New York1585 BroadwayNew York, NY 10036212.969.3000

Los Angeles2049 Century Park East, 32nd FloorLos Angeles, CA 90067310.557.2900

Washington, DC1233 20 Street, N.W., Suite 800Washington, DC 20036202.416.6800

Boca RatonOne Boca Place, Suite 340 West2255 Glades RoadBoca Raton, FL 33431561.241.7400

NewarkOne Newark Center, 18th FloorNewark, NJ 07102973.274.3200

Paris68, rue du Faubourg Saint-Honoré75008 Paris, France331.53.05.60.00

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A CORPORATEDEPARTMENTPRODUCTION

2002ANNUALDEALSREPORT

PRESENTINGTHE

2002 ANNUAL DEALS REPORT

The Corporate Department of Proskauer Rose LLP is pleasedto present you with our Annual Deals Report for 2002.

The Proskauer Corporate Department consists of over 140 attorneysworldwide, with offices in New York, Los Angeles, Paris, Boca Ratonand Washington D.C. The Corporate Department counsels clientsthroughout the United States, Europe, Israel and Latin America in afull range of sophisticated transactions and in day to day representa-tion as outside general counsel in business and regulatory matters.

In light of the recent implementation by Congress, the SEC and thenational stock exchanges of major changes in areas of corporate gov-ernance, accountability and disclosure, Proskauer has formed theCorporate Governance/Corporate Defense Practice Group, a multi-disciplinary team of attorneys from our Corporate and Litigationpractices. The group focuses on the manner in which corporations,CEOs and CFOs and Boards of Directors fulfill their responsibilitiesto investors, and has been actively advising many of our public com-pany clients over the past year.

This Report highlights our dynamic transactional practice, includingmergers and acquisitions, securities offerings, venture capital and fundtransactions, financings and corporate restructurings. We are com-mitted to excellence in the service of our clients.

We thank our clients for the work you have entrusted to us and lookforward to working with you in 2003.

BOCA RATONKimberly L. Barbar

Donald “Rocky” E. Thompson

Christopher C. Wheeler

Andrew D. Levy

LOS ANGELESHoward D. Behar

Thomas W. Dollinger

Marvin Sears

Martin S. Zohn

Andrew Eitingon

Steven M. Kalb

Nkechi C. Odu

Stephen F. Reed

Mary H. Rose

Deborah J. Sager

Michael E. Sievers

NEW YORKBertram A. Abrams

Julie M. Allen

Lauren K. Boglivi

Lawrence H. Budish

Robert A. Cantone

Alan S. Cohen

Saul S. Cohen

Charles E. Dropkin

Klaus Eppler

Paul H. Epstein

Peter M. Fass

Glenn M. Feit

Michael E. Feldman

Steven A. Fishman

Michael E. Foreman

James P. Gerkis

Gregory P. Gnall

Richard L. Goldberg

Daryn A. Grossman

Sheldon I. Hirshon

Jeffrey A. Horwitz

Alan B. Hyman

Jack P. Jackson

Arnie S. Jacobs

Robert J. Kafin

Robert K. Kane

Adam J. Kansler

Wayne D. Katz

Steven L. Kirshenbaum

Stanley Komaroff

Mark A. Kreitman

Joseph M. Leccese

Howard N. Lefkowitz

Arnold J. Levine

Jeffrey W. Levitan

Steven L. Lichtenfeld

Bruce L. Lieb

Brian B. Margolis

Carlos E. Martinez

James D. Meade

Ronald R. Papa

Gail S. Port

Paul I. Rachlin

Kathy H. Rocklen

Stephen W. Rubin

Scott K. Rutsky

Peter G. Samuels

Gail Sanger

David W. Sloan

Henry O. Smith III

Janice K. Smith

Allan R. Williams

Susan A. Arbeit

Kelly Baldwin

Steven A. Beede

David A. Bondy

Michael E. Callahan

Lisa A. Chiappetta

Michael J. Chiaravalloti

Steven R. Chiodini

Ricky Chung

Aliza R. Cinamon

Paula M. Corsaro

Stephen A. Devaney

Jennifer D. Duberstein

Johnathan C. Duncan

Michael L. Eden

Jason D. Fernbach

Eric Friedlander

Julian Gomez

Alak R. Goswami

Deniz Haupt

Alan M. Hoffman

Alexa D. Isbell

Robert Ivanschitz

Christopher M. Jaskiewicz

Susan Joe

Dina R. Johnson

Paul A. Kemnitzer

Ross H. Klenoff

Ronald S. Kornreich

Dain C. Landon

Jeremy Lechtzin

Brian S. Lepsis

Mark W. Levine

Oliverio Lew

Gary Malhotra

Samuel L. Martin

Steven A. Meetre

Rima Moawad

Emerson S. Moore II

Stacey Moore

Andrea Morgan

Michael R. Neidell

Jon H. Oram

Charles Parsons

Rachel Parsons

Carla Passos

Marc A. Persily

Sarah Deitch Persily

Lia Pistilli

Kristen W. Prohl

Stephen M. Rodin

Gary Ross

Maryse S. Selit

Y. Dave Silberman

Yelena Simonyuk

Beth B. Smigel

Ori Solomon

Jack B. Spizz

R. Bruce Steinert, Jr.

Yuval Tal

Sanjay Thapar

Ido Warshavski

Melissa L. Westbrook

Lucien White

Susan L. Wiener

Steven A. Yadegari

Ellen Yu

WASHINGTONRichard H. Rowe

PARISJean-Philippe Berthet

Christophe Henin

Bernard M. Husson

William Krisel

Delia B. Spitzer

Grégory Basnier

Anne Lucchini

Florence Perrot

Olivier Savelli

Arnie Jacobs212.969.3210ajacobs@proskauer.com

Steven L. Kirshenbaum212.969.3295skirshenbaum@proskauer.com

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CAST & CREW

I. Mergers & Acquisitions 2

II. Private Equity & Finance 8

III. Technology, Media & Telecommunications 12

IV. Hospitality 16

V. Medical Technology & Pharmaceutical 18

VI. Securities Offerings 20

VII. Sports 23

VIII. Corporate Restructurings & Bankruptcy 24

IX. Real Estate Finance 27

X. International 30

2

24/7 Real MediaRepresented 24/7(NASDAQ:TFSM), a leader ininteractive marketing, in connec-tion with:

Its merger with Real Media, Inc.,an international provider of mar-keting services to the digitaladvertising industry. The com-bined companies have the largeston-line advertising network andlocally installed customer base forads serving technology in theworld. In connection with the

deal, our client changed its nameto 24/7 Real Media. The acquisition of certain assetsfrom certain subsidiaries of ElronElectronic Industries Ltd., inexchange for shares of 24/7 RealMedia’s common stock valued atapproximately $1.8 million. Theassets included certain contracts,intangibles and employee rela-tionships related to permission-based digital marketing communi-cations solutions, including theintellectual property relating to

the products known as “Vflash”,“NowBox” and “NowCode”.Elron also indirectly made a$1.25 million investment in 24/7Real Media’s preferred stock.

Ronald R. Papa, Andrea S. Rattner,Richard H. Rowe, Henry O. Smith III,Solomon L. Warhaftig, Alexa D. Isbell,Ori Solomon, Lana T. Yang

The Albert FisherGroup PLCRepresented The Albert FisherGroup (OTC:AFHGF), a public U.K.company, in administrative receiver-ship, in the sale of assets of its RiverRanch Fresh Foods, Inc. subsidiaryand certain of its affiliates in amanagement buy-out valued atapproximately $26 million. Steven L. Kirshenbaum, Gail S. Port,Solomon L. Warhaftig, Kelly Baldwin,Michael A. Katz, Ronald S. Kornreich,Mary H. Rose

AlcatelRepresented Alcatel(NYSE:ALA), one ofFrance’s largest industrialcompanies and a leadingglobal supplier of high-tech equipment fortelecommunications

infrastructures, in connec-tion with:

Its acquisition of Telera, Inc., aprivately held corporation. In themerger, Alcatel issued orreserved an aggregate of15,464,771 Class A ADSs andshares (valued at approximately$81 million) for all of the out-standing equity securities ofTelera. The transaction wasstructured to take advantage ofthe exemption from registrationafforded by Section 3(a)(10) ofthe Securities Act through theuse of a California FairnessHearing. Its acquisition of Astral PointCommunications, Inc., a privatelyheld corporation. Astral Pointcreates next-generation SONETmetropolitan optical systems.Under the terms of the merger

3

agreement, Alcatel issued anaggregate of 9 million Class AADSs and shares for all of theoutstanding capital stock, optionsand warrants of Astral Point.The acquisition has an impliedvalue of €153 million.

Lauren K. Boglivi, Stanley Komaroff,Janet B. Korins, Ronald R. Papa, Gail S. Port,Andrea S. Rattner, Richard H. Rowe,Delia B. Spitzer, Aliza R. Cinamon,Paula M. Corsaro, Deniz Haupt, Susan Joe,Michael A. Katz, Mark W. Levine,Amanda H. Nussbaum, Michael J. Perloff

The Alpine Group, Inc. Represented Alpine (OTC:ALPG),one of the largest telephone wireand cable manufacturers in theU.S., in the following matters:

The sale by Superior TeleCom,Inc. (OTC:SRTO) to Alpine of:Superior’s electrical wire busi-ness; electronics subsidiary, DNESystems, Inc.; and its interest inSuperior Cables Ltd., an Israeliwire and cable company. Totalconsideration was $85 millionplus a warrant to Superior topurchase a 20% equity interestin the electrical wire business. Inaddition, we also assisted Alpinewith its $100 million financing ofthe acquisition.As the major stockholder ofPolyVision, in connection withthe acquisition of PolyVision bySteelcase, for approximately$180 million in cash (including theassumption of debt and relatedtransaction costs).

Abraham Gutwein, Jack P. Jackson, Ronald R. Papa,Gail S. Port, Andrea S. Rattner, Janice K. Smith,Solomon L. Warhaftig, David M. Alin,Aliza R. Cinamon, Johnathan C. Duncan,Julian Gomez, Alak R. Goswami, Michael A. Katz,Michael R. Neidell, Jenifer deWolf Paine,Kristen W. Prohl

Bed Bath & BeyondRepresented Bed Bath & Beyond(NASDAQ:BBBY), a nationwidechain of stores selling domesticmerchandise and home furnishings,in its acquisition of New Jersey-

based Harmon Stores, Inc., a health& beauty aid retailer. HarmonStores, Inc. currently operates 28stores in 3 states, representing anaggregate of approximately 178,000square feet of store space. Klaus Eppler, Marvin M. Goldstein, Ira M. Golub,Abraham Gutwein, Gail S. Port, Peter G. Samuels,Solomon L. Warhaftig, Steven D. Weinstein,Jeremy J. Best, Craig A. Bitman, David A. Bondy,Aliza R. Cinamon, Michael A. Katz,Jacob Raddock, Ori Solomon

Bollore S.A.Represented Bollore (Paris:BOTE),a public French company, in theacquisition by its affiliate, IER, of theU.S. assets of Thales E-Transactions,a manufacturer of airline ticketingproducts.Steven L. Kirshenbaum, Ronald S. Kornreich

Cellu Tissue Holdings, Inc.Represented Cellu Tissue, aCharterhouse portfolio company, inthe $17 million acquisition of theNeenah, Wisconsin manufacturingfacilities and related business assetsfrom American Tissue Inc. and itsaffiliated debtors in their Chapter 11proceedings. Cellu Tissue is anestablished leader in the design andproduction of high-quality, engi-neered carrier and process tissuesfor manufacturing and convertingapplications all over the world.David C. Friedman, James D. Meade,Stephen W. Rubin, Scott K. Rutsky, Lisa A. Chiappetta, Randall J. Cude, Jack B. Spizz

The Pepsi Bottling Group, Inc.Represented The Pepsi Bottling Group(NYSE:PBG) in a $1.2 billion acquisition ofPepsi-Gemex S.A. de C.V., the largestPepsiCo products bottler in the world outside

the United States, in a “dual tender offer”involving the United States and Mexico. Pepsi

Bottling is PepsiCo Inc.’s largest bottler and cur-rently does business in six countries. The

transaction consisted of a simultaneous offerin the United States open to holders of globaldepository receipts and United States hold-

ers of the underlying Mexican trust certificatesand common shares. The Mexican offer was

open to all holders of shares and Mexican trustcertificates. The transaction was ground-breaking because it represented the first time

a dual tender offer structure was used fora Mexico-United States tender offer.

In addition, Mexican tender offer ruleswere first adopted in April 2002, making

the transaction the first test of their inter-pretation and application. We also repre-sented Pepsi Bottling in the financing of thePepsi Gemex S.A. de C.V. acquisition whichincluded a $1 billion bridge loan agreementand $1billion Regulation 144A/Regulation Sbond offering.

Leon P. Gold, Jack P. Jackson, Arnie S. Jacobs, Carlos E. Martinez, Richard H. Rowe,Henry O. Smith III, Solomon L. Warhaftig, Allan R. Williams, Patricia L. Gannon,Robert Ivanschitz, Oliverio Lew, Valarie H. McPherson, Stacey Moore, Rachel Parsons,Carla Passos, Gary Ross, R. Bruce Steinert, Jr., Marissa J. Tiamfook, Ana Vermal,Ido Warshavski, Melissa L. Westbrook

4

Ceres Terminals Inc.Represented Ceres Terminals, a pri-vately held corporation, and its affil-iates, in the sale of all of the out-standing shares of Ceres Terminalsto Nippon Yusen Kabushiki Kaisha, apublicly held Japanese company listedon stock exchanges in Asia andEurope (operation as NYK). CeresTerminals is engaged in the businessof providing stevedoring and termi-nal operating services at 19 portfacilities in 12 locations across theUnited States, Canada and theNetherlands. The transactioninvolved the distribution of the com-pany’s Dutch operations to a jointventure company to be ownedequally by the sole shareholder ofCeres Terminals and NYK.Lawrence H. Budish, Solomon L. Warhaftig,Michael L. Eden, Michael A. Katz

Charter MunicipalMortgage AcceptanceCompanyRepresented Charter MunicipalMortgage Acceptance Company(“Charter MAC”) (AMEX:CHC),one of the nation’s leading full-service multi-family finance compa-nies, in the acquisition of 80% ofPW Funding Inc. PW Funding orig-inates and services multi-familyapartment mortgage loans.Charter Mac Corporation, a whollyowned subsidiary of Charter MAC,an affiliate of the RelatedCompanies, will pay between $37million and $47 million dependingon the costs of certain new servic-ing contracts on PW Funding’smortgages. The agreement alsoprovides for puts and calls underwhich Charter MAC has the rightto buy the balance of the outstand-ing shares of PW Funding over thenext 2 to 3 years. In connectionwith the foregoing transaction,

Proskauer also represented CharterMAC and PW Funding and its sub-sidiaries in obtaining financing. Peter M. Fass, Steven A. Fishman,Janet B. Korins, Jason D. Fernbach,Samuel L. Martin, Michael A. Midura

Charterhouse GroupInternational, Inc.Represented Charterhouse, a lead-ing private equity group that investsin middle market companies, inconnection with:

Its $100 million acquisition ofAAT Communications Corp.AAT is one of the largest privatelyheld owners of towers and towersites, and providers of site man-agement services for the wirelesscommunications industry owning,operating and managing approxi-mately 5,700 wireless communi-cations sites located throughoutthe United States. Co-investingwith Charterhouse was CequelIII, a management company prin-cipally owned by Jerry Kent.The sale of Harvard CustomManufacturing, a leading electron-ics contract manufacturer, to agroup led by Harvard’s manage-ment team.

