Circle Peak Capital Announces Acquisition of Luxury Optical Chains.

NEW YORK -- Circle Peak Capital, a private equity firm based in New York City, announced today the acquisition of three leading, privately-owned U.S. luxury optical retailing chains, Lunettes LLC, Morgenthal Frederics Opticians Inc. and Optical Fashion Center, Inc. Circle Peak Capital partnered in the transaction with several senior operating executives and equity partners DLJ Merchant Banking Partners and Goode Partners. Magnetar Capital Fund LP provided debt financing and participated as an equity co-investor. Terms of the deal were not disclosed.

Luxury Optical Holdings Co. ("Luxury Optical"), the newly consolidated group, will comprise approximately 25 stores that each offer high quality fashion eyewear brands, including several lines exclusive to the group. In addition, these stores offer the most skilled lens services and are located in premium U.S. retail sites, including New York City, Las Vegas, Boston, Los Angeles and Atlanta.

Circle Peak Capital and its equity partners backed two experienced retail executives, Pierre Keyser and Bernard W. Andrews. Mr. Keyser and Mr. Andrews partnered with the sponsors from the deal's inception, are investors in the newly formed company, and will complement Luxury Optical's existing management and oversee its strategic direction. Mr. Keyser, Luxury Optical's CEO, is a former executive at the Richemont Group, a $5 billion global holding company that designs luxury goods such as Cartier, Monte Blanc and Lancel. Mr. Keyser was previously involved in the launch of Cartier eyewear in the United States and the development of Logo Paris, the eyewear manufacturing division of Essilor. Mr. Andrews brings over 30 years of retail and merchandising experience, including a former role as CEO and Chairman of Eye Care Centers of America (ECCA), a successful 380-store consolidation platform based in San Antonio, Texas. Mr. Andrews will serve as a senior operating advisor and board member.

"We have successfully combined the best optical stores in key markets to form the most extensive privately owned luxury eyewear retailing group at a time when eyeglasses have become an indispensable accessory in everyone's wardrobe. With our new size and reach, we will continue to bring the public the most unique and distinctive eyewear while making their shopping experience truly remarkable," said Mr. Keyser.

In addition to Mr. Keyser and Mr. Andrews, the Circle Peak Capital team was led by Managing Partner R. Adam Smith and Partner John J. Poerink, and included Vice President Holbrook M. Forusz and Associate Jim H. Clippard. "Our team's strong collective capabilities, loyal customers, and prestigious eyewear brands provide Luxury Optical with a powerful base for successful and profitable expansion throughout key U.S. markets," said R. Adam Smith.

Deal advisors and service providers involved in the transaction include Daniel J. Eisner and Nigel S. Austin of Akin Gump Strauss Hauer & Feld LLP, Douglas P. Warner and Michael E. Weisser of Weil Gotshal & Manges LLP, Richard C. Lee and Michael Franciscovich of KPMG, Charles Collier of Mount Vernon Strategies, Schwartz & Company, Krauter & Company, Jobson Publishing, and Lens Work Laboratories.

Circle Peak Capital LLC

Circle Peak Capital LLC (Circle Peak) is a private equity investment firm based in New York, NY and founded in 2002 that invests in established small- and mid-cap private companies in the consumer sectors. Circle Peak's principals and advisors are experienced in investing in, managing, operating and advising companies with between $10 million and $500 million in sales. Circle Peak's existing consumer investment portfolio also includes Shari's Restaurants and Hill & Valley LLC, among several others. The company is dedicated to partnering with proven management, and supplementing management teams where necessary, building profitable and sustainable businesses, and realizing significant returns on capital for its principals, management teams and investors. For more information, go to http://www.circlepeakcapital.com or call 646-230-8812.

DLJ Merchant Banking Partners

DLJ Merchant Banking Partners (DLJMB) is a leading private equity investor that has a 20-year record of investing in leveraged buyouts and related transactions across a broad range of industries. DLJMB, with offices in New York, London and Los Angeles, is part of Credit Suisse's Alternative Investments business (AI), one of the largest alternative asset managers in the world with more than $100 billion of assets under management. AI asset management activities are comprised of a diverse family of funds, including private equity, leveraged buyouts, mezzanine, real estate, secondary funds and fund of funds, as well as the businesses covering hedge funds (both direct and fund of funds), leveraged loan and collateralized debt obligation investment programs, core real estate funds, and quantitative investment and volatility management products.

Credit Suisse

As one of the world's leading banks, Credit Suisse provides its clients with investment banking, private banking and asset management services worldwide. Credit Suisse offers advisory services, comprehensive solutions and innovative products to companies, institutional clients and high-net-worth private clients globally, as well as retail clients in Switzerland. Credit Suisse is active in over 50 countries and employs approximately 40,000 people. Credit Suisse's parent company, Credit Suisse Group, is a leading global financial services company headquartered in Zurich. Credit Suisse Group's registered shares (CSGN) are listed in Switzerland and, in the form of American Depositary Shares (CSR), in New York. Further information about Credit Suisse can be found at http://www.credit-suisse.com.

Goode Partners LLC

Goode Partners LLC (http://www.goodepartners.com) is a private equity investment firm established to pursue a highly focused strategy of investing in the consumer sector, specifically consumer brands and services, retail, restaurants and direct marketing/selling. The firm's emphasis is on transactions requiring approximately $10 to $30 million of equity capital with an opportunistic approach to larger situations. Together, the Partners of Goode posses a unique set of complementary skills and a proven track record of investing, strategic leadership and hands-on operational management within the firm's targeted investment sectors. Goode's extensive experience, deep industry relationships and exclusive focus on the consumer sector give us the ability to provide both capital and operational support and allow us to work in partnership with management to assist in the execution of new unit growth plans or the expansion into new product categories or geographies on a global basis.