Sterling Media Capital Group, Inc. Announces Formation of Guaranty Equity Funding Trust, L. P.Business Editors DALLAS--(BUSINESS WIRE)--Dec. 14, 2000 Partnership Will Provide Financial Guarantees for Credit, Loans and Debt Securities of Third Parties in Exchange for Fee Income and Possible Equity Profit Participation Sterling Media Capital Group (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :SCIG SCIG Southern California International Gateway ) today announced that, through two of its affiliated companies Affiliated Companies A situation that occurs when one company owns a minority interest (less than 50%) in another company. Also refers to companies that are related to each other in some way. Notes: An affiliated company is sometimes referred to as a subsidiary. (the "Sterling Companies"), it has entered into a partnership agreement with Equity Management Corporation, (EMC (1) (EMC Corporation, Hopkinton, MA, www.emc.com) The leading supplier of storage products for midrange computers and mainframes. Founded in 1979 by Richard J. Egan and Roger Marino, EMC has developed advanced storage and retrieval technologies for the world's largest companies. ) to form Guaranty As a verb, to agree to be responsible for the payment of another's debt or the performance of another's duty, liability, or obligation if that person does not perform as he or she is legally obligated to do; to assume the responsibility of a guarantor; to warrant. Equity Funding Equity funding An investment consisting of a life insurance policy and a mutual fund. The insurance policy is paid by the collateral value of fund shares, giving the investor the advantages of insurance protection with the growth potential of a mutual fund. Trust, L. P. (the "GEFT GEFT Group Embedded Figures Test Partnership.") Commenting on the announcement, Paul A. Nussbaum, chief executive officer of Sterling Media Capital Group, said, "The primary objective of the GEFT Partnership is to issue financial guarantees that can be utilized successfully by portfolio companies." Nussbaum explained that the GEFT Partnership will use the assets under its management to give it the required financial credentials to provide financial guarantees to third parties in exchange for fee income and possible equity profit participation. Mr. Nussbaum states, "The goal for GEFT Partnership assets is $100 million or more before the end of the first quarter in 2001." He explained that the partnership was initially capitalized with approximately $60 million of non-cash assets and that accumulation of additional, similar assets is underway. Management of the GEFT Partnership is through a general partner, GEF GEF Global Environment Facility GEF Guanine-Nucleotide Exchange Factor (biology, biochemistry) GEF Global Environment Fund GEF Generic Extensibility Framework GEF Graduate Education Foundation GEF Global Ejection Fraction Administrators, L. P., which is owned, controlled and managed by EMC and the Sterling Companies. GEF Administrators will write financial guarantees for third party debt secured by the full faith and credit of the GEFT Partnership, which is based on the portfolio of non-cash assets held by the Partnership. The GEFT Partnership has already begun operations and currently is considering approximately $200 million in initial guarantee applications. Sterling Media Capital Group, Inc. is a fee- and equity-based, asset management company that manages pools of cash and non-cash assets of its various affiliated funds and partnerships. This press release contains forward-looking statements regarding future events and future performance of the Partnership and Sterling Media Capital Group that involve risks and uncertainties that could materially affect actual results. Investors should refer to documents the Partnership and Companies file from time to time with the Securities and Exchange Commission for a description of certain factors that could cause actual results to vary from current expectations and forward-looking statements contained in this press release. Such filings include, without limitation, the Company's Form 10Q and Form 8K reports. |
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