James D. Meade, Gail S. Port, Stephen W. Rubin,Solomon L. Warhaftig, Kelly Baldwin,Alexa D. Isbell, Michael A. Katz,Dain C. Landon, Emerson S. Moore II,Gary Ross, Ori Solomon

Computer Horizons Corp.Represented Computer Horizons(NASDAQ:CHRZ), a leader in ITprofessional services, in the sale ofthe assets of a subsidiary, PrincetonSoftech, Inc., to financial buyersApax Partners, Inc. and LLRPartners Inc. that was in the natureof a leveraged management buyout.The assets of Princeton Softech thatwere sold included all of the out-

standing stock of PrincetonSoftech’s subsidiaries located inFrance, Australia, Germany, theUnited Kingdom and theNetherlands. The transaction wasvalued at approximately $30 million. Robert A. Cantone, Henry O. Smith III,Solomon L. Warhaftig, Lowell D. Willinger,Christopher M. Jaskiewicz, Ian L. Levin,Kristen W. Prohl

ComtechTelecommunications Corp.Represented Comtech(NASDAQ:CMTL), a maker of equip-ment used by satellite systems inte-grators, communications serviceproviders, defense contractors andoil companies, in connection withthe acquisition of certain assets ofAdvanced Hardware Architectures,Inc., a designer and developer offorward error correction integratedcircuits and data coding technologysolutions. Comtech acquiredAdvanced Hardware Architecturesfor its Turbo Product Code Chips,increasing Comtech’s position in itsexisting market and expanding toother markets, such as wirelessapplications.Robert A. Cantone, Lana T. Yang

Delaware NorthCompanies, Inc.Represented Delaware North, oneof the nation’s largest privately heldcompanies and a leader in foodser-vice, recreational and hospitalitymanagement, in connection with:

Its $35 million acquisition ofHarrison Hot Springs Resort &Spa in British Columbia, Canada.Its acquisition of the AmericanQueen, the Delta Queen and theMississippi Queen, three stern-wheel vessels that provide luxurycruises on United States inlandwaterways. The Delta Queen isthe only floating NationalHistoric Landmark and theAmerican Queen is the largeststeamboat ever built. The ves-sels were purchased from thebankruptcy estate of American

5

Classic Voyages Co. for a pur-chase price of approximately $80million including the assumptionof certain U.S. MaritimeAdministration-guaranteed notesand bonds associated with theAmerican Queen. Proskaueradvised and representedDelaware North in the auctionprocess, the bankruptcy pro-ceedings and the negotiation andconsummation of definitive pur-chase documentation.

Perry A. Cacace, Thomas W. Dollinger,Michael E. Feldman, Michael E. Foreman,Arnie S. Jacobs, Steven L. Kirshenbaum,Martin J. Oppenheimer, Neal S. Schelberg,Lisa A. Chiappetta, Michael L. Eden,Ronald S. Kornreich

EuroPlex B.V.Represented EuroPlex, a Europeandeveloper and operator of multiplexcinemas, with its investments, backedby Soros Private Equity Partners, incineplex operations in Europe,including its $10 million acquisition ofKinepolis Pioltello s.r.l., the Italianaffiliate of the Kinepolis Group. Jean-Philippe Berthet, Lucien White

EYT, Inc.Represented EYT (formerly knownas Ernst & Young Technologies), aCharterhouse portfolio companyproviding information technologyconsulting and application services, inconnection with the sale of its value-added reseller business to CapGemini Ernst & Young.Stephen W. Rubin

Grupo Cinemex, S.A. de C.V.Represented Grupo Cinemex andcertain of its stockholders in the saleof all of the company’s outstandingcapital stock to Onex Corporationand investment funds managed byOaktree Capital Management, LLC.The total purchase price for thecompany was approximately $285million. Grupo Cinemex is a leadingmovie theater exhibition company in

Mexico and the largest exhibitor inMexico City, where it has more thana 50% market share.Adam J. Kansler, Alan P. Parnes, Gail S. Port,Henry O. Smith III, Aliza R. Cinamon,Jon H. Oram

Jenny Craig, Inc.Represented Jenny Craig in connec-tion with its acquisition by ACICapital Co., Inc., a private invest-ment firm based in New York. Theaggregate purchase price wasapproximately $115 million. Sidand Jenny Craig, the principalstockholders of Jenny Craig,acquired a minority equity interestin the buyer. The matter includeda merger agreement and votingagreement among the buyer, Sidand Jenny Craig and affiliated enti-ties, and the filing of a going-privateproxy statement with the SEC.Thomas W. Dollinger, Mitchell M. Gaswirth,Richard H. Rowe, Marvin Sears,Andrew Eitingon, Stephen F. Reed

L-3 CommunicationsCorporationRepresented L-3 Communications(NYSE:LLL), a maker of secure andspecialized systems for satellite,avionics and marine communica-tions, in a public merger acquisitionof Westwood Corporation. Thetarget corporation is a leadingprovider of electrical and electronicequipment to the military.James P. Gerkis, Ross H. Klenoff, Rima Moawad

The Laird Group, PLCRepresented The Laird Group(London:LARD), a public U.K.company, in:

$29.5 million acquisition by itssubsidiary, Laird Technologies,Inc., of BMI, Inc., a companyengaged in the design and sale ofelectronics shielding products forthe containment of electromag-netic interference.Sale by its subsidiary, LairdTechnologies, Inc., of its majority

interest in Sauquoit Industries,Inc., a manufacturer of silver-coated fibers, fabrics and yarns,to Sauquoit’s management.

Steven L. Kirshenbaum, Gail S. Port,Solomon L. Warhaftig, Kelly Baldwin,Stuart T. Kapp, Michael A. Katz,Ronald S. Kornreich, Jon H. Oram

LincolnshireEquity Fund II, L.P.Represented Lincolnshire EquityFund II in its acquisition of the stockof ATC Logistics of Maryland, Inc.,Grupo Centurión de Mexico, S.A.de C.V. and related entities, all ofwhich are engaged in the automo-bile part processing and logisticsbusiness. The transaction includedan earn-out structure, includingconsideration payable up to a maxi-mum of $35 million in cash, a seriesof notes and the issuance of stock inthe acquisition entity in a tax-freereorganization. Separate contribu-tion and purchase agreements wererequired for the domestic andMexican target companies.Robert J. Kafin, Arnold J. Levine, Alan P. Parnes,Gail S. Port, Janice K. Smith, Tammy Fried,Julian Gomez, Ronald S. Kornreich, Oliverio Lew,Steven A. Meetre, Stacey Moore,Renata C. Pompa, Robert M. Projansky

Little Switzerland, Inc.Represented Little Switzerland, aretailer of luxury items with loca-tions throughout the Caribbean,Alaska and Florida, in connectionwith its response to a tender offerby an affiliate of Tiffany & Co. for allthe outstanding common stock ofLittle Switzerland at $2.40 pershare in cash. We also assistedLittle Switzerland in the formationof a special committee of its boardof directors to act on behalf of thecompany in the tender offer andhandled the company’s SEC filings. Jack P. Jackson, Richard H. Rowe, Michael L. Eden,Arthur G. Levy, Steven A. Meetre

Mendik RealtyCompany, Inc.Represented Mendik, and relatedpersons, in the $17.5 million saleto an affiliate of Vornado RealtyTrust of the equity of BuildingMaintenance Service LLC, GuardManagement Service Corp. andBMS Facilities Group LLC, whichare engaged in the building main-tenance, security and cleaningbusinesses. Janet B. Korins, Steven L. Lichtenfeld,David A. Bondy, John F. Fullerton III,Bruce N. Goldberger, Stuart J. Goldstein, Steven A. Meetre, Stacey Moore,Stephen M. Rodin

Montreal Expos/Florida MarlinsRepresented Montreal Expos, L.P.,an entity controlled by Jeffrey H.Loria, in the sale of the Expos toMajor League Baseball for approxi-mately $121 million. Simultaneously,we represented that same entity inconnection with the purchase of theMarlins for approximately $159 mil-lion from an entity owned by JohnHenry, who led the group thatbought the Boston Red Sox.Ira Akselrad, Wayne D. Katz,Steven D. Weinstein, Craig A. Bitman,Michael J. Chiaravalloti, Amanda H. Nussbaum,Robert M. Projansky, Jack B. Spizz

MP TotalCare, Inc.Represented MP TotalCare, aCharterhouse portfolio company,which provides respiratory medica-tions and diabetic supplies, in con-nection with its acquisition ofExpress-Med, Inc., a fast-growingmail order medical supply company.We also assisted MP TotalCare inconnection with its financing of thetransaction, including its securedloan with GMAC-RFC HealthCapital and its issuance of Series A

Preferred Stock to CharterhouseEquity Partners III, L.P.James D. Meade, Stephen W. Rubin,Solomon L. Warhaftig, Emerson S. Moore II,Stacey Moore, Beth B. Smigel, Jack B. Spizz

PharmaceuticalTechnologiesDevelopment LLCRepresented PharmaceuticalTechnologies Development (“PTD”)in connection with its $20 million saleto Biovail Laboratories, Inc. of all ofthe shares of PTD, which is engagedin the development and marketingof pharmaceutical products.Arnold J. Levine, Michael J. Chiaravalloti,Eric Friedlander

The New York TimesCompanyIn connection with The New YorkTimes’ (NYSE:NYT) acquisition ofThe Washington Post’s interest inParis’ legendary daily newspaper,The International Herald Tribune, wecounseled The Times on complexquestions of French corporate,labor and antitrust law. William Krisel, Yasmine Tarasewicz,Jean-Baptiste Martin, Olivier Savelli

Price CommunicationsCorporationRepresented Price Communications(NYSE:PR) in its $1.7 billion trans-action with Cellco Partnership(d/b/a Verizon Wireless), underwhich Price contributed its wirelesstelephone business, together with$149 million in cash, to a partner-ship controlled by Cellco. Inreturn, Price received a preferredinterest in the partnership,exchangeable for stock of VerizonWireless Inc. (if a Verizon WirelessIPO is completed by August 2007)or Verizon Communications Inc.

(if such an IPO is not completed).In addition, Cellco provided fundsfor the repayment of approxi-mately $700 million of Price’s pub-lic indebtedness. Robert K. Kane, Gail S. Port, Richard H. Rowe,Peter G. Samuels, Janice K. Smith, Solomon L. Warhaftig, Kelly Baldwin,Brad E. Berman, David A. Bondy, Deniz Haupt,Alan M. Hoffman, Elizabeth Hook,Ronald S. Kornreich, Amanda H. Nussbaum,Marissa J. Tiamfook

Psilos Partners, L.P.Represented ComprehensiveNeuroScience, Inc., a portfolio com-pany of Psilos Partners, L.P., in itsacquisition of Clinical Studies, Ltd. Julie M. Allen, Pamela L. Kramer

Related Capital CompanyRepresenting Related CapitalCompany, a prominent real estatefinancial services company specializ-ing in investments in multi-familyhousing, in the acquisition ofRelated by Charter MunicipalMortgage Acceptance Company(AMEX:CHC) (“Charter MAC”).Related currently serves as advisorto Charter MAC pursuant to a man-agement agreement, and one of theeffects of the transaction will be tointernalize the management ofCharter MAC. A special committeeof independent directors of CharterMAC approved the terms of thetransaction, which has a purchaseprice of $338 million, subject tocertain adjustments.Peter M. Fass, Steven Fishman, Stuart L. Rosow,Jason D. Fernbach, Michael A. Katz,Paul A. Kemnitzer, Samuel L. Martin,Jenifer deWolf Paine, Jacob Raddock,R. Bruce Steinert, Jr.

STA International, Inc.Represented STA International, oneof the largest student travel agenciesin the world, in its acquisition of astudent travel agency, and relatedbusiness operations, from CounselTravel Services, Inc. in its Chapter 11proceedings. Sheldon I. Hirshon, Lisa A. Chiappetta,Sanjay Thapar

6

Sterling Publishing Co., Inc.Represented Sterling Publishing(London:SPB), a publisher and dis-tributor of primarily recreationaland “how to” books, in connectionwith the sale of substantially all of itsassets and business to Barnes &Noble for $115 million.Bertram A. Abrams, Robert K. Kane,Aaron J. Schindel, Solomon L. Warhaftig,Michael A. Katz, Jenifer deWolf Paine,Beth B. Smigel

TechSpace, Inc.Represented East Coast-basedTechSpace, a company providingalternative office space and businessinfrastructure services, in its mergerwith West Coast-basedEnfrastructure Inc. Prior to theclosing of the merger, TechSpace’spreferred stock was repurchasedfrom Safeguard Scientifics, Inc., apublic technology operating com-pany, and its major investors. Themerger created an internationaltechnology office space companywith offices on the East and WestCoasts of the U.S., as well asCanada and Mexico. Thomas W. Dollinger, Jeffrey A. Horwitz,Richard H. Rowe, Lia Pistilli, Lana T. Yang

Towers PerrinRepresented Towers Perrin, a pen-sion benefits and human resourcesconsulting firm, in connection with:

The acquisition of WorkingConcepts, Inc., which providesconsulting services relating to theimplementation, upgrades andmaintenance of Peoplesoft HRsoftware. The spin-off of The FutureWorkInstitute (“FWI”), their diversityconsulting practice. In connec-tion with the spin-off, TowersPerrin purchased shares of pre-ferred stock of FWI. The acquisition of the publica-tions and research databases, andcertain related assets, ofExecutive CompensationAdvisory Services, a division ofDrake Beam Morin, Inc. (a sub-

sidiary of the ThomsonCorporation).Tillinghast -- Towers Perrin, adivision of Towers Perrin, in con-nection with the sale of theirHealth & Welfare consultingpractice to Reden and Anders,an indirect subsidiary of UnitedHealth Group.

