Falconhead Acquires MTN, Leading Provider of Maritime Communications and Networking Services

— Support of Falconhead, Including Its Strategic Relationship With IMG and TWI, Will Help MTN Enhance Its Service Offerings, Pursue New Growth Opportunities —

NEW YORK, N.Y. and MIRAMAR, Fla., Feb. 11, 2003 — Falconhead Capital, of New York, a private investment firm specializing in leisure-, lifestyle-, media- and sports-related businesses, today announced that it has acquired Maritime Telecommunications Network (MTN) in a transaction valued at approximately $30 million. MTN, based in Miramar, Florida, is a leading provider of satellite-based communications, networking and other services to the cruise ship and offshore oil and gas industries.

David Moross, Chairman and Chief Executive Officer of Falconhead, said: "This is a unique opportunity for Falconhead to back the outstanding MTN senior management team in acquiring the number-one player in a vital and rapidly growing segment of the $15 billion global cruise ship industry. We look forward to working with MTN CEO Dave Kagan and his colleagues to build upon MTN's proven communications platform, best meet its customers' needs in the evolving marketplace, and take its business to the next level."

Mr. Moross continued: "One particularly exciting aspect of this transaction is our ability to leverage Falconhead's strategic relationship with IMG to help MTN expand its service offerings. In that regard, we will be actively exploring opportunities to develop new entertainment, information and related services based on MTN's existing customer base and communications platform, and IMG's sports, entertainment and other resources. Those resources include the sports programming production and distribution capabilities of IMG's TWI division, the world's largest independent producer and distributor of sports programming."

David B. Kagan, Chief Executive Officer of MTN, said: "On day one of our new life as a stand-alone company, we will have solid financial resources to continue to meet the needs of our long-standing cruise line and other customers and to invest in innovative expansions of our service offerings. We will have a robust sales pipeline, and a proven management team. Moreover, we will enjoy the strong backing of David Moross and his colleagues at Falconhead, who enthusiastically support our plans to broaden our services, to serve additional markets and industries, and to accelerate the growth of our business."

In addition to the cruise and oil and gas markets, MTN is currently developing a strategy to provide services to the allied military sectors by building on its existing relationships and special project expertise.

Among the new products MTN is currently introducing to its existing cruise-line customers and end-users are WiFi capability on board ships, and satellite and multicast newspaper distribution. Other markets MTN has identified as growth opportunities include the oil and gas industry, U.S. and other military vessels and facilities, and commercial projects.

The cruise ship industry is an estimated $15 billion business that serves nearly 10 million vacationers annually, and in which passenger growth has averaged more than 8 percent annually since 1980. MTN currently serves approximately 15 of the world's leading cruise lines.

Over the past three years, MTN has also established relationships with a number of companies operating in the offshore oil and gas industry, for which MTN's suite of services is also well suited. That process is expected to continue under MTN's new ownership structure, and several announcements of new business relationships are expected in the weeks and months ahead.

Bank of America structured and provided senior debt financing for this transaction.

Maritime Telecommunications Network, Inc. (MTN), the leader in maritime communications provides broadband solutions for voice, data, Internet and compressed video services to the cruise and offshore industries utilizing state-of-the-art VSAT technology. MTN is focused on cost-effective, high-speed satellite solutions while maintaining the highest standards of quality and availability. MTN's Digital Seas Internet product, the first Information Technology concession, provides turnkey Internet Cafés to the Cruise and Offshore Industries. More information on MTN is available at www.mtnsat.com

Falconhead Capital LLC (www.falconheadcapital.com), whose principal fund is Sports Capital Partners, L.P., is a private investment firm established in 1998 to provide investors with significant long-term capital appreciation by investing globally in leisure-, lifestyle-, media- and sports-related businesses. The firm's investment partners include the California Public Employees' Retirement System (CalPERS), the nation's largest public pension fund, which has committed to invest a minimum of $122 million in Falconhead funds. Falconhead's investment strategy is also backed by its strategic partner, IMG, the world's largest sports marketing and management firm. Falconhead is headquartered at 527 Madison Avenue, 10th Floor, New York, NY 10022; telephone: 212-634-3304.

Contacts

Falconhead Capital
Roy Winnick or Mark Semer
Kekst and Company
212-521-4842 or 4802

MTN
Nancy Cornelius
954-538-4000 

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