SGS Acquires FTS, Inc.

FTS provides Asset Integrity Management (AIM) including world-class web-based Mechanical Integrity Management systems and services to the oil, gas, and chemical industries in the US and internationally. FTS is recognized as a leader in providing innovative data gathering systems and developing customized software solutions for labor-intensive data management processes and corrosion monitoring programs.

Founded in 1992 and privately owned, FTS has 350 employees in Bartlesville OK, Ponca City OK and Houston TX. This year revenues will exceed US $30 million.

SCP Acquires DeBusk Industrial Group

Located outside Houston, TX, DISC provides a variety of industrial cleaning services for critical equipment within the petrochemical industry. Services provided include hydro-blasting, vacuuming, hydro-cutting, chemical cleaning, and roll-off truck services. DISC presently serves customers in parts of the southwestern and southeastern United States through its nine existing branches located in Texas, Louisiana, and Tennessee.

Jim Wigginton and Mark McCammon will continue to represent Strength Capital on the board of Inland. Strength Capital is excited to be expanding its industrial service group by diversifying into the petrochemical industry. This deal represents the eighth investment for SCP Fund II, and the second add-on acquisition to the Inland platform. Strength Capital Partners is a private equity firm based in Birmingham, MI.

Furniture Factory Warehouse to be Acquired by Transition Capital Partners

The company is a unique furniture company that embraces the lower-middle market consumer and in particular, Hispanic consumers, through product selection, advertising, and store location. The Company operates 12 stores strategically located in middle-income and lower-income areas of San Antonio, the Rio Grande Valley, and the El Paso/New Mexico border region. These markets have been identified as high growth markets by Furniture Today.

Statesman Business Advisors, LLC is providing sell-side advisory services in connection with the sale of this company to Transition Capital Partners, a Private Equity firm located in Dallas Texas.

Stock Building Supply Acquires ProSource

ProSource Building Supply is a construction services business supplying commercial doors, trim, hardwood, related specialty products and installation services.

In the year ended Dec. 31, 2006, ProSource had revenue of approximately $17 million. The acquisition is in line with Stock´s goal of expanding in the commercial and industrial markets.

Stock Building Supply is a company of Wolseley plc (NYSE: WOS), a global distributor of plumbing and heating products as well as building materials.

Community Bank System Expands Benefits Administration Business

BPAS provides daily valuation, actuarial and employee benefit consulting services on a national scale, with offices in Upstate New York and Pittsburgh. With the addition of HBT and its operating subsidiaries, BPAS will enhance its service offerings in flexible spending account and collective investment fund administration services.

“This transaction represents a very attractive opportunity for us,” said Community Bank System President and Chief Executive Officer, Mark E. Tryniski. “Our benefits administration business has been, for many years, the most profitable and fastest-growing of all our financial services businesses. It has posted double-digit revenue increases for nine consecutive years, and currently accounts for more than 60% of our total financial services revenue. One of its most attractive attributes is that it´s not limited to the general footprint of our New York and Pennsylvania banking franchises, and presently serves clients in 32 states and Puerto Rico. The addition of HBT will clearly enhance our geographic diversity and service capabilities, further allowing BPAS to continue its impressive record of growth and profitability.”

The acquisition will give BPAS revenues of more than $20 million, and administration of over 140,000 defined contribution and flexible spending participant accounts with nearly $3.0 billion in assets under custody. It will also be additive to the Harbridge Consulting Group subsidiary of BPAS, which is the largest actuarial services practice in the state of New York, outside of metro-New York City. The transaction, which is subject to certain regulatory approvals, is expected to close during the second quarter.

Barry S. Kublin, President of BPAS added, “This acquisition will add valuable capacity to support our growing client base, and allow us to provide additional services to our clients and distributor partners. It will strengthen our organization, because HBT operates in a dynamic labor and business region, and is a highly respected employee benefit and trust company that has served its customers for 68 years.”

“I am excited about the expanded opportunities that the combined company will bring to the market place for both our clients and employees,” said David Hand, President of HBT. “BPAS is an ideal partner for us. I´m very familiar with their management team, and look forward to joining this group that has demonstrated product leadership, superior financial performance and exceptional customer service.”

Community Bank System, Inc. (NYSE: CBU) is a registered bank holding company based in DeWitt, N.Y., with approximately $4.5 billion in assets and more than 130 customer facilities. Its wholly-owned banking subsidiary operates as Community Bank, N.A. across Upstate New York, and as First Liberty Bank & Trust throughout Northeastern Pennsylvania. Its other subsidiaries include: BPA-Harbridge, which provides daily valuation, actuarial and employee benefit consulting services from offices in Upstate New York and Pittsburgh; Community Investment Services, Inc., a broker-dealer delivering financial products throughout the company´s branch network; and Nottingham Advisors, a wealth management and advisory firm with offices in Buffalo, N.Y., and North Palm Beach, Fla. For more information, please visit our websites at: or

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The following factors, among others, could cause the actual results of CBU´s operations to differ materially from CBU´s expectations: the successful integration of operations of its acquisitions; competition; changes in economic conditions, interest rates and financial markets; and changes in legislation or regulatory requirements. CBU does not assume any duty to update forward-looking statements.

SOURCE: Community Bank System, Inc.

Telco Solutions III, LLC Announces Acquisition of Micropaq Corporation

Micropaq manufactures products for multiple companies in a variety of industries including energy, power, medical, industrial automation, defense, networking, and telecom.

“We are excited about the additional marketing opportunities and synergies that will allow us to serve several cross sections of our industry,” said Kamal Bajaj General Manager of Micropaq Corporation.

“With the addition of Micropaq´s manufacturing capabilities, this acquisition will expand our markets and increase our company´s overall capability in the EMS arena;” stated Timothy J. Knox, President and CEO of TSIII, LLC, who also continued “the Micropaq team, clearly recognized as a leader in quality manufacturing serving their respective markets, will continue to serve their customers from the Houston facility.”

Telco Solutions III is a value-add EMS provider and factory authorized distributor of Nortel telecommunications products. Established in 1984 as a manufacturer of cable assemblies for leading telecommunications manufacturers, TSIII has grown into a multi-operational, multi-million dollar organization with over 300 employees. TSIII is also a diversified manufacturer specializing in printed circuit boards, wire and cable assemblies, and mechanical assembly build. The Franklin (Nashville), Tennessee based company is a premier value-added manufacturer with regional offices located in Tennessee, Texas, Arizona.

For more information, visit

Source: Telco Solutions III, LLC

Statesman served as exclusive financial advisor to Micropaq Corporation on this transaction.