Clarity Partners – Communications, Media and Business Services Private Equity Investors

PrimeCo Chicago Announces New Ownership;
PrimeCo Chicago Wireless Provider to Be Acquired by Leading Communications Investors

June 26, 2001
Chicago, IL

PrimeCo Personal Communications, Chicago's only hometown wireless service provider, announced today that it has agreed to be acquired by a group of telecommunications investors led by Clarity Partners, L.P., Pacific Capital Group, Inc., Trimaran Capital Partners L.L.C., Green Leaf Ridge Company, LLC, JPMorgan Partners, and Tregan Partners, LP.

"There have been numerous parties circling around our gem and we are thrilled that this group of experienced and competitive investors, who are committed to continuing to provide extraordinary service to our local customers, has prevailed" said PrimeCo vice-president, Kraig Pyer. "Our goal has been to provide the Chicago market with the best wireless service and now with the ownership transitioning to a group focused exclusively on our markets, we can continue to do so. PrimeCo services and retail stores will continue business as usual and will retain the PrimeCo name. The Pink Alien, Primetheus, is alive and well."

"PrimeCo is indeed a jewel, with an incredibly well designed and constructed network, a terrific customer base and a long-standing and valuable brand name," stated Clarity Partners Managing General Partner Barry Porter. "All of the new owners are committed to providing management with the resources to build upon this incredible base to achieve our shared goal - to make PrimeCo the most entrepreneurial, most competitive, most locally-focused and most successful independent wireless company in the United States. We will do this by continuing to provide the highest quality service and best value to local consumers and small businesses in the Chicago market."

PrimeCo owns 20MHz of spectrum which allow it to service almost 13 million people in Chicago, Rockford, Champaign-Urbana, Bloomington/Normal, Springfield, Decatur, Peoria, South Bend, and Fort Wayne. Verizon Wireless was required to divest the property pursuant to a consent decree with the Department of Justice.

"In today's wireless market, there is no exception to the rule that the customer comes first," said Percy Berger, Founder and President of Green Leaf Ridge Company, a Chicago based private equity investment firm. "Our exclusive focus on the needs of our local customers and ability to respond almost instantly will set us apart from other competitors in our market, all of whom are national operators who need to balance local issues with larger national agendas, and to do so within their very large organizations. Our mission is really very straight-forward and old-fashioned-to provide the absolute best value, quality, service and customer care to customers in Chicago and our other local markets."

The transaction is expected to close later this year.

PrimeCo Personal Communications (www.primeco.com)
PrimeCo is headquartered in Itasca, Ill., and is the oldest wireless brand in the Chicago market. PrimeCo was the first to introduce Illinois' and Indiana's first 100 percent digital PCS network, which launched in November 1996. PrimeCo is at the forefront in offering innovative products, services, and price plans and is recognized as the market share leader for pre-pay services. PrimeCo phones and service are sold through the company's 34 locally owned stores and kiosks as well as a large local network of independent retail partners. In addition, the company also maintains a toll free telephone sales line, 1-800-PRIMECO.

Clarity Partners, L.P. (www.claritypartners.net)
Clarity Partners, a private equity investment firm based in Los Angeles, California, invests exclusively in communications, media and related technology companies. The firm's partners have extensive experience in successfully creating, investing in, managing and financing companies at all stages of development. Clarity Partners brings together investment professionals who were involved in three of the most successful transactions in the communications industry in the last decade, Global Crossing, WebTV Networks, Inc. and Univision Communications, Inc.

Pacific Capital Group, Inc.
Pacific Capital Group, Inc. ("PCG") is a Los Angeles-based investment firm founded by Gary Winnick in 1985. PCG is a leading principal equity investor and merchant banking firm, which has provided capital to numerous global companies in the telecommunications, technology, media, real estate, financial services and health care industries.

Trimaran Capital Partners, L.L.C. (www.trimarancapital.com)
Trimaran Capital Partners is a New York based manager of private equity and other funds with over $4.0 billion under management. Previous investments by Trimaran Fund II and its predecessor fund include Global Crossing, SEAT Pagine Gialle, SpectraSite Holdings, Telebanc Financial Corporation, Petersen Publishing, IASIS Healthcare and Village Voice Media.

Green Leaf Ridge Company (www.glrc.com)
Founded in 1998 by Percy L. Berger, Green Leaf Ridge Company, LLC (GLRC) is a private equity investment firm based in Chicago, Illinois. The firm actively pursues investment opportunities, including consolidations and management buyouts, primarily in the technology and media industries. Offering four decades of collective experience, the professional team has impressive business credentials in investment and commercial banking, securities regulation, legal services and financial consulting.

J.P. Morgan Partners (www.jpmorganpartners.com)
JPMorgan Partners (JPMP), formerly Chase Capital Partners, is a global partnership with over $24 billion under management. It is a leading provider of private equity and has closed over 1,600 individual transactions since its inception in 1984. JPMP has approximately 160 investment professionals in eight offices throughout the world. Its primary limited partner is JPMorgan Chase & Co. (NYSE: JPM), one of the leading financial institutions in the United States.

Tregan Partners
Tregan Partners was a significant early stage investor in PCS companies Alamosa Holdings, Inc. and Washington Oregon Wireless LLC, and the equity sponsor to a number of wireless infrastructure companies, including Mericom Corporation, a global turnkey provider of wireless network infrastructure services. Tregan's principals have a depth of knowledge in the industry borne out of their experience as founders, directors and senior managers of these companies as well as of OmniAmerica, Inc.

Contacts:

Jana Rabenowitz
Burson-Marstellar
On behalf of PrimeCo Acquisition, LLC
(ph) 310-226-3071
jana_rabenowitz@lax.bm.com

Jennifer Hatfield
PrimeCo Personal Communications
(ph) 630-285-8440
jhatfiel@primeco.com

Lisa Wollenberg
Cramer-Krasselt Public Relations
On behalf of PrimeCo Personal Communications
(ph) 312-616-3820
lwollenb@c-k.com

» back to all Clarity press releases