Ronald R. Papa, Bruce N. Goldberger,Michael A. Katz, Beth B. Smigel, Ori Solomon

Veronis Suhler Stevensonand The OfficialInformation CompanyRepresented VS&A CommunicationsPartners II, L.P., an affiliate ofVeronis Suhler Stevenson, a NewYork merchant bank specializing inmedia properties, and The OfficialInformation Company in connectionwith the sale of all of the issued andoutstanding shares of The OfficialInformation Company to USInvestigations Services, Inc. for $245million. In connection with the sale,The Official Information Companydefeased all of the covenants underthe indenture for its publicly issuedsenior subordinated notes, sold thepreferred interests in an affiliatedcompany to the sellers and amendedits credit facility. Bertram A. Abrams, Robert K. Kane,Donald “Rocky” E. Thompson,Solomon L. Warhaftig, Michael A. Katz,Stacey Moore, Y. Dave Silberman

Weight WatchersRepresented Weight Watchers ofSan Diego and the Inland Empire,Inc. in connection with the sale ofits business to Weight WatchersInternational, Inc. (NYSE:WTW),the franchisor.Bert H. Deixler, Jeffrey A. Horwitz, Christopher R. Kelly, Hayes F. Michel, Dale A. Schreiber, Solomon L. Warhaftig,Michael H. Weiss, Kristen W. Prohl,Joanna Smith, Yuval Tal

WHAM-O, Inc.Represented WHAM-O, aCharterhouse portfolio companyand the leading innovator of out-

door fun (owner of Frisbee, HackySack, Hula Hoop, Slip ’N Slide), inits acquisition of two divisions ofEarth and Ocean Sports, includingtwo of Earth and Ocean Sports’ surfand sports industry’s leadingbrands, BZ Pro Boards and Sledz.With this acquisition WHAM-Obecomes the global leader in thesurf and snow categories. We alsoassisted in the related bridge financ-ing from an affiliate of Charterhouse.Stephen W. Rubin, Jack B. Spizz

X Technologies, Inc. Represented X Technologies, adeveloper of interventional cardiol-ogy devices, in an agreement to beacquired by Guidant Corporation(NYSE:GDT), one of the largestU.S. medical device companies.The all-cash $160 million deal,which is contingent on U.S. regula-tory approval of X Technologies’product, is the largest cash acquisi-tion of an Israeli start-up in the pastseveral years. Simultaneously withthe signing of the merger agree-ment, X Technologies entered intoa $13.4 million credit facility withGuidant to help finance operationsthrough the closing of the merger.Alan P. Parnes, Paul I. Rachlin, Michael A. Katz,Ronald S. Kornreich, Gary Ross, Y. Dave Silberman

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Banco San José/Banco InterfinRepresented Banco San José andBanco Interfin, two of the largestCosta Rican banks, in a $50 millionmortgage securitization conductedthrough a private placement.Carlos E. Martinez, Oliverio Lew

Blackfin Capital, LLCRepresented Blackfin Capital, aprivate investment company, in con-nection with the restructuring ofdebt of various portfolio companies. Robert A. Cantone, Christopher M. Jaskiewicz

Capital IQ, Inc.Represented Capital IQ, the lead-ing provider of integrated businessinformation and productivity appli-cations, in connection with thesale of Series C convertible pre-ferred stock to ConstellationVentures Capital II, L.P., a BearStearns affiliate, and the restruc-turing of arrangements with hold-ers of Series A and Series B pre-ferred stock.Arnold J. Levine, Janice K. Smith,Mark W. Levine, Gary Ross

Charterhouse GroupInternational, Inc.Proskauer continued as outsidecounsel for Charterhouse, a leadingprivate equity group that invests inmiddle market companies. Werepresented the followingCharterhouse portfolio companiesin matters including fund-raising,investments, portfolio manage-ment and restructuring, privateand public financing, exits androll-up transactions:

MP Total Care; Cross Country, Inc.;

Cellu Paper Holdings, Inc.;Harvard Custom Manufacturing;

AAT CommunicationsCorp.;EYT, Inc.;Top Image Systems; andWham-O.

James D. Meade,Stephen W. Rubin,Solomon L. Warhaftig,Emerson S. Moore II,Jack B. Spizz

Charterhouse GroupInternational, Inc.Represented Charterhouse andMobius Venture Capital, Inc., aleading venture capital firm, in aseries of high-yield convertible sub-ordinated debt financings ofInterliant Inc., aggregating in theamount of $30 million. Stephen W. Rubin

EuroPlex B.V.Represented EuroPlex, a Europeandeveloper and operator of multi-plex cinemas, with its investments,backed by Soros Private EquityPartners, in cineplex operations inEurope, including its $10 millionacquisition of Kinepolis Pioltellos.r.l., the Italian affiliate of theKinepolis Group. Jean-Philippe Berthet, Lucien White

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Fabriquest, Inc.Represented Fabriquest, a business-to-business e-commerce providerthat facilitates the purchase of man-ufacturing services, in connectionwith venture capital and electroniccommerce matters.William M. Hart, Christopher M. Jaskiewicz

GNB Bank (Panama) S.A.Represented GNB Bank, aPanamanian financial institution, inits transactions with GeosorCorporation, an affiliate of GeorgeSoros, relating to securing an optionto acquire equity in Phone 1Globalwide Inc., and in its grantingdebt and equity financing toPhone 1, Inc.David W. Sloan, Donald “Rocky” E. Thompson,Oliverio Lew

Henry Schein, Inc. Represented Henry Schein (NASDAQ:HSIC) in connectionwith obtaining a $200 millionunsecured revolving credit facilityfrom a group of banks led by J.P. Morgan Chase.Jack P. Jackson, Janice K. Smith, Stacey Moore

Impulse Dynamics N.V.Represented Impulse Dynamics, adeveloper of implantable cardiacdevices, in connection with raising$25 million in private equity, includ-ing investments from Johnson &Johnson. Also represented the com-pany in connection with a $250 mil-lion transaction involving the grant ofan option to Guidant Corporation(NYSE:GDT) to acquire certaintechnology of the company.Paul I. Rachlin, Stuart L. Rosow,Matthew Sabloff, Avshalom Yotam

Insignia FinancialGroup, Inc.Represented Insignia (NYSE:IFS)with its issuance of $25 million ofconvertible preferred stock inexchange for an outstanding series

of convertible preferred stock, theissuance of $12.5 million of convert-ible preferred stock for cash, aswell as a $37.5 million credit facilityin a private transaction.Jack P. Jackson, Solomon L. Warhaftig,Allan R. Williams, Stacey Moore,Rachel Parsons, Ido Warshavski

Investor Growth CapitalRepresented Investor GrowthCapital in connection with itsinvestments in Aplion Network,Inc., Atrica, Inc., Mahi Networksand White Rock Networks.Julie M. Allen, Pamela L. Kramer,Sarah Deitch Persily, Melissa L. Westbrook

J.P. Morgan InvestmentManagementRepresented JPMIM funds in invest-ments in venture capital and buyoutlimited partnership interests aggre-gating over $300 million.Jacob I. Friedman, Howard N. Lefkowitz,Stephen A. Devaney, Amanda H. Nussbaum,Avshalom Yotam

KSH InvestmentGroup, Inc.Represented KSH InvestmentGroup, an investment bankinggroup specializing in small capitaliza-tion companies, acting as placementagent, in the sale of $1 million ofconvertible preferred stock forNesco Industries, Inc. Nesco isengaged in providing indoor airquality management services andenvironmental remediation of haz-ardous materials.Kathy H. Rocklen, Melissa L. Westbrook

LincolnshireEquity Fund II, L.P.Represented Lincolnshire EquityFund II in its acquisition of thestock of ATC Logistics of Maryland,Inc., Grupo Centurión de Mexico,S.A. de C.V. and related entities, allof which are engaged in the auto-mobile part processing and logisticsbusiness. The transaction includedan earn-out structure, including

J.P. Morgan ChaseWe continued our long-standing represen-tation of J.P. Morgan Chase (NYSE:JPM) inprivate equity investments, ranging from

early-stage venture capital to large acqui-sition and corporate finance transactions.

We also continued to represent J.P. Morgan Chasein connection with fund formation and place-

ment activities.Thomas W. Dollinger, Jack P. Jackson, Adam J. Kansler,William Krisel, Bruce L. Lieb, Alan P. Parnes,Janice K. Smith, Michael J. Chiaravalloti,

Steven Chiodini, Tammy Fried, Amanda H. Nussbaum,Charles Parsons, Marc A. Persily, Stephen F. Reed,

Ori Solomon

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consideration payable up to a max-imum of $35 million in cash, a seriesof notes and the issuance of stockin the acquisition entity in a tax-freereorganization. Separate contribu-tion and purchase agreementswere required for the domesticand Mexican target companies.Robert J. Kafin, Arnold J. Levine, Alan P. Parnes,Gail S. Port, Janice K. Smith, Tammy Fried,Julian Gomez, Ronald S. Kornreich,Oliverio Lew, Steven A. Meetre, Stacey Moore,Renata C. Pompa, Robert M. Projansky

Merrill LynchRepresented Merrill Lynch(NYSE:MER) in private equityinvestments, including its invest-ments in Latin American portfoliocompanies.James P. Gerkis, Bruce L. Lieb, Alexa D. Isbell,Mark W. Levine, Rima Moawad

Millennium TechnologyVenturesRepresented Millennium TechnologyVentures, a venture capital fundbased in New York City that investsprimarily in communications infra-structure, systems, tools andenabling technologies, in connectionwith venture capital investments inCarta, Inc., Commerce Systems,Inc., Lightspeed Interactive, Inc. andApplied Minds, Inc.Adam J. Kansler, Alan P. Parnes, Janice K. Smith,Steven A. Meetre, Marc A. Persily, Ori Solomon

Mobius VentureCapital, Inc.Represented Mobius VentureCapital funds and CharterhouseEquity Partners III, L.P. in the pur-chase of Series A ConvertiblePreferred Stock of EYT, Inc. EYT,which was formerly known as Ernst& Young Technologies, owns andoperates a major technology con-

sulting business. Mobius, formerlyknown as SoftBank Venture Capital,is one of the largest venture capitalfirms with more than $1.5 billionunder management.Stephen W. Rubin, Jack B. Spizz

Or Music LLCRepresented Or Music, a newrecord label, in a $4 million privateequity and debt financing.Jeffrey A. Horwitz, Solomon L. Warhaftig,Lana T. Yang

Philadelphia Eagles We continued our representation ofthe Philadelphia Eagles in a broadrange of transactions relating to thedevelopment and financing of itsnew football-based stadium, whichis scheduled to open in August2003. These matters included theEagles’ $140 million naming rightsdeal with Lincoln Financial as wellas a number of other significantmarketing, sponsorship, media andconcessions transactions.Joseph M. Leccese, Jon H. Oram

PIPE TransactionsRepresented institutional investor inPrivate Investment in Public Entities(PIPEs) transactions for leadinginvestors/hedge funds including:

Aspen Technology with its pur-chase of approximately $50 mil-lion of convertible preferredstock and warrants and purchaseof approximately $50 million ofcommon stock and warrants.Blue Rhino with its purchase ofapproximately $24 million ofcommon stock and additionalinvestment rights.Cephalon with its $55 millionconvertible debt transaction.EarthShell with its purchasesaggregating approximately $20

million of common stock off-shelfregistration and $10 millionsecured convertible debt andwarrant transaction.

Adam J. Kansler, Gary Malhotra

Related Capital CompanyProskauer continued its represen-tation of Related Capital, a promi-nent real estate financial servicescompany specializing in invest-ments in multi-family housing, inconnection with:

Raising over $775 million frominstitutional investors for invest-ments in affordable housing eligi-ble for federal and state tax cred-its and in other projects eligiblefor historic rehabilitation taxcredits. We also handled theinvestment of these funds in over60 residential projects, whichincluded the substantial rehabili-tation of obsolete public housingprojects in various cities in pub-lic/private joint ventures. We arealso assisting Related Capital inadvising banks in meeting theirCommunity Reinvestment Actcommitments.Closing of a transaction involvingthe largest allocation of LowIncome Housing Tax Credits everin California. Related committedto invest almost $50 million in apartnership which is demolishingand redeveloping a former publichousing project in the NorthBeach section of San Francisco.Also providing financing for theproject were Citibank, the SanFrancisco Housing Authority, theCity of San Francisco, BRIDGEHousing Corporation and JohnStewart Companies.

Ira Akselrad, Alan S. Cohen, Charles E. Dropkin,Janet B. Korins, Mark A. Kreitman, Kenneth Krug,Arnold J. Levine, George A. Pincus, Gail S. Port,Stuart L. Rosow, Susan A. Arbeit, Kelly Baldwin,Steven A. Beede, Aliza R. Cinamon, Jason D. Fernbach, John Fox-Snider,Stuart T. Kapp, Pamela L. Kramer,Emerson S. Moore II, Nkechi C. Odu,Michael E. Sievers, Michael C. Swiader,Lucien White

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Salomon Smith BarneyProskauer served as underwriters’counsel for a group of underwritersled by Salomon Smith Barney in theoffer and sale of $340 million inbonds to provide financing for theOchsner Clinic Foundation, aLouisiana integrated health care sys-tem. The bonds, which are taxexempt and issued through aLouisiana municipal authority, serveto refinance existing indebtednessof Ochsner and to fund facilitiesimprovements at Ochsner’s hospitaland clinic facilities. Edward S. Kornreich, Paul I. Rachlin,Stuart L. Rosow, Herschel Goldfield,Michael A. Katz, Susan R. Lewis,Samuel L. Martin, Amanda H. Nussbaum,Gary Ross, Beth B. Smigel, Susan Wiener

Towers PerrinRepresented Towers Perrin, a pen-sion benefits and human resourcesconsulting firm, in connection withthe recapitalization and Series 1and 2 preferred stock financing ofKadiri Inc. Ronald R. Papa, Ori Solomon

Verizon InvestmentManagementRepresented Verizon InvestmentManagement in connection with theacquisition by Bell Atlantic MasterTrust of over $600 million of part-nership interests in venture capital,buyout and real estate funds. Jacob I. Friedman, Howard N. Lefkowitz,Stephen A. Devaney, Amanda H. Nussbaum,Y. Dave Silberman, Yelena Simonyuk,Avshalom Yotam

Veronis Suhler Stevensonand The OfficialInformation CompanyRepresented VS&A CommunicationsPartners II, L.P., an affiliate ofVeronis Suhler Stevenson, a NewYork merchant bank specializing inmedia properties, and The OfficialInformation Company in connectionwith the sale of all of the issued andoutstanding shares of The OfficialInformation Company to US

Investigations Services, Inc. for $245million. In connection with the sale,The Official Information Companydefeased all of the covenants underthe indenture for its publicly issuedsenior subordinated notes, sold thepreferred interests in an affiliatedcompany to the sellers andamended its credit facility. Bertram A. Abrams, Robert K. Kane,Donald “Rocky” E. Thompson,Solomon L. Warhaftig, Michael A. Katz,Stacey Moore, Y. Dave Silberman

W.R. Huff AssetManagement Co.Representing W.R. Huff, an inde-pendent investment managementfirm, and other bondholders in thedebt restructurings of variousArgentine debtors, includingCablevision S.A., Mastellone Hnos.S.A. and Multicanal S.A. Michael E. Foreman, Steven M. Kayman,Carlos E. Martinez, Peter G. Samuels,Oliverio Lew

Zurich CapitalMarkets Inc.Represented Zurich CapitalMarkets and various of its affiliatesin connection with credit facilitiestotaling in excess of $1 billion tovarious domestic and offshoreborrowers including funds ofhedge funds.Charles E. Dropkin, Stephen A. Devaney,Emerson S. Moore II, Y. Dave Silberman

24/7 Real Media, Inc.Represented 24/7 (NASDAQ:TFSM),a leader in interactive marketing, inconnection with:

Its merger with Real Media, Inc.,an international provider of mar-keting services to the digitaladvertising industry. The com-bined companies have the largeston-line advertising network andlocally installed customer base forads serving technology in theworld. In connection with thedeal, our client changed its nameto 24/7 Real Media. The acquisition of certain assetsfrom certain subsidiaries of ElronElectronic Industries Ltd., inexchange for shares of 24/7 RealMedia’s common stock valued at

approximately $1.8 million. Theassets included certain contracts,intangibles and employee rela-tionships related to permission-based digital marketing communi-cations solutions, including theintellectual property relating tothe products known as “Vflash”,“NowBox” and “NowCode”.Elron also indirectly made a$1.25 million investment in 24/7Real Media’s preferred stock. The private placement of $8 mil-lion of preferred stock and war-rants to Sunra Capital HoldingsLimited and affiliated parties.

