First Atlantic Capital Acquires Prestolite Electric; Fourth Investment by Third Fund Adds Leading Specialty Vehicle Parts Manufacturer to Portfolio of First Atlantic Companies.

Business Editors

NEW YORK--(BUSINESS WIRE)--March 4, 2004

First Atlantic Capital, Ltd., a private investment firm specializing in acquiring and growing mid-size companies, today announced that it has signed a definitive agreement to purchase Prestolite Electric Holding, Inc. ("Prestolite Electric"), a leading, global manufacturer and distributor of alternators and starter motors, from Genstar Capital, ULC. The purchase price was not disclosed. The transaction, which is subject to customary closing conditions, is expected to close in April 2004. Upon closing of the transaction, Prestolite Electric Incorporated, the principal operating subsidiary of Prestolite Electric, will call its 9 5/8% Senior Notes Due 2008 for redemption.

Headquartered in Ann Arbor, Michigan, Prestolite is a global manufacturer of alternators and starter motors selling into niche markets for heavy-duty, military and industrial applications. Prestolite's products are primarily manufactured for larger vehicles, including trucks, buses, emergency and off-road vehicles. The Company has operations in the United States, United Kingdom, Argentina and China. Prestolite's management will remain with the Company and will continue to maintain a substantial ownership position.

"We are delighted to be acquiring Prestolite, a leader in the specialty vehicle parts business," said Roberto Buaron, Chairman and Chief Executive Officer of First Atlantic Capital. "Working with Prestolite's talented management team, we intend to take an active role to help further grow the Company both organically and through add-on acquisitions. Prestolite is a perfect fit with our approach, and we will look to leverage the Company's stellar reputation for delivering high-quality products and exceptional customer service as we expand the business."

"We are excited to be joining First Atlantic's strong portfolio of companies," said Prestolite's Chief Executive Officer, P. Kim Packard. "By working together, we can accelerate the strong growth that Prestolite has generated in the recent past."

CIBC World Markets served as exclusive financial advisor to Prestolite Electric.

Prestolite products are supplied under the Prestolite Electric, Leece-Neville and Indiel brand names for original equipment and aftermarket application on a variety of vehicles and industrial equipment. Prestolite has operations in Arcade, NY; Garfield, NJ; Florence, KY; Acton and Leyland, England; Buenos Aires and San Luis, Argentina; and Beijing, China.

First Atlantic Capital, Ltd. is a New York City-based private equity investment firm specializing in acquiring and growing both private and publicly owned middle-market companies, as well as subsidiaries and divisions of large corporations. Since its inception in 1989, First Atlantic has consistently generated superior long-term investment returns for its investors and management partners. First Atlantic has major investments in the packaging, food and beverage, retail golf, aerospace manufacturing and traffic management industries. For additional information, please visit www.firstatlanticcapital.com.