Dear Fellow Shareholders, Fiscal 2004 marked another year of progress for Multi-Color— our sixth consecutive year of record sales—as we satisfied markets, strengthened our Value Proposition and poised our Company for sustained growth. In FY 2004, our global packaging customers continued to value our complete line of decorating solutions and packaging services, responding with record levels of their business: Las Vegas production facility— $.7 million in asset impairment loss and plant closure costs—hindered our earnings: performance and cost reductions. These are the essential cornerstones of our strategic plan as we move forward, and we are confident in the long-term growth of the Company. We place much emphasis on enhancing our Value Proposition, which differentiates Multi-Color among customers and prospects as a superior and preferred packaging business resource.  Nowhere else can a packaging customer —blow molder, designer or consumer product maker—receive an unbiased, consultative approach to their packaging needs, a broader portfolio of label technology solutions, or more supportive customer services to speed their products to market and streamline our work processes together. It was a record year in many respects, however the one-time charge associated with the closing of our under-performing  We have increased our focus on operational excellence, aggressive sales During our third quarter we commenced a manufacturing consolidation plan by closing our Las Vegas facility. This part of the project was completed ahead of schedule. The integration of the shrink sleeve business into our more efficient Scottsburg, Indiana facility was completed during the first quarter of FY 2005. Value Proposition aligned to meet customer needs > Net Income increased 14%, excluding  the impact of our Las Vegas plant closing. With the charge, Net Income grew 3% to $6.5 million, our sixth straight year of earnings growth. > Diluted Earnings Per Share (EPS) were $1.09, up 10% from a year ago, excluding the closing charge. With the charge, EPS were $.99, equal to 2003. > Sales were up 28% to $127 million;  our sixth straight year of double-digit annual sales growth. > Volume rose dramatically in our Packaging Services Division, and each of our label decorating technologies exceeded industry growth averages. > Forty percent of our total growth stemmed from organic sales, as we achieved an 11% organic growth rate. > Total Shareholder Return outperformed the overall stock market as Multi-Color share price appreciated 77% in FY 2004. The share price of your Multi-Color stock has grown 198% in the last three years.  People Powered > Multi-Color associates know that successfully realizing our Vision depends on executing our  Core Values daily. Integrity, Customer Focus, Accountability and Results Driven  are the principles by which we operate. Representing Multi-Color’s “people power spectrum” are: Lesha Spahr, Director, Human Resources; David Klotter, National Account Executive; Heather Bucher, Assistant Treasurer; Benjamin Perez, Business Optimization; and John Voelker, Vice President Sales, P&G Relationship. 2