Adam J. Kansler, Ronald R. Papa, Andrea S. Rattner, Richard H. Rowe, Henry O. Smith III, Solomon L. Warhaftig,Stephen A. Devaney, Alexa D. Isbell, Ori Solomon, Lana T. Yang

AlcatelContinued our representation ofAlcatel (NYSE:ALA), one ofFrance’s largest industrial compa-nies and a leading global supplier ofhigh-tech equipment for telecom-munications infrastructures, in thefollowing matters:

The acquisition of Telera, Inc., aprivately held corporation. In themerger, Alcatel issued orreserved an aggregate of15,464,771 Class A ADSs andshares (valued at approximately$81 million) for all of the out-standing equity securities ofTelera. The transaction wasstructured to take advantage ofthe exemption from registra-tion afforded by Section3(a)(10) of the Securities Actthrough the use of aCalifornia Fairness Hearing.

The acquisition of AstralPoint Communications, Inc., a privately held cor-poration. Astral Pointcreates next-generation

SONET metropolitan optical sys-tems. Under the terms of themerger agreement, Alcatel issuedan aggregate of 9 million Class AADSs and shares for all of theoutstanding capital stock, optionsand warrants of Astral Point. Theacquisition has an implied value of€153 million.

Lauren Boglivi, Stanley Komaroff, Janet B. Korins,Ronald R. Papa, Gail S. Port, Andrea S. Rattner,Richard H. Rowe, Delia B. Spitzer,Aliza R. Cinamon, Paula M. Corsaro,Deniz Haupt, Susan Joe, Michael A. Katz,Mark W. Levine, Amanda H. Nussbaum,Michael J. Perloff

Artesyn Technologies, Inc.Represented Artesyn(NASDAQ:ATSN), a leading supplierof power conversion products andcommunications subsystems for thecommunications industry, in therestructuring of its $125 millioncredit line with a consortium ofbanks led by Bank of America, N.A. Sheldon I. Hirshon, Donald “Rocky” E. Thompson,John Fox-Snider, Marcy Hahn-Saperstein,Stuart T. Kapp

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Big City Radio, Inc.Continued our representation ofBig City Radio (AMEX:YFM) andaffiliates in connection with an out-of-court restructuring of approxi-mately $184 million of senior dis-count notes and the related sale of12 radio stations. Alan B. Hyman, Alan P. Parnes, Scott K. Rutsky,Lisa A. Chiappetta, Brian S. Lepsis

Capital IQ, Inc.Represented Capital IQ, the leadingprovider of integrated businessinformation and productivity appli-cations, in connection with the saleof Series C convertible preferredstock to Constellation VenturesCapital II, L.P., a Bear Stearns affili-ate, and the restructuring ofarrangements with holders of SeriesA and Series B preferred stock.The deal was valued at $6 million. Arnold J. Levine, Janice K. Smith,Mark W. Levine, Gary Ross

Charterhouse GroupInternational, Inc.Represented Charterhouse, a lead-ing private equity group that investsin middle market companies, inconnection with:

Its $100 million acquisition of AATCommunications Corp. AAT isone of the largest privately heldowners of towers and towersites, and providers of site man-agement services for the wirelesscommunications industry owning,operating and managing approxi-mately 5,700 wireless communi-cations sites located throughoutthe United States. Co-investingwith Charterhouse was CequelIII, a management company prin-cipally owned by Jerry Kent. The sale of Harvard CustomManufacturing, a leading elec-tronics contract manufacturer, toa group led by Harvard’s man-agement team.

James D. Meade, Gail S. Port, Stephen W. Rubin,Solomon L. Warhaftig, Kelly Baldwin,Alexa D. Isbell, Michael A. Katz, Dain C. Landon,Emerson S. Moore II, Gary Ross, Ori Solomon

Computer Horizons Corp.Represented Computer Horizons(NASDAQ:CHRZ), a leader in ITprofessional services, in connectionwith:

Its formation of CHC HealthcareSolutions, LLC with ZAConsulting LLC, to join theirrespective HIPAA compliance,healthcare information technologyand other compliance businesspractices. The sale of the assets of a sub-sidiary, Princeton Softech, Inc., tofinancial buyers Apax Partners,Inc. and LLR Partners Inc. thatwas in the nature of a leveragedmanagement buyout. The assetsof Princeton Softech that weresold included all of the outstand-ing stock of Princeton Softech’ssubsidiaries located in France,Australia, Germany, the United

Kingdom and the Netherlands.The transaction was valued atapproximately $30 million.

Robert A. Cantone, Henry O. Smith III,Solomon L. Warhaftig, Lowell D. Willinger,Christopher M. Jaskiewicz, Ian L. Levin,Kristen W. Prohl

ComtechTelecommunications Corp.Represented Comtech(NASDAQ:CMTL), a maker ofequipment used by satellite systemsintegrators, communications serviceproviders, defense contractors andoil companies, in connection withthe acquisition of certain assets ofAdvanced Hardware Architectures,Inc., a designer and developer of for-ward error correction integrated cir-cuits and data coding technologysolutions. Comtech acquiredAdvanced Hardware Architectures

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The Alpine Group, Inc. Represented Alpine (OTC:ALPG), one of the largest telephone wire and

cable manufacturers in the U.S., in the following matters:The sale by Superior TeleCom, Inc. (OTC:SRTO) toAlpine of: Superior’s electrical wire business; elec-

tronics subsidiary, DNE Systems, Inc.; and itsinterest in Superior Cables Ltd., an Israeli wireand cable company. Total consideration was $85

million plus a warrant to Superior to purchase a20% equity interest in the electrical wire business. In

addition, we also assisted Alpine with its $100 millionfinancing of the acquisition.

Proskauer also counseled Superior in connec-tion with an amendment to its senior creditfacility, and with a $160 million receivables fund-

ing facility with General Electric CapitalCorporation.

As the major stockholder of PolyVision, in con-nection with the acquisition of PolyVision bySteelcase, for approximately $180 million in

cash (including the assumption of debtand related transaction costs).

Abraham Gutwein, Jack P. Jackson, Ronald R. Papa,Gail S. Port, Andrea S. Rattner, Janice K. Smith,

Solomon L. Warhaftig, David M. Alin, Ricky Chung,Aliza R. Cinamon, Johnathan C. Duncan, Julian Gomez,

Alak R. Goswami, Michael A. Katz, Arthur G. Levy, Stacey Moore,Michael R. Neidell, Jennifer deWolf Paine, Kristen W. Prohl

for its Turbo Product Code Chips,increasing Comtech’s position in itsexisting market and expanding toother markets, such as wirelessapplications.Robert A. Cantone, Lana T. Yang

EYT, Inc.Represented EYT (formerly knownas Ernst & Young Technologies), aCharterhouse portfolio companyproviding information technologyconsulting and application services,in connection with the sale of itsvalue added reseller business to CapGemini Ernst & Young. Stephen W. Rubin

Fabriquest, Inc.Represented Fabriquest, a business-to-business e-commerce providerthat facilitates the purchase of manu-facturing services, in connection withventure capital and electronic com-merce matters. William M. Hart, Christopher M. Jaskiewicz

GNB Bank(Panama) S.A.Represented GNB Bank, aPanamanian financial institution, inits transactions with GeosorCorporation, an affiliate of GeorgeSoros, relating to securing an optionto acquire equity in Phone 1Globalwide Inc., and in its grantingdebt and equity financing toPhone 1, Inc. David W. Sloan, Donald “Rocky” E. Thompson,Oliverio Lew

Gray Television Inc.Represented Gray Television (NYSE:GTN) in connection with:

Its public offering of high-yieldbonds and its follow-on under-written public offering of its com-mon stock. The bond offeringyielded gross proceeds of $100

million and was applied by Grayto repay borrowings under itssenior credit facility. The stockoffering yielded gross proceeds ofapproximately $282.5 million,and was applied by Gray to theapproximately $500 millionacquisition of 15 local broadcaststations from Stations HoldingCompany, Inc., which had filedfor reorganization under Chapter11. The combined GrayTelevision/Stations HoldingCompany is now the country’slargest independent owner ofCBS affiliated stations and willreach approximately 5% of thetotal U.S. television households.Its $40 million Series CConvertible Preferred Stock pri-vate placement.

Robert A. Cantone, Michael E. Foreman,Arnie S. Jacobs, Dain C. Landon, Brian S. Lepsis,Mark W. Levine, Arthur G. Levy, Michael R. Neidell, Kristen W. Prohl, Beth B. Smigel, Marissa J. Tiamfook, Ellen Yu

L-3 CommunicationsCorporationRepresented L-3 Communications(NYSE:LLL), a maker of secure andspecialized systems for satellite,avionics and marine communica-tions, in a public merger acquisitionof Westwood Corporation. Thetarget corporation is a leadingprovider of electrical and electronicequipment to the military. James P. Gerkis, Ross H. Klenoff, Rima Moawad

The Laird Group, PLCRepresented The Laird Group(London:LARD), a public U.K.company, in:

$29.5 million acquisition by itssubsidiary, Laird Technologies,Inc., of BMI, Inc., a companyengaged in the design and sale ofelectronics shielding products forthe containment of electromag-netic interference.

Sale by its subsidiary, LairdTechnologies, Inc., of its majorityinterest in Sauquoit Industries,Inc., a manufacturer of silver-coated fibers, fabrics and yarns,to Sauquoit’s management.

Steven L. Kirshenbaum, Gail S. Port, Solomon L. Warhaftig, Kelly Baldwin, Stuart T. Kapp, Michael A. Katz, Ronald S. Kornreich, Jon H. Oram

MarketAxess CorporationRepresented MarketAxess, a leadingInternet-based multidealer researchand trading platform for creditproducts, in a Series I ConvertiblePreferred financing by Bank ofAmerica. Bank of Americaincreased its strategic equity partici-pation in the company.Adam J. Kansler, Michael E. Callahan,Ori Solomon

MaxcomTelecomunicacionesS.A. de C.V.Represented MaxcomTelecomunicaciones, a Mexican localtelephone company, in its debtrestructuring and recapitalization. Inaddition, Maxcom’s capital structurewas reorganized which allowed for achange of control while complyingwith Mexican foreign ownershiprestrictions. Michael E. Foreman, Janet B. Korins, Carlos E. Martinez, Richard H. Rowe, Solomon L. Warhaftig, Allan R. Williams,Robert Ivanschitz, Oliverio Lew, Amanda H. Nussbaum, Carla Passos, Lia Pistilli

Millennium TechnologyVenturesRepresented Millennium TechnologyVentures, a venture capital fundbased in New York City that investsprimarily in communications infra-structure, systems, tools andenabling technologies, in connectionwith venture capital investments inCarta, Inc., Commerce Systems,Inc., Lightspeed Interactive, Inc. andApplied Minds, Inc.Adam J. Kansler, Alan P. Parnes, Janice K. Smith,Steven A. Meetre, Marc A. Persily, Ori Solomon

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Mobius VentureCapital, Inc.Represented Mobius VentureCapital funds and CharterhouseEquity Partners III, L.P. in the pur-chase of Series A ConvertiblePreferred Stock of EYT, Inc. EYT,which was formerly known as Ernst& Young Technologies, owns andoperates a major technology con-sulting business. Mobius, formerlyknown as SoftBank Venture Capital,is one of the largest venture capitalfirms with more than $1.5 billionunder management.Stephen W. Rubin, Jack B. Spizz

Price CommunicationsCorporationRepresented Price Communications(NYSE:PR) in its $1.7 billion trans-action with Cellco Partnership(d/b/a Verizon Wireless), underwhich Price contributed its wirelesstelephone business, together with$149 million in cash, to a partner-ship controlled by Cellco. Inreturn, Price received a preferredinterest in the partnership,exchangeable for stock of VerizonWireless Inc. (if a Verizon WirelessIPO is completed by August 2007)or Verizon Communications Inc. (ifsuch an IPO is not completed). Inaddition, Cellco provided funds forthe repayment of approximately$700 million of Price’s publicindebtedness. Robert K. Kane, Gail S. Port, Richard H. Rowe,Peter G. Samuels, Janice K. Smith,Solomon L. Warhaftig, Kelly Baldwin,Brad E. Berman, David A. Bondy, Deniz Haupt,Alan M. Hoffman, Elizabeth Hook,Ronald S. Kornreich, Amanda H. Nussbaum,Marissa J. Tiamfook

