Business Editors
     WASHINGTON--(BUSINESS WIRE)--July 24, 2008--Unitranche Fund LLC, co-managed by affiliates of GE Commercial Finance and Allied Capital, today announced the closing of its sixth investment, a $185 million unitranche debt financing for York Insurance Services Group, Inc. (“York”), a leading third-party insurance claims administrator that is majority-owned by private equity sponsor Odyssey Investment Partners. GE Global Sponsor Finance also provided a $20 million revolving credit facility to the company. The transaction financed two new acquisitions by York, refinanced the company’s existing senior syndicated credit facilities led by GE Commercial Finance, and repaid $47 million of mezzanine debt held by Allied Capital.
     Unitranche Fund LLC was formed in December 2007 by affiliates of GE Commercial Finance and Allied Capital to deliver a reliable, single-source unitranche loan product to companies with EBITDA of $15 - $90 million.
     York Insurance Services Group is a specialized third-party claims administrator (“TPA”) that processes, adjusts and settles claims to insured members on behalf of insurance carriers. York focuses on profitable, higher service-oriented niche segments where insurance carriers tend to outsource a greater portion of the claims processing.
     â€œAllied Capital and GE Commercial Finance are pleased to continue our relationship with York, which began in April 2006 with Odyssey’s original buyout of the company, and has included several acquisition financings as well as this new transaction through the Unitranche Fund,” said John Fruehwirth, Managing Director of Allied Capital. “This deal demonstrates the unitranche product’s value in providing flexible financing to support both acquisition and recapitalization transactions for our customers,” added Diane Burton, Managing Director of GE Global Sponsor Finance.
     Doug Rotatori, Managing Principal of Odyssey Investment Partners commented, “This unitranche financing provided numerous benefits to our company, including a simplified balance sheet, a competitive cost of capital, and certainty of closing with two trusted lenders.”
     About Unitranche Fund LLC
     Unitranche Fund LLC (the “Fund”) was formed in December 2007 by Allied Capital and GE Commercial Finance. The Fund can invest up to $270 million for a single borrower, while Allied Capital and GE Commercial Finance will jointly underwrite amounts above that, up to $500 million in total debt financing. The Fund targets investments in a wide range of industry sectors, including business services, healthcare, media, energy, aerospace and transportation. A unitranche loan blends senior and junior debt pricing and terms into a single first lien debt facility, and provides a simple, attractive alternative to traditional 1st lien/2nd lien structures. Borrowers benefit from simplified documentation through a single credit agreement, greater certainty of execution, and reduced decision-making complexity throughout the life of the loan.
     About Allied Capital
     Allied Capital (NYSE:ALD) is a leading business development company (BDC) in the U.S. that invests long-term debt and equity capital in middle market businesses nationwide. Founded in 1958 and operating as a public company since 1960, Allied Capital is celebrating 50 years of investing in the U.S. entrepreneurial economy. With $5 billion in total balance sheet assets at March 31, 2008, Allied Capital is among the largest BDCs with a diverse portfolio of investments in 124 companies across a variety of industries. These companies generate aggregate revenues of over $13 billion and employ more than 98,000 people. In addition to its own balance sheet assets, Allied Capital manages private funds with committed capital totaling $5 billion, and has investments in portfolio companies that manage assets totaling approximately $6 billion. For more information, please visit www.alliedcapital.com, call Allied Capital investor relations toll-free at (888) 818-5298, or e-mail us at ir@alliedcapital.com.
     About GE Commercial Finance, Global Sponsor Finance
     With over $14 billionin assets, and offices in Boston, Chicago, Dallas, London, Los Angeles, New York, and San Francisco, GE Commercial Finance, Global Sponsor Finance represents a “one-stop” source for the comprehensive range of GE’s lending and other structured financial services offered to the private equity sponsor market. For more information, please visit www.gegsf.com.
     About GE Commercial Finance
     GE Commercial Finance, which offers businesses around the globe an array of financial products and services, has assets of approximately $300 billion and is headquartered in Norwalk, Connecticut. GE (NYSE:GE) is Imagination at Work – a diversified technology, media and financial services company focused on solving some of the world’s toughest problems. With products and services ranging from aircraft engines, power generation, water processing and security technology to medical imaging, business and consumer financing, media content and industrial products, GE serves customers in more than 100 countries and employs more than 300,000 people worldwide. For more information, visit the company’s website at www.ge.com.
     Forward-Looking Statements
     The information contained in this press release contains forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results and conditions to differ materially from those projected in these forward-looking statements.
    Investor Relations Inquiries:Allied Capital CorporationShelley Huchel, 202-721-6100orMedia Inquiries:Qorvis CommunicationsStan Collender, 202-448-3131
    State Keywords: District of ColumbiaIndustry Keywords: Professional Services; Banking; Finance; InsuranceSource: Allied Capital


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