Company: CODI-PB
Filing Date: 2025-12-08
Form Type: 10-K/A
Source: 0001345126-25-000078
Chunk: 59

Company: Compass Diversified Holdings
Filing Date: 2025-12-08
Form: 10-K/A
Chunk 59
---
 salon in 2005 in Newport Beach, California. Over the subsequent years, Lugano opened three additional retail salons in Aspen, Colorado; Palm Beach, Florida; and Ocala, Florida, to broaden its presence in key destinations favored by its target demographic. In 2008, the company initiated an equestrian division, concentrating on the Southeastern United States to complement its retail sales efforts.

In 2020, Lugano bolstered its production capabilities by constructing an in-house workshop and enhancing production efficiencies. In 2022, Lugano marked the opening of a new retail salon in Houston, Texas, and relocated its original Newport Beach location to become Lugano's flagship salon. The expansion continued in 2023 with new retail salons in Greenwich, Connecticut, and Washington, DC. In 2024, Lugano opened its first international retail salon in London, England.

We purchased a majority interest in Lugano on September 3, 2021.

#### Sales and Distribution
Products

Lugano designs, manufactures, and retails high-end jewelry including unique rings, necklaces, earrings, bracelets and brooches that range in price from under $1,000 to over $1,000,000.

Customers

Lugano’s client base generally consists of high-net-worth individuals who value long-standing relationships and a personalized sales approach. A typical Lugano client is community and relationship-driven and seeks unique products with emotional significance. The purchasers or recipients of Lugano pieces are predominantly women and often leaders in their respective communities. Lugano’s clients can range in age from 25 to over 80 and come from all over the nation, with most based in California, followed by Florida, New York, Texas, and Colorado, along with international clientele, primarily in the United Kingdom. Lugano’s retail revenue is diversified with no customer representing greater than 10% of total revenue in 2024.

Distribution

Lugano goes to market via retail salons in Newport Beach, California, Palm Beach, Florida, Aspen, Colorado, Houston, Texas, Ocala, Florida, Washington DC, Greenwich, Connecticut and London, England. All Lugano salons are strategically located in wealthy regions or near popular vacation and upscale shopping destinations frequented by Lugano’s target clientele. In a salon, Lugano aims for an elegant and private ambience to facilitate its high-touch sales approach. Salons are designed to facilitate comfort, relationship-building, and ease of conversation. Lugano also markets and sells jewelry via pop-up