TechSpace, Inc.Represented East Coast-basedTechSpace, a company providingalternative office space and businessinfrastructure services, in its mergerwith West Coast-basedEnfrastructure Inc. Prior to theclosing of the merger, TechSpace’spreferred stock was repurchased

from Safeguard Scientifics, Inc., apublic technology operating com-pany, and its major investors. Themerger created an internationaltechnology office space companywith offices on the East and WestCoasts of the U.S., as well asCanada and Mexico. Thomas W. Dollinger, Jeffrey A. Horwitz,Richard H. Rowe, Lia Pistilli, Lana T. Yang

Veronis Suhler Stevensonand The OfficialInformation CompanyRepresented VS&A CommunicationsPartners II, L.P., an affiliate ofVeronis Suhler Stevenson, a NewYork merchant bank specializing inmedia properties, and The OfficialInformation Company in connectionwith the sale of all of the issued andoutstanding shares of The OfficialInformation Company to USInvestigations Services, Inc. for $245million. In connection with the sale,The Official Information Companydefeased all of the covenants underthe indenture for its publicly issuedsenior subordinated notes, sold thepreferred interests in an affiliatedcompany to the sellers and amendedits credit facility. Bertram A. Abrams, Robert K. Kane,Donald “Rocky” E. Thompson,Solomon L. Warhaftig, Michael A. Katz,Stacey Moore, Y. Dave Silberman

W.R. Huff AssetManagement Co.Representing W.R. Huff, an inde-pendent investment managementfirm, and other bondholders in thedebt restructurings of variousArgentine debtors, includingCablevision S.A., Mastellone Hnos.S.A. and Multicanal S.A. Michael E. Foreman, Steven M. Kayman,Carlos E. Martinez, Peter G. Samuels, Oliverio Lew

15

Accor S.A.Represented Accor (Paris:AC), aworldwide lodging company, in con-tinued investments in WorldRes, anon-line hotel reservation and distri-bution network. Accor acquirednotes and warrants issued byWorldRes for a purchase price of $2million. Accor also made a $1 mil-lion investment in WorldRes.com’sSeries A-1 Preferred Stock. In addi-tion to providing needed capital forWorldRes, these transactions alsoinvolved a restructuring ofWorldRes’ management structureto provide Accor with increasedcontrol. Steven Fishman, Jeffrey A. Horwitz,Michael A. Midura

Boykin ManagementCompanyRepresented Boykin ManagementCompany Limited LiabilityCompany (“BMC”), an entity princi-pally owned by Robert W. Boykin,Chairman of the Board and ChiefExecutive Officer of Boykin LodgingCompany (a NYSE hotel REIT), inconnection with the sale by BMC toBoykin Lodging Company of mem-bership interests in 16 companiesholding leases for 25 hotel proper-ties in 14 states, in consideration forREIT securities and OP Units.Ira Akselrad, Perry A. Cacace, Michael E. Feldman,Jeffrey A. Horwitz, Allan R. Williams,Nicholas Athanail, David A. Bondy,Andrea Morgan, Yuval Tal, Lana T. Yang

DLJ Real EstateCapital Partners

Represented DLJ Real EstateCapital Partners (“DLJ”) in its acqui-sition of the debt encumberingThe Ritz-Carlton San Juan Hotel,Spa & Casino located in San Juan,Puerto Rico (the “Hotel”).

We are continuing to repre-sent DLJ in its acquisition ofthe Hotel through the filing ofa plan in the bankruptcy pro-ceedings of the currentowner.

We also representedDLJ in the managementagreement with The Ritz-Carlton Hotel CompanySan Juan Inc. providingfor its operation of theHotel.Michael E. Feldman,Jeffrey A. Horwitz,Steven M. Kayman,Lawrence J. Lipson,Matthew H. Triggs,Ronald S. Kornreich,Christopher L. Pennington,Lia Pistilli,

Yelena Simonyuk, Sanjay Thapar, Stephanie Reed Traband

Independent FiduciaryServices, Inc. & LaSalleInvestment ManagementProskauer continued its represen-tation of Independent FiduciaryServices, Inc., the independentfiduciary, and LaSalle InvestmentManagement, Inc., the qualifiedprofessional asset manager, onbehalf of the Plumbers andPipefitters National Pension Fund(the “Fund”) in connection with theFund’s $800 million developmentproject of the Diplomat Resort andCountry Club and Spa, a first-classconvention center hotel and luxurycountry club and spa with approxi-mately 1,060 guest rooms, locatedin Hollywood/Hallendale, Florida.Ira Akselrad, Rory Judd Albert,Michael E. Feldman, Jeffrey A. Horwitz,Steven E. Obus, George A. Pincus,Myron D. Rumeld, Wendy J. Schriber,Steven D. Weinstein, Gary Malhotra,Robert M. Projansky, Yuval Tal

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KerznerInternational LimitedRepresented Kerzner (NYSE:KZL),a resort operator, in providing mez-zanine standby credit facilities relat-ing to the development of a six-starresort in the Maldives. An affiliateof Kerzner will act as the manager/operator of the resort. All theoperative transaction documentswere governed by English, Maldivesand Malaysian law. James P. Gerkis, Wendy J. Schriber,Gary Malhotra, Rima Moawad,Stephen M. Rodin

NYC & Company, Inc.Represented NYC & Company, theofficial tourism marketing organiza-tion of New York City, in connec-tion with intellectual propertylicensing transactions. William M. Hart, Christopher M. Jaskiewicz,Kristen W. Prohl

VornadoRepresented New York’s HotelPennsylvania, a 1,700-room hotelwith 400,000 square feet of com-mercial space, in connection withvarious meeting space, food andbeverage, group room and othercommercial agreements, including apay-per-view system agreementand a central reservation systemagreement. Hotel Pennsylvania isowned by Vornado Realty Trust(NYSE:VNO), one of the largestproperty owners in New York City. Michael E. Feldman, Lawrence J. Lipson,Christopher M. Jaskiewicz

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Delaware North Companies, Inc.Represented Delaware North, one of the nation’s

largest privately held companies and a leader infoodservice, recreational and hospitality man-agement, in connection with:

Its $35 million acquisition of Harrison HotSprings Resort & Spa in British Columbia,

Canada. Its acquisition of the American Queen, the DeltaQueen and the Mississippi Queen, three stern-

wheel vessels that provide luxury cruises onU.S. inland waterways. The Delta Queen isthe only floating National Historic Landmarkand the American Queen is the largest steam-

boat ever built. The vessels were purchasedfrom the bankruptcy estate of American ClassicVoyages Co. for a purchase price of approxi-

mately $80 million, including the assumptionof certain U.S. Maritime Administration-

guaranteed notes and bonds associatedwith the American Queen. Proskauer

advised and represented DelawareNorth in the auction process, the bank-

ruptcy proceedings and the purchase. Perry A. Cacace, Thomas W. Dollinger, Michael E. Feldman,Michael E. Foreman, Arnie S. Jacobs, Steven L. Kirshenbaum,Martin J. Oppenheimer, Neal S. Schelberg, Lisa A. Chiappetta,Michael L. Eden, Ronald S. Kornreich

Computer Horizons Corp.Represented Computer Horizons(NASDAQ:CHRZ), a leader in ITprofessional services, in connec-tion with its formation of CHCHealthcare Solutions, LLC with ZAConsulting LLC, to join theirrespective HIPAA compliance,healthcare information technologyand other compliance businesspractices. Robert A. Cantone, Christopher M. Jaskiewicz

Cross Country, Inc.Represented Charterhouse portfo-lio company, Cross Country

(NASDAQ:CCRN), and the sellingshareholders of Cross Country, in aregistered secondary offeringwhere Charterhouse EquityPartners III, L.P., Morgan StanleyPrivate Equity and several otherstockholders sold 9 million sharesof Cross Country’s common stock(approximately 27% of CrossCountry’s outstanding stock).Cross Country is a leading providerof healthcare staffing services withan active client base of over 3,000hospitals, pharmaceutical compa-nies and healthcare providersacross all 50 States. Stephen W. Rubin, Ross H. Klenoff, Stacey Moore, Jack B. Spizz

Henry Schein, Inc.Represented Henry Schein(NASDAQ:HSIC), a worldwideleader in the dental supply andequipment distribution business,in connection with:

Sale to the remaining share-holders of its interest in a com-pany engaged in dental andmedical supply distribution inMexico.

A $200 million unsecuredrevolving credit facility froma group of banks led by J.P.Morgan Chase. Jack P. Jackson,Steven L. Kirshenbaum,Janice K. Smith, Stacey Moore

ImpulseDynamics N.V.RepresentedImpulse Dynamics,a developer ofimplantable car-diac devices, inconnectionwith raising$25 million in

private equity,including investments from

Johnson & Johnson. Also repre-sented the company in connectionwith a $250 million transactioninvolving the grant of an option toGuidant Corporation (NYSE:GDT)to acquire certain technology ofthe company. Paul I. Rachlin, Stuart L. Rosow,Matthew Sabloff, Avshalom Yotam

MP TotalCare, Inc.Represented MP TotalCare, aCharterhouse portfolio companywhich provides respiratory med-ications and diabetic supplies, inconnection with:

Acquisition of Express-Med, Inc.,a fast-growing mail order medicalsupply company. We also assistedMP TotalCare in connection withits financing of the transaction,including its secured loan withGMAC-RFC Health Capital and

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its issuance of Series A PreferredStock to Charterhouse EquityPartners III, L.P.Chapter 11 proceeding ofAmerican Homepatient, Inc. MP TotalCare is a party to apharmacy management agree-ment and lease agreement withAmerican Homepatient pursuantto which it provides, amongother things, management, super-visory, administrative and othernon-medical services required inconnection with retail pharmacyoperations.

James D. Meade, Stephen W. Rubin,Solomon L. Warhaftig, Lisa A. Chiappetta,Emerson S. Moore II, Stacey Moore,Beth B. Smigel, Jack B. Spizz

PharmaceuticalTechnologiesDevelopment LLCRepresented PharmaceuticalTechnologies Development(“PTD”) in connection with its $20million sale to Biovail Laboratories,Inc. of all of the shares of PTD,which is engaged in the develop-ment and marketing of pharmaceu-tical products. Arnold J. Levine, Michael J. Chiaravalloti,Eric Friedlander

Psilos Partners, L.P.Represented ComprehensiveNeuroScience, Inc., a portfolio com-pany of Psilos Partners, L.P., in itsacquisition of Clinical Studies, Ltd. Julie M. Allen, Pamela L. Kramer

Salomon Smith BarneyProskauer served as underwriters’counsel for a group of underwrit-ers led by Salomon Smith Barneyin the offer and sale of $340 mil-lion in bonds to provide financingfor the Ochsner Clinic Foundation,a Louisiana integrated health caresystem. The bonds, which are taxexempt and issued through aLouisiana municipal authority, serveto refinance existing indebtednessof Ochsner and to fund facilities

improvements at Ochsner’s hospi-tal and clinic facilities. Edward S. Kornreich, Paul I. Rachlin, Stuart L. Rosow, Herschel Goldfield, Michael A. Katz, Susan R. Lewis, Samuel L. Martin, Amanda H. Nussbaum, Gary Ross, Beth B. Smigel, Susan Wiener

X Technologies, Inc. Represented X Technologies, adeveloper of interventional cardi-ology devices, in an agreement tobe acquired by GuidantCorporation (NYSE:GDT), one ofthe largest U.S. medical devicecompanies. The all-cash $160 mil-lion deal, which is contingent on

U.S. regulatory approval ofX Technologies’ product, is thelargest cash acquisition of an Israelistart-up in the past several years.Simultaneously with the signing ofthe merger agreement,X Technologies entered into a$13.4 million credit facility withGuidant to help finance operationsthrough the closing of the merger. Alan P. Parnes, Paul I. Rachlin, Michael A. Katz, Ronald S. Kornreich, Gary Ross, Y. Dave Silberman

Celgene CorporationRepresented Celgene (NASDAQ:CELG), a public biotechnology company,

in connection with:Its acquisition of exclusive rights to several intellec-tual properties from EntreMed, Inc. and the settle-ment of related litigation. The transaction broad-ened Celgene’s intellectual property estate forone of its most significant programs, the ImiDs.

Celgene also invested in convertible preferredstock of EntreMed and received warrants to purchase

EntreMed common stock which, on an as-convertedbasis, collectively represented a 49% common

equity interest in EntreMed. Total considerationfor the EntreMed transaction was approximately$27 million.

Its agreement to make a loan to AnthrogenesisCorp. (d/b/a Lifebank), a company involved in stem

cell research, for a 90-day period. The parties alsosigned a merger agreement, which gave Celgenethe sole option to acquire Anthrogenesis, exer-cisable during the 90-day period. Upon Celgene’s

election not to exercise the option, theloan to Anthrogenesis was converted into

Anthrogenesis common stock. Filing an S-3 Registration Statement with

amendments with the Securities and ExchangeCommission. The S-3 utilized a “universalshelf” registration process. Under the univer-sal shelf process, Celgene may offer any com-bination of common stock or debt securitiesup to a total amount of $500 million, by filing aprospectus supplement.

