Clearview Capital, LLC

Clearview Capital Sells American Furniture and Realizes 60% IRR
August 5, 2004

Clearview Capital, LLC of Old Greenwich, CT today announced that on July 29 it sold its stake in American Furniture Manufacturing, Inc. to an investor group led by Hunt Private Equity and Hampshire Equity Partners. Clearview, which acquired the company in September 2001 in partnership with its owner-founder Gerald Washington, realized a return of more than four times its invested capital and generated an IRR in excess of 60% on its investment.

American Furniture is the country’s largest manufacturer of residential upholstered furniture focused exclusively on promotional price points. The company sells its products through independent furniture retailers nationwide. The company generated revenues in excess of $100,000,000 in 2003.

“While we believe American Furniture will continue to grow profitably, we felt it was time for us to capitalize on the tremendous value created over the past three years”, said Calvin Neider, co-Managing Partner of Clearview Capital. “This is our first exit in Clearview Capital Equity Fund I and we’re thrilled to be off to a strong start in realizing value for our limited partners.”

“American Furniture is a great company and we were very proud to have helped it grow over the past three years,” said James G. Andersen, co-Managing Partner of Clearview Capital. “The partnership we created in 2001 with Gerald Washington, the company’s founder, allowed him to reduce his risk and maintain a significant interest in the company while gaining an experienced financial partner to help the company manage its rapid growth rate.”

Since Clearview’s founding in 1999, the firm has made two other platform acquisitions in the furniture area: VIA, Inc. of Sparks, NV, a manufacturer of office seating, and Hillsdale Furniture, a designer and importer of bedroom, dining room, occasional and accent furniture sold through mail order, furniture, mattress and specialty retailers nationwide.
Clearview’s other holdings include M.H. Zeigler & Sons, LLC of Lansdale, PA, the country’s leading manufacturer of refrigerated apple cider and Compression Polymers Group of Scranton, PA, the world leader in the extrusion of heavy gauge polyolefin and PVC sheet and related fabricated products.