In November 2007, after being selected in a competitive process against several other investment firms, Raymond James Financial Sponsors Group was retained by Liberty Tire Recycling to conduct a sale or controlled recapitalization of the Company. Liberty Tire is the leading collector and processor of scrap tires in the United States, collecting approximately 20 percent of the more than 450 million passenger tire equivalents generated annually.

Raymond James prepared an Information Memorandum and contacted an extensive group of potential partners, resulting in the Company's equity recapitalization by American Securities with very favorable transaction terms in spite of a highly difficult market environment. Liberty Management reinvested significant equity in the recapitalization and is fully committed to continuing the rapid growth of the Company, both organically and through acquisitions.

This successful transaction demonstrates that attractive businesses in the environmental services sector will continue to attract strong interest in the market despite the challenging financing and economic climate.