Robert A. Cantone, Arnie S. Jacobs, Andrea S. Rattner, Solomon L. Warhaftig, Paula M. Corsaro,Eric Friedlander, Susan Joe, Michael A. Katz, Dain C. Landon, Michael R. Neidell, Ori Solomon,Ido Warshavski

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24/7 Real Media, Inc.Represented 24/7 (NASDAQ:TFSM),a leader in interactive marketing, inthe private placement of $8 millionof preferred stock and warrants toSunra Capital Holdings Limited andaffiliated parties.Adam J. Kansler, Ronald R. Papa, Richard H. Rowe,Henry O. Smith III, Stephen A. Devaney, Ori Solomon, Lana T. Yang

Banco San José/Banco InterfinRepresented Banco San José andBanco Interfin, two of the largestCosta Rican banks, in a $50 millionmortgage securitization conductedthrough a private placement. Carlos E. Martinez, Oliverio Lew

Celgene CorporationRepresented Celgene(NASDAQ:CELG), a public biotech-nology company, in filing an S-3Registration Statement with amend-ments with the Securities andExchange Commission. The S-3utilized a “universal shelf” registra-tion process. Under the universalshelf process, Celgene may offerany combination of common stockor debt securities up to a totalamount of $500 million, by filing aprospectus supplement. Robert A. Cantone, Arnie S. Jacobs, Paula M. Corsaro, Dain C. Landon

Charterhouse GroupInternational, Inc.Represented Charterhouse, a leadingprivate equity group that invests inmiddle market companies, in a globaloffering of shares of Intertek TestingServices Limited. James D. Meade

Cross Country, Inc.Represented Charterhouseportfolio company, CrossCountry (NASDAQ:CCRN),and the selling shareholdersof Cross Country, in a reg-istered secondary offeringwhere CharterhouseEquity Partners III, L.P.,Morgan Stanley PrivateEquity and severalother stockholderssold 9 million sharesof Cross Country’scommon stock(approximately27% of CrossCountry’s out-

standing stock).Cross Country is a leading

provider of healthcare staffing serv-ices with an active client base ofover 3,000 hospitals, pharmaceuti-cal companies and healthcareproviders across all 50 States. Stephen W. Rubin, Ross H. Klenoff, Stacey Moore, Jack B. Spizz

Dress Barn, Inc.Represented Dress Barn(NASDAQ:DBRN) in its tender offerfor 8 million shares of its commonstock for an aggregate purchase priceof $120 million. The tender offerwas in the form of a “Dutch Auction”which permits each shareholder tospecify the price, within a range of$15 and $17 per share, at which theshareholder would be willing to sellhis or her shares. Dress Barnselected the lowest price per sharewithin that range that permitted it topurchase 8 million shares. Klaus Eppler, Steven L. Kirshenbaum, Henry O. Smith III, Paula M. Corsaro, Deniz Haupt

Eagle National HoldingCompanyRepresented Eagle National, aFlorida corporation, in connectionwith its issuance of $15.5 million ofits trust preferred stock underwrit-ten by Salomon Smith Barney andSandler O’Neill & Partners, L.P. David W. Sloan, Solomon L. Warhaftig, Alan M. Hoffman, Oliverio Lew

Insignia FinancialGroup, Inc.Represented Insignia (NYSE:IFS)with its issuance of $25 million ofconvertible preferred stock inexchange for an outstanding seriesof convertible preferred stock, andthe issuance of $12.5 million ofconvertible preferred stock forcash, as well as a $37.5 million creditfacility, in a private transaction. Jack P. Jackson, Solomon L. Warhaftig,Allan R. Williams, Stacey Moore, Rachel Parsons, Ido Warshavski

Kramont Realty TrustRepresented Kramont Realty Trust(NYSE:KRT), a real estate invest-ment trust (REIT) which acquires,develops, manages and operatesabout 90 neighborhood shoppingcenters in 16 states (primarily inthe East and Southeast), in a saleof common shares under its S-3Registration Statement. We repre-sented Kramont in the initial regis-tration of $150 million of securi-ties and on subsequent take-downs off the shelf, of which thiswas the latest. Richard H. Rowe, Gail Sanger, Steven A. Beede,Ido Warshavski

KSH InvestmentGroup, Inc.Represented KSH InvestmentGroup, an investment bankinggroup specializing in small capitaliza-tion companies, acting as placementagent, in the sale of $1 million ofconvertible preferred stock forNesco Industries, Inc. Nesco isengaged in providing indoor air

quality management services andenvironmental remediation of haz-ardous materials. Kathy H. Rocklen, Melissa L. Westbrook

Little Switzerland, Inc.Represented Little Switzerland, aretailer of luxury items with loca-tions throughout the Caribbean,Alaska and Florida, in connectionwith its response to a tender offerby an affiliate of Tiffany & Co. for allthe outstanding common stock ofLittle Switzerland at $2.40 pershare in cash. We also assistedLittle Switzerland in the formationof a special committee of its boardof directors to act on behalf of thecompany in the tender offer andhandled the company’s SEC filings.Jack P. Jackson, Richard H. Rowe, Michael L. Eden, Arthur G. Levy,Steven A. Meetre

MaxcomTelecomunicacionesS.A. de C.V.Represented MaxcomTelecomunicaciones, a Mexicanlocal telephone company, in its debtrestructuring and recapitalization.The restructuring involved theexchange of $275 million of13 3/4% Series B Senior Notes due2007 for $175 million lower-yieldsenior notes and limited votingstock with liquidation preferencerights representing 15% of thecompany’s total equity.Approximately 94.3% of all out-standing Series B Senior Noteswere tendered in the exchange.Maxcom Telecomunicaciones alsoreceived a $66.2 million capital infu-sion from existing and new share-holders. The exchange offer wascarried out pursuant to a Section3(a)(9) exemption from registrationunder the Securities Act of 1933,

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Gray Television Inc.Represented Gray Television (NYSE:GTN) in connec-

tion with its public offering of high-yield bonds andits follow-on underwritten public offering of itscommon stock. The bond offering yielded grossproceeds of $100 million and was applied by

Gray to repay borrowings under its senior creditfacility. The stock offering yielded gross proceeds

of approximately $282.5 million, and was applied byGray to the approximately $500 million acquisition of

15 local broadcast stations from Stations HoldingCompany, Inc., which had filed for reorganizationunder Chapter 11. The combined GrayTelevision/Stations Holding Company is now the

country’s largest independent owner of CBS affili-ated stations and will reach approximately 5% of thetotal U.S. television households. We also repre-

sented Gray in its $40 million Series CConvertible Preferred Stock private placement.

Robert A. Cantone, Michael E. Foreman, Arnie S. Jacobs,Dain C. Landon, Brian S. Lepsis, Mark W. Levine,

Arthur G. Levy, Michael R. Neidell, Kristen W. Prohl,Beth B. Smigel, Marissa J. Tiamfook, Ellen Yu

while the capital infusion was madepursuant to a Section 4(2) privateplacement exemption under thesame act. In addition, MaxcomTelecomunicaciones’ capital struc-ture was reorganized to allow foran effective change of control whilecomplying with Mexican foreignownership restrictions. Thisrestructuring gave MaxcomTelecomunicaciones the financialflexibility to resume the building ofits network to cover the majorcities of Mexico. Michael E. Foreman, Janet B. Korins, Carlos E. Martinez, Richard H. Rowe, Solomon L. Warhaftig, Allan R. Williams, Robert Ivanschitz, Oliverio Lew, Amanda H. Nussbaum, Carla Passos, Lia Pistilli

The Pepsi BottlingGroup, Inc.Represented The Pepsi BottlingGroup (NYSE:PBG) in a $1.2 billionacquisition of Pepsi-Gemex S.A. deC.V., the largest PepsiCo productsbottler in the world outside theUnited States, in a “dual tenderoffer” involving the United Statesand Mexico. Pepsi Bottling isPepsiCo Inc.’s largest bottler andcurrently does business in six coun-tries. The transaction consisted ofa simultaneous offer in the UnitedStates open to holders of globaldepository receipts and UnitedStates holders of the underlyingMexican trust certificates and com-mon shares. The Mexican offerwas open to all holders of sharesand Mexican trust certificates. Thetransaction was groundbreakingbecause it represented the firsttime a dual tender offer structurewas used for a Mexico-UnitedStates tender offer. In addition,Mexican tender offer rules werefirst adopted in April 2002, makingthe transaction the first test of their

interpretation and application. Wealso represented Pepsi Bottling inthe financing of the Pepsi GemexS.A. de C.V. acquisition whichincluded a $1 billion bridge loanagreement and $1 billion Regulation144A/Regulation S bond offering. Leon P. Gold, Jack P. Jackson, Arnie S. Jacobs,Carlos E. Martinez, Richard H. Rowe, Henry O. Smith III, Solomon L. Warhaftig, Allan R. Williams, Patricia L. Gannon, Robert Ivanschitz, Oliverio Lew, Valarie H. McPherson, Stacey Moore, Rachel Parsons, Carla Passos, Gary Ross, R. Bruce Steinert, Jr., Marissa J. Tiamfook, Ana Vermal, Ido Warshavski, Melissa L. Westbrook

Wheeling Island GamingRepresented Wheeling IslandGaming, a wholly owned subsidiaryof Delaware North, in its $125 mil-lion 144A high-yield debt financing.Julie M. Allen, Arnie S. Jacobs, Sarah Deitch Persily, Melissa L. Westbrook

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Montreal Expos/Florida MarlinsRepresented Montreal Expos, L.P.,an entity controlled by Jeffrey H.Loria, in the sale of the Expos toMajor League Baseball forapproximately $121 million.Simultaneously, we representedthat same entity in connectionwith the purchase of theMarlins for approximately$159 million from an entityowned by John Henry, wholed the group that boughtthe Boston Red Sox. Ira Akselrad, Wayne D. Katz, Steven D. Weinstein, Craig A. Bitman,Michael J. Chiaravalloti, Amanda H. Nussbaum, Robert M. Projansky, Jack B. Spizz

Philadelphia Eagles We continued our representation ofthe Philadelphia Eagles in a broadrange of transactions relating to thedevelopment and financing of itsnew football-based stadium, whichis scheduled to open in August2003. These matters included theEagles’ $140 million naming rightsdeal with Lincoln Financial, as wellas a number of other significantmarketing, sponsorship, media andconcessions transactions.Joseph M. Leccese, Jon H. Oram

Women’s NationalBasketball AssociationAdvised the WNBA on its recentrestructuring that will allow individ-ual team ownership by both NBAand non-NBA owners. Wayne D. Katz, Joseph M. Leccese, Jennifer D. Duberstein, Jon H. Oram

National Basketball AssociationRepresented the NBA in the grant of an expansion team forCharlotte, North Carolina for $300 million to Robert Johnson, the

founder of Black Entertainment Television. The new Charlotte teamwill begin play in the 2004-05 NBA season. In connection with the

expansion transaction, we represented the league in the negotiation ofdefinitive development and operating agreements with the City ofCharlotte for a new $260 million state-of-the-art arena in down-town Charlotte.

Wayne D. Katz, Joseph M. Leccese, Jennifer D. Duberstein, Jon H. Oram

1515 BroadwayAssociates, L.P.Represented 1515 BroadwayAssociates in the sale of 1515Broadway (the Viacom Building inTimes Square) to an entity ownedby SL Green Realty Corporationthrough a pre-packaged Chapter 11plan of reorganization for consider-ation in the approximate amount of$484 million, including cash and theacquisition of certain indebtednessof the Partnership. Peter M. Fass, Michael E. Foreman,Christopher Kelly, Janet B. Korins,Stuart L. Rosow, Scott K. Rutsky,Dina R. Johnson, Beth B. Smigel

Accor S.A.Represented Accor (Paris:AC), a worldwide lodgingcompany, in continued investmentsin WorldRes, an on-line hotel reser-vation and distribution network.Accor acquired notes and warrantsissued by WorldRes for a purchaseprice of $2 million. Accor alsomade a $1 million investment inWorldRes.com’s Series A-1Preferred Stock. In addition to pro-viding needed capital for WorldRes,these transactions also involved arestructuring of WorldRes’ manage-ment structure to provide Accorwith increased control.Steven Fishman, Jeffrey A. Horwitz, Michael A. Midura

AdvancedGlassfiber Yarns LLCContinued our representation ofAdvanced Glassfiber Yarns in con-nection with their Chapter 11 bank-ruptcy cases involving the restruc-turing of approximately $185 mil-lion of indebtedness under a seniorsecured term loan and revolvingcredit facility, and senior subordi-nated notes in the amount of$160 million. AdvancedGlassfiber Yarns is a leadingproducer of glass yarns thatare used in electronics prod-ucts, telecommunicationsgear, automotive equipmentand other industrial appli-cations. Alan B. Hyman, Scott K. Rutsky,Janice K. Smith, Michael J. Chiaravalloti, Jennifer D. Duberstein, Dina R. Johnson, Brian S. Lepsis, Lia Pistilli

AlcatelContinued our representation ofAlcatel (NYSE:ALA), one ofFrance’s largest industrial compa-nies and a leading global supplier ofhigh-tech equipment for telecom-munications infrastructures, as theprimary trade creditor in therestructurings of several telecom-munications companies, including:

Global Crossing, with Alcatel’saggregate claims in the $200-$350 million range, and advisedAlcatel in its capacity as co-chairof the creditors committee.360networks Corporation(“360”), with Alcatel’s aggregateclaims in excess of $250 million,in which Alcatel, in an effort tosatisfy 360’s outstanding obliga-tions to Alcatel and a bank syndi-cate, forced the sale of two of360’s affiliates: TeleBermudaInternational and GlobeNet.

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FLAG Telecom (“FLAG”), withAlcatel’s claims in the $120-$150million range, in the constructionof a global settlement of all ofAlcatel’s claims against FLAGand its European and Asian sub-sidiaries.

Michael E. Foreman, Jack P. Jackson, Steven E. Obus, Michael E. Callahan, Andre G. Castaybert, Y. Dave Silberman, Sanjay Thapar

Artesyn Technologies, Inc.Represented Artesyn(NASDAQ:ATSN), a leading supplierof power conversion products andcommunications subsystems for thecommunications industry, in therestructuring of its $125 millioncredit line with a consortium ofbanks led by Bank of America, N.A. Sheldon I. Hirshon, Donald “Rocky” E. Thompson,John Fox-Snider, Marcy Hahn-Saperstein,Stuart T. Kapp

Big City Radio, Inc.Continued our representation ofBig City Radio (AMEX:YFM) andaffiliates in connection with an out-of-court restructuring of approxi-mately $184 million of senior dis-count notes and the related sale of12 radio stations. Alan B. Hyman, Alan P. Parnes, Scott K. Rutsky,Lisa A. Chiappetta, Brian S. Lepsis

Blackfin Capital, LLCRepresented Blackfin Capital, a pri-vate investment company, in con-nection with the restructuring ofdebt of various portfolio companies. Robert A. Cantone, Christopher M. Jaskiewicz

Cellu Paper Holdings, Inc.Represented Cellu Paper Holdings,a Charterhouse portfolio company,in refinancing existing debt ofapproximately $62 million. CelluPaper Holdings is a leading manu-facturer of tissue paper and otherpaper products. The refinancinghad both senior and subordinatedtranches and involved U.S. and

Canadian tax planning as a result ofCellu Paper Holdings’ Canadianoperations.David C. Friedman, Jack P. Jackson, James D. Meade, Gail S. Port, Stephen W. Rubin, Scott K. Rutsky, Donald W. Savelson, Solomon L. Warhaftig,Lisa A. Chiappetta, Aliza R. Cinamon, Randall J. Cude, Johnathan C. Duncan, Bruce N. Goldberger, Apryl E. Hand, Emerson S. Moore II, Stacey Moore, Gary Ross, Jack B. Spizz

Happy Kids Inc.Represented Happy Kids, a designerand marketer of custom licensedand branded children’s apparel, inrestructuring $130 million in out-standing debt and its equity posi-tion. The restructuring reduced thecompany’s outstanding term debtby half and eliminated a $20 millionequity position of an LBO fund that

included preferred stock and 49%of the company’s common stock.The transaction was conducted ona dual out-of-court/bankruptcytrack and eventually resulted inavoiding bankruptcy and restructur-ing the company’s capital structureout-of-court. Michael E. Foreman, Sheldon I. Hirshon, Jeffrey A. Horwitz, Dale A. Schreiber, David A. Bondy, Lisa A. Chiappetta, Dain C. Landon, Maryse S. Selit, Yuval Tal,Sanjay Thapar, Ido Warshavski, Lana T. Yang

