The Sterling Group, L.P. Completes Acquisition of Universal Fiber Systems, LLC


HOUSTON, TX (October 26, 2007) – The Sterling Group, L.P. (“Sterling”), a Houston-based private equity investment firm, today announced that it has finalized the acquisition of Universal Fiber Systems, LLC (“UFS”), headquartered in Bristol, VA.. The acquisition was financed with equity primarily from Sterling Group Partners II, L.P. and debt financing was solely arranged by BNP Paribas.

UFS is a leading niche manufacturer of high-performance, specialty synthetic fibers for niche segments of the commercial carpet, transportation carpet, and specialty textile industries. UFS acts as a strategic partner to its blue-chip customer base of leading commercial carpet manufacturers, Tier 1 automotive suppliers, and value-added textile manufacturers by supplying specialty yarn synthesized from nylon, polyester, and specialty polymers needed to produce a diverse range of unique end-products. UFS is collectively led by three key executives: R. Marcus Ammen, Chief Financial Officer; Bentley E. Park, President, Universal Fibers; and John T. Amirtharaj, President, Premiere Fibers.

“Sterling has invested in several fiber businesses, including Fiber Industries and Propex Inc. We are excited to find this opportunity where we feel we can add value post closing,” said Billy Oehmig, a Partner with Sterling. “UFS is a good fit for us and we look forward to working with an outstanding management team and the excellent board of industry experts whom we have assembled.”

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group, L.P. (www.sterling-group.com) is a private equity investment firm that targets controlling interests in basic manufacturing, industrial services and distribution companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of over 30 portfolio companies and numerous add-on acquisitions for a total transaction value greater than $8 billion. Currently, Sterling has $600 million of committed capital under management through two funds, including Sterling Group Partners II, L.P. Current portfolio companies include North American Energy Partners Inc. (NYSE: NOA), Propex Inc., Panolam Industries International, Inc., CST Industries, Inc., Roofing Supply Group, LLC, BTEC Turbines LP, and Hudson Products Corporation.

For additional information, please contact:
The Sterling Group, L.P.
Kent Wallace, Managing Director
(713) 877-8257
kwallace@sterling-group.com