailing or expected 12-month period. We have reconciled CAD, or Cash Flow, to Net Income and Cash Flow Provided by Operating Activities on the Attached Schedules. We consider Net Income and Cash Flow Provided by Operating Activities to be the most directly comparable GAAP financial measures to CAD, or Cash Flow.

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 marketing of wearable baby carriers and related products (ERGObaby, www.ergobabycarriers.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 Lee Wayne, www.haloleewayne.com);
	•		The design and manufacture of premium home and gun safes (Liberty Safe, www.libertysafe.com); and

•

The provision of temporary staffing services, operating approximately 300 locations in 29 states (Staffmark, www.staffmark.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.

Compass Diversified Holdings
Condensed Consolidated Balance Sheets

		March 31,				December 31,
		2011				2010
(in thousands)		(unaudited)
Assets
Current assets:
Cash and cash equivalents		$	17,120			$	13,536
Accounts receivable, less allowance of $4,554 and $5,481			204,237				208,487
Inventories			77,831				77,412
Prepaid expenses and other current assets			29,343				33,904
Total current assets			328,531				333,339
Property, plant and equipment, net			35,407				33,484
Goodwill			319,766				325,851
Intangible assets, net			260,099				269,672
Deferred debt issuance costs, net			3,389				3,822
Other non-current assets			23,861				17,873
Total assets		$	971,053			$	984,041
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable and accrued expenses		$	148,611			$	127,499
Accrued distribution payable			16,821				—
Due to related party			3,380				2,692
Current portion of long-term debt			2,000				2,000
Current portion of supplemental put obligation			6,300				—
Current portion of workers’ compensation liability			17,943				18,170
Other liabilities			689				1,043
Total current liabilities			195,744				151,404
Long-term debt			78,500				94,000
Supplemental put obligation			41,526				44,598
Deferred income taxes			73,606				74,457
Workers’ compensation liability			40,902				40,588
Other non-current liabilities			2,534				3,084
Total liabilities			432,812				408,131
Stockholders’ equity
Trust shares, no par value, 500,000 authorized; 46,725 shares issued and outstanding at 3/31/11 and 12/31/10			638,759				638,763
Accumulated other comprehensive loss			—				(143	)
Accumulated deficit			(190,232	)			(150,550	)
Total stockholders’ equity attributable to Holdings			448,527				488,070
Noncontrolling interests			89,714				87,840
Total stockholders’ equity			538,241				575,910
Total liabilities and stockholders’ equity		$	971,053			$	984,041

Compass Diversified Holdings
Condensed Consolidated Statements of Operations
(unaudited)

		Three Months				Three Months
		Ended				Ended
(in thousands, except per share data)		March 31, 2011				March 31, 2010
Net sales		$	424,125			$	353,619
Cost of sales			334,537				282,593
Gross profit			89,588				71,026
Operating expenses:
Staffing expense			22,115				19,607
Selling, general and administrative expense			46,397				42,381
Supplemental put expense			3,228				14,426
Management fees			3,843				3,664
Amortization expense			7,702				6,123
Impairment expense			7,700				—
Operating loss			(1,397	)			(15,175	)
Other income (expense):
Interest income			2				15
Interest expense			(2,539	)			(2,701	)
Amortization of debt issuance costs			(459	)			(418	)
Other income (expense), net			246				180
Loss before income taxes			(4,147	)			(18,099	)
Income tax expense (benefit)			2,420				(2,812	)
Net loss			(6,567	)			(15,287	)
Net income attributable to noncontrolling interest			407				682
Net loss attributable to Holdings		$	(6,974	)		$	(15,969	)
Basic and fully diluted loss per share		$	(0.15	)		$	(0.44	)
Weighted average number of shares outstanding – basic and fully diluted			46,725				36,625
Cash distributions declared per share		$	0.36			$	0.34

Compass Diversified Holdings
Condensed Consolidated Statements of Cash Flows
(unaudited)

		Three Months				Three Months
		Ended				Ended
(in thousands)		March 31, 2011				March 31, 2010
Cash flows from operating activities:
Net loss		$	(6,567	)		$	(15,287	)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization expense			10,773				8,423
Impairment expense			7,700				—
Supplemental put expense			3,228				14,426
Noncontrolling stockholder notes and other			852				4,370
Deferred taxes			(993	)			(2,121	)
Other			292				(210	)
Changes in operating assets and liabilities, net of acquisition:
Decrease in accounts receivable			5,041				310
Increase in inventories			(654	)			(49	)
Increase in prepaid expenses and other current assets			(3,302	)			(724	)
Increase in accounts payable and accrued expenses			23,388				7,241
Net cash provided by operating activities			39,758				16,379
Cash flows from investing activities:
Acquisition of businesses, net of cash acquired			—				(83,708	)
Purchases of property and equipment			(4,565	)			(964	)
Other investing activities			62				14
Net cash used in investing activities			(4,503	)			(84,658	)
Cash flows from financing activities:
Net borrowing (repayment) of debt			(15,500	)			69,500
Proceeds form noncontrolling equity issuances			—				2,085
Debt issuance costs			—				(155	)
Other			(284	)			(50	)
Distributions paid			(15,887	)			(12,452	)
Net cash provided by (used in) financing activities			(31,671	)			58,928
Net increase (decrease) in cash and cash equivalents			3,584				(9,351	)
Cash and cash equivalents — beginning of period			13,536				31,495
Cash and cash equivalents — end of period		$	17,120			$	22,144

Compass Diversified Holdings
Condensed Consolidated Table of Cash Flows Available for Distribution and Reinvestment (“CAD”)
(unaudited)

		Three Months				Three Months
		Ended				Ended
(in thousands)		March 31, 2011				March 31, 2010
Net loss		$	(6,567	)		$	(15,287	)
Adjustment to reconcile net loss to cash provided by operating activities:
Depreciation and amortization			10,314				8,005
Amortization of debt issuance costs			459				418
Impairment expense			7,700				—
Supplemental put expense			3,228				14,426
Noncontrolling stockholder notes and other			1,144				4,160
Deferred taxes			(993	)			(2,121	)
Changes in operating assets and liabilities			24,473				6,778
Net cash provided by operating activities			39,758				16,379
Plus:
Unused fee on revolving credit facilities (1)			776				842
Successful acquisition expense (2)			500				1,789
Changes in operating assets and liabilities			(24,473	)			(6,778	)
Less:
Maintenance capital expenditures (3)			2,267				950
Estimated cash flow available for distribution and reinvestment		$	14,294			$	11,282
Distribution paid in April 2011/2010		$	16,821			$	14,238