Lechters, Inc.Represented Lechters in theirChapter 11 proceedings and the liq-uidation and wind-up of theirestates and assets in excess of $110million in debt. Alan B. Hyman, Jeffrey W. Levitan,Brian S. Lepsis, Lia Pistilli, Maryse S. Selit

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Maxcom Telecomunicaciones S.A. de C.V.Represented Maxcom Telecomunicaciones, a Mexican local telephone company,

in its debt restructuring and recapitalization. The restructur-ing involved the exchange of $275 million of 13 3/4%

Series B Senior Notes due 2007 for $175 millionlower-yield senior notes and limited voting stockwith liquidation preference rights representing15% of the company’s total equity. Approximately

94.3% of all outstanding Series B Senior Notes weretendered in the exchange. Maxcom Telecomunicaciones

also received a $66.2 million capital infusion from exist-ing and new shareholders. The exchange offer was

carried out pursuant to a Section 3(a)(9) exemptionfrom registration under the Securities Act of 1933,while the capital infusion was made pursuant to a

Section 4(2) private placement exemption under thesame act. In addition, Maxcom Telecomunicaciones’

capital structure was reorganized to allow for an effec-tive change of control while complying with Mexicanforeign ownership restrictions. This restructuring

gave Maxcom Telecomunicaciones the financialflexibility to resume the building of its net-

work to cover the major cities of Mexico. Michael E. Foreman, Janet B. Korins, Carlos E. Martinez,

Richard H. Rowe, Solomon L. Warhaftig, Allan R. Williams,Robert Ivanschitz, Oliverio Lew, Amanda H. Nussbaum,Carla Passos, Lia Pistilli

ML MediaRepresent ML Media in their asser-tion of claims in connection with acertain leveraged recapitalizationagreement with CenturyCommunications and AdelphiaCommunications pursuant to whichML Media sought to enforce aredemption obligation in excess of$279 million plus interest and fees. Jeffrey W. Levitan, Bradley I. Ruskin, Scott Eggers, Brian S. Lepsis, Lia Pistilli,Sanjay Thapar

MP TotalCare, Inc.Represented MP TotalCare, aCharterhouse portfolio company,which provides respiratory medica-tions and diabetic supplies, in theChapter 11 proceeding ofAmerican Homepatient, Inc. MP TotalCare is a party to a phar-macy management agreement andlease agreement with AmericanHomepatient pursuant to which itprovides, among other things,management, supervisory, adminis-trative and other non-medicalservices required in connectionwith retail pharmacy operations. Stephen W. Rubin, Lisa A. Chiappetta

The Museum CompanyRepresented the Chapter 11debtors in the restructuring of $50million of debt, including a saletransaction regarding the company’sstore operations. Alan B. Hyman, Jeffrey W. Levitan, Lisa A. Chiappetta, Dina R. Johnson, Rachel Parsons, Lia Pistilli

Provell, Inc.Represented Provell(OTC:PRVLQ) in their Chapter 11proceedings and the concomitantrestructuring of debt and preferred

stock valued at over $100 million,including preparation of new debtand equity instruments to be distrib-uted under a reorganization plan. Allan B. Hyman, Jeffrey W. Levitan, Susan Joe,Rachel Parsons, Maryse S. Selit, Lucien White

Reckson AssociatesRealty Corp.Representing Reckson (NYSE:RA), areal estate investment trust (REIT)that owns and leases about 180office and industrial properties inthe New York metropolitan area, inconnection with its $210 millioninvestment with Frontline CapitalGroup, including Reckson’s claim inthe Frontline bankruptcy and vari-ous related matters. Peter M. Fass, Michael E. Foreman, Sarah S. Gold,Steven M. Kayman, Christopher R. Kelly, Peter G. Samuels, John R. Braatz, Michael J. Chiaravalloti, Maryse S. Selit

STA International, Inc.Represented STA International, oneof the largest student travel agen-cies in the world, in its acquisitionof a student travel agency, andrelated business operations, fromCounsel Travel Services, Inc. in itsChapter 11 proceedings. Sheldon I. Hirshon, Lisa A. Chiappetta,Sanjay Thapar

Sun CapitalHealthcare, Inc.

Represented Sun CapitalHealthcare in connection withproviding funding, throughaccounts receivable factoringfacilities, to the following Chapter11 debtors: Med Diversified, Inc.and affiliates; Lincoln HospitalMedical Center, Inc.; InterCareHealth Systems, Inc., d/b/a Cityof Angels Medical Center; and

Parkview Community HospitalMedical Center. Represented SCHSPV, Inc., anaffiliate of Sun Capital Healthcare,in providing an accounts receiv-able factoring facility toOrthoRehab, Inc.

Michael E. Foreman, Lia Pistilli, Mary H. Rose,Sanjay Thapar

TandycraftsContinued our representation ofTandycrafts (NASDAQ:TACR), aleading manufacturer and distribu-tor of photo frames, wall décor andother accents for the home décormarket, and its subsidiaries in theirChapter 11 bankruptcy casesinvolving approximately $50 millionof secured and unsecured indebted-ness. Tandycrafts sold substantiallyall of their assets to PinnacleFrames and Accents, Inc., an affiliateof Newcastle Partners, L.P., for cashconsideration in the approximateamount of $23 million, plus theassumption of certain liabilities. Lawrence H. Budish, Alan B. Hyman,Scott K. Rutsky, Dina R. Johnson,Brian S. Lepsis

W.R. Huff AssetManagement Co.Representing W.R. Huff, an inde-pendent investment managementfirm, and other bondholders in thedebt restructurings of variousArgentine debtors, includingCablevision S.A., Mastellone Hnos.S.A. and Multicanal S.A. Michael E. Foreman, Steven M. Kayman, Carlos E. Martinez, Peter G. Samuels, Oliverio Lew

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Boykin ManagementCompanyRepresented Boykin ManagementCompany Limited LiabilityCompany (“BMC”), an entity prin-cipally owned by Robert W. Boykin,Chairman of the Board and ChiefExecutive Officer of BoykinLodging Company (a NYSE hotelREIT), in connection with the saleby BMC to Boykin LodgingCompany of membership interestsin 16 companies holding leases for25 hotel properties in 14 states, inconsideration for REIT securitiesand OP Units. Ira Akselrad, Perry A. Cacace, Michael E. Feldman,Jeffrey A. Horwitz, Allan R. Williams,Nicholas Athanail, David A. Bondy,Andrea Morgan, Yuval Tal, Lana T. Yang

Charter MunicipalMortgage AcceptanceCompanyRepresented Charter MunicipalMortgage Acceptance Company(“Charter MAC”) (AMEX:CHC),one of the nation’s leading full-service multi-family finance compa-nies, in the acquisition of 80% ofPW Funding Inc. PW Funding origi-nates and services multi-familyapartment mortgage loans. CharterMac Corporation, a wholly ownedsubsidiary of Charter MAC, an affili-ate of the Related Companies, willpay between $37 million and $47million depending on the costs ofcertain new servicing contracts onPW Funding’s mortgages. The

agreement also provides for putsand calls under which Charter MAChas the right to buy the balance ofthe outstanding shares of PWFunding over the next 2 to 3 years.In connection with the foregoingtransaction, Proskauer also repre-sented Charter MAC and PWFunding and its subsidiaries inobtaining financing. Peter M. Fass, Steven A. Fishman,Janet B. Korins, Jason D. Fernbach,Samuel L. Martin, Michael A. Midura

Commercial VenturesRepresented CommercialVentures, an affiliate ofGMAC, in the purchases ofpreferred equity from amanufactured housingREIT, opportunity fundand office property, inexcess of $250 million. Steven A. Fishman,Steven L. Lichtenfeld

DLJ Real EstateCapital PartnersRepresented DLJ Real Estate CapitalPartners (“DLJ”) in connection with:

Recapitalization and financing ofLibrary Square, LLC, an entitythat owns the Library Towerbuilding located in downtownLos Angeles. The transactionincluded a reorganization of theentities owning Library Tower, abuy-out of some of its pre-trans-action owners, a simultaneousloan made in two separate parts(to two separate Library Squareentities) by Credit Suisse FirstBoston and a preferred stockinvestment in DLJ. Acquisition of the debt encum-bering The Ritz-Carlton San JuanHotel, Spa & Casino located inSan Juan, Puerto Rico (“Hotel”).

28

We are continuing to representDLJ in its acquisition of the Hotelthrough the filing of a plan in thebankruptcy proceedings of thecurrent owner.

Elana R. Butler, Michael E. Feldman,Michael E. Foreman, Steven M. Kayman,Janet B. Korins, Steven L. Lichtenfeld,Lawrence J. Lipson, Gail S. Port, Ronald Sernau,Matthew H. Triggs, Ricky Chung, Jeffrey Levitin,Arthur G. Levy, Christopher L. Pennington,Lia Pistilli, Yelena Simonyuk, Beth B. Smigel,Yuval Tal, Sanjay Thapar, Stephanie Reed Traband

GMAC CommercialMortgage CorporationRepresented GMAC CommercialMortgage in a $150 million pre-ferred capital investment in ARCReal Estate Holdings, LLC, an entityengaged in the ownership and oper-ation of manufactured housing com-munities and manufactured homerental units. The financing was pro-vided by GMAC in connection witha transaction involving a restructur-ing of ARC IV REIT, Inc., the parententity of ARC, and a simultaneoussenior financing by Morgan Stanleyof $560 million. Perry A. Cacace, Steven A. Fishman, Michael E. Foreman, Janet B. Korins, Steven L. Lichtenfeld, Lawrence J. Lipson, Gail S. Port, David A. Bondy, Ricky Chung,Aliza R. Cinamon, Jason D. Fernbach,Tammy Fried, Jeffrey Levitin, Arthur G. Levy,Gary Malhotra, Gregory Moundas,Beth B. Smigel

Kerzner InternationalLimitedRepresented Kerzner (NYSE:KZL),a resort operator, in providing mez-zanine standby credit facilities relat-ing to the development of a six-starresort in the Maldives. An affiliateof Kerzner will act as the manager/operator of the resort. All theoperative transaction documents

were governed by English, Maldivesand Malaysian law. James P. Gerkis, Wendy J. Schriber, Gary Malhotra,Rima Moawad, Stephen M. Rodin

Kimco Realty CorporationRepresented Kimco Realty(NYSE:KIM), a real estate invest-ment trust (REIT) that primarilyowns and operates neighborhoodand community shopping centers,in connection with the develop-ment of real estate syndicationbusinesses, both public and private,including securities, partnership andREIT matters. Peter M. Fass, Steven A. Fishman, Janet B. Korins,Mark W. Levine, Michael A. Midura

Kramont Realty TrustRepresented Kramont Realty Trust(NYSE:KRT), a real estate invest-ment trust (REIT) which acquires,develops, manages and operatesabout 90 neighborhood shoppingcenters in 16 states (primarily in theEast and Southeast), in a sale ofcommon shares under its S-3Registration Statement. We repre-sented Kramont in the initial registra-tion of $150 million of securities andon subsequent take-downs off theshelf, of which this was the latest. Richard H. Rowe, Gail Sanger, Steven A. Beede,Ido Warshavski

Metro Storage LLCRepresented Metro Storage and itsprincipal shareholders in a tenderoffer for limited partnership inter-ests in connection with a contestedacquisition of a group of self-storagefacilities from an affiliate of theprincipal shareholders of MetroStorage. Peter M. Fass, Steven A. Fishman, John Siegal,Je Moon, Christopher L. Pennington

PRM Realty Group, LLCRepresented PRM Realty Group andits joint venture partner, GaltCapital, L.P., in a private offering ofdebt, the proceeds of which are tobe used for the acquisition anddevelopment of real estate in theCaribbean, principally in the U.S.Virgin Islands. The deal was valuedat $100 million.Peter M. Fass, Janet B. Korins, Michael A. Midura,Michael C. Swiader

Reckson AssociatesRealty Corp.Representing Reckson (NYSE:RA), areal estate investment trust (REIT)that owns and leases about 180office and industrial properties inthe New York metropolitan area, inconnection with its $210 millioninvestment with Frontline CapitalGroup, including Reckson’s claim inthe Frontline bankruptcy and vari-ous related matters. Peter M. Fass, Michael E. Foreman, Sarah S. Gold,Steven M. Kayman, Christopher R. Kelly, Peter G. Samuels, John R. Braatz, Michael J. Chiaravalloti, Maryse S. Selit

29

Related Capital CompanyProskauer continued its representation of Related Capital, a

prominent real estate financial services company spe-cializing in investments in multi-family housing, in

connection with:Raising over $775 million from institutional

investors for investments in affordable housingeligible for federal and state tax credits and in

other projects eligible for historic rehabilitation tax credits.We also handled the investment of these funds in over

60 residential projects, which included the substan-tial rehabilitation of obsolete public housing proj-ects in various cities in public/private joint ven-tures. We are also assisting Related Capital in

advising banks in meeting their CommunityReinvestment Act commitments.

The Acquisition of Related by Charter MunicipalMortgage Acceptance Company (AMEX:CHC)

(“Charter MAC”). Related currently serves asadvisor to Charter MAC pursuant to a manage-

ment agreement, and one of the effectsof the transaction will be to internalize

the management of Charter MAC. A spe-cial committee of independent directors ofCharter MAC approved the terms of thetransaction, which has a purchase price of$338 million, subject to certain adjustments.

Closing of a transaction involving the largestallocation of Low Income Housing Tax Credits ever in California. Relatedcommitted to invest almost $50 million in a partnership which is demolish-ing and redeveloping a former public housing project in the North Beachsection of San Francisco. Also providing financing for the project wereCitibank, the San Francisco Housing Authority, the City of San Francisco,BRIDGE Housing Corporation and John Stewart Companies.

Ira Akselrad, Alan S. Cohen, Charles E. Dropkin, Peter M. Fass, Steven Fishman, Janet B. Korins, Mark A. Kreitman, Kenneth Krug, Arnold J. Levine, George A. Pincus, Gail S. Port, Stuart L. Rosow,Susan A. Arbeit, Kelly Baldwin, Steven A. Beede, Aliza R. Cinamon, Jason D. Fernbach, John Fox-Snider,Stuart T. Kapp, Michael A. Katz, Paul A. Kemnitzer, Pamela L. Kramer, Samuel L. Martin, Emerson S. Moore II, Nkechi C. Odu, Jenifer deWolf Paine, Jacob Raddock, Michael E. Sievers, R. Bruce Steinert, Jr., Michael C. Swiader, Lucien White

30

The Alpine Group, Inc.Represented Alpine (OTC:ALPG),one of the largest telephone wireand cable manufacturers in theU.S., in connection with:

The sale by Superior TeleCom,Inc. (OTC:SRTO) to Alpine of:Superior’s electrical wire busi-ness; electronics subsidiary,DNE Systems, Inc.; and its inter-est in Superior Cables Ltd., anIsraeli wire and cable company.Total consideration was $85 mil-lion plus a warrant to Superior topurchase a 20% equity interestin the electrical wire business. Inaddition, we also assisted Alpine

with its $100 million financing tomake the acquisition.Proskauer also counseledSuperior in connection with anamendment to its senior creditfacility, and with a $160 millionreceivables facility with GeneralElectric Capital Corporation.

