Arcade Partners

Arcade Partners, LLC ("Arcade") is a private investment partnership that invests in middle-market leveraged buy-out and recapitalization transactions. Arcade is interested in acquiring businesses where excellent operating management has successfully parlayed proprietary products, processes or relationships into proven historical performance, and has demonstrated an ability to generate stable cash flows. The key element of our investment strategy is a partnership with operating management that allows both Arcade and management to profit from the future growth and success of the business.

Arcade’s three principals have over 60 years of combined investment and operating experience, and bring to each transaction not only committed equity capital, but also creativity and common sense. Our goal is to build value by working with management to identify and unlock the potential that each company has to excel, whether through strategic acquisitions, enhanced marketing relationships, targeted deployment of capital, or product line extensions.

Arcade's principals are also among the co-founders of Kapstone Paper and Packaging Corporation, a public company formed in 2005 to seek a business combination in the paper, packaging and forest products industry. Kapstone (NASDAQ:KPPC) is capitalized with $120 million of equity, and recently acquired the kraft papers division of International Paper. See www.kapstonepaper.com.

In May, 2007 Arcade's principals successfully completed the $69 million IPO of Arcade Acquisition Corp. (OTCBB:ACDQ). Arcade Acquisition is our second SPAC (special purpose acquisition company) and it is currently seeking to complete a business combination with a profitable operating business with an enterprise value of approximately $150-$400 million. Arcade Acquisition is not limited in its scope with respect to industry or geography.