April 25, 2002

Castanea Partners Announces Its Investment in Lee Munder Capital Group

Castanea Partners today announced that it has completed its minority investment of $11.5 million in Lee Munder Capital Group.

Lee Munder Capital Group (“LMCG”) is an investment management firm dedicated to meeting the investment needs of institutional and private clients. The firm currently offers investment products in small cap, mid cap, and large cap growth, small cap absolute return, technology, health care and venture capital. Founded in August 2000, LMCG currently has $1.5 billion in assets under management.

Lee Munder, founder and Chief Executive Officer of Lee Munder Capital Group said “We are excited about Castanea’s investment and the insight and support they bring to our team. The investment provides capital to attract additional teams of investment professionals to the firm to support our plans for continued growth.”

Brian Knez, Managing Director of Castanea, commented, “This is a great opportunity to back a proven executive in Lee Munder, who has previously established and built a $60 billion enterprise. Lee has assembled a tremendous team of executives and investment professionals. We believe LMCG is an exciting organization that is positioned to continue to attract top investment management resources to provide for the evolving needs for its growing client base.”

Robert Smith, Managing Director of Castanea, added, “We believe that LMCG has a unique growth strategy that leverages the firm’s top-notch investment expertise, research and management capabilities over the entire investment product line. Our investment in the company is an endorsement of this strategy.”

About Castanea

Castanea is a private equity firm that works in partnership with founders and management teams of innovative passion brands to grow their businesses through a combination of capital investment and operating expertise. We are focused on select consumer verticals including beauty, food and beverage, multi-unit services, and enthusiast lifestyle. We typically invest between $15 to $150 million of equity in minority or majority transactions. Our team of talented operating executives offers critical expertise in key verticals and functional areas, and provides our partner companies with strategic and tactical support. Castanea has more than $1 billion in assets under management and is currently investing from a $735 million fourth fund. For more information about Castanea Partners read our story.

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