Abraham Gutwein, Jack P. Jackson, Ronald R. Papa,Gail S. Port, Andrea S. Rattner, Janice K. Smith,Solomon L. Warhaftig, David M. Alin, Ricky Chung,Aliza R. Cinamon, Johnathan C. Duncan,Julian Gomez, Alak R. Goswami, Michael A. Katz, Arthur G. Levy, Stacey Moore, Michael R. Neidell, Jenifer deWolf Paine,Kristen W. Prohl

Banco San José/Banco InterfinRepresented Banco San José andBanco Interfin, two of the largestCosta Rican banks, in a $50 mil-lion mortgage securitizationconducted through a privateplacement. Carlos E. Martinez, Oliverio Lew

Ceres Terminals Inc.Represented CeresTerminals, a privately heldcorporation, and its affili-ates in the sale of all ofthe outstanding sharesof Ceres Terminals toNippon YusenKabushiki Kaisha, apublicly heldJapanese companylisted on stockexchanges in Asiaand Europe(operation asNYK). CeresTerminals is

engaged in the businessof providing stevedoring and termi-nal operating services at 19 portfacilities in 12 locations across theUnited States, Canada and theNetherlands. The transactioninvolved the distribution of thecompany’s Dutch operations to ajoint venture company to be ownedequally by the sole shareholder ofCeres Terminals and NYK. Lawrence H. Budish, Solomon L. Warhaftig,Michael L. Eden, Michael A. Katz

Computer Horizons Corp.Represented Computer Horizons(NASDAQ:CHRZ), a leader in ITprofessional services, in the sale ofthe assets of a subsidiary, PrincetonSoftech, Inc., to financial buyersApax Partners, Inc. and LLRPartners Inc. that was in the natureof a leveraged management buyout.The assets of Princeton Softech thatwere sold included all of the out-standing stock of PrincetonSoftech’s subsidiaries located inFrance, Australia, Germany, the

31

United Kingdom and theNetherlands. The transaction wasvalued at approximately $30 million. Robert A. Cantone, Henry O. Smith III,Solomon L. Warhaftig, Lowell D. Willinger,Christopher M. Jaskiewicz, Ian L. Levin,Kristen W. Prohl

EuroPlex B.V.Represented EuroPlex, a Europeandeveloper and operator of multi-plex cinemas, with its investments,backed by Soros Private EquityPartners, in cineplex operations inEurope, including its $10 millionacquisition of Kinepolis Pioltellos.r.l., the Italian affiliate of theKinepolis Group. Jean-Philippe Berthet, Lucien White

GNB Bank (Panama) S.A.Represented GNB Bank, aPanamanian financial institution, inits transactions with GeosorCorporation, an affiliate of GeorgeSoros, relating to securing an option to acquire equity in Phone 1 Globalwide Inc., and in itsgranting debt and equity financingto Phone 1, Inc. David W. Sloan, Donald “Rocky” E. Thompson,Oliverio Lew

Grupo Cinemex,S.A. de C.V.Represented Grupo Cinemex andcertain of its stockholders in thesale of all of the company’s out-standing capital stock to OnexCorporation and investment fundsmanaged by Oaktree CapitalManagement, LLC. The total pur-chase price for the company wasapproximately $285 million. GrupoCinemex is a leading movie theaterexhibition company in Mexico andthe largest exhibitor in Mexico City,where it has more than a 50%market share. Adam J. Kansler, Alan P. Parnes, Gail S. Port,Henry O. Smith III, Aliza R. Cinamon,Jon H. Oram

Kerzner InternationalLimitedRepresented Kerzner (NYSE:KZL),a resort operator, in providing mez-zanine standby credit facilities relat-ing to the development of a six-starresort in the Maldives. An affiliateof Kerzner will act as the manager/operator of the resort. All theoperative transaction documentswere governed by English, Maldivesand Malaysian law. James P. Gerkis, Wendy J. Schriber, Gary Malhotra, Rima Moawad, Stephen M. Rodin

LincolnshireEquity Fund II, L.P.Represented Lincolnshire EquityFund II in its acquisition of the stockof ATC Logistics of Maryland, Inc.,Grupo Centurión de Mexico, S.A.de C.V. and related entities, all ofwhich are engaged in the automo-bile part processing and logisticsbusiness. The transaction includedan earn-out structure, includingconsideration payable up to a maxi-mum of $35 million in cash, a seriesof notes and the issuance of stockin the acquisition entity in a tax-free

AlcatelContinued our representation of Alcatel (NYSE:ALA), one of France’s

largest industrial companies and a leading global supplier ofhigh-tech equipment for telecommunications infrastruc-

tures, in the following matters:The acquisition of Telera, Inc., a privately held cor-

poration. In the merger, Alcatel issued or reserved anaggregate of 15,464,771 Class A ADSs and shares (val-

ued at approximately $81 million) for all of the out-standing equity securities of Telera. The transaction was

structured to take advantage of the exemption from regis-tration afforded by Section 3(a)(10) of the Securities Act

through the use of a California Fairness Hearing. The acquisition of Astral Point Communications,

Inc., a privately held corporation. Astral Point createsnext-generation SONET metropolitan optical systems.

Under the terms of the merger agreement, Alcatel issuedan aggregate of 9 million Class A ADSs and shares for all

of the outstanding capital stock, options and warrantsof Astral Point. The acquisition has an implied value of

€153 million.Represented Alcatel as the primary trade

creditor in the restructuring and settlement ofclaims, aggregating in excess of $750 million, against

several telecommunications companies, includingGlobal Crossing, 360networks and FLAG Telecom; andadvised Alcatel in its capacity as co-chair of the credi-tors committee with respect to the Global Crossingmatter.

Lauren Boglivi, Michael E. Foreman, Jack P. Jackson, Stanley Komaroff, Janet B. Korins, Steven E. Obus, Ronald R. Papa, Gail S. Port, Andrea S. Rattner, Richard H. Rowe, Delia B. Spitzer,Michael E. Callahan, Andre G. Castaybert, Aliza R. Cinamon, Paula M. Corsaro, Deniz Haupt,Susan Joe, Michael A. Katz, Mark W. Levine, Amanda H. Nussbaum, Michael J. Perloff, Y. Dave Silberman, Sanjay Thapar

32

reorganization. Separate contribu-tion and purchase agreements wererequired for the domestic andMexican target companies. Robert J. Kafin, Arnold J. Levine, Alan P. Parnes,Gail S. Port, Janice K. Smith, Tammy Fried,Julian Gomez, Ronald S. Kornreich, Oliverio Lew,Steven A. Meetre, Stacey Moore, Renata C. Pompa, Robert M. Projansky

MaxcomTelecomunicacionesS.A. de C.V.Represented MaxcomTelecomunicaciones, a Mexicanlocal telephone company, in its debtrestructuring and recapitalization.In addition, Maxcom’s capital struc-ture was reorganized whichallowed for a change of controlwhile complying with Mexican for-eign ownership restrictions. Michael E. Foreman, Janet B. Korins,Carlos E. Martinez, Richard H. Rowe,Solomon L. Warhaftig, Allan R. Williams,Robert Ivanschitz, Oliverio Lew,Amanda H. Nussbaum, Carla Passos, Lia Pistilli

Merrill LynchRepresented Merrill Lynch(NYSE:MER) in private equityinvestments, including its invest-ments in Latin American portfoliocompanies. James P. Gerkis, Bruce L. Lieb, Alexa D. Isbell,Mark W. Levine, Rima Moawad

The Pepsi BottlingGroup, Inc. Represented The Pepsi BottlingGroup (NYSE:PBG) in a $1.2 billionacquisition of Pepsi-Gemex S.A. deC.V., the largest PepsiCo productsbottler in the world outside theUnited States, in a “dual tenderoffer” involving the United States and

Mexico. Pepsi Bottling is PepsiCoInc.’s largest bottler and currentlydoes business in six countries.Leon P. Gold, Jack P. Jackson, Arnie S. Jacobs,Carlos E. Martinez, Richard H. Rowe,Henry O. Smith III, Solomon L. Warhaftig,Allan R. Williams, Patricia L. Gannon,Robert Ivanschitz, Oliverio Lew, Valarie H. McPherson, Stacey Moore, Rachel Parsons, Carla Passos, Gary Ross, R. Bruce Steinert, Jr., Marissa J. Tiamfook, Ana Vermal, Ido Warshavski, Melissa L. Westbrook

2002 ANNUAL DEALS REPORT

The Corporate Department of Proskauer Rose LLP is pleasedto present you with our Annual Deals Report for 2002.

The Proskauer Corporate Department consists of over 140 attorneysworldwide, with offices in New York, Los Angeles, Paris, Boca Ratonand Washington D.C. The Corporate Department counsels clientsthroughout the United States, Europe, Israel and Latin America in afull range of sophisticated transactions and in day to day representa-tion as outside general counsel in business and regulatory matters.

In light of the recent implementation by Congress, the SEC and thenational stock exchanges of major changes in areas of corporate gov-ernance, accountability and disclosure, Proskauer has formed theCorporate Governance/Corporate Defense Practice Group, a multi-disciplinary team of attorneys from our Corporate and Litigationpractices. The group focuses on the manner in which corporations,CEOs and CFOs and Boards of Directors fulfill their responsibilitiesto investors, and has been actively advising many of our public com-pany clients over the past year.

This Report highlights our dynamic transactional practice, includingmergers and acquisitions, securities offerings, venture capital and fundtransactions, financings and corporate restructurings. We are com-mitted to excellence in the service of our clients.

We thank our clients for the work you have entrusted to us and lookforward to working with you in 2003.

BOCA RATONKimberly L. Barbar

Donald “Rocky” E. Thompson

Christopher C. Wheeler

Andrew D. Levy

LOS ANGELESHoward D. Behar

Thomas W. Dollinger

Marvin Sears

Martin S. Zohn

Andrew Eitingon

Steven M. Kalb

Nkechi C. Odu

Stephen F. Reed

Mary H. Rose

Deborah J. Sager

Michael E. Sievers

NEW YORKBertram A. Abrams

Julie M. Allen

Lauren K. Boglivi

Lawrence H. Budish

Robert A. Cantone

Alan S. Cohen

Saul S. Cohen

Charles E. Dropkin

Klaus Eppler

Paul H. Epstein

Peter M. Fass

Glenn M. Feit

Michael E. Feldman

Steven A. Fishman

Michael E. Foreman

James P. Gerkis

Gregory P. Gnall

Richard L. Goldberg

Daryn A. Grossman

Sheldon I. Hirshon

Jeffrey A. Horwitz

Alan B. Hyman

Jack P. Jackson

Arnie S. Jacobs

Robert J. Kafin

Robert K. Kane

Adam J. Kansler

Wayne D. Katz

Steven L. Kirshenbaum

Stanley Komaroff

Mark A. Kreitman

Joseph M. Leccese

Howard N. Lefkowitz

Arnold J. Levine

Jeffrey W. Levitan

Steven L. Lichtenfeld

Bruce L. Lieb

Brian B. Margolis

Carlos E. Martinez

James D. Meade

Ronald R. Papa

Gail S. Port

Paul I. Rachlin

Kathy H. Rocklen

Stephen W. Rubin

Scott K. Rutsky

Peter G. Samuels

Gail Sanger

David W. Sloan

Henry O. Smith III

Janice K. Smith

Allan R. Williams

Susan A. Arbeit

Kelly Baldwin

Steven A. Beede

David A. Bondy

Michael E. Callahan

Lisa A. Chiappetta

Michael J. Chiaravalloti

Steven R. Chiodini

Ricky Chung

Aliza R. Cinamon

Paula M. Corsaro

Stephen A. Devaney

Jennifer D. Duberstein

Johnathan C. Duncan

Michael L. Eden

Jason D. Fernbach

Eric Friedlander

Julian Gomez

Alak R. Goswami

Deniz Haupt

Alan M. Hoffman

Alexa D. Isbell

Robert Ivanschitz

Christopher M. Jaskiewicz

Susan Joe

Dina R. Johnson

Paul A. Kemnitzer

Ross H. Klenoff

Ronald S. Kornreich

Dain C. Landon

Jeremy Lechtzin

Brian S. Lepsis

Mark W. Levine

Oliverio Lew

Gary Malhotra

Samuel L. Martin

Steven A. Meetre

Rima Moawad

Emerson S. Moore II

Stacey Moore

Andrea Morgan

Michael R. Neidell

Jon H. Oram

Charles Parsons

Rachel Parsons

Carla Passos

Marc A. Persily

Sarah Deitch Persily

Lia Pistilli

Kristen W. Prohl

Stephen M. Rodin

Gary Ross

Maryse S. Selit

Y. Dave Silberman

Yelena Simonyuk

Beth B. Smigel

Ori Solomon

Jack B. Spizz

R. Bruce Steinert, Jr.

Yuval Tal

Sanjay Thapar

Ido Warshavski

Melissa L. Westbrook

Lucien White

Susan L. Wiener

Steven A. Yadegari

Ellen Yu

WASHINGTONRichard H. Rowe

PARISJean-Philippe Berthet

Christophe Henin

Bernard M. Husson

William Krisel

Delia B. Spitzer

Grégory Basnier

Anne Lucchini

Florence Perrot

Olivier Savelli

Arnie Jacobs212.969.3210ajacobs@proskauer.com

Steven L. Kirshenbaum212.969.3295skirshenbaum@proskauer.com

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New York1585 BroadwayNew York, NY 10036212.969.3000

Los Angeles2049 Century Park East, 32nd FloorLos Angeles, CA 90067310.557.2900

Washington, DC1233 20 Street, N.W., Suite 800Washington, DC 20036202.416.6800

Boca RatonOne Boca Place, Suite 340 West2255 Glades RoadBoca Raton, FL 33431561.241.7400

NewarkOne Newark Center, 18th FloorNewark, NJ 07102973.274.3200

Paris68, rue du Faubourg Saint-Honoré75008 Paris, France331.53.05.60.00

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A CORPORATEDEPARTMENTPRODUCTION

2002ANNUALDEALSREPORT

PRESENTINGTHE